what you should Know
- Amazon Ads will launch three new interactive ads for Amazon Prime video on TVs and other devices in the living room.
- The company says this will allow users to shop seamlessly during the 15-30 second ad breaks between their shows/movies.
- These ads are said to pop up even when the video is paused and show facts about the brand that will help consumers shop better.
Prime Video streaming is about to get a little busier as Amazon announced Tuesday (May 7) that it will add three new shoppable interactive ad formats to its living room streaming platform.
The company said Prime Video will now get an expanded range of shoppable interactive ad formats, including remote activation capabilities for living room devices that are a step up from the usual QR code that appears in an ad.
Brands will now be able to run shopping carousel ads to help viewers browse and shop multiple product variations on Amazon during ad breaks in Prime Video shows and movies. Brands can also use interactive intermission and brand trivia ads on Prime Video TV shows, movies and live sports.
These interactive ads are said to appear in three distinctive formats during ad breaks or when the video is paused.
- Shoppable carousel ads: Brands present a sliding range of their products that customers can explore on Amazon and add to their cart using most living room remotes. Viewers can pause these ads to browse the products.
- Paused interactive ads: They pop up when viewers pause the show or movie they’re streaming. A semi-transparent ad featuring brand messaging and imagery along with ‘Add to Cart’ and ‘Learn more’ will create an overlay on the screen, replacing the usual pause screen containing information about the show/movie – these ads will run even after a break of the ad and disappear when the video resumes.
- Interactive brand trivia ads: They provide facts about a specific brand, enabling users to shop on Amazon, learn more about services and products, and even unlock rewards. Customers can use their living room remote to add a product to their cart, request information via email and claim rewards such as Amazon shopping credits when purchasing eligible items.
Amazon research has shown that interactive ads are more effective in increasing engagement rates and driving product sales by allowing viewers to add items to their cart while watching a show/movie.
“We’re developing innovative experiences to help brands better engage with customers as we work to transform streaming,” said Alan Moss, vice president of global ad sales for Amazon Ads.
“Prime Video ads provide an unparalleled experience for advertisers to achieve every marketing goal across the funnel – whether it’s awareness, consideration or conversion,” Moss added.
Amazon CEO Andy Jassy noted during the company’s Q1 2024 earnings call that the company’s efforts to bring ads to Prime Video are off to a good start and that advertisers are “excited about the opportunity to expand their ability to advertise with us [with] video” beyond the previous suggestions.
Is this a good move for consumers?
Many people find ads on streaming platforms frustrating, and paying an extra $2.99 on top of their Prime Video or Amazon Prime subscription isn’t something everyone does voluntarily to get rid of ads. Instead, viewers agonizingly wait for 15-30 second commercials to end. Imagine an extra layer of interactive ads to distract you.
The downside, however, is that Amazon seems to be looking to increase revenue through these new ads, and how viewers will react remains to be seen. Will they really find these ads engaging or will they become more frustrated and consider switching to an ad-free streaming platform?
Amazon isn’t the only platform to introduce interactive ads. Since 2022, they have appeared more often on Hulu, Max and Peacock, and customers did not care about these changes.
Cara Manat of media and advertising group Magna told Variety last year that “a bad experience or a lot of ad clutter reduces the impact of ads and is really bad for consumers.” Manath said the study found that customers also changed their behavior because of these ads and canceled their subscriptions to streaming services.
Amazon Ads first introduced interactive video ads in 2021 on services like IMDb TV on Fire TV devices and has continued to expand the format across much of its streaming TV portfolio, including shows, movies and live sports on Prime Video, Twitch , Fire TV Channels, and third-party TV streaming apps.
