Media Buyers, Wake Up: Laziness is Not a Strategy

2024-02-02

Welcome to the mad, mad world of modern advertising, where media buyers are becoming increasingly susceptible to the siren song of laziness. This isn’t just a gentle nudge to the status quo; it’s a call to arms for a revolution in media buying strategies.

The industry is at a crossroads, and the path we choose will define the future of advertising.

At the heart of this issue is the lost art of communication.

I recently had an enlightening conversation with a savvy ad agency owner, a maestro in the symphony of client satisfaction. His secret? Providing clients with clarity and understanding, not just bombarding them with vanity metrics that hold as much water as a sieve. Click-through rates and flashy charts, he argues, are like smoke and mirrors if they don’t translate into tangible sales or a palpable return on investment.

Beyond the glitz and glamour of flashy metrics lies the elusive secret to effective advertising – a profound understanding of your audience. It’s the part where many media buyers stumble into the quicksand of demographic stereotypes and half-baked assumptions. Let’s get real, folks – grasping your audience isn’t a luxury; it’s as essential as your morning coffee. Forget the shallow labels like age or income; we’re talking about digging deep into the labyrinthine minds of consumers, decoding their desires, fears, and what truly floats their boat. As David Ogilvy, the grandmaster of advertising, once brilliantly noted, “The consumer isn’t a moron; she is your wife.” Reducing any demographic, be it the mysterious Gen Z or the trendsetting Millennials, to a generic blob is like serving instant noodles at a gourmet restaurant – it’s just plain lazy.

But hold on to your hats; the circus is just getting started. Building personas isn’t a game of caricatures; these personas should be like finely polished mirrors reflecting the real faces of your audience, not the distorted funhouse versions. They’re the bedrock of personalized communication, ensuring that when your message hits the airwaves, it feels as personal as sharing a secret with a best friend. The enchantment of personas lies in their authenticity and the meticulous research that goes into crafting them. It’s not about jotting down a few quirky traits and calling it a day; it’s about creating characters that resonate with the living, breathing people you’re trying to reach.

Now, let’s not forget that these personas are more than just fictional characters; they’re the embodiment of your audience’s hopes, dreams, and eccentricities. When you converse with these personas, you’re not talking to mere avatars – you’re engaging with the vibrant individuals who define your market. It’s about making your audience feel like they’re sipping their favorite drink with an old friend. In the world of advertising, authenticity is the currency that truly makes it rain. So, let’s kick laziness to the curb, banish the stereotypes, and embark on a wild journey of genuine connection with our audience.

The allure of vanity metrics is another trap ensnaring media buyers. These metrics are often mistaken for success, leading campaigns astray. A poignant example comes from a campaign I worked on, where we focused on tailored messaging for a specific buyer persona. Initially, the campaign saw lower engagement metrics, causing alarm amongst the decision-makers. However, the long-term data painted a different picture – higher conversion rates and more meaningful engagement.

Nostalgia for the golden age of advertising often reminds us of a time when creativity wasn’t rushed. Back then, crafting an ad campaign was akin to creating a masterpiece, with every detail meticulously planned and executed. This approach is in stark contrast to today’s fast-paced, efficiency-driven environment where campaigns are produced with the speed of a fast-food order. Yet, the timeless ads of yesteryear, which took months to conceptualize and create, continue to resonate decades later. This is a testament to the power of thoughtful, well-crafted advertising.

In the fast-paced landscape of contemporary marketing, the demand for immediate results has given rise to a culture of short-lived, often superficial campaigns. This “here today, gone tomorrow” mentality permeates our business strategies, where the allure of quick wins and instant gratification often trumps the value of deliberate, well-crafted endeavors. Brands and agencies alike are falling into the trap of prioritizing rapid-fire campaigns over thoughtful, long-term strategies, erroneously equating speed with effectiveness.

Seth Godin, a luminary in the field of marketing, eloquently reminds us that the essence of great marketing lies not in the mere creation of content but in the profound meaning it imparts. Rushed campaigns may generate a momentary buzz, but they often lack the enduring significance that resonates with audiences over time. True marketing excellence emerges from crafting narratives that touch hearts and minds, narratives that transcend the fleeting nature of instant gratification. As Godin suggests, the pursuit of meaning should be at the forefront of every marketer’s agenda.

In this era of information overload and savvy consumers, the value of authenticity and substance cannot be overstated. Rather than succumbing to the allure of speed, it’s imperative that brands and agencies refocus their efforts on creating meaningful connections with their audience. As they say, “Rome wasn’t built in a day.” Great campaigns, like great cities, require time, thoughtful planning, and a deep understanding of the human experience. So, let’s shift our perspective from the hurried sprint to the deliberate marathon, where marketing isn’t about making stuff but about making meaning that endures.

The celebrity endorsement craze in advertising is akin to a modern-day gold rush, where brands scramble to attach a famous face to their campaigns, often mistaking star power for marketing success. However, the stark reality is that celebrity-led campaigns can be a double-edged sword. The allure of instant recognition and the potential viral lift a celebrity can bring is undeniably tempting. Yet, this approach often overlooks the fundamental principles of advertising – relevance and connection with the audience. A case in point is a marketing stunt that became a cautionary tale in the industry: a high-profile celebrity endorsement that skyrocketed in terms of virality but plummeted when it came to actual sales conversion. The aftermath was not just a failed campaign but a significant shakeup in the company’s leadership, signaling the severe consequences of prioritizing glitz over substance.

This example serves as a stark reminder of the perils of chasing the glitter of virality and fame at the expense of meaningful content and audience relevance. Celebrities can indeed bring a spotlight to a brand, but that spotlight fades quickly if the message behind it lacks depth or fails to resonate with the target audience. The effectiveness of a campaign should not be measured by the star wattage of its spokesperson, but by its ability to forge a genuine connection with the consumer. As marketing guru Philip Kotler asserts, “Authentic marketing is not the art of selling what you make but knowing what to make.”

In the frenzy to go viral or gain instant fame, brands often lose sight of this fundamental principle, resulting in campaigns that, while flashy and buzzworthy, lack the staying power and impact of a well-crafted, audience-centric strategy. In this age of information overload and skepticism towards blatant advertising, the value of authenticity and substance in marketing cannot be overstated.

The landscape of advertising is evolving, and media buyers need to evolve with it. It’s time to break free from the chains of laziness and complacency. We need to return to the roots of what makes advertising great – creativity, connection, and genuine consumer understanding. This is not just a challenge; it’s an opportunity to redefine the future of advertising. Let’s rise to the occasion.

ROAS Revolution: How CTV is Redefining Ad Spend Efficiency!

Pesach Lattin

2024-02-01

Ah, the enigmatic world of Connected TV (CTV) advertising, where the rules of the game are rewritten daily, and the Return on Ad Spend (ROAS) is the trophy every marketer dreams of. Let’s dive into this kaleidoscope of advertising wonderment, where precision targeting meets the creative renaissance, and the results? They’re as tantalizing as the last slice of pizza on a Saturday night.

So, why is CTV the maverick in the ad world rodeo? Picture this: traditional TV advertising is like throwing darts in the dark, hoping to hit the bullseye. CTV, on the other hand, is like having night-vision goggles and a dart that beelines to the target. It’s not just about reaching an audience; it’s about reaching the right audience. You can target the suburban dad who loves fishing, the urban fashionista with a penchant for reality TV, or the millennial foodie addicted to cooking shows. It’s like having a secret map to El Dorado, but for advertisers.

Now, let’s talk data, because in the CTV universe, data is king, queen, and the royal court. It’s not the dry, yawn-inducing data of yore; this is the juicy stuff. We’re talking about who’s watching, what tickles their fancy, and how your ads can be the maestro orchestrating their next purchase. This data isn’t just a bunch of numbers; it’s a goldmine of insights that lets you tweak and fine-tune your campaigns with the finesse of a Michelin-star chef seasoning a gourmet dish.

But what about the viewers? Ah, the viewers. In the realm of CTV, viewers are not mere spectators; they’re active participants. They choose what, when, and how they watch, making them more engaged. And an engaged viewer is like a guest at a feast—they’re ready to devour what you serve up, as long as it’s tantalizing.

Integration with other marketing efforts? CTV does it with the elegance of a ballet dancer. Pair it with your digital, social, and out-of-home campaigns, and voila! You have a symphony of marketing efforts where each note complements the other, culminating in a crescendo of ROAS that’s music to any marketer’s ears.

Now, for a dash of reality – let’s talk about real campaigns that struck gold in the CTV mine. Take, for example, a certain fashion brand that jumped onto the CTV bandwagon. They targeted fashion-forward millennials on streaming services known for chic content. The result? A staggering spike in online sales and brand chatter on social media. Or consider a food delivery service that used CTV to target the stay-at-home binge-watchers with mouth-watering ads.

The outcome was a delicious uptick in orders during prime time shows. It’s not just advertising; it’s about embedding your brand into the viewer’s lifestyle.

But wait, there’s more! CTV is the wizard of ad formats. It allows for an alchemy of creativity that traditional TV never could. Interactive ads, shoppable features, choose-your-own-adventure style – CTV is where creativity frolics in the fields of possibility. It’s not just about catching the viewer’s eye; it’s about holding their attention, tickling their curiosity, and gently nudging them towards that ‘buy’ button.

Let’s not forget the cost factor. In the olden days of TV advertising, you needed a Scrooge McDuck vault of cash to play the game. CTV, however, levels the playing field. It offers the allure of TV advertising without the need to mortgage your soul. It’s about spending smart, not just spending big.

And the audience? Oh, the audience is growing faster than a teenager in a growth spurt. CTV isn’t just a niche channel for tech-savvy youths; it’s becoming the go-to for a diverse, expansive audience. It’s like throwing a party where everyone is invited, and everyone wants to come.

As for the future, CTV is the North Star guiding the ad world. With advancements in technology, we’re looking at a future where ads are not just seen but experienced. Imagine ads that change based on who’s watching, or that allow viewers to interact directly. It’s not just advertising; it’s a sci-fi movie come to life.

CTV advertising is like a unicorn in a field of horses – rare, magical, and unbelievably effective. It’s not just a piece of the advertising pie; it’s the whole darn bakery. So, if you’re not already on the CTV train, it’s time to buy your ticket. The future of advertising isn’t just knocking; it’s ready to kick the door down.

WTF is Wrong with Us? The Great Data-Driven Dystopia Debacle

Pesach Lattin

2024-01-26

Adlandia – a place where ‘consumer’ is just a fancy dress for a data point, and respect is an artifact, like a dial-up modem sitting in a museum. In this bustling metropolis of marketing and adtech, greed isn’t just a sin; it’s more like the unofficial motto.

Here’s me, Pesach Lattin, strolling through the digital alleys of this modern Babylon, a lone wanderer armed with a keyboard and a sense of irony. My quest? To unravel a mystery that’s been tickling my brain like a feather in a hat.

The Million-Dollar Question: When did we start seeing people not as people, but as mere cogs in the grand, glittering marketing machine? Was there a secret conclave where this was decided, or did it just happen while we were busy scrolling through our feeds?

So buckle up, dear reader. We’re about to embark on a journey through the heart of Adlandia – no yellow brick roads here, just neon signs and clickbait traps. Let’s dive into the rabbit hole and see just how deep this digital wonderland goes. 🕵️‍♂️🔍👾
Picture this: Big Business Inc., sitting pretty atop its mountain of cash, decides, “Hey, why not outsource our conscience? Efficiency, ho!” And thus, respect for the consumer, once a cornerstone of commerce, got packed off to some distant shore, along with customer service call centers. Now, the respect we offer is about as genuine as a politician’s smile – it exists, but you wouldn’t bet your lunch money on it.
Let’s raise our glasses to us, the marketers, the wordsmiths, the spin doctors. We’ve got a knack for making ‘intrusive surveillance’ sound like ‘enhanced customer experience.’ Remember when we called our customers ‘baby bearers’? Quaint, right? Now, we’ve got fancier labels like ‘home haven hunters.’ Sounds majestic, but let’s be real: we’re still talking about people binge-watching Netflix in their PJs.

In the hallowed halls of the modern boardroom, a curious transformation has occurred in how we talk about those who keep our businesses afloat – our customers. No longer individuals with unique desires and needs, they’ve been rebranded as ‘targets.’ Picture this: a room full of sharp suits, using words like ‘engagement’ and ‘conversion’ with the clinical detachment of a general planning a military campaign. It’s not about understanding the customer anymore; it’s about bombarding them with precision-guided marketing missiles. The goal? To break down their defenses, not with charm or value, but with relentless advertising, until, weary and worn, they relent and hit that ‘buy’ button. It’s less of a mutual exchange and more of a siege – one where the customer’s surrender is our victory.

Now, let’s delve into the marketer’s favorite pastime: segmentation. We’ve become maestros at slicing humanity into neatly packaged segments. ‘Savvy savers,’ ‘impulse buyers,’ ‘tech enthusiasts’ – these aren’t just categories; they’re boxes we’ve created to simplify a world that refuses to be black and white. We’ve boiled down the rich tapestry of human experience into a few catchy labels, convenient for our spreadsheets but hardly reflective of reality. People, in all their glorious complexity, are being reduced to a single, immutable characteristic. It’s like saying, “You bought a tent once; you must be an ‘outdoor adventurer’ for life!” We forget that the same person saving diligently for retirement on Monday might be the one splurging on concert tickets come Friday night. They’re not just one thing; they’re a kaleidoscope of desires, fears, hobbies, and dreams – changing from day to day, moment to moment. But in our rush to categorize and target, we’ve lost sight of this simple, beautiful truth of human unpredictability.

Enter the tech giants, the behemoths straddling the digital cosmos like modern-day Olympians. They came to us with a proposition as seductive as it was simple: a cornucopia of free, shiny services. From social networks that connected us across continents to search engines that brought the world to our fingertips, they promised a digital utopia. And the price? Merely the minutiae of our daily lives, every click, every like, every midnight Google search. “What’s the harm?” we innocently mused. It was just data, after all – intangible, inexhaustible. In our naivety, we believed we were getting the better end of the deal, trading something seemingly inconsequential for unparalleled convenience and connectivity. We couldn’t have been more wrong.

As the giants wove themselves inexorably into the fabric of our lives, the true nature of this trade-off began to dawn on us. This wasn’t a fair exchange; it was a harvest. Our personal data, once considered trivial, emerged as the new oil, fueling the engines of vast, unseen empires. Each interaction, every shared photo, and whispered digital secret became a commodity – bought, sold, and traded in opaque markets far removed from our control. We started to realize that in this digital ecosystem, if you’re not paying for the product, you are the product. Privacy, once a fundamental right, was now a currency in a marketplace where we had unwittingly become the merchandise. The convenience we so cherished was a mirage, masking the erosion of our most intimate selves.

As this realization set in, a global awakening began. The once-celebrated free services of the tech giants started to resemble trojan horses, laced with the ulterior motive of surveillance capitalism. This wasn’t just about targeted ads anymore; it was about the systemic, clandestine manipulation of our choices, behaviors, and even beliefs. The digital dream was unraveling, revealing a dystopian underbelly where our private lives were the battleground for corporate gain. We began to understand the true cost of this deal – a loss of autonomy, a surrender of our innermost selves to algorithms that knew us better than we knew ourselves. Trading privacy for convenience was no benign exchange; it was akin to bartering away the essence of our freedom for a handful of magic beans – a d

In a particularly compelling segment of our recent roundtable, which delved into the storied history of adtech, Richy “Privacy Buddha” Glassberg captured our attention with a few minutes of profound insight. Amidst the broader discussion about the evolution of advertising technology, Glassberg steered the conversation towards the critical issue of privacy and trust – elements that have been eroded over time in the industry.

Glassberg’s contribution to the roundtable was not only insightful but also strikingly vivid. He asked us to picture the all-too-familiar scenario of buying sneakers online, only to be dogged by the same product’s ads for an uncomfortably long time. This simple yet evocative analogy served as a springboard for discussing how adtech, in its relentless pursuit of data and efficiency, often forgets the human element. It was a moment that perfectly encapsulated the industry’s misstep: turning consumers into targets for endless advertising campaigns, regardless of personal context or sensitivity.

In those few minutes, Glassberg deftly outlined the industry’s descent into data exploitation. He critiqued how the relentless chase for consumer data transformed into an ethical blind spot, where consumer privacy and trust were compromised for the sake of ad targeting and revenue generation. His observations resonated deeply during our roundtable, prompting a reflection on the industry’s trajectory – from a tool for connection and service to one of intrusion and exploitation.

Glassberg’s brief yet impactful remarks at our roundtable culminated with a forward-looking perspective. He underscored the growing wave of privacy legislation, highlighting it as a response to the industry’s overreach. His comments served as a clarion call for a paradigm shift in adtech – a shift towards respecting consumer privacy and rebuilding the trust that has been eroded over years of unchecked data exploitation. This part of our discussion emphasized the urgency of adapting to a new reality where privacy is not an afterthought, but a foundational pillar of consumer engagement.

So here we are, standing at the precipice of the GDPR abyss, staring into the cookie-apocalypse like deer in the headlights. Why, you ask? Well, it’s simple: we marketers turned into data gluttons. We gorged on every byte and pixel, collecting data like squirrels with a nut obsession. Our mantra was “Collect first, ask questions later,” and oh boy, did we skip the asking part! We hoarded data with the zeal of a kid in a candy store, except this candy store was the entire internet, and we didn’t have to pay for anything. But as the saying goes, if you’re not paying for the product, you just might be the product – or in this case, turning your customers into unwilling products.

In this digital iteration of ‘Hoarders: Adtech Edition,’ we find ourselves buried under an avalanche of data that, let’s be honest, most of us have no clue what to do with. We’ve stockpiled so much information that if data were physical, we’d be living in a fort made of hard drives. Enter GDPR, stage left, with a sweeping broom and a stern look, ready to clean up our act. It’s the wake-up call we never asked for but desperately needed. Suddenly, we’re gasping for a whiff of that sweet, elusive air called privacy, realizing maybe – just maybe – knowing someone’s favorite pizza topping isn’t essential for selling them a pair of sneakers. Welcome to the new era, where hoarding data isn’t just passé; it’s a fast track to a privacy nightmare. Who knew that cookies, once the innocuous companions of milk, would become the crumbling foundations of our digital empires?

In the heady days of the data gold rush, companies behaved like kids let loose in a data candy store – grabbing everything in sight, convinced that more is always better. This wasn’t just an ineffective strategy; it was like trying to find a needle in a haystack, except you keep adding more hay. The irony? In their quest to know everything about everyone, companies ended up knowing a whole lot of nothing. They collected data with the voracity of a vacuum cleaner, sucking up every tidbit from favorite colors to preferred pet names. But when it came time to distill this deluge of data into actionable insights, they found themselves drowning in a sea of trivia. It turns out that knowing John Doe’s preference for polka music or Jane Smith’s fondness for fuchsia lipstick doesn’t quite revolutionize market strategies.

Then came the kicker – a Gartner survey revealing that a whopping 60% of marketers believe they need every data point imaginable to paint a complete picture of their customers. It’s like believing you need to know someone’s entire life story before you can sell them a pair of shoes. Sure, personalization is the name of the game, but there’s personalization, and then there’s data hoarding disguised as strategy. The obsession with collecting every scrap of data was akin to believing that knowing your customer’s favorite ice cream flavor would somehow be pivotal in selling them a car. Spoiler alert: knowing whether they prefer Rocky Road or Mint Chocolate Chip doesn’t help move vehicles off the lot.

This data frenzy created a bizarre paradox where companies knew more trivial facts about their customers than ever before but understood them less. It’s like meticulously studying someone’s grocery receipts to understand their love life. We got so caught up in the minutiae that we missed the big picture. The result? A mountain of data, but a molehill of usefulness. Marketers found themselves armed with terabytes of data about consumers’ most inconsequential preferences, yet struggled to answer fundamental questions about what really drives their purchasing decisions. It was a classic case of not seeing the forest for the trees, or in this case, not seeing the consumer for the cookies

Let’s cast our gaze upon Meta, the once-darling of Silicon Valley, now playing the lead role in the cautionary tale titled “How Not to Manage Consumer Data 101.” Picture every ‘Big Brother’ dystopian nightmare you’ve ever read, sprinkle in some cutting-edge VR, and voila, you’ve got Meta’s current predicament. They turned personal data into a high-stakes game, playing fast and loose with user privacy. It’s like they looked at Orwell’s ‘1984’ not as a warning, but as an instruction manual, only with more likes and shares. Their journey into the heart of data darkness isn’t just about the eye-watering regulatory fines or the parade of security breaches that make Swiss cheese look impermeable. No, it’s about something more intangible and far more valuable: trust. Meta managed to take the goodwill of billions of users and, in their quest to monetize every digital interaction, churned it into a cocktail of skepticism and wariness.

But wait, there’s more! Meta’s saga isn’t just a run-of-the-mill story of corporate overreach; it’s an epic of reputational hara-kiri. They didn’t just cross the line; they obliterated it, leaving users feeling more like lab rats in a grand social experiment than valued customers. Imagine hosting a party where you secretly record every conversation, preference, and interaction of your guests, then sell that info to the highest bidder. Not exactly the host of the year, right? That’s Meta for you. Their misadventures in data mismanagement have become a textbook example in business schools of what not to do. It’s a tale of lost trust that’s harder to regain than that one sock that always disappears in the laundry. In their relentless pursuit of data-driven profits, they forgot one crucial factor: when you play the game of thrones in the digital realm, you either win trust or you lose customers. And as it turns out, users have long memories and low tolerance for digital deceit.

So here we are, at the end of our madcap carnival ride through the neon-lit world of adtech. It’s been a wild ride, full of data dragons and privacy pitfalls, where we’ve danced the cha-cha with consumer trust and occasionally stepped on its toes. And just when we thought we might be lost in the digital funhouse forever, along comes Richy “Privacy Buddha” Glassberg, like the Gandalf of the ad world, parting the sea of data with his staff of wisdom. His chat at our roundtable wasn’t just enlightening; it was a verbal slap upside the head, a reminder of what we’ve been missing while we were too busy counting clicks.

So, have we forgotten the consumer? No, we just remembered them in the most inconvenient way possible – as ATMs with eyeballs. But Richy, bless his cotton socks, reminded us that behind every click, cookie, and conversion, there’s a person trying to dodge the avalanche of ads while searching for cat videos. In this brave new world where ‘privacy’ gets bleeped out more than a curse word, and ‘click’ is the new deity, it’s time to resurrect some old-school values. Thanks to our Privacy Buddha, we’re reminded that it’s high time to inject some soul back into the pixelated heart of advertising. Let’s raise a toast to a future where we treat consumers as the heroes of our story, not just extras in our data-driven blockbuster. Here’s to less data hoarding and more genuine connection – because in the end, a consumer saved is a cookie earned. Cheers to that!

Five Ways Bid Duplication Mirrors HBO’s Succession

Pesach Lattin

2024-01-26

In the ever-twisting and often absurd world of online advertising, bid duplication emerges as a story that could rival the dramatic arcs and sharp wit of the hit TV show “Succession.” As part of our adtech prompt series, we’ve invited industry experts to distill their wisdom into 190 words, each crafting a narrative that is as richly layered and subtly ironic as the series itself. These vignettes don’t just dissect the technicalities of bid duplication; they reveal the human comedy behind the clicks and codes, mirroring the dark humor and complex characterizations found in “Succession.”

Imagine this digital realm as a stage, reminiscent of Shakespearean drama but set in the high-speed world of the internet. Here, each player in the adtech game navigates a labyrinth of duplicated bids, echoing the cunning schemes and power plays of the Roy family in “Succession.” The irony, however, is thicker than a plot twist in a soap opera. As these experts pull back the curtain on bid duplication, they reveal a spectacle where ambition collides with absurdity, and strategy often slips into farce. This series is more than just an exploration of a digital dilemma; it’s a dive into a narrative as complex and entertaining as the best of TV dramas, where each twist in the tale reflects the larger, often humorous, human condition.

1. The Kafkaesque Auction: A Comedy of Clones

Rich Kahn, CEO and Co-Founder of Anura Solutions, likens bid duplication to a surreal auction where one unwittingly bids against their own doppelgängers. It’s a comedic, yet unsettling scene, reminiscent of “Succession’s” own absurd power plays. Imagine bidding for a prized relic, only to realize the competition is your mirror image, multiplied. It’s a digital hall of mirrors, each reflection a distorted echo of desire and strategy, much like the convoluted machinations of the Roy family.

2. The Ethical Labyrinth: A Corporate Chess Game

Mark Donatelli, Managing Partner at Cimply, views bid duplication as an ethically grey chess game, akin to the strategic maneuvers in “Succession.” It’s not just about placing a bid; it’s about outwitting an invisible opponent who might just be your own shadow. In this game, the pawns are duplicity and deception, moving across a board where the rules are as fluid as the characters’ allegiances in the TV series.

3. The Self-Destructive Opera: A Symphony of Hubris

Shiv Gupta from U of Digital highlights the self-sabotaging nature of bid duplication, drawing a parallel to “Succession’s” tragic opera of hubris. Like the show’s characters, who often engineer their own downfalls, bid duplication is a short-sighted strategy that backfires in the long run. It’s an act of digital hubris, a symphony where each note is a bid, building to a crescendo that ultimately collapses under its own weight.

4. The Dystopian Mirror: Reflecting a Twisted Reality

Pesach Lattin of ADOTAT sees programmatic auctions as a dystopian reflection, akin to a bad sci-fi movie where cloning runs amok. This mirrors the bizarre and often twisted reality of “Succession,” where truth is stranger than fiction. In this world, every bid is a carbon copy, a monotonous echo in a landscape starved of originality and diversity, much like the repetitive and predictable nature of the power struggles within the Roy family.

5. The Inertia Waltz: A Dance of Resistance

The reluctance of publishers to tackle bid duplication, for fear of revenue loss, echoes the resistance to change in “Succession.” Characters in the series are often trapped in a waltz of inertia, clinging to the familiar dance of power and control. Similarly, publishers find themselves in a delicate dance, where taking a step to address bid duplication could mean stepping off the revenue stage they’ve grown accustomed to.

In the grand finale of our foray into the world of bid duplication, an odyssey as rich and unpredictable as an episode of “Succession,” we find ourselves at a crossroads of comedy and calamity. Our experts, like seasoned scriptwriters, have delivered their lines with precision, each 190-word insight a cleverly crafted subplot in this digital drama. In the end, what unfolds is not just a tale of technological tangles but a Shakespearean comedy of errors set in the digital age

Bid duplication, much like a “Succession” season cliffhanger, leaves us both bewildered and beguiled. It’s a narrative where DSPs dance a delicate tango with duplicates, publishers play a high-stakes game of chicken, and everyone is a little unsure whether they’re in a tragedy or a farce. As we close the curtains on this series, it’s clear that the world of online advertising, with all its quirks and quandaries, is as ripe for drama as any TV show. And perhaps, in this tale of digital duplicity, the real lesson is that in the adtech world, as in “Succession,” the only predictable element is unpredictability itself.

READ THE FULL PROMPT ON LINKEDIN

Twice the Bids, Twice the Trouble: A Programmatic Advertising Farce

Pesach Lattin

2024-01-26

A persistent and insidious issue lurks, often unnoticed by the everyday internet user yet acutely problematic for industry insiders: bid duplication. This issue, while not as visible as the flashy advancements in AI targeting or the revolutionary promises of blockchain for transparency, plays a pivotal role in the digital advertising ecosystem, subtly but significantly skewing the market dynamics. And we are talking about it again, for some reason — almost a year after it was a “hot topic.”

Bid duplication, for the uninitiated, is akin to a Kafkaesque scenario in the digital advertising world. Imagine a scenario where the same ad space, a digital asset in high demand, is offered multiple times in an auction setup. This is not a display of abundance or a testament to the richness of available inventory. Rather, it’s a systemic flaw, a glitch in the matrix of programmatic advertising that distorts the market, creating an illusionary world where the same ad space is mirrored across multiple platforms, confusing buyers and muddying the waters of ad pricing.

At its core, the issue of bid duplication is not just an operational nuisance. It has profound implications for all parties in the digital advertising chain. Advertisers, seeking to place their ads in the most optimal spaces, are often misled by the apparent diversity of options, leading to inflated costs and a distorted perception of inventory availability. Publishers, on the other side, face the repercussions on their ad revenue and the integrity of their ad spaces. The inflated and duplicated ad space market opens up avenues for ad fraud, a persistent ghost in the machine of digital advertising.
To truly grasp the mechanism of bid duplication, one must first wade into the murky waters of the programmatic advertising ecosystem. At its core, this system involves publishers offering up digital ad spaces, or inventory, which are then purchased by advertisers through a complex network of intermediaries. These intermediaries include Supply Side Platforms (SSPs), which are services that allow publishers to manage their ad inventory and optimize their revenue. However, when a single ad space is controlled by multiple SSPs, the potential for bid duplication arises. Each SSP, eager to maximize the revenue for its share of the inventory, sends out its own bid requests to advertisers. As a result, the same ad space is inadvertently or deliberately offered up multiple times in the bidding process.

The process starts innocuously enough. A publisher’s website with available ad space sends out a signal to multiple SSPs it partners with. These SSPs, acting as the publisher’s proxies in the digital ad marketplace, then broadcast bid requests for this ad space to various Demand Side Platforms (DSPs), where advertisers are connected. Ideally, this setup should increase competition and help the publisher secure the best price for their ad space. However, the lack of synchronization among SSPs means that multiple, identical bid requests for the same ad space flood into the market. To the DSPs and the advertisers they represent, it appears as if there is more inventory available than there actually is, creating an illusion of abundance.

This illusion is where the problem intensifies. Advertisers, operating under the assumption that they are bidding on distinct ad spaces, may end up competing against themselves. This competition drives up the price of the ad space, benefiting the SSPs and potentially the publishers, but at a significant cost to advertisers. They end up paying more for ad space than they should, based on a false perception of scarcity and competition. Moreover, this situation makes it challenging for advertisers to effectively strategize their ad placements, as they cannot accurately gauge the actual availability and value of the inventory.

The term ‘yield optimization’ is often bandied about to justify this practice. In theory, yield optimization is about maximizing the revenue generated from each ad space. However, in the context of bid duplication, it morphs into a strategy that prioritizes SSPs’ and publishers’ revenue over market transparency and fair pricing. The pursuit of higher bids under the guise of yield optimization ends up creating a market that is less about finding the true value of ad space and more about exploiting the structural inefficiencies of the programmatic advertising system.

This pursuit of higher bids, while seemingly beneficial to publishers and SSPs in the short term, has wider implications for the health of the digital advertising ecosystem. For advertisers, it erodes trust in the programmatic process and can lead to inflated advertising costs, which ultimately may be passed on to consumers. Furthermore, it creates an environment ripe for ad fraud, as the confusion and lack of transparency in bid requests can be exploited by malicious actors. In the long run, this could lead to a decrease in advertiser engagement with programmatic channels, reducing revenue for both publishers and SSPs – a classic example of short-term gains leading to long-term pains.

Recent controversies, such as the one involving Comcast’s Freewheel, have cast a glaring spotlight on these murky practices. Accusations of deliberately inflating bid requests to extract additional revenue from Demand Side Platforms (DSPs) have opened a can of worms, raising questions about ethics and transparency in the digital ad world. This revelation is akin to discovering a hidden hand in a game that’s already complex and high-stakes.

Addressing bid duplication requires a deep dive into the intricacies of programmatic advertising. It’s a world where ad spaces are traded in milliseconds, where algorithms make lightning-fast decisions, and where the line between optimization and manipulation can be perilously thin. The ecosystem is a web of SSPs, DSPs, ad exchanges, and a plethora of other intermediaries, each playing a role in the life cycle of an ad space. In this fast-paced environment, bid duplication is not just a bug; it’s a feature for some, a strategy to inflate prices and create a false sense of competition.
Dive deeper into the murky waters of bid duplication, and you’ll find that its impact isn’t just about dollars and cents. It’s a trust buster, a veritable sledgehammer to the fragile glass of advertiser and publisher confidence. When advertisers and publishers sign up for the programmatic ad circus, they’re not just buying and selling digital real estate; they’re entering into a tacit pact, built on the pillars of fairness, efficiency, and transparency. Bid duplication, with its hall-of-mirrors effect, distorts this pact. It turns the programmatic marketplace into a carnival game where the rules seem rigged and the prizes just out of reach. In this world, skepticism becomes the rational response, dimming the once-bright promise of programmatic advertising.

But wait, there’s more! The reverberations of bid duplication resonate across the broader digital advertising landscape, touching on everything from ad fraud to user experience, and even brand safety. Let’s talk about ad fraud first – the bogeyman of the digital ad world. Bid duplication creates fertile ground for fraudulent activities. It’s like leaving your backdoor open in a neighborhood of opportunistic thieves. Fraudsters thrive in the chaos of duplicated bids, slipping through the cracks and siphoning off funds that should be driving real engagement. This not only drains advertiser wallets but also undermines the credibility of the entire programmatic system.

Then there’s the impact on the unsuspecting victims at the end of this chain – the users. In the whirlwind of duplicated bids, advertisers often end up unwittingly bombarding users with the same ads over and over. It’s like being stuck in a time loop of commercial breaks, where the same ad haunts you at every click. This relentless ad assault leads to what we call ‘ad fatigue’ – users becoming so numb to the barrage of ads that engagement plummets. And when engagement goes down the drain, so does the return on investment for advertisers, turning their marketing dreams into digital dust.

But wait, there’s even more! Bid duplication, in its chaotic dance, can lead advertisers to unwittingly place their ads in unsavory digital neighborhoods. This misplacement isn’t just a minor faux pas; it’s akin to a reputable brand setting up shop in the digital equivalent of a seedy alleyway. The consequences? Damaged reputations, lost consumer trust, and a long road to redemption.

From a technical standpoint, tackling bid duplication is a Herculean task. It requires a harmonious symphony of technology solutions, industry standards, and cooperative efforts among all stakeholders. Technology solutions like advanced ad verification tools and improved algorithmic transparency can help identify and reduce duplication. Industry standards and best practices, agreed upon and adhered to by all players in the programmatic chain, can provide a framework for more ethical and transparent operations.

The future of programmatic advertising in the face of bid duplication is at a crossroads. On one path lies continued obfuscation and short-term gains for a few; on the other, a more transparent, efficient, and trustworthy ecosystem. The industry’s collective actions in the coming years will determine which path is taken.

As the digital advertising landscape continues to evolve, the hope is that the focus will shift from exploiting systemic loopholes to building a marketplace where quality and transparency are not just ideals but the foundational pillars of every transaction.

Surviving the AdTech Sietch: Lessons Learned from the Fremen of Dune

Pesach Lattin

2024-01-26

Strap in, fellow spacefarers, and prepare for a journey across the cosmos—or rather, the equally bizarre and unpredictable universe of AdTech. As Frank Herbert’s “Dune” unfolds on the desert planet of Arrakis, we find surprising echoes in the world of online advertising.

Here’s an irreverent, comprehensive dive into how AdTech in 2024 is starting to feel like a chapter straight out of Herbert’s saga.

1. The Spice of Data: A Treacherous Yet Irresistible Temptation
In the universe of “Dune,” spice is the elixir of life, expanding consciousness and altering realities. It’s a symbol of ultimate power, much like data in the realm of AdTech. Data, in its raw, unrefined form, holds the key to understanding consumer behavior, predicting market trends, and crafting campaigns that resonate on a near-spiritual level. Yet, the pursuit of this knowledge is fraught with danger. Mishandling data, not unlike recklessly harvesting spice, can lead to catastrophic consequences – think data breaches and privacy scandals, the digital equivalents of a worm attack.

The allure of data, however, remains irresistible. It promises insights into the human psyche, offering a roadmap to navigate the complex terrains of consumer preferences. This quest for data-driven knowledge becomes a dance with danger, a delicate balance between gaining unparalleled power and risking everything. The companies that master this balance, much like the spice harvesters of Arrakis, rise to dominate the landscape, wielding their data-driven insights as both shield and sword.

In this ever-evolving world of AdTech, data is not just a resource; it’s a beacon guiding businesses through the unpredictable dunes of the digital marketplace. It’s a testament to the power of information, a reminder that in the right hands, data can extend the life of a campaign, expand a brand’s reach, and transform the very fabric of advertising strategies.

2. The Bene Gesserit Way: Navigating the Cookieless Era with Finesse
In the universe of “Dune,” the Bene Gesserit are renowned for their ability to adapt, manipulate, and extract information with a subtlety that borders on artistry. This mirrors the evolving landscape of AdTech in the face of the cookieless era, a challenge as daunting as any faced by the sisterhood. The phase-out of third-party cookies, once viewed as a catastrophic shift in digital marketing akin to a sandstorm sweeping across Arrakis, is now being approached with the Bene Gesserit’s cunning and adaptability.

The focus has shifted to the art of collecting first-party data, a strategy reminiscent of the Bene Gesserit’s skill in gathering intelligence. According to Epsilon’s research, a significant 62% of marketers are now honing their strategies towards this end. Tools such as Customer Data Platforms (CDPs) and Consent Management Platforms (CMPs) have become the Voice of the industry, enabling the collection and management of user information with a finesse that ensures compliance, efficiency, and effectiveness.

This approach, much like the Bene Gesserit’s methods, is about understanding and influencing at a deeper level. Advertisers and publishers are forming alliances, facilitated by data clean rooms, to exchange and maximize the value of this willingly shared information. These partnerships echo the Bene Gesserit’s alliances across the Imperium, leveraging shared knowledge for mutual benefit.

Moreover, the shift towards contextual targeting in AdTech aligns with the Bene Gesserit’s philosophy of understanding the broader context. It’s about enhancing ad performance and media revenue by focusing on the subject and context of the content, rather than on the individual viewer. This method, when combined with AI technologies like natural language processing and image recognition, evolves into a powerful tool. It offers a scalable, cost-effective solution, much like the Bene Gesserit’s nuanced approach to influencing the political and social landscape of Herbert’s universe.

In the cookieless era of 2024, the AdTech industry, much like the Bene Gesserit, is navigating uncharted waters with a mix of foresight, adaptability, and strategic alliances. This approach not only maintains the flow of valuable consumer insights but also ensures the sustenance of ad revenue in a landscape as ever-changing as the dunes of Arrakis.

3. Mentats vs. Machine Learning: The Brainy Brawl
In “Dune,” Mentats serve as human supercomputers, their minds honed to process and analyze vast amounts of information. AdTech’s parallel? Machine learning algorithms. These digital Mentats sift through mountains of data, drawing patterns and insights invisible to the human eye. They predict consumer behavior, optimize ad placements, and personalize marketing strategies with a precision that’s almost uncanny.

This isn’t just number crunching; it’s a sophisticated ballet of algorithms and analytics, where every step, every twirl of data, reveals deeper insights into consumer behavior. Like Mentats, these machine learning tools elevate the art of decision-making in advertising to new heights, offering clarity in a sea of uncertainty.

But here’s the twist – unlike the emotionless Mentats of “Dune,” machine learning in AdTech is about understanding human emotion, decoding the nuances of consumer engagement. It’s a fusion of logic and empathy, where algorithms don’t just analyze data; they interpret the human stories behind the numbers.

In this battle of brains, machine learning emerges as a formidable force in AdTech, a tool that transforms raw data into a tapestry of insights. It’s the future of advertising decision-making, a digital Mentat that guides businesses through the complex, ever-changing world of consumer preferences.

4. House Atreides vs. House Harkonnen: The AdTech Clan Wars
In the epic of “Dune,” the battle for supremacy between House Atreides and House Harkonnen is a saga of strategy, betrayal, and power plays. This resonates deeply with the competitive spirit of the AdTech industry. Here, companies vie for dominance in a digital Arrakis, where market control is the ultimate prize. Alliances are as fluid as the shifting sands, and today’s ally could be tomorrow’s adversary.

This dynamic battleground is a chessboard where strategic partnerships and cutting-edge innovations can propel a company to the pinnacle of success. Yet, the threat of a sudden reversal is ever-present. The cunning and resourcefulness shown by the Atreides and Harkonnens mirror the agility and foresight needed in AdTech. Companies must navigate this landscape with a blend of boldness and caution, always anticipating the next move in a high-stakes game of digital chess.

In this world, brand loyalty is as precarious as the allegiance of the Great Houses of the Imperium. The key to survival and success lies in understanding this ever-evolving terrain, adapting strategies, and sometimes, changing allegiances to stay ahead in the game.

5. Guild Navigators: Steering the Course of Supply Chain Transparency
In the intricate tapestry of Frank Herbert’s “Dune,” the Guild Navigators hold the unique power to safely navigate the vastness of space, a role paralleled in the realm of AdTech by the emergence of a streamlined and transparent supply chain. The advertising ecosystem, often a labyrinthine web of players including advertisers, publishers, agencies, ad networks, and data providers, is undergoing a transformation as profound as the spacefaring journeys of Dune’s Navigators.

This transformation is spearheaded by the convergence of demand-side platforms (DSPs) and supply-side platforms (SSPs). Traditionally operating in distinct realms, serving advertisers and publishers separately, these platforms are evolving, mirroring the Guild Navigators’ ability to bridge disparate worlds. DSPs are now integrating more directly with publishers, while SSPs are forming closer ties with agencies, adopting strategies from each other in a dance of unification and efficiency.

This shift towards a more interconnected AdTech ecosystem heralds a new era of transparency and ease of understanding, akin to the Guild Navigators’ clear and precise charting of interstellar routes. The once-opaque pathways of ad delivery are becoming more navigable, with the industry moving towards a model that cuts through the complexity, much like a Navigator’s ship slicing through the folds of space-time.

Supporting this evolution are initiatives like the IAB Tech Lab’s Ads.txt 1.1, a beacon in the murky waters of digital advertising, helping buyers identify rightful inventory owners and manage inventory more effectively. Similarly, the Transparency Center stands as a public forum where digital advertising entities can exchange information openly, reminiscent of the collaborative efforts seen on the Guild ships.

6. The Fremen’s Mastery in CTV Terrain: Navigating the Evolving Landscape
In the harsh and shifting sands of Arrakis, the Fremen stand as masters of adaptation, a trait mirrored in the evolving landscape of Connected TV (CTV) measurement. As we traverse the digital dunes of 2024, we witness a significant surge in CTV ad spending, projected to climb from $14.11 billion in 2022 to a formidable $18.29 billion. This growth trajectory, much like the expanding influence of the Fremen, is propelled by the entry of streaming giants like Netflix and Disney+ into the ad-supported arena, subsequently expanding the vastness of available ad inventory.

Navigating the CTV space, however, parallels the Fremen’s challenge of mastering the unpredictable Arrakis. Measuring CTV advertising has its intricacies, often perceived as a complex task akin to tracking the movements of a sandworm. But just as the Fremen harness their deep understanding of the desert to thrive, the right technological tools and integrations in AdTech enable a precision in tracking CTV ads that rivals the accuracy achievable in other digital channels. This involves a strategic amalgamation of IP addresses, device graphs, proprietary data, market research, and audience segmentation – a holistic approach that supercharges targeting efforts.

The year 2024 heralds a new dawn in CTV advertising, unleashing the potential of machine learning-based creative optimization. These advanced algorithms, akin to the Fremen’s deep knowledge of Arrakis, will analyze metadata sources to craft and propose ideal music, visuals, and messaging strategies. This intelligent approach to creative optimization will not only captivate audiences but also imbue video ads with a longer lifespan and the agility for automatic customization for specific target groups.

In essence, the prowess of the Fremen in mastering the dunes of Arrakis finds its parallel in the art of navigating CTV measurement in AdTech. It’s a journey of adaptation, precision, and leveraging the power of technology to turn a once daunting landscape into a realm of untapped potential and opportunity.

7. The Resilience of Digital Out of Home: Echoing the Vitality of Arrakis
In the sprawling narrative of “Dune,” Arrakis stands as a beacon of resilience and vitality, much like the burgeoning Digital Out-of-Home (DOOH) market in our own world. Recent reports, including one from Upbeat, paint a picture of a sector not just surviving, but thriving, with projections pointing to a staggering market value of $8.3 billion by 2023. And the future? Even brighter. A consensus among advertising executives suggests a meteoric rise, with expectations for the DOOH market to skyrocket to an impressive $50 to $55 billion by 2026.

This surge in the DOOH realm is reminiscent of the inexhaustible spice reserves of Arrakis. The parallel lies in the adaptability and expansion of DOOH, particularly with the advent of programmatic advertising in this domain. The integration of real-time bidding (RTB) into widely used Digital Signal Processors (DSPs) marks a significant leap, akin to the technological advancements on Arrakis that revolutionized spice harvesting. Moreover, Google’s move to integrate DOOH ads into its Display & Video 360 (DV360) platform echoes the unification efforts on Arrakis, bringing together disparate groups for a common goal.

But the true strength of DOOH, much like Arrakis, lies in its ability to blend with and enhance its surroundings. The future of DOOH advertising is not in isolation but in its integration with other advertising channels. This synergy will forge more unified, cohesive messaging, resonating across various consumer touchpoints. Imagine a brand launching a campaign that spans from TV commercials to DOOH displays at bus stops, then extends its reach through retargeting via digital channels like social media and email. This multi-faceted approach, bolstered by real-time data analysis and targeting refinements, enhances the overall impact and effectiveness of advertising campaigns.

In essence, the resilience and growth of the DOOH market reflect the enduring spirit of Arrakis. It’s a domain where adaptability, integration, and forward-thinking strategies converge to create a dynamic, ever-evolving landscape. Just as Arrakis remained central to the universe of “Dune,” so too does DOOH stand as a pivotal component in the ever-expanding universe of digital advertising.

Extra 8. The Kwisatz Haderach: The Prophesied Digital Messiah
In “Dune,” the Kwisatz Haderach is a prophetic figure, a bridge between past and future, possessing extraordinary abilities. In the realm of AdTech, this figure symbolizes the visionary leaders and groundbreaking startups destined to revolutionize the industry. These rare individuals and entities possess a unique blend of insight, innovation, and foresight.

They see beyond the current digital landscape, anticipating shifts and trends before they become apparent. Their ideas and technologies often disrupt the status quo, paving the way for new paradigms in advertising. Like Paul Atreides, they possess a vision for the future of AdTech, one that challenges conventional thinking and opens up new possibilities.

These digital messiahs are not just technologists; they are storytellers and dreamers. They understand that at the heart of AdTech is the human connection – the ability to tell a story that resonates, engages, and inspires. Their impact extends beyond mere advertising; they shape the way we understand and interact with the digital world.

Navigating the AdTech landscape in 2024 is a lot like trying to survive on Arrakis.

It’s a world of hidden dangers, power plays, and constant change, where only the most adaptable and cunning can thrive. Whether harnessing the power of data, engaging in psychological advertising warfare, or leading the charge towards innovation, the parallels between “Dune” and AdTech reveal a complex, challenging, but ultimately exhilarating universe.

Just watch out for the sandworms.

Tech Titans on the Turf: The Trade Desk’s Offensive Against Google

Pesach Lattin

2024-01-22

In the high-stakes game of digital advertising, The Trade Desk and Google are like rival football teams, each with its own playbook, vying for the championship title in a league where the rules are constantly changing. The recent accusation by The Trade Desk’s CMO, Ian Colley, that Google has to “bribe companies” to test their Privacy Sandbox APIs, throws the equivalent of a bold, challenging flag on the field, signaling a heated contest ahead.

Google, akin to a seasoned team with a storied legacy, is pushing forward with plans to continue fully phasing out third-party cookies in Chrome. It’s a strategic play that could be compared to a team changing its star quarterback in the middle of the season – risky, with potentially massive implications. In this scenario, Google’s new quarterback is the Privacy Sandbox, a player surrounded by both intrigue and skepticism.

The Trade Desk emerges as the nimble, independent player, adeptly dodging the tackles from tech giants like Google and Facebook. Picture them as the spirited underdog football team, one that trains in a modest facility but harbors ambitions that stretch far beyond the local league. Their latest play, the Unified ID 2.0, is akin to a Hail Mary pass in a tightly contested game. It’s a bold, audacious move, designed to travel the full length of the field, bypassing the traditional pathways and directly challenging the status quo of digital ad tracking.

Unified ID 2.0 isn’t just any ordinary play; it’s a game-changer, a strategic ploy that has been meticulously crafted in the playbook. By offering an alternative to Google’s entrenched cookie system, The Trade Desk is not just throwing the ball; they’re rewriting the rulebook. They aim to pivot the entire game of online advertising towards a model that’s more transparent, more user-friendly, and arguably, more in tune with the evolving digital landscape. It’s a gutsy strategy, betting on the idea that the market is ready for a significant shift, one that could potentially redistribute the power dynamics of the entire ad tech ecosystem.
Despite The Trade Desk’s vocal criticism of Google’s Privacy Sandbox, their actions off the field tell a more nuanced story. Much like a shrewd coach who publicly questions the opposing team’s tactics while quietly studying their playbook, The Trade Desk is engaging in a bit of double play. Behind the curtains of public discourse, they’re meticulously assessing and even integrating several of Google’s APIs. This move, while seemingly contradictory, is a classic strategy in the high-stakes game of digital advertising. On the surface, they maintain the stance of a challenger, openly skeptical of Google’s moves. Yet, in the shadows, they’re pragmatically exploring these very technologies, perhaps acknowledging that in this complex game, understanding and occasionally adopting your rival’s strategies can be key to staying ahead.

This approach is akin to a football team that publicly dismisses a rival’s innovative formation but then covertly drills their players in similar tactics. The Trade Desk, in its pursuit of market dominance, recognizes the value in Google’s plays, even as it seeks to disrupt the status quo. By integrating with Google’s APIs, they are essentially trying on their rival’s armor, seeing how it fits, and possibly looking for chinks to exploit. It’s a savvy move, reflective of the adage ‘keep your friends close and your enemies closer.’ The Trade Desk isn’t just playing the game; they’re also playing the player, adapting and evolving in a landscape where rigidity can lead to obsolescence.

Ultimately, this dual strategy underscores a key aspect of the digital advertising arena: while companies may posture as adversaries, the reality is often more complex. In a field driven by rapid technological advancements and shifting consumer behaviors, learning from competitors can be as crucial as differentiating from them.

The Trade Desk’s simultaneous critique and exploration of Google’s offerings reflect a deep understanding of this dynamic. It’s a dance of competition and cooperation, where the music never stops and the steps are always changing. As The Trade Desk navigates this dance, they demonstrate a keen awareness that in the digital ad league, victory often lies in flexibility and strategic adaptation.

The Trade Desk’s efforts to pivot from display advertising to newer strategies are like a team diversifying its offense, trying to be less predictable and more dynamic. In the constantly evolving ad tech league, sticking to a single game plan isn’t an option if you want to stay competitive.
Meanwhile, Google isn’t content to simply guard its turf in the digital advertising showdown. They’re on the offensive, strategically deploying their resources to orchestrate the game’s future. Picture a football team not just focused on defense, but also proactively training and equipping other teams in the league to play by its rules. This is Google, actively funding third parties to test their APIs, a masterstroke that’s part power play, part savvy investment. By incentivizing other players in the digital arena to adopt and integrate their Privacy Sandbox technologies, Google is essentially ensuring that its playbook becomes the league standard. This isn’t just about maintaining a strong defensive line; it’s about setting the field, defining the game’s parameters, and keeping the ball in their court.

This strategy is reminiscent of a veteran team that knows the game inside out, understanding that true dominance comes from shaping the way the game is played. Google’s funding is like providing other teams with state-of-the-art training facilities and top-notch coaching staff, all with the catch that they play the game Google’s way. It’s a clever blend of largesse and control, designed to keep Google’s influence pervasive and persistent across the digital advertising ecosystem. This isn’t just about winning individual matches; it’s about ensuring the entire league operates under a Google-centric paradigm. In doing so, Google is not just a player in the game; they’re also the architects of the arena, subtly steering the course of digital advertising towards a future where their influence is as ubiquitous as it is unchallenged. ensuring their influence remains strong in the game.

Jeff Green, The Trade Desk’s CEO, has likened the current advertising landscape to a historical shift in technology, akin to a game-changing season where new strategies and players emerge, reshaping the league. In his view, advertising is undergoing a transformation, an evolution that’s both inevitable and irreversible.

This rivalry between The Trade Desk and Google is more than just a competition; it’s a battle over the future direction of the digital advertising industry. Each company is playing to its strengths, with The Trade Desk pushing for a more open, diverse approach, while Google aims to maintain its dominant position, even as it navigates the complex field of privacy concerns.

As 2024 unfolds, this contest will only intensify. The Trade Desk, with its focus on innovation and challenging the status quo, is our favorite underdog team that’s suddenly a serious contender for the championship. Google, with its vast resources and entrenched position, is the defending champion, determined not to yield its title. Plus they’ve rigged the game (according to the DOJ.)

In this high-octane game, every play counts, and the outcome will shape not just the fortunes of these two teams but the entire digital advertising league.

One thing is certain: both The Trade Desk and Google are playing to win, and the competition will be nothing short of thrilling.

Survivor: Adtech Edition. Layoffs, AI, and the Quest for Relevance

Pesach Lattin

2024-01-22

The capricious world of online advertising: where the only constant is change, and the recent shifts are as dramatic as a telenovela finale. As 2023 waved goodbye, the industry stood tall, proud of its employment zenith. But as we all know, what goes up must come down.

Enter the stage, the seers of the corporate realm at Davos. A quarter of these crystal-ball gazers foresee generative AI not just changing the game but also clearing the board, predicting workforce reductions north of 5%. This isn’t just any old survey; it’s a PwC classic, with insights from 4,702 chiefs across 105 countries. The sectors trembling the most? Media, banking, insurance, and logistics, with their eyes fixed on AI’s double-edged sword of profitability and potential job cuts.

But the story takes a twist. Not everyone’s sold on this AI-induced upheaval. Nearly half are skeptics, doubting any significant impact from AI’s sorcery. This sets the stage for a narrative of conflict and contrast within the industry.

2024, the year looming large on the horizon, seems scripted for mass layoffs, particularly in adtech. This grim forecast comes from Resume Builder’s survey of over 900 companies, painting a rather bleak picture for the year ahead.

Google, the behemoth of the tech world, has already started trimming its sails. A thousand employees were shown the door, and now the ad sales team is in the crosshairs. Chris Pappas, the voice of Google, talks of restructuring and realignment, but the underlying story is one of downsizing.

Philipp Schindler, Google’s senior vice president, in a memo that’s more revealing than intended, points to the Large Customer Sales (LCS) unit bearing the brunt, with the Google Customer Solutions (GCS) team emerging as the new focal point. This isn’t a sudden move; remember the layoffs in LCS last October? That was just the overture.

InMobi isn’t sitting this dance out either. They’re gearing up to bid adieu to more than 100 employees, marking their second round of layoffs in a year. Out of their 2,500-strong workforce, this might seem a drop in the ocean, but each drop creates ripples. They wrap this decision in the language of AI, market evolution, and competitive strategy. Yet, the underlying narrative remains the same – cuts and more cuts.

Spotify, not to be outdone, is playing its own game of corporate ‘Survivor’. They’re cutting loose 1,500 of their team, a significant 17% of their workforce, with adtech and advertising feeling the sharpest edge of the blade. They join the likes of Etsy and Amazon, who have also been wielding the layoff axe with a heavy hand.

So, what does this all mean? It’s a tale of transformation, driven by technological advancements and market pressures. The online advertising industry is at a pivotal point, with AI as the protagonist in this unfolding drama. For those in adtech, it’s a time of uncertainty, but also of opportunity. The industry is reshaping itself, and with every shift, new doors open even as old ones close.

2024 is set to be a year of significant change, with companies big and small reevaluating their strategies and workforce in response to the relentless march of technology and market demands. It’s a narrative of adaptation, innovation, and, yes, survival. The only question that remains: who will write the next chapter in this ever-evolving story?

The Attention Alchemist: How Yan Liu is Redefining TV’s Golden Metric

Pesach Lattin

2024-01-15

In the restless panorama of media and technology, where the flickering screens hold sway over the collective gaze, Yan Liu stands as a visionary sculptor of invisible data. As CEO and co-founder of TVision, Liu is not merely observing the tides of television viewership but actively reshaping the way brands, agencies, and TV media sellers comprehend the deep, often unseen currents of viewer attention.

At the core of Liu’s philosophy lies a simple yet profound realization: In a world awash with content, attention is the most scarce and precious commodity. It’s an insight he gleaned not in boardrooms or market analysis sessions, but in the trenches of the advertising world. “I was running an ad agency,” Liu recalls, “and I saw that television measurement was stagnated.” This epiphany drove him to MIT, where TVision began as a seed of thought, germinating in the fertile ground of innovation.

Liu’s journey, a tapestry woven with threads from China, Japan, and now the United States, is marked by an unquenchable thirst for knowledge and a relentless pursuit of efficiency. His earlier ventures in digital marketing and his strategic insights from McKinsey’s Tokyo office were but preludes to his true calling: revolutionizing TV measurement.

In the dynamic landscape of media consumption, Yan Liu, through TVision, is carving a niche where the precision of digital analytics melds seamlessly with the unpredictability of human behavior in the living room. His approach to TV viewership measurement is akin to a cartographer charting unknown territories, except Liu maps the contours of viewer attention. “Our solution does not rely on the viewer doing anything but watching,” Liu clarifies. This passive, yet profoundly insightful methodology is the cornerstone of TVision’s innovation. By deploying state-of-the-art computer vision technology, TVision captures a comprehensive view of viewers’ engagement without being intrusive. This unique blend of technology and methodology ensures that the insights gleaned are both unobtrusive and incisively sharp.

Liu’s vision is not confined to the current landscape of television and digital content consumption; he is actively shaping its future. In his perspective, the demarcations between traditional TV, CTV (Connected TV), and digital platforms are not just fading; they are becoming increasingly irrelevant. This viewpoint is not merely speculative; it’s backed by robust data gathered by TVision. The Signal report, a monthly digest of viewing trends produced by TVision, offers empirical evidence to support Liu’s claims. “Today viewers spend more time watching CTV than linear,” Liu states, highlighting a pivotal shift in consumer behavior. This observation is crucial, especially considering the lag in advertising dollars, which remain disproportionately skewed towards traditional TV.

The significance of Liu’s work lies in its ability to reconcile the growing divide between traditional and modern content consumption. By tracking viewer engagement in real-time and with granular detail, TVision is redefining the metrics that drive advertising strategies. The depth of the data collected offers an unprecedented understanding of viewer behavior, transcending beyond mere viewership numbers to unravel the nuances of engagement and attention.

This transition to attention-based metrics is more than a technical advancement; it’s a paradigm shift in how media value is assessed. Liu’s foresight in recognizing the potential of CTV and integrating it into the broader spectrum of TV measurement is pioneering. His work is not just about adapting to change; it’s about leading it. By aligning the measurement of traditional TV and CTV with the precision of digital analytics, Liu is not only predicting the future of media consumption; he is actively crafting it.

In differentiating TVision, Liu speaks with the quiet confidence of a man who knows he holds a winning hand. “TVision runs the largest passive CTV panel in the world,” he states. This isn’t just about scale; it’s about depth. Second-by-second attention measurement, co-viewing analytics — these are the tools Liu wields to carve out a new understanding of viewer engagement.

For Liu, the future of advertising is not just about being seen; it’s about being engaged with. “Attention is the one metric the industry can coalesce around,” he asserts. It’s a metric that transcends platforms, bringing a common language to TV, CTV, and digital.

Yet, even as he navigates these complex waters, Liu remains acutely aware of the privacy tempests that could capsize his venture. TVision’s commitment to privacy is not just a policy; it’s a cornerstone of their business model, essential for maintaining the trust of customers and panelists alike.

Yan Liu’s vision for the future of TV measurement is both ambitious and nuanced, seeking to bridge the vastness of big data with the depth of panel data. He perceives these two worlds not as opposites, but as complementary forces that, when combined, can offer a more holistic view of television viewership. “The future of TV measurement will be based on a combination of census data calibrated for accuracy with panel data,” Liu states, envisioning a model where quantitative breadth meets qualitative depth. This approach aims to capture the complexity of viewer behavior, recognizing that the true value of viewership lies not just in numbers, but in the context and quality of engagement. By integrating the broad scope of census data with the detailed insights from panel data, Liu proposes a methodology that can adapt to the ever-evolving landscape of media consumption.

The practical implications of Liu’s approach are already making waves in the marketplace, demonstrating the real-world effectiveness of his vision. He recounts the success story of Anheuser Busch’s collaboration with A+E Networks, a campaign that stands as a testament to TVision’s capabilities. In this partnership, TVision’s data played a crucial role, ensuring not only the viewability of the ads but significantly enhancing the overall value of the campaign. This case illustrates the transformative potential of TVision’s insights, offering a glimpse into a new era of advertising where the focus shifts from mere exposure to meaningful engagement.

Another shining example of TVision’s impact is seen in its collaboration with Scripps Networks. Utilizing TVision’s Attention to Duration Index (ATDI), Scripps Networks has been able to highlight the unique engagement with its content. This metric offers a more nuanced understanding of viewer attention, surpassing traditional ratings in its ability to quantify the quality of viewer engagement. The ATDI doesn’t just count eyes on the screen; it measures how effectively a program or advertisement maintains viewer attention, providing a more sophisticated metric for evaluating content and ad performance.

The stories of Anheuser Busch and Scripps Networks are more than just success stories; they are harbingers of the changing tides in TV advertising and content valuation. Liu’s innovative approach, embodied in TVision’s technology, is paving the way for a new understanding of what it means to capture and hold viewer attention. It’s a shift from a quantity-focused paradigm to one where quality, context, and engagement are paramount. In this new landscape, advertisers, networks, and content creators are empowered with insights that go beyond traditional metrics, enabling them to connect with audiences in more meaningful and impactful ways. Yan Liu’s vision, thus, is not just redefining TV measurement; it is reshaping the very fabric of how television’s value is perceived and leveraged in an increasingly complex and fragmented media world.

Yan Liu’s narrative is more than a story of business success; it’s a parable for our times. In a world where our gaze is fragmented by endless streams of content, Liu’s work at TVision seeks to understand not just what we watch, but how we watch. It’s a journey that transcends technology, touching on the very essence of human attention in the digital age. Liu isn’t just measuring viewership; he’s mapping the uncharted territories of our collective attention, one flickering screen at a time.

No Cookie Left Behind: The Great Chrome Deprecation Debacle

Pesach Lattin

2024-01-12

The adtech world: where the only constant is change, and what a rollercoaster it’s been lately! Let’s dive into the saga of Chrome’s cookie deprecation, shall we? It’s a tale peppered with data, drama, and a dash of digital Darwinism.

First off, the stage is set by Paul Bannister from Raptive, who’s been playing data detective since Chrome kicked off its 1% deprecation trial. The plot twist? It’s not really a full 1% yet – more like a dress rehearsal than opening night. Despite the discrepancy, there’s enough juicy data to whet our appetites for what’s to come.

Now, let’s talk about Chrome’s uncookied users. These digital nomads are wandering the ad plains, monetizing about 30% worse than their cookie-carrying counterparts. Sure, that sounds like bad news at a glance. But when you pit it against Safari’s dire 60% worse performance, it almost seems like a cause for celebration. It’s like being the second-to-last in a race; not great, but hey, at least you’re not last!

But wait, there’s a silver lining! According to Bannister’s crystal gazing, that 30% gap is expected to shrink. The secret ingredients? A mix of Privacy Sandbox innovations and ID solutions. It’s a bit like trying to fix a leaky faucet with a Swiss Army knife – tricky, but doable.

Speaking of tricks, Google is playing its cards close to its chest with its all-in approach to the Privacy Sandbox. Meanwhile, other SSPs are hedging their bets, supporting both the Sandbox and alternative solutions. It’s a high-stakes game of digital poker, and the chips are data points.

Alright, let’s zero in on Yahoo, where they’re stirring the pot in a big way. Picture a mad scientist’s lab, but instead of bubbling beakers and zapping electrodes, there’s a whirlwind of digital innovation. Yahoo, in a move that’s half James Bond and half Silicon Valley, rolls out its first-to-market testing capabilities for its identity suite right in the belly of the Yahoo DSP beast. It’s not just a toe-dip into the post-cookie era; it’s a full-on cannonball into the deep end.

In this digital lab, advertisers are like culinary wizards in a kitchen where cookies are off the menu. They’re whipping up campaigns in a cookieless world, tossing in a pinch of creativity here and a dash of strategy there. It’s an experimental buffet, and Yahoo’s serving up the main course. The aim? To see if these cookie-free campaigns can float or if they’ll sink like a soufflé in a storm. It’s a high-wire act without a net, and the whole ad world is watching with bated breath.

But Yahoo isn’t just playing mad scientist for kicks. There’s method to this madness. By simulating campaigns in a world where cookies are as passé as dial-up internet, they’re giving advertisers a glimpse into the future. It’s like a crystal ball, but instead of vague predictions, it offers concrete data on what works and what flops in a cookieless landscape. Yahoo is essentially building a life raft for advertisers to navigate these uncharted waters, and everyone’s eager to see if it’s a yacht or a dinghy.

But that’s not all. The ad world is buzzing with more than just cookie talk. LG Ad Solutions has roped in Mike Brooks as the new Global Head of Business Development and Partnerships. It’s like drafting a star player right before the big game. And Zendesk? They’re expanding their empire by acquiring Klaus.

Then there’s the enlightening chit-chat with Dave Bottoms from Upwork, shedding light on the product strategies in these cookie-less times. Eli Heath from Lotame throws in his two cents, reminding everyone that this cookie apocalypse only affects a tiny 1% of browsers. It’s like worrying about a drop in the ocean, but hey, every drop counts.

Dan Pike from Covatic doesn’t seem too fazed by all this. He views the cookie’s demise as a positive evolution, ushering in a new era of data control and effective targeting. It’s like watching the dinosaurs go extinct, making way for the mammals to rise.

On the other hand, Jeremy Haft from Digital Remedy presents a more ominous picture. The cookie deprecation could be a game-changer for advertisers and the entire digital ad ecosystem. If Google plays its cards right, or wrong, depending on how you look at it, the industry might have to gear up for some significant shifts. It’s like standing on the edge of a cliff, wondering whether to jump or not.

In this swirling vortex of data, deprecation, and digital strategizing, one thing’s clear – the online advertising world is in for a wild ride. Fasten your seatbelts, folks; it’s going to be a bumpy yet exhilarating journey through the ever-evolving landscape of digital advertising.

Cutting Through Chaos: AdTech’s Lean, Mean Cost-Cutting Crusade

Pesach Lattin

2024-01-10

Welcome to 2024, the year that the AdTech industry decided to throw itself a surprise party, only to realize it had forgotten to invite stability. In this whirlwind of a year, we’re witnessing a consolidation in the industry that’s less like a well-orchestrated ballet and more like a flash mob in a bazaar. Picture this: a landscape where the rules are written in invisible ink, and the players are as unpredictable as a game of 3D chess in a wind tunnel. This isn’t just a change; it’s an uproarious reinvention of the digital advertising space.

In the buzzing hive that is AdTech, the need for transparency and control has surged like a caffeine rush. The landscape is buzzing with activity as supply-path optimization tools emerge as the vanguard of innovation, challenging and reshaping the traditional frameworks of digital advertising. These tools are like the avant-garde artists of the AdTech world, painting a new picture where the roles of buyers and sellers are no longer rigidly defined but are fluid and interchangeable. It’s a dynamic shift that injects a dose of unpredictability and excitement into the industry, reminiscent of a high-stakes reality TV show where the rules are constantly rewritten. This transformation is not just a superficial change in operations; it represents a deeper evolution in the ethos of AdTech, moving towards a more transparent, user-centric model that values clarity as much as it does efficiency.

Amidst this backdrop of change, the specter of economic uncertainty looms large, casting a shadow that has prompted companies to adopt a new mantra: adapt or be left behind. In response, firms across the spectrum are embarking on a mission to streamline their operations, cutting away the superfluous to reveal a more agile and resilient core. This cost-cutting crusade is akin to a meticulous culinary exercise, where each slice is calculated and precise, aimed at enhancing the overall flavor of the dish. The AdTech industry, thus, is undergoing a metamorphosis, shedding its old, bulky skin to emerge leaner, more focused, and more adaptable. The changes borne out of economic necessity are catalyzing a revolution in how companies operate, pushing them towards a model that values strategic agility and lean operations as key to survival and success.

The result of these converging forces – the drive for transparency and the need for economic efficiency – is a newly sculpted AdTech landscape. This redefined space is characterized by a heightened sense of purpose and direction, driven by the imperative to deliver value in a clear, efficient manner. Companies are now operating on a heightened sense of necessity, fueled by the challenges and opportunities these changes bring. The industry is no longer just about reaching the widest audience; it’s about doing so in a way that is sustainable, accountable, and effective. This new AdTech world is less about the brute force of mass marketing and more about the finesse of targeted, meaningful engagements. It’s an exhilarating time for the industry, marked by a rush of innovation and a renewed commitment to delivering advertising that is not just impactful, but also responsible and transparent.

But wait, there’s an even more thrilling plot twist in the AdTech saga of 2024! The digital landscape is witnessing the slow but inevitable demise of third-party cookies, a shift akin to the fall of an ancient empire. These cookies, once the cornerstone of digital identity and tracking, are now relics of a bygone era, leaving a void that’s ripe for innovation. This upheaval has sent the once-dominant identity providers into a frenzy, as they scramble to adapt to a new reality where their traditional tools are becoming obsolete. However, this isn’t just a tale of decline and fall; it’s a narrative brimming with opportunities. The void left by third-party cookies is a fertile ground for fresh ideas and bold new players, eager to explore uncharted territories in the digital world. This is more than a challenge; it’s an invitation for innovators and disruptors to step in, offering a chance to redefine how online identity and personalization are approached.

This transformative period in AdTech is reminiscent of a modern-day gold rush, where the precious metal is data, and the prospectors are tech whizzes armed with cutting-edge algorithms. Each step away from third-party cookies opens a new window of possibility, revealing glimpses of potential new digital realms waiting to be explored. These emerging spaces are not just vacant lots; they are brimming with potential for those with the vision and prowess to seize them. Forward-thinking companies and tech maestros are now at the forefront, mining this rich vein of opportunity, crafting innovative solutions that promise to redefine how we understand and utilize data in advertising. This seismic shift is not the end of an era; it’s the dawn of a new one, marked by creativity, innovation, and a reimagined approach to digital identity and advertising strategies. It’s an exciting time in AdTech, one where agility, ingenuity, and a deep understanding of data are the keys to unlocking a future full of possibilities.

Amidst this dramatic backdrop, there’s a subplot that’s equally gripping – the rise of Connected TV (CTV). CTV is the new darling of digital advertising, but it’s playing hard to get. This rising star of digital advertising is catching everyone’s eye, much like the last tempting slice of cake at a lavish party. CTV represents a novel and enticing avenue for advertisers and broadcasters, offering a tantalizing blend of traditional TV’s broad reach and digital advertising’s sharp targeting capabilities.

However, engaging with CTV isn’t as straightforward as it may seem. The challenges of pricing and transparency are akin to unexpected guests at this promising feast, introducing a level of complexity that turns every decision into a carefully measured step. Advertisers find themselves in a delicate ballet of desire and caution, navigating through a landscape where every move holds immense potential yet is fraught with uncertainty.

The allure of CTV lies in its unique position in the modern consumer’s life. It’s more than just a platform; it’s a gateway into the living rooms and personal spaces of viewers, offering a level of intimacy and engagement that traditional digital platforms struggle to match. This intimate access positions CTV as a goldmine for advertisers seeking to make a lasting impact. However, the catch lies in unlocking its true potential without succumbing to the pitfalls of intrusive or irrelevant advertising. The key is in striking the perfect balance between personalization and privacy, a task that requires not just technological prowess but also a deep understanding of consumer behavior and preferences.

Enter the complex world of programmatic CTV, where traditional methods of selling ad impressions undergo a metamorphosis to fit the unique contours of the CTV landscape. The transition is challenging, akin to fitting square pegs into round holes. Traditional models, which worked like well-oiled machines in the straightforward realm of web and mobile advertising, now encounter a new set of rules and dynamics in CTV. Advertisers and tech providers are in a constant state of flux, trying to adapt and innovate in real-time. The goal is to harness the full potential of CTV without diluting the viewer experience – a task that’s as intricate as it is critical.

This evolution in the CTV advertising space is reminiscent of solving a continuously shifting puzzle. Each attempt at aligning the right audience with the most suitable content and advertisement is like trying to solve a Rubik’s cube that’s constantly changing colors. The complexity of programmatic CTV lies in its fluidity; the variables of viewer preferences, content types, and appropriate ad moments are in a perpetual state of change. This dynamic environment makes programmatic CTV not just a technological challenge but also a test of strategic foresight and adaptability. For advertisers willing to dive into these uncharted waters, the rewards promise to be as rich as the challenges are daunting.

The convergence of TV’s mass appeal with digital’s precision targeting heralds a new era of advertising possibilities. However, the path is lined with challenges that test the industry’s creativity, agility, and ethical boundaries. Navigating this path successfully requires a blend of innovative technology, strategic thinking, and a keen understanding of the evolving consumer mindset. In this exciting chapter of AdTech’s story, CTV stands not just as a new platform, but as a symbol of the industry’s continuous evolution and its relentless pursuit of more meaningful, effective, and responsible advertising.

As we peer into the not-so-distant future of the AdTech industry, the buzzword is efficiency, but with a green twist. Sustainability is no longer a nice-to-have; it’s a must-have. The industry is evolving, not just in terms of technology and strategy but also in its ethos. We’re moving towards a model where efficiency coexists with responsibility, where the carbon footprint is as much a metric as click-through rates. In this new world, digital advertising is not just about reaching audiences but reaching them in a way that’s mindful of our planet and its future.

So, as we navigate through the rollercoaster that is 2024 in the AdTech industry, let’s embrace the chaos with a dash of daring.

This is a year of transformation, of unexpected turns, and thrilling possibilities.

It’s a time to be agile, to think outside the box, and to ride the waves of change with a surfboard made of innovation and a wetsuit of resilience. Hold onto your hats, folks – it’s going to be a wild ride!

Bittersweet Change: The End of Cookies and the New Ad Frontier

Pesach Lattin

2024-01-05

Ah, the cookie crumbles, and not the sweet, chocolate-chip kind we all adore.

Picture this: I just heard from a marketing manager, who was minding their own business, and was suddenly ambushed by a CEO in a frenzy.

The culprit?

An article in the Wall Street Journal screaming about the apocalypse of digital advertising, all thanks to Google’s plan to ax third-party cookies. The manager tries to calm the storm, explaining it’s not the end of the world, but the CEO, armed with an echo of the same story from INC, is having none of it. He’s ready to pull the plug on Google advertising, convinced it’s all going down.

Here’s the deal: Google is indeed shaking things up in Chrome-land, waving goodbye to third-party cookies – those tiny digital spies that track our every online move. This change, set to rock the boat by the end of 2024, is part of Google’s grand plan to make the internet a more private place. Imagine that – a tech giant championing privacy! They’ve even started testing this new frontier on a lucky (or unlucky, depending on how you see it) 1% of Chrome users.

Why the fuss, you ask? Well, cookies are like the internet’s memory. They remember where you’ve been, what you like, and even what you almost bought but decided against because, let’s face it, who needs another novelty mug? This memory helps advertisers target ads with eerie precision. But with Google pulling the plug, the marketing world is in a tizzy, worried about losing this valuable insight.

But not everyone’s mourning the loss. Some industry hotshots are saying, “Bring it on!” They believe we’ll adapt, find new ways to reach our audience, and maybe even respect their privacy a bit more. Google’s not just cutting us loose, though.

They’re introducing something called Tracking Protection in Chrome.

It’s like a bouncer at the club of your personal data, deciding who gets in and who doesn’t.

Still, there are naysayers. Some think Google might backtrack if this experiment goes south. Others argue that even if Google goes full throttle, it’s not the end of the world. We’ve been living in a partially cookie-less world for a while, thanks to browsers like Safari and Firefox. And guess what? The sky hasn’t fallen yet.

The cookie jar’s impending emptiness has set off a scramble akin to a Black Friday rush for the last big-screen TV. The industry’s quest for alternatives to third-party cookies isn’t just a search for new tools; it’s more like a plot twist in a techno-thriller. Picture this: universal IDs, Identity Graphs, and Data Clean Rooms – names that sound like they’ve been lifted straight from a sci-fi bestseller or the secret labs of a Bond villain. These are not your average marketing tools; they’re the new protagonists in the narrative of future advertising.

Universal IDs are stepping into the spotlight, promising a less intrusive, more consent-focused way of understanding audiences. Imagine a digital masquerade ball, where everyone wears a mask (a.k.a. the universal ID) – you know they’re at the party, but their true identity remains a respectful secret. It’s like cookies, but with manners and a respect for personal space. These IDs are the industry’s gallant attempt to waltz with privacy concerns while keeping the rhythm of targeted marketing.

Then there’s the world of Identity Graphs and Data Clean Rooms, which sound like something you’d find in a high-security, top-secret facility. Identity Graphs are the industry’s new detectives, piecing together clues to form a comprehensive yet anonymized picture of consumer behavior. On the other hand, Data Clean Rooms are the industry’s version of a Swiss bank vault – a place where data from different parties can mingle without compromising individual privacy. It’s the industry’s way of saying, “Let’s pool our toys but play by the rules.” These innovations are not just fancy new gadgets; they represent a seismic shift towards a marketing utopia where consumer privacy and effective advertising coexist in harmony. Welcome to the brave new world of advertising – less Big Brother, more tech-savvy cousin twice removed.
Let’s strip away the sugar coating and see this for what it really is. Let’s not kid ourselves: Google’s shift away from third-party cookies isn’t just a noble crusade for privacy.

Oh no, it’s a chess move in the grand game of digital dominance.

This isn’t just about safeguarding our online secrets; it’s Google’s strategy to redraw the map of digital advertising. By changing the rules of the game, they’re not just protecting privacy; they’re reshaping the playing field to their advantage.

And in this new game, it’s the small players who are biting their nails, wondering how they’ll stay in the race. Without the deep pockets or vast resources of the tech titans, these smaller companies and startups are facing a David versus Goliath scenario. They’re left scrambling to adapt to a landscape that’s morphing before their eyes, trying to find their footing as the ground shifts beneath them.

This move by Google, then, is a double-edged sword. On one side, it champions user privacy, a cause we can all rally behind. But on the flip side, it consolidates power in the hands of the few who can navigate these changes. It’s a reminder that in the world of digital advertising, the giants don’t just set the trends – they can alter the very fabric of the industry, leaving everyone else to either adapt or get left behind.

So, what’s the moral of the story?

Change is inevitable, especially in the whirlwind world of digital advertising.

We’ll grumble, we’ll panic, but at the end of the day, we’ll adapt.

We always do.

And who knows?

This might just be the push we need to innovate, to find new ways to connect with people without being creepy about it.

Because let’s be honest, nobody likes to feel like they’re being watched.

Not even by a cookie.

Programmatic and the Terrible, Horrible, No Good, Very Bad Day: Did We Cause It?

Pesach Lattin

2024-01-03

Programmatic advertising is kinda like that shifty character in a noir film, lurking in the shadows, whispering sweet nothings about efficiency and reach.

But have we, the intrepid advertisers of the digital age, finally called its bluff? Is it time to say, “Programmatic, darling, your days of smoke and mirrors are over”? Well, strap in, because this is a tale of transparency, or rather, the scandalous lack thereof.

Picture this: the US Association of National Advertisers (ANA) drops a report. Not just any report, but a 125-page doorstopper that reads like a tragicomedy of how a staggering $88 billion is frittered away in the labyrinthine world of programmatic advertising. A quarter of that spend is as wasteful as a chocolate teapot.

What a spectacle!
But wait, let’s add a twist of lime to this already zesty story. The programmatic supply chain, ladies and gentlemen, is an enigma wrapped in a riddle, shrouded in mystery. Imagine a bazaar at midnight, where the only light comes from a flickering neon sign, casting long shadows over a labyrinth of stalls. That’s the programmatic marketplace for you. What’s on offer, you ask? Ah, that’s the million-dollar question! Fees and inventory sources are as elusive as a cat in a pitch-black room. You think you’ve got a grip on them, but whoosh, they slip away, leaving you grasping at straws.

Now, let’s talk sunlight – not the warm, comforting kind, but the searing, disinfecting blaze that exposes every nook and cranny. In the murky waters of programmatic buying, such clarity is desperately needed. We’ve been navigating through fog, guessing at the shape of things, but what we need is a high-beam flashlight to show us the real deal. Upfront disclosure of fees, you say? Absolutely! Let’s see the price tags on these mysterious wares. Knowing where our ad dollars are going should be as straightforward as reading a menu in a diner, not like decoding the Rosetta Stone.

But here’s the kicker – it’s not just about shining a light; it’s about what lurks in the shadows. In this shadowy bazaar, not all merchants are what they seem. Some stalls are bright and welcoming, offering quality goods at fair prices. But then, there are the others – the ones tucked away in the corners, where the light doesn’t reach. These are the purveyors of low-quality inventory, the hidden fees maestros, the masters of digital sleight of hand. They thrive in the darkness, in the confusion. It’s high time we brought these shadowy figures into the light, scrutinized their wares, and demanded better. Only then can we cleanse this bazaar of its murkiness and turn it into a marketplace we can trust.

Ah, the middlemen – the resellers. These characters are as familiar to us as the back of our smartphones, their presence ubiquitous in every trade publication we flip through. They’re like the gatekeepers of a secret garden, only this garden is filled with digital ad slots and not-so-magical mysteries. We see them, alright, with their glossy ads and their polished pitches, promising efficiency and simplicity. But when it comes to answering the hard questions, they’re as slippery as eels. Their silence is louder than any billboard, raising more red flags than a bullfight.

Now, let’s entertain a radical, almost revolutionary thought: what if we bypass these suave middlemen altogether? Imagine a world where advertisers and publishers dance directly, without needing a chaperone. It’s like cutting out the broker when buying a house – direct negotiations, clear terms, no hidden fees. Platforms have been pushing us towards these resellers like overzealous matchmakers, but maybe it’s time we take control of our own dating life. Direct dealings could mean more transparency, better control over where our ads go, and, crucially, less money vanishing into the nebulous world of reseller fees.

But here’s the catch – these middlemen don’t just fade into the background. They’ve nestled themselves comfortably into the fabric of programmatic advertising, becoming as essential as an overpriced coffee in a marketer’s day. The idea of bypassing them might sound as far-fetched as a day without emails. Yet, the potential benefits are too significant to ignore. By dealing directly, we could tailor our campaigns with surgical precision, ensuring our ads land in the right spots, not just where the resellers deem fit. It’s about taking the reins, steering our digital chariots towards a future where control and clarity reign supreme, and the murky waters of programmatic become as clear as a mountain spring.

But why should we stop at just exposing the middlemen? The murky waters of programmatic advertising need thorough cleansing, and for that, two substantial steps are critical. The first step is all about bringing transparency to ad placements and pricing. We’ve been blindly throwing our ads into the digital abyss, hoping they land somewhere impactful. This needs to change. We’re in a golden age of data and analytics, yet, ironically, many of us are still navigating in the dark regarding where our ads actually end up. No more blurry insights or guesswork; clear and transparent reporting should be the standard.

The next step is about democratizing the Demand Side Platforms (DSPs). This is about breaking down barriers and opening up opportunities for advertisers who have the know-how and ambition to take the reins. Instead of being shoehorned into working with intermediaries, these advertisers should be able to dive directly into the DSPs. It’s like removing a layer of bureaucracy to streamline the process, making it more efficient and potentially more cost-effective.

Adopting this direct approach could be transformative for the industry. It would enable advertisers to tailor their campaigns more precisely, ensuring that their ads are seen by the right eyes, in the right context. This level of control could lead to more effective campaigns and better use of ad budgets. After all, who better to make decisions about where ads should appear than the people who know their audience best?

However, implementing these changes won’t be a walk in the park. There’s a certain comfort in the status quo, and shaking that up requires courage and commitment. The current system, with its layers of intermediaries and lack of transparency, has been the norm for too long. But just because something is familiar doesn’t mean it’s effective. It’s time for a change.

This shift towards transparency and control in programmatic advertising isn’t just beneficial for advertisers; it’s a win for the entire ecosystem. When ads are placed more strategically, not only do advertisers get better returns on their investment, but the audience also receives more relevant and engaging content. It’s a move towards a more respectful and value-driven approach to digital advertising.

So, did we kill programmatic? Not at all. What we’re doing is akin to shaking a sleeping giant awake. It’s time to demand that this lumbering beast of a system straightens its back and starts walking the straight line. We’re not in the business of demolishing; rather, we’re in the workshop, chiseling away at the rough edges, refining, and reshaping. This is about infusing the system with accountability, transparency, and efficiency. Programmatic advertising, as we know it, is poised for a renaissance, and we’re the artists at the easel. Our mission? To transform this murky, imprecise art form into a portrait of clarity and effectiveness. It’s not just a makeover; it’s a rebirth. The potential for a truly remarkable turnaround story is right at our fingertips – and who isn’t a sucker for a good redemption tale?

But let’s not mince words here – this isn’t just about polishing up a few rough spots. There’s a need to expose and, if necessary, excise the unsavory elements that have long lurked in the shadows of programmatic advertising. We’re talking about the shifty companies that contribute nothing but fraud and inflated prices, the parasites that feed on the system, bloating it and making it unwieldy. They’re not just a nuisance; they’re a threat, a contagion that makes the entire ecosystem sick. By allowing these entities to operate unchecked, we’re not just hurting our wallets; we’re undermining the very fabric of the digital advertising world. It’s time to shine a spotlight on these bad actors, to call them out and hold them accountable. In doing so, we’re not just cleaning house; we’re safeguarding the future of programmatic advertising, ensuring it’s a tool that serves us all, efficiently and effectively. Let’s roll up our sleeves and get to work – the health of our industry depends on it.

FAST and Curious: The Free Ad-Supported TV Phenomenon Taking Over Streaming

Pesach Lattin

2024-01-03

Netflix’s dive into the ad-infested waters isn’t just a splash—it’s a cannonball that’s sent waves through the SVOD sea. In a landscape where “subscriber growth” was the chant, the major players are now humming a different tune: advertising tiers. This shift is more than just a fad.

The year 2023 in media was less a rollercoaster and more a rocket ride to the moon—without a clear landing strategy. WGA and SAG-AFTRA strikes turned studios into frantic chefs in a kitchen where half the ingredients are missing. This chaos was the backdrop to the intensifying streaming wars.

Enter the age of FAST—free ad-supported streaming TV. As subscription costs skyrocket, viewers are hunting for cheaper thrills. Pluto TV, The Roku Channel, Tubi, Amazon’s Freevee, and Peacock’s free tier are the new cool kids on the block. Over half of viewers are tuning in. Freevee’s ‘Jury Duty’ became a streaming Cinderella story, and Tubi is upping its game with more originals to seduce subscribers.

Welcome to the Great Rebundling. HBO Max and Discovery+ merged to form ‘Max’, a move akin to two superheroes joining forces. Paramount threw in its hat with Paramount+ and Showtime. Disney, not one to be left behind, mashed up Disney+, Hulu, and ESPN+ into a one-app wonder. There’s talk of Apple and Paramount cozying up for a bundle, and Verizon’s offering a cut-price Netflix and Max deal. It’s like the streaming world decided to play musical chairs, but with subscription services.

Sports on streaming is now big business. A chunky 29% of viewers are catching sports on platforms like Prime Video. YouTube TV scored NFL’s Sunday Ticket for a cool $2 billion, elbowing out Disney, Amazon, and Apple. Prime Video’s Thursday Night Football saw a viewership uptick of 25%. Netflix is set to stream a tennis face-off between Rafael Nadal and Carlos Alcaraz, while Disney’s planning a solo ESPN streaming app for 2025. It’s like traditional TV sports and streaming had a baby, and it’s athletic and tech-savvy.

Studios are now eyeing social media as the new Wild West of content distribution. Full-length episodes and movies are popping up on platforms like TikTok and Twitter. Peacock tested the waters with ‘Killing It’ on TikTok, and Paramount dropped ‘Mean Girls’ there too, raking in millions of views. It’s the digital equivalent of finding a dollar in your old jeans, but for content.

Reruns are making a comeback, proving that everything old can be new again. ‘The Office’, ‘Friends’, ‘Seinfeld’, and ‘Breaking Bad’ remain the comfort food of streaming. Nickelodeon’s ‘Avatar: The Last Airbender’ and the CW’s ‘Riverdale’ and ‘All-American’ found new life on Netflix. USA Network’s ‘Suits’ hit the streaming jackpot after Netflix licensing. It’s like rediscovering your old mixtape and realizing it’s still awesome.

Films are getting a second act as limited series. ‘BlackBerry’ transformed from a feature film to a three-part series. Baz Luhrmann’s ‘Australia’ morphed into ‘Faraway Downs’ on Hulu, with extra footage and plot twists. It’s like those movies went into a chrysalis and emerged as binge-worthy butterflies.

Netflix’s 15 million monthly users on its ad plan is more than a statistic; it’s a trend. They’re experimenting with “binge ads” and sponsorships for hits like ‘The Crown’. Netflix is a streaming giant but a minnow in CTV ad revenues. It’s like Goliath decided to sell lemonade on the side.

Disney+ and Amazon are joining the ad party. Disney+ even launched programmatic ad inventory. Apple’s eyeing a bigger slice of the ad pie for Apple TV+. It’s a club everyone wants to join.

Antenna’s subscriber categories—Ad Avoiders, Ad Takers, Ad Managers, and Ad Oblivious—paint a picture of a viewer base as diverse as a bag of mixed nuts. The spread of ad-supported plans reveals a streaming landscape as varied as a flea market.

As streaming grows up, platforms are wrestling with the ad-supported versus ad-free quandary. Will the “Ad Manager” trend, where viewers toggle between ad-loaded and pristine experiences, become the new normal? In the coming years, defining advertising’s role in the streaming saga is the cliffhanger we’re all waiting to see resolved. The story of streaming and ads isn’t just evolving; it’s a saga with more plot twists than a telenovela.

1...151617...1,257 Page 16 of 1,257

Data, Dance, and Daring Campaigns: Erin Levzow’s Approach to Building Loyalty

Pesach Lattin - 2025-01-15 0

How Mango Habanero, Metrics, and Masterful Moves Redefined Marketing Genius Every so often, a guest comes along who doesn’t just raise the bar—they throw it into orbit. Erin Levzow is one of those guests. From the moment she joined The ADOTAT Show, it was clear we were in the presence of brilliance. Erin is a marketing powerhouse, blending emotional intelligence with razor-sharp strategy, all wrapped in a package of humor, humility, and dazzling storytelling. She’s the...

Streaming’s Big Lie: The Future of TV Is Already Broke

Pesach Lattin - 2025-01-07 0

Streaming was supposed to be the savior of TV—the rebellious new kid with no commercials, endless content, and an open bar of binge-worthy dopamine hits. But, as Doug Shapiro’s sharp, no-BS research reveals, the revolution is out of cash and looking for a loan. Streaming doesn’t just monetize less—it barely monetizes at all. For every streaming dollar generated, old-school pay TV is making it rain with three dollars in subscriber fees and seven dollars...

How to Narrow the Scope of Information Sought by an FTC Civil Investigative Demand (CID)

Richard B. Newman - 2025-01-07 0

A civil investigative demand (“CID”) is the instrument by which the Federal Trade Commission exercises its compulsory process authority in connection with investigations. CIDs may require the production of documents - including electronically stored information – or tangible things, the provision of testimony, and the providing of written responses to questions. A CID must state the nature of the conduct constituting the alleged violation which is under investigation and the provision of law applicable to...

Did Your Company Receive a Letter From the FTC? FTC Warning Letters and Notices of Penalty Offense

Richard B. Newman - 2025-01-07 0

Recipients of FTC warning letters and notices of penalty offense should be on high alert and act quickly. Their advertising and marketing practices could be in violation of applicable legal regulations. What is an FTC Warning Letter? Federal Trade Commission “warning letters” are intended to warn companies that their conduct is likely unlawful and that they can face serious legal consequences, such as a federal investigation or lawsuit, if they do not immediately stop. ...

The Good, the Bad, and the SPO-ly

Pesach Lattin - 2025-01-07 0

The Hidden Flaws Behind Ad Tech’s Favorite Buzzword. Supply Path Optimization (SPO) is my love-hate relationship in ad tech personified. It’s the reason I fell for this industry’s maddening brilliance—and why it sometimes feels like a bad rom-com where no one learns their lesson. At its core, SPO promises efficiency, transparency, and accountability, and when it works, it’s like watching a Rube Goldberg machine perform flawlessly. But when it doesn’t—and let’s be honest, that’s most...

UrbanObserver

ADOTAT

Media Buyers, Wake Up: Laziness is Not a Strategy

ROAS Revolution: How CTV is Redefining Ad Spend Efficiency!

WTF is Wrong with Us? The Great Data-Driven Dystopia Debacle

Five Ways Bid Duplication Mirrors HBO’s Succession

Twice the Bids, Twice the Trouble: A Programmatic Advertising Farce

Surviving the AdTech Sietch: Lessons Learned from the Fremen of Dune

Tech Titans on the Turf: The Trade Desk’s Offensive Against Google

Survivor: Adtech Edition. Layoffs, AI, and the Quest for Relevance

The Attention Alchemist: How Yan Liu is Redefining TV’s Golden Metric

No Cookie Left Behind: The Great Chrome Deprecation Debacle

Cutting Through Chaos: AdTech’s Lean, Mean Cost-Cutting Crusade

Bittersweet Change: The End of Cookies and the New Ad Frontier

Programmatic and the Terrible, Horrible, No Good, Very Bad Day: Did We Cause It?

FAST and Curious: The Free Ad-Supported TV Phenomenon Taking Over Streaming

Other Great Reads

Data, Dance, and Daring Campaigns: Erin Levzow’s Approach to Building Loyalty

Streaming’s Big Lie: The Future of TV Is Already Broke

How to Narrow the Scope of Information Sought by an FTC Civil Investigative Demand (CID)

Did Your Company Receive a Letter From the FTC? FTC Warning Letters and Notices of Penalty Offense

The Good, the Bad, and the SPO-ly

Must Read

About Us

Follow Us