If you’ve ever wondered how to spark a meltdown in the digital marketing and advertising ecosystem, the last few months have provided us with a recipe.
Most notably, one of the biggest wake-up calls was issued by Procter & Gamble’s Chief Brand Officer Marc Pritchard. He lambasted the digital advertising community for continuing to allow the industry to be steeped in advertising fraud and programmatic advertising that isn’t working.
Join Magnetic’s CEO James Green on Thursday, May 11th at 12pm EDT, as he speaks directly to The Elephants in the Room during this fifteen minute presentation, where he will address:
Here’s a deeper run-down of the content he’ll be discussing on May 11th.
One of the first issues James will address in his presentation is the consistent increase in digital ecommerce, and the decline in brick and mortar stores. What’s interesting though, is that brick and mortar stores are actually growing as more U.S. stores open year over year, but what is in decline is the size of brick and mortar stores.
James will discuss some possible solutions for retailers, including how to combat competitive pressure from direct to consumer players. Marketers must actively work to develop Direct-to-Customer (DTC) models to engage customers across social, mobile, and digital channels and devices.
We all know the story about how digital continues to grow, while everything else continues to decline. But there’s another interesting story to consider. It’s been conjectured by eMarketer that by 2020, digital ads will grow to 51% of overall advertising spend, while television’s share will fall to 34%. But, the fact is that television viewership is not dropping, in fact, it’s on the rise. The interesting fact is that the medium in which television is being watched and viewed is changing, as more people opt to cut the cord with traditional tv and instead opt in for streaming services such as Netflix, Hulu, Amazon Prime and Apple TV. Thus, there is a real opportunity to couple the rise of digital with connected tv advertising.
Net Neutrality means that any piece of web traffic must be treated the same. It’s a principle that was put into place to ensure that Internet Service Providers (ISPs) and the government could not charge differently by content, site, platform, etc. that was attached to equipment or a certain type of communication. With the new administration coming on board in 2017, net neutrality will go away at some point. It’s easy to block advertising and say you have to charge for it and companies will be forced to pay a toll to deliver advertising. This will be terrible for innovation, marketing and content.
In late January, Procter & Gamble’s Chief Brand Officer took the stage at the IAB (Interactive Advertising Bureau’s) Annual Leadership meeting. Marc Pritchard lambasted the digital ad industry for continuing to allow the industry to be steeped in advertising fraud and programmatic advertising that isn’t working. He asserted that we need to fix the lack of transparency across the industry, along with uneven inventory quality, and the need for one standard media measurement.
Ad fraud costs the industry $8.2 billion a year in the U.S. alone, according to the IAB. As advertising budgets keep shifting to digital, fraudsters have found ways to game the system and earn money by serving ads in ways that have no potential to be seen by a real person. Fraudulent ads infiltrate our systems, misrepresent content to users and don’t comply with worldwide standards in advertising. They reflect poorly on the entire ecosystem, costing US digital display advertisers billions of wasted dollars.
Ad fraud exists and runs rampant today for many reasons: the open nature of the programmatic advertising marketplace, the fact that ad fraud is technically not illegal, and lastly, misaligned incentives across the entire supply chain.
Every player in the ad tech industry – publishers, agencies, marketers, and ad tech providers – must be held accountable and take appropriate steps to eradicate fraud and improve ad quality.
Join Magnetic’s CEO James Green on Thursday, May 11th at 12pm EDT as he takes a hard look at each of these issues and addresses how we can move this complex industry forward.
Magnetic is an artificial intelligence company that uses machine learning to deliver smarter, faster, and more effective advertising. Our powerful AI platform continuously analyzes the attributes of over 350 million live user profiles alongside real-time inventory supply and bid opportunities to deliver highly performant audiences and profitable campaigns for our clients.