Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

Amazon could be running a Private Exchange?

Alexa Internet, Inc. is a California-based subsidiary company owned by Amazon.com that is known for its toolbar and Web site.

Back on Apr 11, 2011 in my instablog here the question was asked as to the possibility that Amazon's display advertising team may have begun testing "Re-Targeting" (via, search terms, user intent), with Looksmart.

Instapost: tiny.cc/c2i6o

As the post points out, it was AdExchanger.com's John Ebbert who advised all, that it ....."looks like Amazon has started retargeting" ..... and said that "clearly, the supply source is from Google's DoubleClick Ad Exchange".

He then went on to then ask the question: "Who's doing the bidding for Amazon? It would seem in-house bidding capabilities are likely given the company appears focused on building out a larger display ad, audience buying team."

It came as no surprise when (on June 29th) AdExchanger announced that Triggit is Targeting For Amazon. ("Though Amazon declined to discuss any details [this], Triggit's announcement amounts to the first public confirmation of Amazon's entry into the DSP and ad exchange world as Amazon looks to leverage its advantageous position as a data-driven, e-commerce publisher and target [or, retarget] consumer intent.")

The difference

Looksmart's performance offering to marketers is based on 'user intent' (or, keywords used, keyword phrases) that is being derived from some 3 billion odd search queries generated by users. (Daily)

[HMmm? "we are looking at the IP ...the individual user".. LookSmart's Benoit Vatere ...see below - "Political Data Firms Push Controversial IP Targeting" http://bit.ly/x2Z1I3 ]

This actual keywords/keyword phrases data is being supplied to the Co by the likes of Google, Yahoo and other search engines. Users are then more easily (accurately?) targeted as they land on any content included within the exclusive marketplace.

Looksmart also told of a part of it's customer base as being an offer to be made to:

Direct Advertisers and Agencies

Transaction-based: CPA (Cost-per-acquisition)
Pageview-based: CPV (Cost-per-view)

*********

LookSmartSearch

LookSmartSearch LookSmartSearch

Listen [here] to what LookSmart's Benoit Vatere had to say in an interview with @WebmasterRadio at SES SF: http://bit.ly/pcRKQs

*********

Looksmart's CEO Jean-Yves Dexmier (from within the CC following the Q1 2011 Report), had told the market:

"We are exclusively targeting direct advertisers and their agencies operating outside of the search engines."

Would that now, possibly include Amazon - working in-house?

I feel it's more than likely ...

The AdExchanger Triggit announcement had advised ........ "For Amazon, the display initiative will not just be about remnant retargeting for bottom-of-the-funnel direct response purposes."

Apart from the Clickstream being shown it is some-what of a surprise that (for it's own Alexa.com site), that the following message is showing:

< No data available for alexa.com

Sorry! There is not enough data available to display for this site.>

www.alexa.com/siteinfo/alexa.com

What are the chances that for Amazon (intent data - user/audience) targeting through Looksmart, that's being 're-directed' through their Alexa.com site? It would appear almost impossible that this site (alone) could be providing 'in and out' visits to the 'home of the Looksmart marketplace', of 8.46% & 3.61% respectively. (A few days back.)

*********
Upstream Sites

Which sites did users visit immediately preceding looksmart.com?

% of Unique Visits Upstream Site
23.90%   google.com
8.46%   alexa.com

Downstream Sites

Where do visitors go after leaving looksmart.com?

% of Unique Visits Downstream Site
24.50%   google.com
7.63%   yahoo.com
5.22%   7search.com
4.82%   expedia.com
3.61%   alexa.com
3.61%   baidu.com
3.61%   hellolocal.com
3.61%   lycos.com
3.21%   monstermarketplace.com
2.81%   infolinks.com

www.alexa.com/siteinfo/looksmart.com#

*********
All Things Digital's Peter Kafka writes:

"The e-commerce giant has started what is (he qualifies this), effectively an ad network* ... Amazon has noodled with Web ads in the past, but has confined itself to selling space on Amazon.com and other sites it owns, like IMDB.com. This is the first time it has branched out into ads on third-party sites, and that could be a big deal ..." Read more.

[< Amazon could also be running a "private exchange," if you will, through which DSP tech would target users according to various data points whether on Amazon properties or elsewhere. > - tiny.cc/n2yu1

Amazon's stealthy Adzinia unit-June 2011 - Amazon job board postings. tiny.cc/cnyq3 - view job ]

(Yahoo Finance) Re: Amazon could be running a Private Exchange?

Just some more of my own 'Thinking out loud', as always.

LOOK: On Jan 13: $1.45 0.00 (0.00%)

LC

ps; January 27th ...Amazon noted in Looksmart's ClickSream today.

Upstream Sites

Which sites did users visit immediately preceding looksmart.com?

   
23.91%   google.com
7.14%   7search.com
5.90%   yahoo.com
5.59%   alexa.com
3.73%   50onred.com
3.42%   google.co.uk
3.11%   amazon.com
3.11%   facebook.com
2.80%   microsoft.com
2.48%   marchex.com

Downstream Sites

Where do visitors go after leaving looksmart.com?

% of Unique Visits Downstream Site
26.14%   google.com
8.17%   7search.com
7.19%   yahoo.com
3.92%   expedia.com
3.59%   alexa.com
3.27%   lycos.com
3.27%   monstermarketplace.com
2.94%   blogger.com
2.61%   live.com
2.29%   baidu.com

Disclosure: Long LOOK
.