Key points
- Amazon reported Q3 net sales of $201.9 billion, up 12%, with ad revenue of about $19.6 billion; Digiday puts ad growth at 12%, Adweek at 11%.
- Amazon guided to high-teens year-over-year ad revenue growth for Q4 2026 and promoted its new Amazon Ads Agent, shown at unBoxed last month.
- Amazon says beta tests of Full-Funnel Campaigns beat manual setups on long-term return and new-customer cost; the figures come from Amazon, not independent testing.
- Amazon is still working on explaining agent recommendations and did not commit to detailing how Sponsored Products auction prices are set.
Why it matters for marketers: Amazon is moving campaign planning and optimization into one AI-run tool, so advertisers gain simplicity but need their own incrementality tests to check results Amazon reports itself.
Amazon reported third-quarter net sales of $201.9 billion, up 12%, and ad revenue of roughly $19.6 billion. Adweek lists ad growth at 11% year over year, while Digiday says 12%. Trailing 12-month ad revenue stands at $78 billion, per Adweek. Digiday notes ad revenue slipped slightly from Q2, though Prime Day landing in Q2 this year muddies that comparison.
Amazon expects ad revenue growth in the high teens in the fourth quarter, and its filing pointed to Amazon Ads Agent as a growth driver. The tool, introduced at unBoxed, folds sponsored ads, display, video and audio buying into one place. Advertisers can use plain-language prompts to plan campaigns, create assets, adjust budgets and review results. Amazon says its own beta tests show Full-Funnel Campaigns outperforming manually built ones on long-term return and on the cost of landing new-to-brand shoppers.
For marketers, the appeal is less manual work and easier access to programmatic buying for teams without specialists. The tradeoff is visibility. Amazon executives say advertisers keep control over budgets, creative approval and, in advanced settings, bidding and targeting. They also concede that Full-Funnel Campaigns do not let buyers pick channels or audiences, and that explanations for agent decisions are still in development.
Outside voices urge caution. Alex Brownstein of AHB Advisors recommends advertisers rely on their own customer data and independent incrementality tests. Jay Mandel of the Marketing Accountability Council asked whose interests an agent serves if goals diverge. Amazon also faces an FTC and state lawsuit over its ad auctions, which it disputes and which remains unproven. Watch for what reporting and audit tools Amazon adds, and ask for them before shifting budget.
Sources
This brief is our own summary. Read the full reporting at the source.
