Two Years Before Madison Avenue
Posted on June 28, 2011
Earlier this month a GigaOm analyst interviewed two advertising industry experts and inferred that future TV ads will be bought more like online ads. Specifically he concluded that “TV ads will increasingly become performance-based” and that viewer behavior and intent will trump conventionally accepted demographic statistics. His experts were from a prominent media agency named Initiative.
Download two minute audio narration to iPhone, iPod, and iPad.
Inside Digital Media subscribers got the same message about two years earlier. The superiority of “Behavioral Ad Targeting” was the subject of a podcast in July, 2009. It was followed two months later by our “Thinking the Unthinkable about Video Ads” that explained how accountability and behavioral targeting must ultimately apply to video ads. As we’ve repeatedly explained, Google’s search advertising is conditioning sponsors to a standard in which they only get charged for ads that viewers actually use. It’s only a matter of time before advertisers demand that video ads and TV commercials conform to the new paradigm.
What do we predict next?
First, once TV commercials become performance-based, ad agencies will learn to earn addition revenue by creating commercials that segue into online transactions.
Second, smartphones and tablet computers shall become the ubiquitous tools enabling consumers to interact with such TV commercials and thereby purchase merchandise impulsively online.
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Also, inspect our eBooks including the first half of “Third Generation Television” which is offered at no charge. Our latest analysis, “Television Band White Spaces” is available through The Diffusion Group.
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Learning from Early Adopters
Posted on November 1, 2010
As William Gibson put it, “The future has already arrived; it’s just not evenly distributed.” Despite the undeniable logic that early adopters often lead mass market practices, such people are too often dismissed. Perhaps it’s because we sometimes have too much invested in the status quo. When that’s the case even the most accomplished among us are vulnerable because we prefer to believe what we want to believe.
Download audio narration to iPod, iPad, and iPhone (four minutes)
For example, in March one of the most prominent Cable TV industry stock analysts scorned the threat of cord cutting as an urban myth. Owing to his reputation, Dow Jones picked-up the mantra thereby leading some investors to an invalid assumption. That violates Ken Fisher’s first investment principle which commands us to scrutinize our beliefs in order to identify those we hold to be true that are actually false. Consequently, at the end of the June quarter the number of Pay TV subscribers in the USA declined for the first time in history. Furthermore, early indications from Comcast suggest the number dropped again in the September quarter. Read more…
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Implementing Behaviorally Targeted Ads
Posted on August 19, 2010
Bryan Burdick
In earlier posts and podcasts we discussed the theoretical advantages of behaviorally targeted advertising and how the Internet is best suited for the technique. Today we interview Bryan Burdick who is the Corporate Development Officer at Bizo.com which is a company that actually implements behavioral targeting via the Internet.
Bryan discusses how Bizo uses cookies and browsers to target ads to its publisher and ad network clients. He describes the process by which the behavior of the person sitting behind the browser is tracked anonymously and categorized into “buckets” that characterize qualities about him thereby enabling ads targeted at such individuals to be placed on his display screen.
Download interview to iPod, iPad, and iPhone here. (13 Minutes)
He also describes how the data is kept anonymous so as to protect individual privacy. We learn that offline marketers, such as Acxiom, actually have far more personal information about us than Bizo will ever collect via cookies. Read more…
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Behavioral Ad Targeting: Newspapers
Posted on July 30, 2009
Phil Leigh
If you would like to learn how newspapers and TV affiliates can generate incremental ad revenue by selling behaviorally-targeted Internet ads to local businesses, this audio is for you.
Behavioral-targeting is one of the keys to success in online advertising. For example, consider how online merchants such as iTunes and Amazon.com are among the most successful websites in terms of translating visits into sales. There are two reasons why their conversion performance is exceptionally good. Read more…
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