How to make sure you’re not over-spending on ads in 2018
By Recode Staff | Dec 11, 2018 10:37:22Tucson, Ariz.
(Reuters) – An ad-free site that’s being used by many consumers to search for books on Amazon is no longer available for sale, according to a post on its website that describes the company’s decision to close down its free service.
Free Book Search, which launched in March, offered an ad-supported option to users who were looking for books that were priced under $2.99 on Amazon.com.
The company did not immediately respond to a request for comment on Wednesday.
The company had estimated that its revenue would drop by $1 million to $7 million this year, according a post from CEO Dan Schulz on the company website.
Schulz, who founded the free search service in 2014, said the company has spent $2 million on advertising this year and expects to spend another $2-3 million in 2017.
Schutz has said he believes Amazon will soon have an app that allows users to search their local area and to buy books through the site.
Amazon said it’s “working closely with Google to ensure that our ads work across all devices and platforms.”
The site was one of the first to allow users to subscribe to paid ads on its free services.
Amazon’s decision comes a day after the New York Times published a report that said some users of the company-owned app were spending a total of $9,000 per month on ads, or about a third of the average American household.
Schultz said in a statement on Wednesday that Free Book Search will continue to offer ad-based options in the future, but said that the company is focusing on ways to reduce the amount of advertising in its products.
The Times report was based on data from an anonymous online ad agency that was purchased by the newspaper.
The report said the agency’s figures included advertising that appeared to come from Amazon itself.
Amazon declined to comment.
Schulz said Free Book Searches revenue has grown at an annualized rate of more than 15 percent since launching the service in March.
He said he expects the company will see a return on investment from its ad revenue by 2020.
Schutts comments came as several publishers said they will stop using Free BookSearch and other ads on their sites.
Some publishers have said that Amazon’s decision was a win for publishers as they have had to turn away more advertisers.
The publishers include:Alfred A. KnopfPublishers GroupPublishers Worldwide IncPublishers of AmericaPublishers United Publishers AssociationPublishers Publishing AssociationPublisherSprintPublishersUSAPublishers InternationalPublishers MagazinePublishers TimesPublishers WorldPublishers Publisher’s WorldNewsDigital Press Publishers GroupPublisherDigital Publishing GroupPublisher Digital Publishing Group Publishers GroupPublications American Publishers Publishing AssociationPublications Association for the Study of Popular Culture (PSPAC)Publishing Trade AssociationPublisher Publishing Association Publishers Association Publishers United Publishers United Publisher Publishing Association Publishing Association Publications Publishing Association for American PublishersPublications Publishing Agency for the Promotion of Free and Open Access to Literature and Other Subjects of Interest Publishers Association for Promotion of Research in Literature, Art and Culture Publishers Association of the World Federation Publishers Association International Publishers Association