Amazon is urging marketers to maintain or increase their advertising spend even amidst economic uncertainty. Notably, it emphasizes the importance of upper and mid-funnel ad investments, demonstrating through Ipsos data that those who cut spending saw negative growth, while those who maintained it experienced gains. Amazon argues that ads can drive long-term brand building, not just immediate sales, and has data to back up this strategy. This reinforces the idea that during economic downturns, strategic ad investment can yield significant returns for brands.
When the economy wobbles, most marketers ease off the gas. Amazon is telling them to floor it - on its ads, naturally.
According to the survey, consumer confidence in their financial wellbeing has dipped to 37% - right where it was in 2022, when inflation and recession fears were peaking.
The pitch deck lays it out plainly: brands that cut upper and mid-funnel ad spend in 2022 saw customer growth drop 5% year over year, whereas those that increased it grew by 14%.
The idea that ads don't just convert - they compound - has been a central part of Amazon's messaging.
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