Amazon Tests Intrusive Mobile Pop-ups for Private Label Products
Amazon has been conducting speed tests on its app, displaying product details and a purchase button. The company has not revealed which team conducted the test, but it has confirmed that the pop-ups interrupted the buy box option and required user action to dismiss.
The speed test involved showing Amazon's private label products in pop-up windows when customers viewed similar items. The company disputes the term 'ads', claiming it was a small speedtest not developed by the advertising team. The pop-ups appeared when shoppers clicked on certain product listings, requiring dismissal before completing the purchase.
Experts in e-commerce note that this experiment goes beyond traditional side-by-side merchandising of private label goods. The speed test has implications for Amazon's advertising business, which is a fast-growing source of revenue. In the fourth quarter, Amazon's net sales rose 20%, with services sales, including advertising, outpacing product sales growth.
Amazon's mobile pop-up speed test has raised questions about the future of advertising on the platform. While the company disputes the term 'ads', the experiment has implications for its advertising business. The speed test comes as Amazon's services sales, including advertising, continue to grow at a faster pace than product sales.
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