Amazon Reveals Ambitious AI-Powered Ad Platform
At its annual UnBoxed conference in Nashville, Amazon introduced a groundbreaking suite of artificial intelligence (AI)-driven advertising tools it claims will revolutionize digital marketing. These innovations mark a significant shift from the company’s strategy in 2024, when growth in ad sales had slowed. Now, Amazon reports a 24% year-over-year increase in ad revenue for Q3 2025, pushing it closer to an $18 billion quarterly figure.
The centerpiece of the announcement is a new AI-powered ad hub that combines full-funnel campaign capabilities with a redesigned Campaign Manager. This new platform unifies Amazon’s sponsored ads and demand-side platform (DSP) into a seamless, centralized ecosystem.
Smarter Campaigns with Full-Funnel Automation
Amazon’s new full-funnel campaigns tool, set to launch in 2026, aims to automate and optimize ad strategies across various formats — including sponsored, display, and streaming TV ads. By leveraging Amazon’s rich first-party data and an Authenticated Graph that reportedly reaches 90% of U.S. households, advertisers can create more targeted and effective campaigns.
“Full-funnel campaigns are the simplest way to grow brand awareness, attract new customers and drive conversions,” said Paul Kotas, Senior Vice President of Amazon Ads. “We’re excited about what’s possible when you combine Amazon’s supply and signals with the capabilities of AI.”
Supporting these campaigns is Ads Agent, a new AI assistant that helps advertisers plan, launch, and optimize their efforts. It handles traditionally time-consuming tasks like media planning, targeting, and data analysis.
Another innovation is Creative Agent, which now enables the creation of streaming TV ads. This tool, combined with the revamped Campaign Manager, embodies Amazon’s vision of automating low-value tasks so marketers can focus on strategy, creativity, and measurement.
Tangible Results Through Intelligent Advertising
Amazon is also enhancing its existing Brand+ and Performance+ tools with advanced AI models and new tactics. These upgrades are designed to drive measurable outcomes, especially important as marketers face tighter budgets and audience fatigue.
One successful case involved H&R Block, which used Amazon’s data to build seed audiences for targeted retargeting. By deploying Brand+ and Performance+, the company achieved a 144% increase in full-funnel conversion and a 35% drop in cost per acquisition.
“We’re building a one-stop shop, empowering customers to make smarter decisions across the advertising journey,” said Kelly MacLean, Vice President of Engineering, Science and Product for Amazon Ads.
Amazon’s Growing Influence in Streaming TV
A major focus of this year’s UnBoxed was Amazon’s expanding role in the streaming TV landscape. The company revealed that Prime Video now has over 315 million monthly ad-supported viewers, a significant jump from 200 million in April 2024.
Amazon also highlighted its ability to aggregate premium streaming TV and audio inventory through new partnerships and tools. The Inventory Hub now enables advertisers to negotiate both standard and premium streaming TV deals in one place. Additionally, the Complete TV tool — now available to all advertisers — offers advanced planning, management, and optimization features.
“With our AI-powered signals, advertisers can manage and meet upfront commitments across all publishers, combining linear and streaming TV data for a full view of audience overlap,” MacLean explained.
Capitalizing on the Shift to Programmatic
Streaming now accounts for over 44% of total TV viewing in the U.S., surpassing traditional broadcast and cable. Amazon is positioning itself to lead in this space as programmatic buying becomes more prevalent. According to Lauren Bernard, a Principal Technical Product Manager at Amazon Ads, 30% of non-YouTube streaming inventory is now sold programmatically — with 80% of that activated through biddable deals.
“The shift to programmatic is creating a future where advertisers have more flexibility, optimization levers, and control,” Bernard said. However, she acknowledged that challenges remain in streamlining the buying process.
Real-World Success Stories
Amazon shared several case studies demonstrating the effectiveness of its new tools. One example featured Lay’s, which consolidated ad spend across Prime Video and other streaming platforms using Amazon DSP. The campaign saw a 133% increase in purchase rates, a 79% jump in incremental reach, and a 9% boost in brand awareness — all while saving 3% on media costs.
Another success story came from SharkNinja, which used Amazon’s authenticated reach and DSP to promote its Ninja Crispi air fryer. The results included a 30% reduction in cost per weekly household reach and a 12% lower CPM.
“We needed precision and efficiency in the market,” said Dave Kersey, Global Head of Media at SharkNinja. “These results prove that leveraging the right signals and partners delivers both cost savings and business impact.”
This article is inspired by content from Original Source. It has been rephrased for originality. Images are credited to the original source.