Amazon is reportedly planning to launch ads on its Prime Video streaming service. The move, which would see the introduction of short commercial breaks, has been in discussion for weeks, the Wall Street Journal reported.

Amazon has not officially confirmed the news, but industry insiders have said that Prime subscribers would have the option to pay extra for ad-free shows and films if plans do go ahead.

Why we care: Both Netflix and Disney launched ad tiers to their streaming services last year. Netflix’s ad tier already has nearly 5 million monthly active users. Meanwhile, Disney expects up to 70% of subscribers to switch to its ad-supported tier.

If Amazon follows in its rivals’ footsteps, it would create huge opportunities for digital marketers to team up with the third fastest-growing ad business in the U.S., having made $9.5 billion in the first quarter of 2023 (a year-on-year increase of 21%). Currently, the company sells the majority of ads to retailers looking to promote products on Amazon’s search results. But more doors could open for premium advertising if plans go ahead.

Why the change? An increasing number of streaming giants have been introducing ad-supported tiers to increase revenue and grow subscribers, such as HBO’s Max and NBCUniversal’s Peacock.

Amazon has been exploring new ways to boost revenue after the company made tens of thousands of layoffs, which impacted its ad division in April. It was the largest number of layoffs in the business’ 29-year history following a recruitment surge during the COVID pandemic.

The company is now shifting its focus on investing in new original shows, concerts and live sports, which premium advertising can be sold around.  

What has Amazon said? Amazon has reportedly been in discussions about Prime Video ad tiers with Warner Bros, Discovery and Paramount Global. However, as talks are believed to be in the very early stages, representatives from all three brands have refused to comment just yet.

However, in April, Amazon CEO Andy Jassy hinted at the huge potential he sees in ads, despite the recent layoffs. He said:  “Even in difficult economies, most people still shop and with the largest e-commerce shopping venue, we have a lot of customers that companies seek to reach.”

How else will things change for advertisers? In addition to creating more advertising opportunities on Prime Video, Amazon has confirmed that it is working on giving digital marketers the tools to create AI images and videos in ad campaigns. This could significantly help boost listings and sales. However, a timeline is yet to be confirmed.

Google will only consider trademark complaints against specific advertisers and ads starting July 24. That’s the date when Google Ads will roll out global changes to its Trademark Policy.

Google is notifying advertisers about these trademark policy changes today.

Why we care. Google said this will policy update should make resolutions faster and easier and reduce industry-wide restrictions, which can be frustrating for advertisers.  

Why the change. Under the current Google Ads Trademarks policy, all ads in an entire industry can be restricted from using trademarked material when complaints are filed. This has resulted in over-flagging and industry-wide blocks, causing major problems for advertisers.

Google hopes its new policy will reduce these issues and give advertisers more clarity and transparency. The updated policy should also help Google respond to advertisers’ trademark complaints more quickly.

What Google is saying. A Google spokesperson told Search Engine Land: 

• “To address feedback from advertisers, we are updating ourTrademark Policy to focus solely on complaints against specific advertisers in order to simplify and speed up resolution times, as opposed to industry-wide blocks that were prone to over-flagging.”
• “We believe this update best protects our partners with legitimate complaints while still giving consumers the ability to discover information about new products or services.”

Timeline. Trademark restrictions implemented before July 24 under its current policy will continue to apply. Google will gradually phase out these limitations for most advertisers over the next 12-18 months.

The policy. You can see the Google Ads Trademarks policy here.

Microsoft Advertising will soon roll out a new Cross-Device attribution model.

What Microsoft is saying. The news about the conversion attribution update was announced in Microsoft’s June roundup of product updates:

• “The new Cross-Device attribution model allows us to better track and connect your customers’ conversion journeys across different devices and sessions. For example, if a user clicks on an ad using their laptop but converts on their phone, we’ll now credit that conversion to the initial ad click on the laptop.”

Why we care. Microsoft said you may see a small increase in conversions in your performance reports. So watch your reports. If you see an increase in conversions, this may be the reason why.

When. The update will roll out later this month.

No other changes. No new features or settings are coming as part of this cross-device attribution update.

Linda Yaccarino today became Twitter CEO – and she’s got some hard work ahead of her. That’s because Twitter’s advertising revenue has declined 59% year on year, according to an internal presentation acquired by The New York Times.

Despite Elon Musk’s recent optimism about Twitter’s advertising progress, stating that “almost all advertisers have returned” and predicting profitability for the platform, the situation remains uncertain.

Something doesn’t add up. During the five weeks from April 1 to the first week of May, Twitter’s U.S. advertising revenue was $88 million. Twitter frequently fell short of its weekly sales forecasts, sometimes by as much as 30%, The Times reported.

Why advertisers are fleeing. A surge in hate speech and explicit content, along with an increase in advertisements for online gambling and marijuana products, caused concern. 

Twitter’s U.S. ad revenue is projected to drop by at least 56% each week compared to the previous year, according to the internal document.

Twitter’s advertising sector is crucial to its success and value, accounting for 90% of its revenue.

When he acquired Twitter for $44 billion in October and privatized the company, Musk pledged to create “the most respected ad platform.” However, he soon strained relationships with advertisers by terminating key sales executives, promoting a conspiracy theory on the platform and reinstating previously banned Twitter users.

How brands reacted. Several major ad agencies and brands, including General Motors and Volkswagen, suspended their Twitter ad investments. Musk had projected that Twitter’s revenue for 2023 will reach $3 billion, a reduction from $5.1 billion in 2021 when Twitter was a publicly-traded company.

Several of Twitter’s major advertisers, such as Apple, Amazon, and Disney, have reportedly reduced their spending on the platform compared to the previous year, according to three former and current Twitter employees. They also noted that high-value banner ads on Twitter’s trends page, typically purchased by large brands for promotional purposes, are frequently remaining unsold.

Twitter has faced public relations issues with major advertisers, including Disney. In April, Twitter mistakenly gave a gold checkmark, indicating a paying advertiser, to an unaffiliated account called @DisneyJuniorUK. The account then posted offensive content, causing Disney to demand an explanation and assurances from Twitter to prevent such errors in the future.

Why we care. Despite its challenges, Twitter is still a powerful platform that reaches a vast, global audience. The platform still has a user base of millions who engage daily, offering unique opportunities for brand visibility and interaction. 

Changes are starting. Yaccarino, the NBCUniversal executive recently appointed as Twitter’s CEO by Musk, is inheriting several challenges. She has taken over as CEO today – weeks earlier than expected, BBC reported.

Damage done? The new leadership under Yaccarino could signal upcoming changes in their approach to problematic content, potentially improving the advertising environment. Twitter has also added Joe Benarroch, formerly NBCUniversal’s senior vice president of communications, advertising and partnerships.

Advertisers should watch Twitter’s changes, as it may continue to be a potential key player in digital marketing strategies.

Instacart is adding generative AI to its search experience. Called Ask Instacart, the new search feature is designed to help answer shoppers’ grocery-related questions and give a boost to sponsored product campaigns.

How it works. Just like with Google and Microsoft Bing, Instacart users will be able to search via natural language queries and get personalized recommendations. For example:

• “What kind of side dishes should I serve with lamb chops?”
• “What are dairy-free snacks for kids?”
• “What are the best veggies to roast?”

Ask Instacart is built using OpenAI’s ChatGPT plus Instacart’s own AI models. Instacart said this is “a highly specialized model designed to only respond to relevant food-related questions.”

What it looks like. Here’s a screenshot of Ask Instacart:

Search prompts. Instacart has also added “personalized question prompts” to the search bar. Instacart said these prompts “anticipate customer preferences, remind them of their needs based on their shopping history, and inspire them to discover new products.”

Why we care. For CPG brands and retailers, this AI-powered search offers a new way to potentially get your product campaign seen by more shoppers – aiding in discovery and driving more sales.

Rollout timeline. More than half of Instacart app users now have access to generative AI search. It will roll out to all U.S. customers “over the coming weeks.”

Intro video. Here’s the video introducing Ask Instacart:

Creators earn the most from their brand partnerships on YouTube – more than Instagram and TikTok, according to a new survey.

By the numbers. On YouTube, 6% of creators earned more than $10,001 per month – compared to 3% of Instagram creators and 2% of TikTok creators.

• 50% of YouTube creators earn more than $500 per month vs. Instagram (40%) and TikTok (36%).

More expensive, but. While it’s more expensive to work with YouTube creators, brands should work with them because the platform has high engagement metrics.

Creators get a 50% engagement rate, on average, which beats all other platforms by far (TikTok and Instagram had a 3% and 2% engagement rate, respectively). Engagement on YouTube was defined as views, likes, comments and shares. Also:

• “YouTube’s longer video format allows creators to dive deeper into your products in each video — which is especially helpful if you’re selling products like tech gear or ready-to-build furniture, which may need step-by-step tutorials.”

About the survey. It is a combination of internal data from Aspire, an influencer marketing platform, plus a survey of 1,000 “diverse creators, varying in audience size, main platform of choice, industry, and more.” Most of the creators were U.S.-based.

Why we care. Influencers can help your SEO campaigns. And with big investments continuing in influencer marketing, YouTube seems to offer brands the most ROI for working with influencers right now.

Go deeper. If you want to learn more about how much to pay influencers, you can download the survey results for free from Aspire.

Creators frustrated with TikTok. Disappointed about how much they were being paid, creators were leaving TikTok claiming mental health blows and burnout, as we reported last year. Some creators claimed they were being paid between $0.02 – $0.03 per 1,000 video views.

Instagram has updated its resource explaining how ranking works across each part of its app – Feed, Stories, Explore and Reels.

Why we care. It’s critical to understand how Instagram ranking works if you want to maximize your visibility and engagement on this platform.

What’s new. Instagram Ranking Explained is an update to a 2021 post – so most of the changes are fairly minimal. Of note, Instagram:

• Separated Feed and Stories into two separate sections.
• Put a heavier emphasis on following its Recommendation and Community guidelines.
• Added a section called Personalize your Feed and Stories, adding new tips on how to personalize Feed and Stories.
• Expanded its discussion around Shadowbanning.

Instagram uses multiple algorithm

Instagram doesn’t use one algorithm to rank content. Multiple algorithms, classifiers and processes – each serving a specific purpose – determine what Instagram users see.

Instagram ranks content differently in different parts of the app (e.g., Feed, Stories, Explore, Reels and Search).

How Instagram ranks Feed

Instagram’s Feed is a mix of content from accounts that a user follows, recommended content and ads. There is also a mix of formats – videos, images and carousels.

Instagram said Feed ranking takes thousands of signals into account. The signals Instagram discussed all fall into three big buckets – the user, the creator and the post.

User signals:

• Engagements – likes, shares, saves, comments and time spent interacting with a post.
• Accounts the user has recently followed.
• Accounts a user has recently liked or engaged with.
• Format preference (e.g., Instagram will show more images if you engage more with images vs. videos or other formats).
• History of interacting with another account.
• Recent posts shared by the accounts a user follows.
• Posts from accounts users doesn’t already follow that Instagram thinks they might be interested in. As Instagram explained:
  • “These are educated guesses at how likely you are to interact with a post in different ways. There are roughly a dozen of these. In Feed, the five interactions we look at most closely are how likely you are to spend a few seconds on a post, comment on it, like it, share it, and tap on the profile photo.”
• Account preferences.

Creator signals:

• Information about the post creator.
• How many times people have interacted with that person in the past few weeks.
• If the content follows Instagram’s Guidelines for Content Lowered in Feed.

Post information:

• Popularity:
  • Number of likes.
  • How quickly people like it.
  • Number of comments.
  • Number of shares.
  • Number of saves.
• Time it was posted.
• Location.

Instagram also tries to avoid showing too many of these in a row:

• Posts from the same person.
• Suggested posts.

How Instagram ranks Stories

The “input signals” Instagram looks at for Stories include:

• Shared by accounts you follow (that don’t violate Instagram’s Community Guidelines).
• Viewing history (how often a user views an account’s stories).
• Engagement history (how often a user engages with an account’s stories – eg., a like or a DM).
• Closeness (a user’s relationship with the creator and how likely they are to be connected as friends or family).

How Instagram ranks Explore

Explore is where Instagram recommends images and videos from accounts a user doesn’t follow. Ranking in Explore is similar to ranking of Feed and Stories.

Instagram looks at:

• A user’s past Instagram activity (e.g., post likes, saves, shares and comments).
• A user’s past Explore activity (posts a user has liked, saved, shared or commented on; how the user has interacted with posts in Explore).
• Post information (how many and how quickly other users like, comment, share and save a post). Instagram said “these signals matter much more in Explore than they do in Feed or in Stories.
• The user’s history of Interactions with an account.
• Creator information (e.g., the number of times users have interacted with that creator in the past few weeks).
• Whether the content follows Instagram’s Recommendation Guidelines.

How Instagram ranks Reels

The most important signals Instagram looks at:

• User activity (Reels a user has liked, saved, reshared, commented on, or engaged with).
• The user’s history of Interactions with an account.
• Reel information (e.g., popularity, the audio track, visuals in the video).
• Creator information (popularity signals include number of followers, engagement level).

Reels can be less visible if they are:

• Low-resolution.
• Watermarked.
• Muted or containing borders.
• Mostly text.
• Focused on political issues.
• Previously posted on Instagram.

How Instagram Search works

Not mentioned in Instagram’s newest resource was how the Instagram search algorithm works. However, Instagram did that in a 2021 post, Breaking Down How Instagram Search Works.

What signals matter in Instagram Search:

• The query. Instagram tries to match that to relevant usernames, bios, captions, hashtags and places.
• User activity. Accounts a user follows, posts they’ve viewed and how often they have interacted with an account in the past. Instagram more often shows accounts and hashtags that a user follows or visits.
• Popularity signals. The number of clicks, likes, shares and follows for accounts, hashtags and places.

Instagram’s SEO advice:

• Choose an Instagram handle or profile name that’s related to the content of your posts.
• Include relevant keywords and locations in your bio.
• Use relevant keywords and hashtags in your captions.

You can also add up to five links in your Instagram bio.

Under budget constraints but also under pressure to generate growth, marketing and marketing ops leaders have been taking a close look at the ROI on martech solutions.

We want to know what conclusions you have been reaching. Have you been consolidating your existing stack? Have you been gambling on promising new tools? Are you perhaps reducing your tech holdings?

The need for better features. The 2022 survey showed solutions being replaced in a quest for better features, in particular:

• Better integrations/open API.
• Improved data capabilities.
• Ability to measure ROI.
• Better customer experience.

Those were all higher on the list than cost. What, if anything, has changed?

We’re in a very different place than we were just a year ago. The world opened for business again. Many people returned to the workplace. It was no longer necessary to do almost everything – from shopping to hanging out with friends – digitally.

That doesn’t mean we’ve abandoned our multi-faceted digital environments. We discovered that many virtual experiences worked just fine. There was, however, something of a deceleration in digital transformation (after the insane acceleration of 2020), arguably leading to the retrenchment we saw in a number of marketing tech companies that had perhaps grown too fast.

Taking the temperature. Against a backdrop of economic uncertainty, our hunch is that there’s still a thirst out there for innovation, for tech-enhanced efficiency, and for better-supported data-based decision making. After all, marketers have hardly hesitated to get their hands on generative AI.

But we need data to see whether our hunch is right. So please take about three minutes or so to complete our Replacement Survey and let us know how your martech world is evolving.

The 2023 MarTech Replacement Survey is here.