digital video

The Quest For Scale Is Ruining The Digital Ad Industry – via AdExchanger (source: Yael Avidan, vice president of product at Adelphic)

The first question marketers or agencies ask ad tech vendors or media companies is probably this: “That audience is perfect, but can it scale?”

Audience targeting is great, but ultimately, advertising’s main draw is reaching large-scale audiences. Although it reflects the return on investment, that marker can miss the point and may end up stifling the digital ad world’s growth.

This results in three core issues I see threatening the growth and sustainability of the digital ad world. First, the quest for scale reduces the value of smaller yet engaged audiences. As a result, many smaller publishers are having a hard time competing and struggle to maintain their revenue bases.

Second, advertisers’ willingness to pay for scale has unsurprisingly driven the emergence of bots and traffic drivers that step in and “supply” this demand. This, in turn, created a massive distrust of advertisers in the ecosystem and is one of the key problems that holds back the shift of more TV dollars to online.

Last but definitely not least, in a market that values scale above all, a handful of large publishers are capturing the majority of advertisers’ attention and spend at the expense of the rest of the market.

http://adexchanger.com/data-driven-thinking/quest-scale-ruining-digital-ad-industry/?mkt_tok=eyJpIjoiT1RRNE16UTFaR014Tm1ZeCIsInQiOiI5bmNreVlSR0xCZ3c2aTJSdndBdmN5VUllOU5XRFFtSXFcL0pOMTVYekdncTZLMVhNOUtkZVNuclRZWk9BSjg0RDhBelNvTDJtVVJSdU5DdUZnU2tcL2FVSVA4YzYwZjA0Q3pta1dpUCttdEYwPSJ9

 

 

Live Video Is Where the Advertising Bucks Are – via the NY Times

Online video – and especially live video – has become a promised land for a bevy of Internet companies. Live-streamed video brings an immediacy and a reason for people to keep coming back to a website.

And it also provides valuable content with which marketers can place advertisements, typically for a heftier price than, say, an online display ad. That’s why Facebook, Snapchat and Twitter, among others, are all rushing to strike deals to bring live-streamed events to their users.

Access full article from the NYTimes

Web Tracking Surges with Online Ads – via USA Today

 

The rise of web tracking and more targeted advertising has helped fund the explosion of online content and build such web behemoths such as Google, Facebook, Amazon and others. It’s even part of the reason Verizon recently bought Yahoo, to bolster its potential audience for ads. It’s also led to more consumers installing ad-blocking software, which resulted in pushback from companies like Facebook to thwart it.

A study found that at least 75% of the world’s 500 most popular websites contain web trackers, up from fewer than 5% in 1998.

“The number of trackers have increased, the ability of the top trackers to track you across sites has increased and the complexity of the trackers has increased,” said Adam Lerner, a security and privacy researcher at the University of Washington in Seattle and one of the study designers.

Access full article from USA Today

Resisting the Siren Call of Popular Digital Media – Facebook’s Brad Smallwood in the JAR

The following article is from the latest issue of the Journal of Advertising Research (JAR).

It is impossible to overstate the impact of digital tools and interactions on the marketing landscape. The way people connect, communicate and share information online has evolved in ways unimaginable just a generation ago, yet from a marketer’s perspective the biggest change may be in the amount of information suddenly available.

The deluge of data has offered an opportunity to create actionable real-time metrics that can inform and shape businesses in a dynamic way.

(However) The allure of measurable and traceable “shiny” metrics … has led marketers to endless, often beautifully crafted, intricate reports on the irrelevant.

 

To access JAR articles, please follow these 3 steps:

  • Login to your myARF
  • Click on “Journal of Advertising Research” on the left hand side menu
  • Locate the article in the search field on the page

 

“The Influence of Interactivity “ – Ipsos Connect

We explored how dynamic digital creative formats can drive engagement and brand metrics beyond clicks and views.

This research strives to provide insights that substantiate how approaching multi-screen campaigns with dynamic creative design can potentially elevate campaign performance on an impression level and help advertisers make every impression count.

Our session will address:

  • Impact of the creative: What is the impact of different ad experiences in driving campaign effectiveness?
  • Interaction vs. passive engagement: Does the ability to interact with the ad increase effectiveness?
  • Context: How well does the ad fit the context of the content experience and what is the effect on resonance?
  • Effect of different platforms: What is the effect of experiencing the ads/content on different platforms?
  • Best practices: What executional learnings can we glean to help improve the creative suite for advertisers?

Review the Audience Measurement program and register.

“Avoid Excessive Frequency” – comScore

One of the promises of online advertising is the ability to put a maximum cap on the frequency of impressions per user to avoid excessive repetition. Digital campaign delivery is often extremely skewed, with some users receiving far too many impressions associated with the same campaign.

This research aimed to answer the following questions:

1) Do ad impressions deliver any impact beyond a certain level? When does frequency become ineffective or counterproductive?

2) What is a safe frequency threshold that we can use, beyond which we can consider an impression practically worthless?

3) Given such a guideline, how much wasteful spending can advertisers avoid?

2016 PREDICTIONS AND TRENDS-PART 2

Consumers, Heroes, and the Trends That Will Impact Advertising in 2016

Ford Motor Company and advertising agency Ogilvy reveal the “10 Behavioral Trends Guiding Advertising in 2016,” in this Media Post article by Laurie Sullivan. Despite an underlying sense of disillusionment, consumers are willing to embrace heroes, including fictional characters. Sheryl Connelly, Ford’s Global Consumer Trends and Futuring Manager, analyzes additional trends in this article and provides a link to the full study.  TAG: behavioral trends.  See more . . . Source: http://www.mediapost.com/publications/article/265598/10-behavioral-trends-guiding-advertising-in-2016.html

Five Seconds and Counting

Marketers have five seconds to catch the attention of consumers with mobile video advertising according to Gal Borenstein, founder and CEO of the Borenstein Group.  He analyzes the “10 Digital Branding and Marketing Trends to Watch For in 2016” in this Ragan Communications article.  View the infographic and the additional nine trends that will impact your digital branding and marketing in 2016.  TAG: mobile video advertising.  See more . . . Source: http://www.ragan.com/Main/Articles/50581.aspx

Consumers Can Be Motivated Not to Block Ads

Lolly Mason, writing for iMEDIA CONNECTION, believes that publishers and advertisers will reevaluate their digital advertising in 2016 and provide a more positive advertising experience for consumers.  Mason’s article, “The Year We Say Goodbye to Bad Ads?” discusses how fewer, more creative ads, and ads that are less intrusive and more relevant will provide publishers and advertisers with the tools to fight back against ad blocking by consumers. TAG: ad blocking.  See more . . . Source: http://www.imediaconnection.com/content/39712.asp

Email Will Remain the ROI Champion

Data analytics, segmentation, and personalization will increase email’s effectiveness in 2016.  Read how social media presents an opportunity for greater personalization of email in this Direct Marketing News article by Al Urbanski, “In 2016, All Roads Will Lead to Email.” TAG: email marketing.  See more . . . Source: http://www.dmnews.com/in-2016-all-roads-will-lead-to-email/printarticle/461319/

How Do Consumers Think in a Digital World?

The goal of the authors in this December 2015 Journal of Advertising Research article  was to replicate the most-cited study in advertising research, the elaboration likelihood model (ELM), to see if this model would reflect how consumers think in the digital world.

The authors are Gayle Kerr, Queensland University of Technology; Don E. Schultz, Northwestern University; Philip J. Kitchen, ESC Rennes School of Business; Frank J. Mulhern, Northwestern University, and Park Beede, Higher Colleges of Technology.

The authors conclude in this article, “Does Traditional Advertising Theory Apply to the Digital World?  A Replication Analysis Questions the Relevance of the Elaboration Likelihood Model,” that the results of the 1983 study could not be replicated today in any of the three countries in which the current study was conducted.  They suggest that advertising scholars need to examine the assumptions and foundations of “advertising theory.” TAGS: elaboration likelihood model, replication of research.  See more . . . Source: http://www.thearf.org/journal-of-advertising-research-online-access/

 

How the Internet of Things Is Changing Online Marketing

Neil Patel discusses the impact of The Internet of Things (IoT) on marketing, which he feels is the next big thing in this Forbes article.

Among the implications of IoT for marketing, according to Patel:

-On-demand services are expected everywhere.

Consumers have higher expectations of convenience in the Internet age, and marketing must cater to that expectation in terms of both promise and delivery.

-Smart marketing connects social data to online devices.

Marketing should strive to make it easier for consumers to interact with their connected devices and to enhance social interactions between devices and their owners.

-The Internet of Things means that big marketing data is getting even bigger.

Patel suggests that useful and surprising marketing data about consumer preferences and habits could invigorate marketing.

-Smart marketing deploys specific solutions to thing-related problems.

IoT will enable a greater degree of target marketing in terms of both demographics and psychographics.  Additionally, IoT will allow marketers to predict and deliver solutions based on consumer needs.

-Nothing is unmarketable.

IoT will also enable marketers to reach deeper into the lives of consumers to offer them products, services, and solutions.

Patel also refers to surveys of marketers who believe that the marketing impact of IoT will exceed the significance of big data, mobile marketing, and personalized transactions.

See all 5 Cups articles.

 

 

Marketers Overwhelmingly Call for Third-Party Measurement of All Digital Media Owners’ Inventory

The Association of National Advertisers (ANA) surveyed its members to understand the perspectives of marketers on the issue of the viewability verification procedures used by digital media owners.  The results of the survey emphasized the need for third-party verification.

Among the findings:

-97 percent of ANA respondents believe that all digital media owners’ inventory should be measured by a third party.

-90 percent of respondents said they are not fully confident that their digital working media meets industry viewability standards.

-61 percent of respondents indicated they would shift their spending elsewhere if digital media owners did not provide independent measurement.

-Nearly two-thirds of respondents feel “very strongly” that a digital media owner should have internally derived metrics accredited by the MRC.

According to this press release, some large media owners do not allow third-party measurement vendors to report viewable ad impressions to their clients. Instead, they utilize internally derived metrics that have not been independently verified.  Currently, more than 20 firms are accredited by the Media Rating Council (MRC) to measure digital advertising viewability.

Bob Liodice, ANA President and CEO, commented on this issue, “During a time of intense scrutiny on transparency and accountability, it’s vitally important that all digital media owners measure viewability by an independent third party, consistent with industry standards. That’s just ‘table stakes’ for digital advertising.”

The ANA will continue working with the Media Rating Council and other industry trade associations to elevate the importance of this issue and drive industry standards.

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Majority of European Video Buyers Use Programmatic, AOL Report Finds

According to AOL’s “2015 European State of Video Industry” report, 98% of video buyers surveyed in European markets buy digital video programmatically. On the sell side, 97% of those surveyed are selling digital video programmatically instead of using traditional models.

AOL, working with Advertiser Perceptions, collected quantitative data on digital video from 411 brands, agencies and publishers in the U.K., France, the Netherlands and Germany.

Among the findings of this report:

-Mobile video is the “most robust growth area” in digital media, with 42% of buyers surveyed reporting a rise in mobile digital video budgets last year.

-42% of advertisers surveyed said they buy digital video directly from publishers.

-48% of advertisers said they’d brought programmatic video-buying capabilities in-house, and 47% said they planned to do so in the next year.

This report included the varying concerns of buyers and sellers concerning programmatic digital video.

Buyers: Need to integrate into existing process and systems and an inability to access premium inventory at scale.

Publishers: Perceived risk of the commoditization of content, a lack of existing process and systems, and a lack of expertise.

Both buyers and sellers surveyed cited viewability issues and fraud scores as important when measuring campaign performance.

See all 5 Cups articles.