Amazon's ad spend touches $ 11 billion; becomes world's biggest advertiser

Amazon becomes world’s biggest advertiser after it reported its ad expenditure in January 30th 2020 earnings call. According to report, the e-commerce giant touched $ 11 billion ad spends last year.

The company now accounts for 2% of global ad expenditure and its budget increased 34% or $ 2.8 billion from last year.

Last year P&G was the biggest advertiser in the world, accounting for $ 7 billion in ad spends followed by AT&T. Amazon which was at 7th place has reached No. 1 position in the span of a year. Amazon has made major hikes in its ad spends over the decade. In 2009, its spending was $ 593 million; it reached $ 3.3 billion in 2014 and $ 11 billion in 2019. It ad spend has increased 22X times over the decade.

Amazon’s four largest markets are The US, Japan, Germany and The UK. Amazon also has its subsidiary brands which include Alexa, Firestick, Fresh, Kindle, Prime, Prime Video and cloud business.

In its annual report, the company’s the total marketing expense was $ 18.9 billion out of which $ 11 billion went into advertising and $ 7.9 billion in other costs. It ranks fourth in the world in digital ad sales behind Google, Facebook and Alibaba Group according to eMarketer.


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