Amazon's Advertising Revenue Rises to $19.8 Billion in Q2, Up 26%

Amazon recorded advertising revenue of $19.8 billion during the second quarter of 2026, representing a 26% year-over-year growth, solidifying its position as the third-largest digital advertising platform globally after Google and Meta.

This accelerated growth is attributed to Amazon's expansion in ad targeting tools across its comprehensive ecosystem, which extends from its online marketplace to streaming platforms like Prime Video, in addition to a broad network of partner websites.

With advertisers' growing interest in reaching consumers at the intent-to-buy moment, Amazon's ads have come to occupy an increasing share of budgets that traditionally went to Google and Meta.

This development points to the booming global Retail Media sector, an advertising model targeting shoppers on e-commerce platforms rather than search engines, a trend gaining growing momentum in the Gulf region alongside the rapid rise of e-commerce.

What do these terms mean?

Retail Media: An advertising model that enables brands to purchase ad space within e-commerce platforms such as Amazon and Noon, to reach shoppers at the moment they are about to make a purchase.

Annual Growth Rate: An indicator that compares a company's performance in a specific period to the same period of the previous year; a 26% growth in a mature sector like digital advertising is considered an exceptional performance reflecting Amazon's ability to capture market share from competitors.

Advertising Market Share: The percentage a platform holds of total global digital ad spending; with Amazon's rapid growth, it has begun capturing a share of budgets that Google and Meta traditionally dominated.