Amazon is planning to launch their own advertising program giving a direct challenge to Google and Bing AdSense programs.
According to the Wall Street Journal reports: “Amazon.com Inc. is gearing up to more directly challenge Google Inc.’s dominance of the online advertising market, developing its own software for placing ads online that could leverage its knowledge of millions of Web shoppers.
Initially, Amazon plans to replace those ads on its pages that Google chiefly supplies with a new in-house ad placement platform, said people familiar with the matter. In the future, that system could challenge Google’s $50 billion-a-year advertising business and Microsoft Corp.’s MSFT -0.15% , they added.”
The new advertising program of Amazon is now called as ‘Amazon Sponsored Links’ at this moment and it has already paved its path to the potential advertisers about the program. Using this program Amazon is planning to deliver ads based on keywords or search queries that users search while browsing web or shopping online.
Amazon wrote about Amazon Sponsored Links as “Sponsored Links are advertisements related to your recent product search query or content on the page and are always clearly labeled. Amazon.com displays sponsored links sourced from third party networks. There are also other opportunities for advertising directly on Amazon.com such as through the Amazon Media Group or Product Ads.”
Now it is worth to see whether Amazon can compete with Google and Bing AdSense or display network programs. The program will definitely increase the revenue for Amazon. Also Amazon has already accepting the advertisers on their site through different ad programs which includes display ads, product ads and local advertising based on user’s location.