There is a good chance that starting in 2024, you will encounter some advertisements when you want to watch your favorite show on Amazon Prime Video in the evening. Amazon has announced that it will add advertisements to Prime Video in 2024. The service will begin in markets such as the US, UK, Germany, and Canada. It is promised that there will be significantly fewer ads compared to linear TV and other streamers. This marks a notable shift in their strategy.
This new initiative from Amazon has a clear goal. It aims to increase the profitability of their streaming service. There have already been ads surrounding certain top programs like the NFL's "Thursday Night Football." The company is now taking a further step in its monetization efforts. For brands, this is a golden opportunity. Many streaming services have largely been ad-free until now. Amazon offers viewers the option to avoid ads for an additional fee. However, live sports broadcasts will still contain commercials.
Amazon emphasizes the value that Prime delivers. Prime Video is just one part of a package that also offers benefits such as free delivery. The quality and diversity of the streamer's content library are not overlooked, with hits like "The Marvelous Mrs. Maisel" and their deal to stream "Thursday Night Football."
With the introduction of commercials, Amazon hopes to offset the high costs associated with producing large-scale shows. Productions like "The Lord of the Rings" are among the most expensive TV productions ever. This shift could also give a boost to Amazon's advertising segment, which is primarily focused on its e-commerce activities.
In a market where competitors like Netflix, Disney+, and Max are also moving towards ad-supported models, Amazon's decision comes at a crucial moment. The entire industry is also burdened by strikes from Hollywood writers and actors, which have delayed production for months.
With the implementation of ads on Prime Video, questions arise about the future of Amazon's other streaming service, Freevee. This service is already ad-supported. What this means for the streaming landscape will become clearer in the coming months.
Advertising & PPC
2 min
9 October 2023
Auteur

Lisanne Groot
marketing consultant
Amazon Prime Video introduces limited advertisements starting in 2024.

Over Lisanne Groot
marketing consultant