The Advertising Industry’s Balance Of Power Is Changing Big Time
In today’s digital advertising landscape where complicated acronyms are ubiquitous, it is often hard to tell who is in control. In my experience, there are three main players: 1) Buyers, who are looking for ways to access media as cheaply and efficiently as possible; 2) Publishers, who it could be argued, have their heads in the sand blindly providing inventory to open exchanges in hopes of increasing the value of their inventory; and 3) Vendors, who are quietly taking advantage of the spread, buying inventory from exchanges and repackaging it as seemingly quality inventory. In addition, other vendors, seeking to arm the main players with ancillary capabilities, have created a fourth group of players and added another layer of inefficiency and complexity to the process. In the current scenarios, none of the players are truly in control, and certainly nobody wins.
Forecasts for 2012 anticipate upwards of $83 billion will be spent on digital advertising and approximately $2 billion of that will be directed toward automated systems (Real-Time Bidding (RTB), Exchanges and Private Marketplaces). These new automated methods of purchasing media create a host of opportunities and challenges for the market at large. Automation puts more control in the hands of the buyer, delivering undisputed efficiency in the buying process – the ability to target exactly the right audience, without waste – as well as the elimination of paperwork for placing and optimizing media buys.
Read More: Business Insider
4 reasons why 2012 will be the year of “Social Enlightenment”
Big data and Facebook: two behemoths that became a much bigger part of the marketer’s lexicon in 2011. Large brands, particularly, invested more time into better understanding the enormous quantities of rich social data about their consumers. And, it’s no secret that advertisers will continue to pour greater resources into social networks, both in an effort to reach existing customers as well as the vast universe of potential customers with whom they’re associated.
Case in point: eMarketer reports that global ad revenues for Facebook alone will have increased 104% to $3.8 billion and Twitter is predicted to have tripled its earnings by the year’s end.
Yet it’s apparent that brands have barely scratched the surface in terms of how they harness big data and effectively reach consumers over social media. In 2012, marketers will tap massive data sets to gain deep consumer insights that would have seemed inconceivable as recently as a year ago. Insights, that, not surprisingly, will make a tremendous and lasting impact on marketing budget allocation throughout the year and into 2013.
With all of this in mind, here are four predictions regarding the 2012 social data evolution.
Read More: SocialBeat
Google Clears AdMeld, Shifts Focus To Publishers
Google received approval from the U.S. Department of Justice Friday to close the $400 million acquisition for AdMeld, which helps publishers sell display ad inventory at the best price. The deal also strengthens Google’s position to move beyond search and focus on display advertising through strong publisher relationships and what is now known as private ad exchanges.
AdMeld will support Google’s display ad network and the DoubleClick ad exchange, but also will work with other ad exchanges operated by Microsoft and Yahoo.
Google bought publisher relationships and expertise in supporting them, according to Jerry Neumann, an early-stage investor in technology companies at Neu Venture Capital. He said Google’s publisher side team typically focuses on volume business, but AdMeld spends more time working closely with publishers.
That closeness could quiet rumblings heard from publishers suggesting that private exchanges are not working as well, as many had hoped. Neumann said to expect continued consolidation in 2012.
When the dust settles, the industry might see two or three dominant players in the space, according to Adrian Tompsett, vice president, business development at DataXu.
Read More: MediaPost
You Are Watching More Web Video Ads, and You Are Okay With That
We’re watching more Web videos than ever: More than 42 billion a month in the U.S. And we’re watching more Web video ads, too.
That seems like an obvious correlation. But, until recently, that wasn’t the case, for a couple reasons. Some Web video sites had held back a bit from shoving ads in front of users’ faces, for fear of scaring them off. And lots of folks who wanted to buy video ads couldn’t find places they wanted to place them.
This is changing now, and that means the Web video business might finally be catching up to the long-running Web video boom.
Here, for instance, is promising news for ad buyers and sellers, via FreeWheel, a start-up that helps serve and manage video ads for the likes of Turner, Vevo and Fox. FreeWheel says that last quarter, for the first time, the rate of video ad views grew faster than overall video views — 128 percent versus 97 percent:
Read More: All Things D