According to Kelly Day, Amazon's Vice President of Prime Video International, the experiment with ads was so successful that it's being expanded significantly, with plans to 'ramp up' the ads program in 2025. Day highlighted that the initial implementation was 'very light,' without any commercial interruptions during programming, indicating that future additions might not disrupt content viewing as much.
Day noted that the churn rate—how many customers canceled their subscriptions—after the initial introduction of ads was 'much, much less than anticipated.' This suggests that many customers were more receptive to ads than Amazon expected, paving the way for an expanded advertising strategy.
The introduction of new ad formats, such as shoppable ads, interactive pause ads, and trivia ads, shows Amazon's innovative approach to integrating advertisements into Prime Video, aiming to enhance user engagement while generating additional revenue.
Amazon's move to increase ads parallels industry trends, where competitors like Netflix and Disney+ have also expanded their ad-supported tiers. This reflects a broader shift in streaming services towards monetization through advertisements as subscription growth slows.
Collection
[
|
...
]