Roku Stock Jumps After Amazon Ads Partnership, Retail Joins The Party
Synopsis
The arrangement will offer exclusive access to 80 million U.S. CTV households via Amazon DSP, enabling advertisers to improve reach, targeting accuracy, and reduce ad repetition significantly.
Shares of Roku Inc.(ROKU) jumped over 9% in Monday’s premarket after the company joined hands with Amazon Ads to give marketers exclusive access to the largest authenticated Connected TV (CTV) audience in the U.S., solely through Amazon's Demand-Side Platform (DSP).
Amazon's DSP will now be the single pathway for advertisers to tap into a logged-in CTV audience estimated at 80 million U.S. households.
The collaboration uses Amazon’s identity-matching technology to recognize viewers across devices running Roku OS.
Advertisers using this system during early tests saw a 40% boost in unique viewer reach without increasing budgets.
Ad repetition was also reduced by nearly 30%, boosting ad efficiency and viewer experience.
By pairing Amazon’s deep insight into customer behavior, spanning shopping, content consumption, and browsing habits, with Roku’s reach across top streaming apps like The Roku Channel, Prime Video, and third-party platforms, advertisers now have more refined targeting capabilities.
The integration also supports platforms such as Disney, Paramount, Tubi, FOX Corporation, and Warner Bros. Discovery.
“By combining our technologies, advertisers can now drive full-funnel campaign outcomes—from awareness through conversion—while eliminating media waste across Amazon and Roku streaming audiences,” said Senior Vice President, Amazon Ads, Paul Kotas.
Advertisers can now connect ad exposure to actual outcomes, such as purchases, more precisely than before. Frequency control ensures users aren't bombarded with the same ad, improving ROI and viewer satisfaction.
This exclusive arrangement gives Amazon DSP a significant edge in the CTV ad ecosystem and complements Roku's strategy of offering flexible options through both direct and programmatic partnerships.
The full rollout is expected by the fourth quarter of 2025.
On Stocktwits, retail sentiment toward Roku remained in ‘extremely bullish’ territory.
Roku stock has gained only 0.1% in 2025 and over 37% in the last 12 months.
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