The advertising segment is one of the most important revenue drivers for Amazon. It is therefore not surprising that the company is constantly looking for new ways to further expand this area.
Amazon generates significant income from advertising: In the second quarter of 2024, the Group generated revenue of 12.77 billion dollars in this area alone. This shows not only the high demand in the industry, but also the continuous growth. Compared to the same period of the previous year, revenue rose by around 20 percent.
It is therefore crucial for Amazon to constantly develop new approaches to optimize advertisements and to offer advertising partners attractive opportunities to present their products. Such an innovation will soon be tested in Amazon's own chatbot “Rufus.”
Rufus, a digital shopping assistant, was unveiled at the beginning of the year and initially launched in the USA this summer. The bot is designed to make product recommendations and provide shopping inspiration. In addition, Rufus should help with problems and thus improve the shopping experience. As TechCrunch reports, citing AdWeek, Rufus will also include sponsored ads in the future.
These ads are similar to advertising formats that have already been tested by other companies, such as Microsoft's digital assistant Copilot or the Bing chatbot. Such an integration of advertising seems obvious, as AI-based chatbots are often cost-intensive. By integrating ads, these applications could be run more economically.
An Amazon spokesperson explained that the company is continuously working to improve the Rufus experience. This includes launching sponsored ads to help users discover new brands and products. The ads are tailored to discussions with Rufus in order to present a suitable selection of products.