Amazon Expands Shopping Features on Prime Video

Amazon Expands Shopping Features on Prime Video

Source: Fortune

Summary

Amazon announced a new feature called Shop the Scene for Prime Video, allowing users to shop for products seen in shows or movies through the Amazon Shopping app. The feature is now available on over 600 titles in the U.S. and uses AI to identify items, though matches may not always be exact. The broader Shop the Show experience has expanded to 8,000 titles. Amazon’s vice president of Prime Video shopping, Michelle Rothman, said the feature makes shopping easier for customers. The move is part of a broader trend among streaming services to increase profitability through shoppable content.


Our Reading

The numbers tell one story.

Amazon expands shopping features on Prime Video.

Shop the Scene lets users buy what they see on screen.

The feature uses AI and is available on 600 titles.

Other platforms like Peacock and Disney+ have tried similar tactics.

Streaming services are trying to monetize content in new ways.


Author: Evan Null

Profiting from streaming

Companies like Netflix, Disney, and Peacock have long experimented with ways to make streaming more profitable. They’ve raised subscription prices, cracked down on account sharing, and introduced tiered models and ad-supported options. Amazon’s latest move is the most recent effort to capitalize on the content already capturing people’s attention—and it’s not the first company to try it.

NBC’s Peacock introduced a Must ShopTV feature in 2023, letting users buy products in real time. Disney+ has also experimented with shoppable TV features. Amazon’s move helps its online shopping business expand through its growing Prime Video business. The ad-supported tier now reaches over 315 million people worldwide.

Amazon has tried to intertwine shopping and entertainment for years. It has used virtual product placement technology, or VPP, to insert brands into films and TV shows after production. A YouGov survey found that over half of U.S. adults consider product placement effective, with some taking action after seeing a brand in content.

The feature is part of a larger trend where streaming platforms are looking for new ways to generate revenue. By making it easier for users to shop while watching, Amazon is trying to turn entertainment into a sales channel. This approach could help the company maintain its dominance in both streaming and e-commerce.

As more companies adopt similar strategies, the line between content consumption and shopping is becoming increasingly blurred. Amazon’s latest move reflects a shift in how streaming services are trying to stay competitive in a crowded market.

Amazon’s new feature: Shop the Scene

Amazon’s Shop the Scene feature is designed to make the viewing experience more interactive by allowing users to shop for items they see on screen. The feature is available on the Amazon Shopping app and lets users browse products inspired by what’s shown in the scene they’re watching. It’s meant to provide a seamless way for users to purchase items without leaving the app.

The feature uses AI to identify products, though the match may not always be exact. Amazon said it’s expanding the feature to more than 600 titles in the U.S. The company also introduced a new “shop” tab inside X-Ray, which lets users identify actors or music while watching and then browse related products. Transactions can be completed on a phone.

Amazon is not the first to try this. Peacock and Disney+ have both experimented with shoppable content. The move is part of a broader effort to make streaming more profitable by turning viewers into shoppers. With the ad-supported Prime Video tier now reaching over 315 million people, the company is looking to capitalize on this audience.

The feature is also part of Amazon’s long-term strategy to blend entertainment and e-commerce. It has used virtual product placement technology to insert brands into shows after production. This approach allows advertisers to reach audiences in a more targeted way.

While some users may find the feature useful, others may see it as an interruption. However, with the growing popularity of streaming, Amazon is positioning itself to take advantage of this trend by making shopping more accessible during content consumption.

Streaming and e-commerce convergence

Amazon’s new feature highlights the growing convergence between streaming and e-commerce. As more people spend time watching content online, companies are looking for ways to monetize this behavior. By integrating shopping features into streaming platforms, companies can create new revenue streams and increase user engagement.

The move also reflects a shift in how consumers interact with content. Instead of just watching, they can now shop while they binge. This approach could help companies like Amazon maintain their dominance in both the streaming and retail markets. It also shows how traditional advertising methods are evolving to fit the digital age.

Other platforms have already taken similar steps. Peacock introduced a shoppable feature in 2023, and Disney+ has experimented with QR code-based shopping. Amazon’s approach is more integrated, using AI and in-app shopping to make the experience seamless. This could give it a competitive edge in the streaming space.

The effectiveness of this strategy remains to be seen. While some users may appreciate the convenience, others may find it intrusive. However, with the right execution, it could become a standard feature in streaming services. As more companies adopt similar tactics, the line between entertainment and shopping will continue to blur.

For Amazon, this move is part of a larger strategy to expand its reach and increase customer loyalty. By making it easier for users to shop while they watch, the company is creating a more integrated experience that could drive long-term growth.

Consumer behavior and product placement

Amazon’s new feature is based on the idea that consumers are more likely to purchase products they see in content. This is similar to traditional product placement, where brands pay to have their products featured in shows or movies. However, Amazon’s approach is more direct, allowing users to shop while they watch.

A YouGov survey found that over half of U.S. adults consider product placement effective, with some taking action after seeing a brand in content. This suggests that there is a market for this kind of integration. However, the effectiveness of Amazon’s feature will depend on how well it is executed and how users respond to it.

The feature also raises questions about consumer behavior. Will users take advantage of the convenience, or will they see it as an unnecessary interruption? The answer may vary depending on the type of content and the products being advertised. For example, users may be more likely to shop for clothing or accessories than for other types of products.

Amazon’s approach also highlights the growing influence of AI in the streaming and retail industries. By using machine learning to identify products and suggest related items, the company is creating a more personalized shopping experience. This could help increase user engagement and drive sales.

As more companies adopt similar strategies, the role of AI in shaping consumer behavior will continue to grow. This could lead to more targeted advertising and a more seamless integration of shopping and entertainment. However, it also raises concerns about privacy and the potential for over-commercialization.

Future of shoppable content

The future of shoppable content looks promising, with more companies exploring ways to integrate shopping into streaming platforms. Amazon’s Shop the Scene feature is just one example of how this trend is evolving. As technology improves, we can expect to see more seamless and personalized shopping experiences for users.

Other platforms are also experimenting with similar features. Peacock and Disney+ have already introduced shoppable content, and it’s likely that more companies will follow suit. This could lead to a more competitive market, where companies are constantly innovating to attract and retain users.

However, the success of these features will depend on how well they are received by consumers. While some users may appreciate the convenience, others may find it intrusive. Companies will need to strike a balance between providing value and not disrupting the viewing experience.

As the trend continues, we may see more advanced features, such as augmented reality shopping or voice-activated purchasing. These innovations could further blur the line between entertainment and retail, creating new opportunities for companies to monetize their content.

Ultimately, the future of shoppable content will depend on how well companies can integrate these features into the user experience. If done correctly, it could become a standard feature in streaming platforms, driving both engagement and sales.