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- 🌀 Instagram dominates social ad space 👑
🌀 Instagram dominates social ad space 👑
Plus: Value of Customer Reviews 🌟
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Welcome to MarketMaze, the #1 newsletter for staying on top of the latest in Ecommerce & Marketplaces. Get all the insights you need in just 5 minutes!
🧠 Big Story:
Instagram dominates social ad space 👑
📊 Key Data:
Value of Customer Reviews 🌟
📖 Ecommerce ecosystem news:
🇺🇸 Temu pilots ads to challenge Amazon dominance
🇺🇸 Microsoft launches Curate for Commerce & Sponsored Ads
🇺🇸 Amazon Ads unveils AI-powered SQL generator for AMC
🇺🇸 Mediaocean drives AI & automation in marketing
🇺🇸 Omnicom gains 5 years of Amazon search data
🇺🇸 Amazon ads now track Walmart sales
+ over 15 other handpicked hot news from the last week you need to know 🔥
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📚Sources: reuters.com
Instagram’s $71B revenue leads social platforms, beating YouTube and TikTok. By 2025, it will drive 50% of Meta’s US ad revenue, powered by Reels.
📊 Different Players
Instagram led 2024 with $71B in ad revenue, topping rivals.
YouTube came second with $34B, steady but far behind Instagram.
TikTok grew to $17B, gaining traction but missing Instagram’s scale.
Snapchat stagnated at $6B, while Pinterest earned just $3B.
Meta dominates social ads, with Instagram its crown jewel.
💰 US Instagram
Instagram’s US ad revenue will hit $32B in 2025.
This represents a 24.4% growth over 2024, per eMarketer.
Reels is the fastest-growing ad format, driving this surge.
By 2025, Instagram will account for 50.3% of Meta’s US revenue.A TikTok ban could boost Instagram further, capturing 20% of ad spend.
📈 Revenue Per User
Instagram leads US platforms with $250 per user by 2025.
Facebook trails with $207, despite its larger user base.
TikTok comes third, generating $132 per user, far behind Instagram.
YouTube lags at $40 per user, with Snapchat at $25.
Meta leverages AI to optimize Instagram ads and drive revenue growth.
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Value of Customer Reviews 🌟
📚Sources: profitero.com
Products moving from low to medium review velocity see a 21% uplift, while medium to high drives 29%. 4-star ratings dominate Amazon’s 98% sales share.
🚀 Review growth = more sales
Profitero's latest research proves review velocity drives sales.
Products jumping from low to medium review growth saw a 21% uplift.
Going from medium to high growth further increased sales by 29%.
Yet, 32% of products studied stayed stuck at low growth rates.
Benchmarks and active strategies are key to staying competitive.
🛒 Quick reviews win visibility
Fast reviews are game changers for new launches on Amazon.
Products gaining 50 reviews in under 2 months saw an 86% sales boost.
These products also jumped 5 spots in organic ranking.
Slow movers gained only 3 spots, limiting page 1 visibility.
Sampling campaigns and genuine review tactics speed up this process.
⭐ 4-star products dominate
Ratings matter just as much as review speed.
Products with 4+ stars account for 98% of Amazon's sales.
Moving from below 4 to 4+ stars increases sales by 16%.
Monitoring and managing negative reviews protects your star rating.
Ratings + reviews = trust, boosting conversions and organic placement.
This isn’t traditional business news
Welcome to Morning Brew—the free newsletter designed to keep you in the know on the business news impacting your career, company, and life—in a way you didn’t know you needed.
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P.S. Each news title is a link to a larger briefing!
📣Marketing in Ecommerce
🇺🇸 Temu pilots ads to challenge Amazon dominance. Temu starts paid search ads for merchants in the US to boost sales. The move counters rising tariffs and creates a new revenue stream, like Amazon.
🇺🇸 Microsoft launches Curate for Commerce & Sponsored Ads. Microsoft Advertising introduces tools to help brands & retailers monetize first-party data, simplify operations, and boost revenue with minimal effort.
🇺🇸 Amazon Ads unveils AI-powered SQL generator for AMC. At CES 2025, Amazon Ads launched a generative AI tool for AMC. It simplifies SQL query creation, saving advertisers hours & boosting campaign innovation.
🇺🇸 Mediaocean drives AI & automation in marketing. Mediaocean's 2025 report reveals generative AI as a key trend, 68% ad spending boost in social media, and a 17% automation uptick. It guides brands in a tech-driven era.
🇺🇸 Omnicom gains 5 years of Amazon search data. Omnicom Media Group & Amazon partner to unlock 5 years of search data. Flywheel clients access insights to refine strategies & track consumer trends globally.
🇺🇸 Amazon ads now track Walmart sales. Marketers can now see if Amazon ads drive Walmart sales, thanks to a Stackline-Gigi partnership. With $60B at stake in retail media, this could shift strategies.
🇺🇸 Stackless Data launches profit-first platform. Stackless Data unveiled a game-changing tool for e-commerce. It focuses on profitability metrics like LTV and CAC to maximize long-term growth and ROI.
🇺🇸 Microsoft Clarity unveils Google Ads integration.. Advertisers now see real-time user engagement metrics, bridging ad spend and user behavior insights to optimize campaigns and improve ROI.
🛠️Tools for Ecommerce
🇺🇸 Klarna partners with Stripe to double reach. Klarna’s partnership with Stripe has doubled new merchants in Q4 2024. Stripe businesses in 25 countries can now offer Klarna’s BNPL, driving conversions by 14%.
🇺🇸 Salesforce unveils Agentforce to revolutionize retail. Agentforce boosts productivity with AI agents managing orders, appointments, and loyalty. Retail Cloud unifies POS, inventory, and customer data for seamless shopping.
🇺🇸 Algolia launches AI-powered Shopping Guides. Algolia's new Shopping Guides use Generative AI to create educational content that simplifies shopping. Merchants gain tools to boost customer engagement and reduce returns.
🇺🇸 Rokt invests $300M in mParticle for real-time relevance. Rokt's $300M investment in mParticle merges ecommerce and customer data expertise. The partnership promises 50% better results, protecting first-party data assets.
🇺🇸 BigCommerce launches Catalyst for effortless storefronts. BigCommerce's Catalyst simplifies launching high-performance stores with one click. Marketers and developers gain flexibility without technical hurdles.
🇺🇸 Passport acquires Brand Access to expand global solutions. Passport's acquisition of Brand Access integrates localized operations with cross-border logistics, empowering brands like Ridge and HexClad to expand globally.
🇺🇸 commercetools launches InStore for unified retail growth. commercetools unveils InStore, merging online & offline commerce. Retailers like Jaycar & Screwfix benefit from seamless operations & rapid innovation.
🚚 Ecommerce Logistics
🇺🇸 DHL expands with 14 new return centers. DHL Supply Chain boosts reverse logistics with its latest acquisition of Inmar Supply Chain Solutions, adding 14 return centers and 800 associates.
🇬🇧 InPost invests $725M in UK logistics expansion. The company plans $1.2B investments in the UK by 2029, aiming to revolutionize e-commerce logistics with 12K new jobs and a 50% Paczkomat network expansion in 2025.
🇿🇦 FedEx launches FICP in South Africa for e-commerce. FedEx introduced International Connect Plus (FICP) in South Africa, offering cost-effective shipping for packages up to 20kg. Delivery is promised in 3-4 business days.
🇪🇸 CEVA Logistics opens a new hub in Tarragona. CEVA’s 18,000 sqm Tarragona facility boosts Iberian operations. The site highlights sustainability, efficiency, and scalability to meet rising logistics demand.
🇺🇦 Temu partners with Ukrposhta for faster delivery. The partnership ensures 80% of parcels arrive in 3 days. Ukrposhta handled 1.5M Temu parcels in trials, reflecting demand for fast shipping in Ukraine.
🇨🇳 Cainiao shifts focus to logistics with restructuring. Cainiao transfers e-commerce duties to Alibaba, realigns teams, and attracts new clients. Global operations now drive over 50% of revenue growth.
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