Amazon Marketing Cloud: Defining Amazon Advertising in 2026

BLOG: Advertising

5 Min Read | JAnuary, 2026 | BY Lukas Helmers

From Beta to Backbone: The AMC Evolution (2021–2026)

Everyone keeps talking about Amazon Marketing Cloud (AMC) and how critical it will be in 2026. Still, some may find it difficult to pinpoint exactly what it does.

That is exactly why we decided to take a closer look. We believe that in 2026, understanding what AMC really is, why it matters, and how you can use it will be inevitable. It can help you make smarter media investments and gain a better understanding of your customers.

To kick off the series, a general overview of the topic can be found here. By the end of this series, we hope you’ll be heading into 2026 equipped with practical insights and the confidence to use AMC to your advantage.

Unlocking AMC: What It Is and Why It Matters for Your Brand

Let’s start by adding to what you already know from the AMC Overview: Amazon operates both 1P (first-party/vendor) and 2P models, alongside the 3P (seller) marketplace. In the 1P and 2P vendor setup, you sell your products directly to Amazon, and they handle pricing, fulfilment, and sales.

But here’s the catch: before AMC, Amazon kept most customer data to itself, preventing any direct relationship between vendors and their customers. Vendors could access only basic reports on sales, returns, and advertising performance, yet they lacked the ability to connect data across touchpoints or truly understand customer behaviour. In essence, Amazon owned the relationship.

That changed in 2021, when Amazon introduced Amazon Marketing Cloud (AMC) in beta. Instead of relying on standard campaign-level reporting, brands gained access to a clean room environment where advertising and shopping signals can be analysed through query-based logic. AMC makes it possible to evaluate customer journeys across Amazon touchpoints using pseudonymized identifiers and aggregated outputs, ensuring privacy safeguards remain intact.

We recognized early on that this infrastructure would become central to measurement and optimization on Amazon, which is why we have been working with AMC since its beta phase.

AMC Has Been Around Since 2021 - Why Does It Matter Now?

Amazon doesn’t stand still, so it’s worth asking why a topic from years ago is suddenly getting so much attention. To understand why Amazon Marketing Cloud (AMC) matters so much today, it helps to look at where it began and how it has evolved. The timeline below highlights the key milestones that have brought AMC to where it is now.

AMC started as a highly technical tool built for data engineers, not marketers.
Access was mostly limited to large agencies and enterprise brands that could handle its SQL-based setup.
Amazon now integrates AMC insights directly into DSP, Sponsored Ads, Ad Server, and Retail Analytics.
This makes it easier than ever to use data for smarter budget decisions and more holistic media planning.

A New Foundation for Measurement on Amazon

This evolution comes at the perfect time. With third-party cookies disappearing, the backbone of traditional retargeting and cross-channel attribution is breaking away. Tracking performance has become increasingly difficult.

AMC now functions as a privacy-safe clean room.
Advertisers can run query-based analyses across pseudonymized, event-level data.
Outputs are restricted to aggregated results and must meet minimum reporting thresholds.
This enables advanced measurement, including path-to-purchase sequencing (e.g., DSP → Sponsored Products → Purchase).
It also supports exposure cohort comparisons (ad-exposed vs. non-exposed conversion behaviour).
AMC enables repeat-purchase window analysis over flexible timeframes, ranging from short windows such as 30/60/90 days to much longer periods (e.g., up to 365 days or more) by acquisition source.
Instead of providing customer-level access, AMC helps quantify patterns across journeys while protecting individual shopper identities.

In short, AMC has grown from a tool for data experts into Amazon’s core system for marketing intelligence. In a post-cookie world, it is more relevant than ever. While it offers many powerful capabilities, it also has certain limitations. Nevertheless, when implemented and used properly, it provides a solid foundation for data-driven decision-making and privacy-compliant measurement across Amazon’s ecosystem.

Looking Ahead: AMC in 2026 and Beyond

In 2026, AMC will become the backbone of Amazon Advertising. Here’s what to expect:

CLTV-driven planning will join ROAS as the core KPI.

AI and automation will optimize campaigns in real time using AMC data.

First-party data collaboration and clean rooms will be standard practice.

All ad products (Sponsored, DSP, Ad Server) will connect through AMC.

This means that if brands don’t adjust soon, they’ll fall behind.

The Bottom Line: The Sooner You Integrate AMC Into Your Strategy, the Greater Your Competitive Advantage

At CATAPULT and Front Row, we’re already seeing that brands that actively work with AMC and integrate it into their advertising strategies can unlock meaningful performance improvements. They use AMC insights to optimize investments, better understand audience behavior, and make more informed decisions across the funnel.

By combining our CATAPULT AMC Report, the consulting expertise of Front Row’s AMC specialists, and early access to beta releases, we support brands in building a deeper understanding of AMC’s capabilities and limitations. This helps translate complex data into actionable insights and identify the most relevant opportunities across the customer journey. Together, analytics and hands-on consulting ensure that insights from AMC can be turned into practical, measurable actions.

This was just the starting point for understanding AMC. Stay tuned for more on customer lifetime value and how it can reshape the way brands measure and grow performance on Amazon.

About the author

Lukas Helmers

Lukas joined Front Row in 2016 and is an Amazon advertising and e-commerce expert, currently serving as Principal Performance Marketing Manager & Growth Lead. He leads high-impact Amazon and multi-channel advertising initiatives, driving ROI and enabling brands to scale through smarter use of data.