{"id":1300575,"date":"2025-09-23T08:18:15","date_gmt":"2025-09-23T02:48:15","guid":{"rendered":"https:\/\/trak.in\/stories\/?p=1300575"},"modified":"2025-09-23T08:18:58","modified_gmt":"2025-09-23T02:48:58","slug":"amazon-india-earned-more-from-ads-than-selling-products","status":"publish","type":"post","link":"https:\/\/trak.in\/stories\/amazon-india-earned-more-from-ads-than-selling-products\/","title":{"rendered":"Amazon India Earned More From Ads, Than Selling Products"},"content":{"rendered":"\n<p>Amazon India\u2019s ad revenues have already overtaken its e-commerce earnings, and with the rollout of its quick commerce arm Amazon Now, the company is opening new spaces for advertisers.<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"576\" src=\"https:\/\/trak.in\/stories\/wp-content\/uploads\/2025\/09\/AmazonNow-Banner-1280x720-1-1024x576.jpg\" alt=\"Amazon India Earned More From Ads, Than Selling Products \" class=\"wp-image-1300581\" srcset=\"https:\/\/trak.in\/stories\/wp-content\/uploads\/2025\/09\/AmazonNow-Banner-1280x720-1-1024x576.jpg 1024w, https:\/\/trak.in\/stories\/wp-content\/uploads\/2025\/09\/AmazonNow-Banner-1280x720-1-300x169.jpg 300w, https:\/\/trak.in\/stories\/wp-content\/uploads\/2025\/09\/AmazonNow-Banner-1280x720-1-768x432.jpg 768w, https:\/\/trak.in\/stories\/wp-content\/uploads\/2025\/09\/AmazonNow-Banner-1280x720-1.jpg 1280w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n\n\n\n<p>Despite this, Amazon still trails rivals Blinkit, Zepto, and Instamart, which have stronger quick commerce ecosystems.<\/p>\n\n\n\n<p><strong>Amazon India Bets on Quick Commerce to Boost Ad Revenues Beyond E-Commerce<\/strong><\/p>\n\n\n\n<p>In FY25, Amazon India\u2019s advertising and allied services grew 25%, faster than its <a href=\"https:\/\/www.livemint.com\/companies\/amazon-india-online-retail-marketplace-quick-commerce-advertisements-ads-revenue\/amp-11758192324454.html\">marketplace business at 21%<\/a>, as per Tofler data.<\/p>\n\n\n\n<p>The marketplace still dominates, contributing \u20b917,328 crore or 58% of revenue, while ads and logistics added \u20b98,342 crore. Another \u20b94,468 crore came from other services.<\/p>\n\n\n\n<p>Amazon Seller Services\u2019 overall revenue climbed 19% to \u20b930,139 crore in FY25, while losses dropped 89% to \u20b9374.3 crore from \u20b93,469.5 crore in FY24.<\/p>\n\n\n\n<p>Advertising is emerging as a major growth driver, with Amazon Now expected to add more fuel.<\/p>\n\n\n\n<p>Siddharth Jhawar of Moloco said Amazon\u2019s \u201cfull-funnel strategy\u201d across marketplace and Prime Video ensures strong ROI for advertisers, even without quick commerce.<\/p>\n\n\n\n<p>He expects streaming ads to form a growing share, though marketplace ads will still dominate.<\/p>\n\n\n\n<p>On Amazon Now, he observed: \u201cAdvertising requires scale. Right now, Amazon Now is tiny&#8230; But once they expand into a couple of cities and grab at least a double-digit market share, it could convert into meaningful ad dollars.\u201d<\/p>\n\n\n\n<p>Amazon Now, launched in Bengaluru and later in Delhi and Mumbai, promises 10-minute delivery of daily essentials. It has set up about 100 fulfilment centres and plans hundreds more.<\/p>\n\n\n\n<p><strong>Amazon Now Sees 25% Monthly Growth in Orders Across Bengaluru and Delhi<\/strong><\/p>\n\n\n\n<p>Order volumes in Bengaluru and Delhi are reportedly rising 25% month-on-month since launch.<\/p>\n\n\n\n<p>Rivals remain ahead: Blinkit operates 2,000 stores in 100+ cities, Zepto has 1,000 across 40 cities, and Instamart runs 1,021 stores in 100+ cities.<\/p>\n\n\n\n<p>Digital media now makes up over half of India\u2019s ad spend. E-commerce players generated $3 billion in ad revenues in 2024, with Amazon contributing $600 million, or a third of the total.<\/p>\n\n\n\n<p>Flipkart logged \u20b96,317 crore in ad revenues in FY25, up 27% year-on-year.<\/p>\n\n\n\n<p>Analysts see retail media eating into Google and Meta\u2019s share, not competing directly with each other.<\/p>\n\n\n\n<p>Forrester\u2019s Ashutosh Sharma noted Amazon enjoys strong ROI in fashion and electronics, making it indispensable for advertisers.<\/p>\n\n\n\n<p>Quick commerce platforms may eventually see ads surpass core revenue, though Swiggy and Zomato\u2019s ad income remains unclear.<\/p>\n\n\n\n<p>Like its peers, Amazon also introduced a \u20b95 platform fee in May.<\/p>\n\n\n\n<p>Analyst Farheen said: \u201cE-commerce and quick commerce are blurring&#8230; But mimicry doesn\u2019t guarantee differentiation.\u201d She warned that reliance on intrusive ad formats may raise trust concerns long term.<\/p>\n\n\n\n<p>Flipkart currently leads with 34% market share, Amazon follows at 31%, and India\u2019s overall online retail GMV touched $60 billion in 2024, with quick commerce contributing 10%.<\/p>\n\n\n\n<p><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Amazon India\u2019s ad revenues have already overtaken its e-commerce earnings, and with the rollout of its quick commerce arm Amazon Now, the company is opening new spaces for advertisers. Despite this, Amazon still trails rivals Blinkit, Zepto, and Instamart, which have stronger quick commerce ecosystems. Amazon India Bets on Quick Commerce to Boost Ad Revenues [&hellip;]<\/p>\n","protected":false},"author":25,"featured_media":1300581,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[1],"tags":[],"class_list":["post-1300575","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v25.9 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Amazon India Earned More From Ads, Than Selling Products - Trak.in - Indian Business of Tech, Mobile &amp; Startups<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/trak.in\/stories\/amazon-india-earned-more-from-ads-than-selling-products\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Amazon India Earned More From Ads, Than Selling Products - Trak.in - Indian Business of Tech, Mobile &amp; Startups\" \/>\n<meta property=\"og:description\" content=\"Amazon India\u2019s ad revenues have already overtaken its e-commerce earnings, and with the rollout of its quick commerce arm Amazon Now, the company is opening new spaces for advertisers. 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