The Unboxed on Tour event in London was a chance to see how the Amazon announcements in New York two weeks ago played out to a European market. By the simple measure of hosting this event, it’s clear that Amazon have recognised the importance of ensuring that EU focused brands and agencies have the same opportunities to learn and network as their US counterparts.
Here are the four key stats that stood out from the day, and why they should be important to you:
Stat #1: Freevee has increased their monthly avg. minutes viewed by 126% YoY
The takeaway: It’s clear that AVOD is going to become a core component of the Amazon offering in 2024 with the shift to a Prime Video ad offering looming in Q1. The Freevee model has proven that targeted ads with less run time than linear TV are not a blocker to users wanting to stream premium video content. This of course is reliant on quality content (like Jury Duty!) but it’s clear that consumers are still willing to engage with ads when watching their favourite shows.
Stat #2: Amazon DSP can now reach 70% of anonymous traffic using audience targeting
The takeaway: Amazon are already preparing for a cookieless world by using billions of data points to help brands build robust audience targeting techniques that aren’t reliant on 3rd party data. The ability to still reach a significant number of consumers, both on-site and off-site using this approach, combined with contextual targeting will allow brands to plan a media strategy throughout the funnel to generate awareness, consideration and conversions at scale.
Stat #3: Sales revenue increases by 14% when adding video solutions to existing media plans
The takeaway: We’ve believed that a full funnel approach improves the bottom line for brands since the early days of retail media, however this highlights the shift in approach towards a more omnichannel focused solution. It is still imperative for brands to create interest and awareness of their products to maximise the effectiveness of their lower-funnel campaigns.
Stat #4: Incremental sales increase by up to 4.8% when planning a full funnel campaign
The takeaway: The full funnel approach doesn’t just improve the bottom line, it also grows the market share and customer base for brands. Increasing your customer base and creating brand loyalists will deliver long-term success for agencies and clients.
It was great to attend this event, and I came away energised and ready to see what happens in 2024. One thing is for sure, Amazon continue to set the benchmark for all retailers when it comes to the media proposition!