Amazon testing the waters of contextualized advertising

Submitted by pg on Mon, 02/06/2006 - 02:16.

Sitepoint reports that amazon is getting ready to beta test an adsense-like program. Not to promote its own products but to actually feature third party advertisers.

For those unfamiliar with the concept, adsense is run by google and allows site owners to display advertising based on the content of their site and generate revenue each time one of these ads is clicked. It accounts for 42% of google's revenue, as per the latest filing.

I am not suprised to see amazon try this. With over 1 million affiliates, they have the capability of switching on a significant ad distribution network. They also have the brains for delivering great, profitable experiences and finally, they have access to a gigantic mine of e-commerce data able to understand what product or product category sells well with what site.

The competition on contextualized, distributed advertising is heating up:
So anyways, if they go through with this, then once MSN’s AdCenter program is launched, and Yahoo’s Publisher Network goes out of beta, that’ll give us publishers 4 choices in this area and choice is never a bad thing.
If Amazon ever goes through with this, I wonder what the effect will be on keyword price and Google stock...let's see

personomies, advertising, cpc, adsense, amazon.com

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