Digital Gabe
Cutting Edge Commentary On All Things Media

Amazon Is Getting Into The DSP Game

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The eComm giant is ramping up its ad sales business at the exact moment media transactions are becoming increasingly automated through programmatic buying.  So it shouldn’t be a shocker that Amazon has established its own DSP to transact digital buying.  In order to scale it’s DSP adoption, Amazon is offering up some fairly interesting capabilities for brands and publishers alike.

In the simplest example, Amazon’s DSP can be used to set up PMPs to buy guaranteed impressions on its platform called Transparent Ad Marketplace (TAM) – nothing too special there.  Taking things a step further, Amazon will facilitate buys across third party publishers by using its own data.  As an example, if a kitchen appliance manufacturer wants to buy a “blender intender” audience seg using Amazon’s data, they can deliver ads to those same users on other publishers’ sites through TAM.  This could be a compelling offer for brands because they can expand their inventory pool beyond just people who are about to buy a blender (which is probably be a very small group at any given time), and serve ads to those same folks when they’re on another cooking-related site.

This offer also seems tantalizing to third party publishers who could monetize their own inventory through Amazon’s programmatic pipes.  But pubs should proceed with caution on this.  If we’ve learned anything over the years, it’s that what starts as a “good guy” idea from Amazon often turns into them owning an ecosystem that you can’t really escape from.

 

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