Amazon exits Google Shopping ads

Amazon just ghosted Google Shopping—and it didn’t leave a note.

Amazon pulls out of global Google Shopping ads

Between July 21 and July 23, 2025, Amazon yanked its entire ad presence from Google Shopping, dropping from dominant visibility to zero across the US, UK, and Germany. In 48 hours, it went from owning 60% of shopping ad impression share in the US to absolutely nothing.

The move wasn’t just a one-market stunt. Amazon pulled back across 20 global domains, a full-scale retreat confirmed by SMEC’s Mike Ryan, who called it “colossal.” He compared it to Amazon’s dramatic pandemic pullback—and warned it’ll sting both Alphabet’s revenue and brand advertisers who’ve long benefited from Amazon running interference in Shopping auctions.

Cost-per-click just got cheaper—for now

With Amazon out of the auction, operators are already seeing changes:

• Lower CPCs: Across some verticals, early data shows 7–12% drops in cost-per-click.
• More impressions: Retailers are gaining impression share that Amazon used to eat up.
• No more piggybacking: Brands that relied on Amazon’s PLA presence are now flying solo.

Theories flying, strategy unclear

So why now? Nobody outside of Seattle knows for sure—but the speculation is juicy.

• AI data turf war: One theory says Amazon isn’t just pulling ads—it’s pulling data. Amazon may be tired of handing over its rich catalog to fuel Google’s AI engine. After all, Amazon blocked bots and crawlers two weeks ago.
• Negotiation leverage: If you’re sitting on the world’s best retail data, why give it away for free? Some believe Amazon is using this ad freeze as a flex to extract better licensing or data-sharing terms from Google.
• Prime Day hangover: Duane Brown, CEO & Head of Strategy, Take Some Risk, suspects this could be a temporary breather—Amazon catching its breath after Prime Day and reloading for back-to-school season.
• AI search arms race: As search morphs into AI-driven Q&A, Amazon might be ready to build the next front-end—not just bid on the old one.

We may see Amazon quietly return after collecting data and cutting better deals.

What brands and agencies should do now

This might be the most operator-relevant shake-up of 2025 so far. Here’s how to move:

• 🔍 Audit your auctions: Track CPC, impression share, and CTR across your core categories. Benchmark pre-July 21.
• 💡 Own your branded terms: With Amazon gone, this is your window to defend high-intent queries before others swoop in.
• 📦 Rethink feed strategy: If Amazon’s off the board, your products might be surfaced more often—but only if your Merchant Center feed is clean and real-time.
• 📈 Explore Google-to-Amazon campaigns: Now’s the time to run your own traffic to Amazon with proper attribution.
• 🧠 Start testing alternatives: With Google shifting Performance Max rules last fall, reconsider how you’re allocating budget across campaign types and platforms.

Bottom line

Amazon just yanked its $56 billion ad engine out of one of the biggest pipes in ecommerce. Whether this is short-term leverage or long-term strategy, the only thing that matters for operators is this:

Amazon left the table. Now the rest of us get to feast—at least until they come back.