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Publishers offering advertisers larger audience

Following the upselling model in fast food restaurants, publishers can now offer advertisers the ability to reach not just their target audience across different sites and devices, but also find and serve ads to potential audience members. Publishers want to monetise their content. When they find that this is inadequate, they will offer advertisers Audience or Reach Extension. This throws advertiser’s nets wider, through using model lookalikes. That is, lookalikes that are based on other users demonstrating similar preferences and behaviours as those of an advertiser’s established audience. They have to do this with precision as advertisers ultimately want brand awareness. This is composed of brand assimilation and targeting the right people. They do not want to target the wrong people or to decrease the value of their brand. Should publishers succeed in successful reach extension, they will drive more sales and increase their incremental revenue as a result.  



Apple taking advertising into their own hands

Advertising dollars are gravitating towards where audiences are, and audiences are increasingly on mobile devices. This is particularly true in Asia, where mobile penetration is greater than in Western Europe. The mobile market is greater than even the laptop market. Engaging users can be done in two ways on mobiles; through desktop mobile (internet on your smartphone) or through an app. More and more users are spending most of their time inside apps, as these are more interactive than mobile websites. When Apple released its latest version of ios (ios 9), it allowed Apple users to have Ad Blocker on Safari (mobile), but not on apps. Through closing down advertising on their browser, Apple are now able to squeeze those who want to serve ads on Apple’s apps.   



Television to be the new data mine?

With television going ‘smart’, there is a huge opportunity for televisions to provide ample amounts of data to publishers and advertisers. Television is a deeper and more immersive experience, with audiences being less likely to be distracted, compared to watching content on their mobile devices. Advertisers are spending a lot on TV advertising as we know it, but smart TV is promised to be bigger than this and attract a lot more investment. Traditional projected models using representative samples were found to be inadequate. With Smart TV, advertisers will be able to see what the household is watching, and by how many people.  The US has emerged as an experimental market in digital (smart) TV, with a restaurant chain trialling LCI TV (NinthDecimal and TiVo’s tool) to test its advertising related to a major sporting event. They found that out of 2.3 million store visits logged during the campaign, c.350,000 were driven by TV. LCI TV can also be used to create real-world segments based on physical behaviour for example frequent diners, customers who visit once a week rather than creating segments based on age and gender (Demographic segmentation).



Improving data will be key in informing Mars’ new behavioural targeting strategies.

Evidently, to stay competitive in the FMCG sector, Mars has a lot of “catching up to do in the digital race”. The company is trying to move beyond its conventional tactics of basic demographic targeting, towards more sophisticated behavioural targeting; the behaviour being targeted here being “impulsivity”.  Mars wants their ad to be displayed at the precise moment a potential consumer feels impulsive. In order to discern this crucial moment, they need a lot of data about their consumers. Hence, it might be wise for Mars to invest in programmatic marketing. After all, serving relevant content to the right person at the right time is precisely what programmatic marketing is all about. Relevant content is more likely to be shared, increasing brand awareness, and also gives potential customers the push they need to be converted to real customers.



Better attribution solutions need to be developed to meet marketers’ demands for greater accountability.

Marketing budgets are still rising but at a slower rate, as a result of falling confidence in the economic outlook. Here’s the danger: cutbacks in marketing budgets actually feed into a vicious cycle – the fall in brand awareness that follows reduced marketing spend ultimately translates to reduced profits. Regardless, with budgets getting tighter, marketers are calling for greater accountability. This means that getting a return on their investment has never been more important. Hence, it is crucial that better attribution solutions are developed to meet the demands for more accountability. This would demonstrate to companies the impact of their investment, helping them understand what initiatives drove specific results, so that they can adjust their marketing strategies according. Furthermore, this could explain the strong push for programmatic solutions, which enable real-time decision-making that ultimately optimise advertising expenditure.



YouTube urges advertisers to shift TV media spend to their online platform before the impending Smart TV boom.

It is not hard to see why advertisers are attracted to YouTube as an advertising platform. Firstly, YouTube offers advertisers the benefit of audience scale. ComScore found that YouTube reaches 100% of 18 to 34-year-olds in the UK. YouTube also offers higher engagement levels. The premise is that someone who watches something on YouTube makes a conscious decision to, which therefore results in increased engagement. However, despite its viability as a platform at present in 2015, YouTube may have underestimated the massive impact of the impending Smart TV boom in the advertising industry. This could explain YouTube’s most recent efforts to get as many advertisers onboard as possible. It could perhaps be said that Google might be misguided in shutting down access to YouTube from other platforms.


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