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Amazon Thinks It’s Prime Time For Ads; Will Brands Tune In?

  • Amazon Prime Video has introduced ads in India, deviating from its previous ad-free model.
  • Users will now experience 'minimal ads' that cannot be skipped on Prime Video.
  • Amazon plans to charge an additional fee for an ad-free viewing experience.
  • The move towards AVOD (ad-supported video on demand) aligns with changing viewer preferences.
  • Amazon aims to cater to the majority of Indian users who consume free, ad-supported content.
  • The shift to ad-supported models helps fund content creation while keeping subscription rates low.
  • Amazon's strategic shift to AVOD represents a hybrid model at the master brand level.
  • Amazon has a strong data environment that enables hyper-targeted ad placements.
  • The introduction of 'minimal ads' creates a new revenue stream for Amazon without legal complications.
  • Experts believe Amazon's ad revenue success will depend on specialized ad products and engagement with users.

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