Amazon Prime Video Advertising: Ad Formats & Best Practices
Amazon shook up the ad world in 2024 when it launched ads for all Prime Video users. That single move created the world’s largest ad-supported streaming service overnight, netting the company $1.8 billion over the course of that year.
Advertisers eagerly embraced the platform, drawn in by its competitive CPMs and powerful targeting capabilities. In under two years, Prime Video’s ad share was already rivaling that of streaming veterans like Roku.
But Amazon isn’t content to rest on their laurels. At Amazon Upfront 2025, they announced a massive expansion of the ad tier, taking it global. They also expanded the types of ad formats available, moving into dynamic formats like AI-powered pause ads and enhanced shoppable ads.
With so many exciting developments, advertisers are wondering how to get in on the ground floor – and we’ll help you do exactly that.
What are Prime Video ads?
Prime Video ads are digital advertisements that appear on both Amazon Original and certain third party video content. As of 2025, most video ad options are preroll (appearing before the selected content), with some midroll ads appearing at intervals during the selected content. These video ads can appear not only on Prime Video, but also Twitch, FireTV, IMDb, Amazon.com, live sports like Thursday Night Football as well as Amazon’s 3rd party app inventory.
Amazon has also debuted AI-powered streaming ad formats on the Prime Video platform itself, including pause ads that connect contextually to the scenes being watched. It’s worth noting that ad formats within the Prime Video platform (and other owned properties) can go beyond just video. Currently, they include shoppable ads, carousels, program sponsorships, and ingame ads.
Who is eligible to buy Prime Video Ads?
Prime Video ads are available for purchase by eligible brands, sellers, vendors and agencies. Businesses do not need to sell products on Amazon in order to buy Prime Video ads. As of now, ads in Prime Video content have been introduced in the U.S., the U.K., Germany, Austria, Canada, France, Italy, Spain, Mexico, and Australia.
Who can I reach with Prime Video Ads?
Amazon’s Prime Video audience is massive and varied, with 200 million subscribers globally and over 130 million users in the United States alone. 80% of those, or about 104 million users, are within its ad-supported tier. This means you can reach almost any demographic in the USA – although Amazon has noted that their reach to young, rural, and/or low-income Americans is an area for improvement.
Their slate of programming, already containing massive hits like The Boys and The Marvelous Ms. Maisel, is set to expand massively in scope. Over 20 new shows were announced at the 2025 Upfronts, as well as a slate of movies, both of which will feature A-list names like Michael B. Jordan and John Cena. They also highlighted their commitment to female-driven storytelling and their year-round sports offerings. A new 11-year global media rights deal with the NBA was announced, which will give Prime Video exclusive coverage of 66 regular-season games, as well as exclusive coverage of select 2025 Nascar series, as well as WNBA and NWSL games.
Amazon’s suite of internal technology combined with the digital nature of this advertising medium means marketers who advertise on the Prime Video platform have access to a large amount of data and insights. That suite of tech includes tools like Amazon Marketing Cloud (AMC), to assist with ad targeting and measurement. It also works well with third-party measurement tools. They also offer real-time reporting, enabling marketers to make quick pivots in their strategies. Amazon’s wealth of consumer data enables Amazon to use first-person real-time shopping signals to target streaming TV ads.
How Can Marketers Use Amazon Prime Video’s Ad Formats?
Amazon has a plethora of formats to choose from, depending on marketers’ campaign needs, budget and desired audience demographics.
In-Stream Ads
In-Stream Ads play during, before or after video content on Prime Video and Amazon’s third-party platforms, like Twitch. These are perfect for delivering high-impact messages. In-stream ads are non-skippable, positioned during entertainment, and the viewer is already engaged.
When it comes to best practices, start by keeping your video ad under 30 seconds. This ensures both continued audience attention and compatibility with Amazon’s ad placement. A great example of in-stream ads is Poppi. Non-interactive Streaming TV advertisements are presented in environments where clicking is not possible. Therefore, these ads should not incorporate clickable calls to action, such as button-shaped elements with text like “learn more.”
Interactive Video Ads
Interactive video ads, a variation of in-stream ads, offer a dynamic experience similar to traditional video ads but with added user engagement. They feature clickable hotspots or branching narratives, empowering users to customize their viewing journey. For example, users can click a button for more information on a product feature or choose from various product options to explore their preferred selection.
This type of ad must drive to an app or page that complies with Amazon specs and policies and drive to a site, mobile app, or app store that is mobile-optimized. They must not obstruct text or primary content, or obstruct entire visuals of the primary product shot or primary logo being advertised.
Display Ads
Display ads allow marketers to connect with audiences as they browse Prime Video content, prior to selecting their entertainment. There are four types of Prime Video Display Ads.
- The first is Feature Rotator, a carousel-style ad placement that is the most visible element of the Prime Video app’s UI, appearing above the fold of the screen.
- The second, Sponsored Tiles, are ad placements within a row of tiles. When the ad tile is highlighted, its mini-details page becomes visible.
- The third type of display ad, Sponsored Channels, are ads that appear in users ‘My Subscription’ row on the Prime Video homepage.
- The final type of display ad appears on the Profile Page, the first screen users see when they open the Prime Video app. This type can support multiple pieces of content.
Interactive Gaming Ads
Interactive gaming ads are an immersive format that allow viewers to engage directly with a brand or product through interactive elements, such as playing a mini-game or scanning a QR code, without leaving their streaming experience. Their playability makes them attention-capturing, leading to higher user engagement.
Shoppable Ads
Prime Video offers shoppable carousel ads, allowing customers to browse and purchase multiple related products directly from Amazon during ad breaks. Using most living-room remotes, customers can explore a sliding lineup of products and add them to their cart. The ad experience is seamless: the video automatically pauses for browsing and resumes play once the interaction stops.
A recent development in shoppable ads is the inclusion of real-time Amazon store information, including product details, pricing, available inventory, shipping information, reviews and more. For brands that don’t sell their products on Amazon, the company announced new interactive CTAs like “get a quote” or “book an appointment”.
In-Content Sponsorships
Amazon Prime Video offers diverse advertising opportunities, including in-service ads, content sponsorships like Thursday Night Football (TNF), and brand collaborations for holiday programming. Advertisers can directly promote on the Prime Video homepage through “Sponsored Tiles” and “Sponsored Channels” to boost subscriptions and awareness. Additionally, brands can expand their reach by sponsoring the #9 NASCAR car, linking their brand to live sports.
Amazon Prime Video Strategy
Before you start investing in Amazon Prime Video ads, there are a couple best practices to follow. Prime Video offers best-in-class targeting options, in-depth measurement, and excellent media buying capabilities, although they can be quite complex for the uninitiated. Familiarizing yourself with the basics will help you reduce ad waste and get on the path to growth from the outset.
Audience Targeting Best Practices
Amazon Prime Video plans to leverage its vast data ecosystem to deliver targeted advertisements, ensuring that users receive content that aligns with their interests. This personalized approach not only enhances the overall viewing experience but also creates a win-win scenario for both users and advertisers. Users may find value in ads that are relevant to their preferences, while advertisers can reach a more engaged and receptive audience.
Amazon advertising offers both automatic and manual targeting options to control ad placement. Automatic targeting utilizes Amazon’s algorithm to match products with relevant search terms and ASINs. Conversely, manual targeting provides the flexibility to select specific keywords and product targets. Additionally, negative targeting, through negative keywords and product targeting, allows advertisers to exclude irrelevant search terms or product pages, thereby preventing misdirected ad placements and optimizing return on ad spend.
We recommend a manual setup that utilizes negative keywords strategically, but enacting this at scale can be challenging. We also recommend setting goals ahead of time, since this is vital to targeting the right group in the right way. Do you want to boost awareness in a certain demographic? Do you want to focus on the people who are most likely to buy today?
Media Buying Best Practices
Marketers need to choose the best performing placements for their products. To do this, analyze the Ad Placement Report in Amazon Seller Central. This report helps identify top-performing media buys for your products and audience.
Marketers also need to ensure they’re optimizing their bids. A bid is the maximum amount you’re willing to spend for a customer to click on your ad. This can be done through a dynamic bidding strategy, such as “Dynamic bids – up and down” or “Dynamic bids – down only,” which lets AMC adjust bids based on conversion likelihood. You can also opt for “Fixed bids” for manual control. Marketers might also consider dayparting bids: by bidding higher during peak shopping hours and lower or pausing campaigns during off-peak times, you can optimize ad spend and focus on the most profitable hours for their products.
Bliss Point By Tinuiti can help you easily understand how each dollar of ad spend turns into profit. If you’re constantly fine tuning your targeting and focusing on great measurement and reporting, the ad buying will improve in turn. Be aware of seasonal trends (peak seasons, low seasons, seasonality of your product, etc) and how that can temporarily affect your results.
Striking the right balance between ads and content is crucial for user satisfaction. Amazon Prime Video’s limited ads model aims to maintain a reasonable ad frequency, preventing an overwhelming or disruptive viewing experience. This delicate balance ensures that users can enjoy their favorite shows and movies without feeling bombarded by advertisements.
Measurement Best Practices
Amazon Ads has a great set of measurement tools, both their own and through third parties, that are extremely thorough and useful. For streaming, Amazon Ads offers their own options like Amazon Brand Lift, plus support from reliable third-party providers such as Nielsen, Lucid, Innovid, and Kantar. These tools help you understand reach and frequency, measure brand lift, and track in-app conversions, all while keeping your campaign goals in mind.
Amazon Marketing Cloud helps advertisers get a full picture of how their Amazon Ads campaigns are doing. It’s a great platform for measuring campaigns holistically, with features like media mix analysis, audience insights, journey assessment, custom attribution, and checking out the omnichannel impact.
Creative Best Practices
Best practices dictate that videos remain under 30 seconds. A short amount of text should be used to reinforce key messages and reach people who are on mute. Boldness, visually and in your copy, is key in helping your message stand out. Keep in mind that Amazon Prime Video ads should demand more production budget than an Instagram or YouTube ad due to the reputation of the platform’s high resolution HD assets.
Brands also must follow Amazon’s creative guidelines to get published in the first place. We’re biased, but we recommend pairing up with a creative agency to make the most impactful creative while staying compliant. If you choose to go it alone, Amazon does have some tools to make coloring inside the lines a bit easier.
Conclusion
Amazon Prime Video offers marketers a powerful and far-reaching advertising platform. With a vast global audience, diverse ad formats (including cutting-edge AI-powered and shoppable options), and robust targeting and measurement features via tools like Amazon Marketing Cloud, Prime Video enables highly effective and data-driven campaigns. By following creative best practices, refining ad buying strategies, and utilizing Amazon’s extensive measurement tools, marketers can engage with active viewers, boost conversions, and meet their advertising goals within this expanding streaming environment.
Want to learn more?
Read more about the latest trends and big shifts happening across Amazon Ads and digital advertising as a whole in our Q2 2025 Benchmark Report.
Frequently Asked Questions
What is the maximum duration of Prime Video Ads?
The maximum duration of ads varies geographically. In the United States, it’s 60 seconds, though that may also vary across third party apps like Twitch, where the maximum duration is 30 seconds.
Where Can I Buy Amazon Prime Video Ads?
Prime Video Ads are available through Amazon DSP in both Managed Service and Self Service options. Managed service means that Amazon’s dedicated ads team handles strategy, setup, launch and continued monitoring. It’s the more expensive option and requires more extensive knowledge whereas self-service ads are created, set up and managed by the advertiser, who will sign up for an account through DSP. Though this option is slightly cheaper, it can be tough to understand the full capabilities of the platform without specialised knowledge. Another option is to use Self Service and partner with an agency, which can offer the best of both worlds.
Why did Amazon Introduce Ads on Prime Video?
Consumer behavior in the digital era is constantly evolving, and streaming services must adapt to stay relevant. Amazon’s decision to incorporate limited ads reflects a nuanced understanding of market trends and user expectations. As streaming platforms navigate the ever-changing landscape, flexibility and responsiveness to user needs become key factors for success.
With this strategic shift, Amazon Prime Video positions itself as a more versatile player in the competitive streaming landscape. By offering a choice between ad-supported and ad-free plans, the platform appeals to a wider audience with varying preferences and budget constraints. This competitive advantage may prompt other streaming services to reconsider their own monetization strategies.