Twitter is an advertising business.
And with its upcoming IPO, the company is on a mission to convince Wall Street
that it can attract big-name brands like a magnet.
Meanwhile, Amazon is the world's
largest online retailer. But on the side, it does ads too, plastering them on
its retail site as well as an online network of partner sites.
According to research firm eMarketer, which specialises in analysing
online buying and selling, Twitter will likely bring in just under $583 million
in ad revenue this year. That's more than double what eMarketer believes
Twitter brought in last year, but the research firm says Amazon will likely
pull in $840 million. Ad revenue for the e-commerce giant was up 45% over
2011's earnings. Strong and consistent growth in the company's ad revenue is
expected in the coming years. Amazon's ad revenue in the U.S. alone is expected
to reach $1.1 billion by 2015.
To get an idea of how Amazon’s ad
business compares with some of today’s biggest players, here are the full-year
2012 ad revenues for Google, Facebook, Yahoo, AOL and Twitter:
·
Google: $43.7 billion
·
Facebook: $4.28 billion
·
Yahoo: $4.03 billion
·
AOL: $1.42 billion
·
Twitter: $288.2 million (per
eMarketer estimates)
Amazon
has a vast stockpile of data and significant audience and clearly advertiser
interest. But it’s unclear at this point how aggressive they plan to be about
advertising.
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