tag:econsultancy.com,2008:/topics/advertising Latest Advertising content from Econsultancy 2018-04-19T16:11:36+01:00 tag:econsultancy.com,2008:BlogPost/69927 2018-04-19T16:11:36+01:00 2018-04-19T16:11:36+01:00 Why trust & transparency are crucial components of brand success Lynette Saunders <p>A new Econsultancy report, <a href="https://econsultancy.com/reports/trust-transparency-brand-safety/">Trust, Transparency and Brand Safety</a> looks at how companies are focusing on these areas and consider the factors which have been impacting trust, driving a need for further transparency around a brand’s advertising, and affecting how businesses operate and communicate with their customers. </p> <p>The research is based on interviews with senior executives working for brands, agencies, media owners and publishers including ANZ Private Bank Australia, The Financial Times, Formula 1®, Jaguar Land Rover, Kantar TNS, Royal Mail, Schroders APAC, The FA and Virgin Atlantic.</p> <p>For more insight, Econsultancy subscribers can <a href="https://econsultancy.com/reports/trust-transparency-brand-safety/">download the full report</a>, but here are several key themes and recommendations emerging from the study.</p> <h3>Taking control of your marketing communications</h3> <p>There was a lot of talk during 2017 about the need to clean up digital advertising and the impact of ‘fake news’ on trust. A CMO Council <a href="https://www.cmocouncil.org/thought-leadership/reports/brand-protection-from-digital-content-infection">study</a> found that 78% of companies say their brands have been hurt by unintended associations with objectionable content, images, topics, audiences or conversations.</p> <p>72% of CMOs say they are facing pressure from management to secure brand trust and gain tighter ad controls. </p> <p>Interviewees for Econsultancy's report supported the need for greater transparency from their agencies. Some acknowledged they may have to pay more money for their advertising, but would rather do this to ensure their brand content appears in the right context to the right audiences.  </p> <p>To ensure greater transparency a number of interviewees are developing stronger digital advertising guidelines and contracts for agencies and buying networks to adhere to. Many have also implemented better controls and processes to drive accountability clientside and are also taking steps to better track and monitor ad placements through internal resources, which can often include a manual approval process. </p> <p>A number of companies interviewed also highlighted the need for clarity on performance-related fees with their agencies and having transparency from the very beginning with any new relationship. <a href="https://www.wsj.com/articles/brands-look-to-take-back-some-digital-control-from-ad-agencies-1502883557">According</a> to the WFA more than half (53%) of marketers in a survey said they had added “audit right” clauses to their contracts over the past year. The same proportion said they had added clauses related to media rebates.</p> <h3>Being transparent about your business</h3> <p><a href="http://www.trinitymirrorsolutions.co.uk/whentrustfallsdown">58% of adults</a> don’t trust a brand until they have seen ‘real world proof’ that it has kept its promises.</p> <p>The reality of your business has to match up to your promise to consumers was a clear message from interviewees. John Sinke, Director of Marketing at Hong Kong Disneyland, described how they are demonstrating their ethics by trying to get as close as possible to the truth when letting people know what to expect from their products, service and experience when they come to the park or their hotel.</p> <p>For Sinke this acts as a guiding principle for marketing and advertising to make sure that what they are trying to market through all channels is in line with reality. The team would rather under promise and over deliver than the other way round.</p> <p>With the imminent requirements of <a href="https://www.econsultancy.com/reports/a-marketer-s-guide-to-the-general-data-protection-regulation-gdpr">GDPR</a>, report interviewees saw an opportunity to be clear with customers about why they want their data, how they are collecting information about them and how it will be used. It was then seen as important to use this data in a way that engenders trust and channels transparency. </p> <h3>Putting the customer first and focusing on what your brand stands for</h3> <p>It is clear that too often it is the technology driving a brand’s marketing strategy rather than the customer need.</p> <p>But for Atom Bank the aim is to do what is best for their customers and build from the customer out.</p> <p>“Trust is absolutely embedded into our marketing strategy and built into the culture of the company so that everything we do is about building trust and transparency with our consumers. Transparency is one of our design standards, one of the things we hold ourselves accountable to when designing our Atom proposition” said Lisa Wood, Chief Marketing Officer at Atom Bank.</p> <p>Above all there was a strong view amongst report interviewees that companies must deliver on their promise to consumers and for behaviours of everyone in the company to reflect the values of the business. For brands to help build trust they need to demonstrate that they “really believe” in what they say they stand for. </p> <p>Tara Prabhakar, Global Director of Client Impact at Kantar TNS highlighted the company had identified 10 principles of trust that cluster around three key areas:</p> <ul> <li>Integrity – brands that are trustworthy and operate on integrity.</li> <li>Identification – making consumers feel part of that brand world and setting up rules of engagement to include them.</li> <li>Inclusion – trusted people identify with a brand and understand their needs in specific context. </li> </ul> <p>Finally, it makes good business to be open about your business to your customers and your employees. Focusing on trust can give you a competitive edge. As highlighted by Ellie Norman, Director of Marketing at Formula 1, brands should think of themselves more as individual people with morals and values that they live by.</p> <p><em><strong>For more insight, download the new Econsultancy report - <a href="https://econsultancy.com/reports/trust-transparency-brand-safety/">Trust, Transparency and Brand Safety</a>.</strong></em></p> tag:econsultancy.com,2008:Report/4755 2018-04-19T15:01:00+01:00 2018-04-19T15:01:00+01:00 Trust, Transparency and Brand Safety <p>The<strong> Trust, Transparency and Brand Safety </strong>report will consider the factors which have been impacting trust and driving a need for further transparency around a brand’s advertising as well as how businesses operate and communicate with their customers. </p> <p>We carried out a series of in-depth interviews with senior executives from brands, agencies and publishers to understand how companies are responding to different opportunities and challenges. Econsultancy would like to thank the following interviewees who contributed to this report:</p> <ul> <li> <strong>Dominic Chambers</strong>, Global Head of Digital Marketing, Jaguar Land Rover</li> <li> <strong>Claire Cronin</strong>, Chief Marketing Officer, Virgin Atlantic</li> <li> <strong>Christopher Daniels</strong>, Sales Director, Haymarket Automotive</li> <li> <strong>Daniel Gilbert</strong>, CEO, Brainlabs</li> <li> <strong>Simon Jackson</strong>, Chief Marketing Officer, Gamesys</li> <li> <strong>Attila Jakab</strong>, Managing Director, Infectious Media</li> <li> <strong>Russell James</strong>, Digital Engagement Director, The FA</li> <li> <strong>Matt Kwiecinski</strong>, Co-founder and Managing Director, Journey Further</li> <li> <strong>John LaMarca</strong>, Consumer Strategy Director, Haymarket Automotive</li> <li> <strong>Laura Milsted</strong>, Global Advertising Director, B2B and Insight, The Financial Times</li> <li> <strong>Michael Nicholas</strong>, Global Director, Kantar TNS</li> <li> <strong>Ellie Norman</strong>, Director of Marketing, Formula 1</li> <li> <strong>Mark Payton</strong>, Editorial Director, Haymarket Consumer Media</li> <li> <strong>Isaac Poh</strong>, APAC Digital Marketing Lead, Schroders APAC</li> <li> <strong>Tara </strong><strong>Prabhakar</strong>, Global Director of Client Impact, Kantar TNS</li> <li> <strong>Ben Rhodes</strong>, Group Marketing Director, Royal Mail</li> <li> <strong>John Sinke</strong>, Director of Marketing, Hong Kong Disneyland</li> <li> <strong>Charles Talbot</strong>, Director, Journey Further</li> <li> <strong>Mariella Villa</strong>, Private Bank Proposition Owner, ANZ Bank, Australia</li> <li> <strong>Lisa Wood, </strong>Chief Marketing Officer, Atom Bank</li> <li> <strong>Head of Digital and Analytics</strong>, APAC FMCG</li> <li> <strong>Senior Executive, </strong>Global APAC Bank</li> </ul> <p><strong>What you will learn:</strong></p> <p>Trust is seen as a crucial element of brand success. With increasing disruption and competition across all sectors, trust becomes even more important for brands to focus their efforts on. This report will consider the factors which have been impacting trust and driving a need for further transparency around a brand’s advertising. It will also explore how businesses operate and communicate with their customers. You will learn:</p> <ul type="disc"> <li>How companies are making changes to how they buy digital media and how they structure their contracts and relationships with their agencies in response to growing concerns over their advertising in respect of brand safety, viewability and ad fraud. </li> <li>The need to focus on demonstrating this to consumers and ensuring that trust and transparency are at the heart of your products and services. </li> <li>Importance of demonstrating trust through culture, goals and values. </li> <li>How companies are connecting with their customers to drive greater participation and co-creation.  </li> <li>The focus towards demonstrating greater transparency with customer data and how it is used.</li> </ul> <p><strong>You will discover: </strong></p> <ul type="disc"> <li>How companies are taking more control over their marketing communications.</li> <li>The need for companies to be more transparent about their business to deliver on their promise and focus on what their brand stands for.</li> <li>How companies are focusing on putting the customer first and at the centre of their operations. </li> <li>The importance companies are placing around having the right culture and set of values and hiring against these. </li> <li>How co-creation should become a key part of an organisation’s processes and brand strategy.</li> <li>How digital priorities are rising higher on the agenda as companies encourage a move towards thinking digital first and creating journey-based experiences. </li> <li>How companies are focusing on putting the customer at the heart of everything and identifying how to enhance the experience and develop a deeper understanding of the customer decision journey. </li> <li>The key ways to drive greater transparency and trust highlighted by those interviewed.</li> </ul> <p>Download a copy of the report to learn more.</p> tag:econsultancy.com,2008:BlogPost/69947 2018-04-16T13:39:46+01:00 2018-04-16T13:39:46+01:00 Five things we learned from Mark Zuckerberg's Capitol Hill testimony Patricio Robles <p>Here's what we learned from Zuckerberg's <a href="https://www.washingtonpost.com/news/the-switch/wp/2018/04/10/transcript-of-mark-zuckerbergs-senate-hearing/">two days of testimony</a>.</p> <h3>Many lawmakers know very little about technology</h3> <p>It was readily apparent that many of the lawmakers questioning Zuckerberg had, at best, a rudimentary understanding of the digital technologies associated with Facebook. Specifically, lawmakers seemed to struggle to get their heads around digital advertising ecosystem and how data is collected and used to target advertisements to consumers through digital channels.</p> <p>This worked to Zuckerberg's advantage, particularly on the first day of his testimony. Instead of hitting the Facebook CEO with meaningful if not insightful questions, Zuckerberg was able to spend much of his time educating lawmakers on concepts familiar to professionals as well as tech savvy consumers.</p> <h3>There's a lot Mark Zuckerberg claims he doesn't know</h3> <p>While it's clear that many lawmakers could use a digital crash course, it also became clear that there's a lot Facebook's CEO apparently doesn't know about his own company's operations. Zuckerberg told lawmakers “I'll have my team get back to you”, or some variation of that, <a href="https://www.wired.com/story/mark-zuckerberg-will-follow-up/">dozens of times</a>.</p> <p>The Facebook chief's apparent lack of knowledge raised lots of eyebrows and some observers suggested his lack of knowledge was feigned ignorance in some instances.</p> <p>Take, for example, U.S. Senator Roger Wicker's <a href="https://www.news18.com/news/tech/does-facebook-track-your-activities-even-after-you-log-out-zuckerberg-doesnt-know-1714507.html">question</a>, “There have been reports that Facebook can track user's browsing activity even after the user has logged off the Facebook platform. Can you confirm whether or not this is true?”</p> <p>The Facebook chief told Wicker that in the interest of accuracy, “it'll probably be better to have my team follow up with you on this.” Of course, the answer to Wicker's question was <em>yes</em>. In fact, last year, Facebook managed to successfully defend itself against a lawsuit <a href="https://www.theguardian.com/technology/2017/jul/03/facebook-track-browsing-history-california-lawsuit">related to its tracking of users after they had logged out</a>.</p> <h3>Facebook is relying heavily on AI</h3> <p>Investment in AI is booming in lots of industries, including <a href="https://econsultancy.com/blog/67745-15-examples-of-artificial-intelligence-in-marketing">marketing</a>, <a href="https://www.econsultancy.com/blog/69797-how-ai-is-transforming-healthcare">healthcare</a> and <a href="https://www.econsultancy.com/blog/69732-td-bank-s-acquisition-of-an-ai-firm-highlights-the-growing-importance-of-ai-in-banking">banking</a>. When it comes to many of the challenges Facebook is facing, such as hate speech and extremist content, both of which have been implicated in brand safety scandals, Zuckerberg's responses revealed that Facebook is betting AI will play a major role in solving them.</p> <p>In one exchange, Zuckerberg stated “building AI tools is going to be the scalable way to identify and root out most of this harmful content.” But he also later acknowledged that AI introduces a plethora of thorny ethical issues.</p> <p>He also admitted that AI isn't perfect, revealing that while Facebook's current AI tech has been successful in identifying terrorist content, hate speech is much more difficult to identify in part because what constitutes hate speech is often subject to debate. While Zuckerberg is obviously optimistic about his company's ability to improve his company's AI tech, the question is what it will do if AI doesn't prove to be as effective as Zuckerberg expects it to be.</p> <h3>It doesn't appear that regulation is imminent</h3> <p>Will Facebook face a regulatory crackdown? Reading between the lines last week would suggest that lawmakers are likely to do something. But there were few indications that slapping new regulations on Facebook will be a top priority.</p> <p>To the contrary, there were many indications that lawmakers would tread carefully and continue their fact-finding efforts. It was also fairly obvious that Facebook will have a warm seat at the table when lawmakers do get down to business drafting legislation, which isn't surprising given that the company, like most its size, has a small army of lobbyists and has contributed funds to many lawmakers.</p> <h3>But this is just the beginning</h3> <p>While Zuckerberg managed to leave Washington D.C. largely unscathed thanks in large part to technologically challenged lawmakers, Facebook is not out of the woods. </p> <p>Despite suggestions that Facebook's biggest crisis will blow over, the sentiment around privacy and user data has changed and with the <a href="https://econsultancy.com/hello/gdpr-for-marketers/">GDPR</a> coming into effect in the E.U. and U.K. in a little over a month, as this author <a href="https://www.econsultancy.com/blog/69935-companies-should-consider-embracing-the-gdpr-even-where-they-don-t-have-to">argued previously</a>, the free-for-all environment that companies have been operating in is going away.</p> <p>Up next: expect lawmakers to expand their scrutiny to other large tech companies, including Google, which might be sitting on an even larger treasure trove of user data than Facebook. In fact, one lawmaker even asked Mark Zuckerberg if he'd offer suggestions for other individuals they should ask to appear. We'll see if Zuckerberg's team gets back to him on that request.</p> tag:econsultancy.com,2008:BlogPost/69834 2018-04-16T09:29:00+01:00 2018-04-16T09:29:00+01:00 A day in the life of... a head of paid media at a digital marketing agency Ben Davis <p><em>[As usual, a reminder that Econsultancy has a </em><em><a href="https://jobs.econsultancy.com/?cmpid=EconBlog">jobs board</a></em><em>, runs paid <a href="https://econsultancy.com/training/courses/ppc-training">search</a>, <a href="https://www.econsultancy.com/training/courses/social-media-paid-advertising">social</a> and <a href="https://econsultancy.com/training/courses/programmatic">programmatic</a> training and has paid media best practice guides (<a href="https://econsultancy.com/reports/paid-social-media-advertising/">social</a> and <a href="https://econsultancy.com/reports/paid-search-marketing-ppc-best-practice-guide/">search</a>) as well as <a href="https://econsultancy.com/reports/display-advertising-digital-marketing-template-files">display advertising template files</a>.]</em></p> <h4> <em>Econsultancy:</em> Please describe your job: What do you do? And who do you report to?</h4> <p><strong><em>Ian Hyde:</em></strong> I’m the head of paid media at Ayima, a specialist global digital marketing agency, where I report to the managing director, Nicky Applegarth. Our Paid Media team is made up of specialists across paid social, paid Search (PPC) and programmatic display who create and implement ad campaigns for clients in various industries such as finance, ecommerce, charity and gaming. My role within the team is to ensure those teams work cohesively, driving fantastic results across our entire client base while keeping up to date with the latest trends and platform releases.</p> <h4> <em>E:</em> What kind of skills do you need to be effective in your role?</h4> <p><em><strong>IH:</strong></em> Passionate: With so much change happening within the digital realm on what seems like a daily basis, you need to have a genuine love of the industry. If you don't, you will be left behind. Having true passion for the job makes it a whole lot easier—whether it's recommending a new tool for the team to test or a new platform for our clients to try out.</p> <p>Adaptable: Overseeing a varied client base requires an assortment of skills on a daily (or sometimes hourly) basis. In the morning, you could be leading a cross-channel strategy meeting and in the afternoon, you may be working with the data science team to create machine-learning modules. You need to be able to manage multiple tasks while giving each your full focus.  </p> <p>Strategic: Whether results are good or bad, I always push the team to think about what else we could be doing. It may be looking at the most minute detail of a campaign or the overall strategy, but it is my role to make sure we are always on the lookout for what to do next and how we can make our campaigns achieve greater results next time.</p> <p><img src="https://assets.econsultancy.com/images/0009/3589/Ian_Hyde_615.png" alt="ian hyde ayima" width="616" height="308"> </p> <h4> <em>E:</em> Tell us about a typical working day…</h4> <p><em><strong>IH:</strong></em> Most days start as soon as I wake up, if I’m honest. I tend to check into the team Slack first thing in the morning and catch up on emails I received overnight from our global clients to update any project task lists for the day or week ahead. Generally I try to get into the office before the rest of the team but, in London traffic, this plan isn’t always successful.</p> <p>On Mondays, I have a stand-up meeting with my team to discuss the priorities for the week and any key things the team wants to share such as new client projects, interesting platform updates or even general results we’ve seen on some of the less traditional platforms we work with (Snapchat, Instagram Stories, etc.). Every other day of the week, I usually start the day in the office off with a client meeting or call. </p> <p>At Ayima, we make communication between my department and any other department or global region extremely easy by using tools like Slack, Skype and even instant messenger. That being said, I still love a good face-to-face chat! Because of this, it’s pretty rare that we have any long-winded internal meetings which makes dedicating time servicing our clients the focus of my daily routine. Typically, I’ll have a new business proposal to work on alongside our business development team or some new marketing initiatives to brainstorm with our internal marketing team.</p> <p>After all of that, the most important part of my day is always working with the various account teams in Ayima—listening to any issues, opportunities or performance challenges they might be having and helping to resolve them. </p> <p>To end the day, I typically set up meetings with any of the latest platforms or ad tech in the market to ensure we are at the forefront of anything new and testing out the latest developments for our clients.</p> <h4> <em>E:</em> What do you love about your job? What sucks?</h4> <p><em><strong>IH: </strong></em>Love: Seeing the genuine pride from team members when they get to present our clients with results that go beyond their initial objectives. My team varies in skill sets and experience levels so it’s equally incredible to witness a recent graduate help to win their first paid media client or a manager get results for a campaign that exceeded the initial objectives. </p> <p>Sucks: Not being able to be in two places at once. If there were cloning machines, I’d be first in line!</p> <h4> <em><strong>E:</strong></em> What kind of goals do you have? What are the most useful metrics and KPIs for measuring success?</h4> <p><em><strong>IH:</strong></em> As cheesy as it sounds (though I do love a bit of cheese!), my goals are the client’s goals. Our team is always focussed on the KPIs set out at the start of any campaign and as we are performance-focused by nature, success and failure is black and white. Retention is also a key goal with both clients and within the team, so continuously ensuring both are satisfied is always my number-one priority. </p> <h4> <em>E:</em> What are your favourite tools to help you to get the job done?</h4> <p><em><strong>IH:</strong></em> Ayima have some proprietary tools that I’m honestly not sure how I ever worked without! Query, our automated dashboarding tool, and Ayima Intelligence, our bespoke account auditing and performance tool, have become part of everything I do to ensure client results are achieved and, ideally, exceeded. Also, as I mentioned before, having all of our internal comms via tools like Slack is a massive time-saver and reduces the time I would normally spend writing and waiting on emails.</p> <h4> <em>E:</em> How did you become a 'head of paid media', and where might you go from here?</h4> <p><em><strong>IH:</strong> </em>I started out as a PPC exec and worked my way up to client partner over the course of six years, leading some of my previous agency’s biggest cross-digital accounts. The head of paid media role allowed me to combine two of my preferred roles; managing a team and helping clients solve their marketing problems. The aim is to grow the team to the same levels as the organic side of our business and help us achieve rapid growth for the clients we work with as well as for Ayima.</p> <h4> <em>E:</em> What work has excited you in the past year? Which brands?</h4> <p><em><strong>IH:</strong></em> The growth of Amazon as a competitor to Facebook and Google. This will be the most significant change in digital and the whole of advertising since Facebook increased their focus on advertising.</p> <h4> <strong><em>E:</em> </strong>Do you have any advice for people who want to do a similar role?</h4> <p><em><strong>IH:</strong></em> Be curious. Accept the industry is always going to change. Don't forget the fundamentals of what we do are to drive performance. If you’re starting out in a generalised digital marketing role, try to find ways to incorporate paid media into your current projects.</p> tag:econsultancy.com,2008:BlogPost/69946 2018-04-13T15:58:16+01:00 2018-04-13T15:58:16+01:00 The best digital marketing stats we’ve seen this week Nikki Gilliland <h3>Facebook ad spend grows despite recent controversy</h3> <p><a href="http://www.4cinsights.com/StateofMedia/" target="_blank">New data</a> from 4C has revealed that Facebook saw a marked increase in ad spend this Q1, despite the recent Cambridge Analytics scandal. </p> <p>Following the news in March, Facebook ad spend increased 62% year-on-year.</p> <p>The travel and legal/financial verticals saw the greatest quarter-over-quarter increases of 129% and 32%, respectively. Meanwhile, Facebook continues to deliver ROI for advertisers, with an 18% quarterly decrease in cost per thousand impressions (CPM).</p> <p>Elsewhere, Snapchat saw a whopping 234% year-on-year increase in ad spend in the first quarter of 2018, largely due to its re-designed Discover page presenting even more opportunities for sponsored content.</p> <p><strong>More on Facebook:</strong></p> <ul> <li><a href="https://www.econsultancy.com/blog/69902-facebook-is-in-real-trouble-what-it-could-mean-for-marketers">Facebook is in real trouble: What it could mean for marketers</a></li> <li><a href="https://www.econsultancy.com/blog/69840-facebook-quietly-rolls-out-new-ad-placements-as-power-editor-merges-with-ads-manager">Facebook quietly rolls out new ad placements as Power Editor merges with Ads Manager</a></li> <li><a href="https://www.econsultancy.com/blog/69787-five-tips-for-a-successful-facebook-advertising-strategy">Five tips for a successful Facebook advertising strategy</a></li> <li><a href="https://econsultancy.com/reports/paid-social-media-advertising">Paid Social Media Advertising Best Practice Guide</a></li> </ul> <p><img src="https://assets.econsultancy.com/images/0009/3556/facebook.jpg" alt="" width="600" height="400"></p> <h3>71% of people think ads are becoming more intrusive</h3> <p>A recent survey by Kantar Millward Brown, <a href="https://www.emarketer.com/content/people-believe-ads-are-becoming-more-intrusive?ecid=NL1002">reported by eMarketer</a>, has found that the majority of people think ads are far more intrusive than they were three years ago. 71% of survey respondents uphold this opinion, with 74% also suggesting that they’re seeing more ads overall.</p> <p>Meanwhile, 79% of people say that adverts appear in more places, making it impossible to avoid advertising while online. </p> <p>Despite this, opinion towards ads isn’t <em>all</em> bad – 41% say that ads tell better stories than they used to, while 47% agree that ads fit together better across different formats. </p> <p>Naturally, this type of survey is not good news for advertisers, especially alongside the prediction (according to eMarketer) that three in 10 US internet users will use an an ad blocker this year.</p> <p><img src="https://assets.econsultancy.com/images/0009/3576/Intrusive_ads_blog___twitter_size__1_.png" alt="intrusive ads 71% consumers think so" width="615" height="308"></p> <p><strong>Now read:</strong></p> <ul> <li><a href="https://econsultancy.com/blog/69326-google-to-start-warning-sites-about-bad-ad-experiences" target="_blank">Google to start warning sites about bad ad experiences</a></li> <li><a href="https://www.econsultancy.com/blog/69750-in-a-blow-to-marketers-google-will-let-users-opt-out-of-remarketing-ads" target="_blank">In a blow to marketers, Google will let users opt-out of remarketing ads</a></li> </ul> <h3>Text messaging declines YoY in the UK as chat apps take precedent</h3> <p><a href="https://www.reportlinker.com/data/series/H-u9khxCiJs" target="_blank">New data</a> from ReportLinker has revealed the changing habits of global mobile users. Overall, it suggests that people are paying less as we move towards free chat apps rather than traditional text messaging.</p> <p>In the UK, the average monthly household expenditure on mobile smartphone service has decreased nearly 3% this year, and is predicted to keep on getting lower to 2020. Meanwhile, text messaging has also declined as users make greater use of chat apps like WhatsApp.</p> <p>ReportLinker also suggests that traditional landlines could soon be extinct. In Australia in particular, this prediction could come true in just a couple of years. The number of people who will have a smartphone but no fixed telephone line is estimated to be well over 8.5 million by 2021. By that time, the number of smartphone owners in Australia is anticipated to be over 20 million, up from over 15 million in 2017. </p> <p><img src="https://assets.econsultancy.com/images/0009/3555/reportlinker.JPG" alt="" width="543" height="395"></p> <h3>Trustworthiness is the most impactful characteristic of celebrity endorsers</h3> <p>A recent study <a href="https://www.warc.com/content/article/jar/enhancing_brand_credibility_through_celebrity_endorsement_trustworthiness_trumps_attractiveness_and_expertise/117436" target="_blank">published by</a> JAR suggests that trustworthiness is the most important trait of celebrity endorsers, ranked more effective for boosting brand credibility over other factors like expertise or attractiveness.</p> <p>The study in question examined the impact of celebrity endorsers’ source characteristics - including trustworthiness, expertise, and attractiveness - on consumers’ brand attitude, brand credibility, and purchase intention. Overall, it found that trustworthiness was related to consumers’ positive associations with a brand (an airline, in the case of this study).</p> <p>This means marketers must demonstrate greater caution when partnering with celebrities, as the research also suggests that a lack of trustworthiness can be hugely detrimental to a brand’s reputation.</p> <p><strong>More on celebrity campaigns:</strong></p> <ul> <li><a href="https://econsultancy.com/blog/69846-celebrity-chefs-and-their-instagram-strategies-more-than-just-food-porn/" target="_blank">Celebrity chefs and their Instagram strategies – More than just food porn?</a></li> <li><a href="https://econsultancy.com/blog/68691-why-iceland-has-replaced-celebrities-with-micro-influencers/" target="_blank">Why Iceland has replaced celebrities with micro-influencers</a></li> </ul> <h3>Travel industry sees 13% increase in search interest</h3> <p><a href="http://www.hitwise.com/gb/white-papers/peak-travel-report-2018/?bis_prd=1" target="_blank">New research</a> from Hitwise suggests UK holidaymakers are showing renewed enthusiasm when it comes to travel. </p> <p>From the analysis of the online behaviour of three million Brits, Hitwise found a 13% increase in searches related to the travel industry in the first two months of this year. In terms of specific brands, Travelodge saw a 36% increase in searches year-on-year, perhaps highlighting the positive impact of its new initiatives like SuperRoom.</p> <p>Elsewhere, the research also suggests an increased interest in luxury travel. There was a 16% rise in traffic to luxury operators and cruise operators in the first two months of 2018, while luxury travel provider Kuoni also reports that store appointments were up 171% during this time.</p> <p><strong>More on travel:</strong></p> <ul> <li><a href="https://econsultancy.com/blog/69384-seo-david-vs-goliath-how-travel-sector-minnows-can-overcome-their-big-brand-competitors">SEO David vs. Goliath: How travel sector minnows can overcome their big brand competitors</a></li> <li><a href="https://www.econsultancy.com/blog/69652-four-key-digital-trends-impacting-travel-and-hospitality-brands">Four key digital trends impacting travel and hospitality brands</a></li> <li><a href="https://econsultancy.com/blog/68871-how-travel-brands-are-capitalising-on-youtube-adventure-search-trend">How travel brands are capitalising on YouTube adventure search trend</a></li> </ul> <p><img src="https://assets.econsultancy.com/images/0009/3557/Hitwise.JPG" alt="" width="600" height="459"></p> <h3>Parents are the biggest adopters of voice-assisted devices</h3> <p>Publicis Media has <a href="http://www.adweek.com/agencies/parents-and-families-are-the-biggest-supporters-of-voice/" target="_blank">undertaken research</a> on smart speaker usage, involving the study of 70 voice assistant users in the US and UK.</p> <p>Overall, it found that parents and families are the keenest early adopters of smart speakers, largely due to the technology’s ability to streamline and enhance daily routines. </p> <p>Smart speakers also enable parents to help children learn, with the tech allowing users to easily search for queries (without disrupting their current activity).</p> <p>Despite this uptake, however, the research also revealed that parents aren’t too keen on changing how they use voice technology. The majority say they’re uninterested in discovering capabilities that they don’t already use, while they’re also reluctant to share personal information in exchange for deeper personalisation. </p> <p><strong>More on voice tech:</strong></p> <ul> <li><a href="https://www.econsultancy.com/blog/69724-how-will-voice-technology-change-consumer-behaviour">How will voice technology change consumer behaviour?</a></li> <li><a href="https://www.econsultancy.com/blog/69610-what-do-voice-user-interfaces-mean-for-marketers-brands">What do voice user interfaces mean for marketers &amp; brands?</a></li> <li><a href="https://econsultancy.com/blog/69473-what-paddy-power-learned-about-voice-interfaces-by-creating-an-alexa-skill" target="_blank">What Paddy Power learned about voice interfaces by creating an Alexa skill</a></li> </ul> <h3>Paralympics reaches 251 million people on social media</h3> <p>According to new data from IPC, the PyeongChang 2018 Winter Paralympic Games reached more people than Sochi 2014 and London 2012 Paralympics combined.</p> <p>During a 10 day period, IPC’s digital media channels reached 251 million people across multiple platforms including YouTube, Facebook, Twitter and Weibo - more than Sochi 2014 (which reached 66m) and London 2012 (which reached 94m). It also generated 17.4m video views - three times Sochi and London combined - and 650k engagements, up 67% on Sochi 2014.</p> <p>This looks to be due to IPC’s innovative use of technology and video, with social media teams posting real-time highlights of every race, match, and ceremony on YouTube.</p> <p><strong>For more on Social Media, subscribers can check out our <a href="https://econsultancy.com/reports/social-media-best-practice-guide" target="_blank">Best Practice Guide</a>.</strong></p> <p><iframe src="https://www.youtube.com/embed/aCICoyzPnbk?list=PL6CBAXPeBajm6gtohfO5-mapvjW00isMX&amp;wmode=transparent" width="854" height="480"></iframe></p> tag:econsultancy.com,2008:TrainingDate/3532 2018-04-13T12:14:22+01:00 2018-04-13T12:14:22+01:00 GDPR Essentials for Marketers - Online <p>This online course will help you learn everything you need to know about the General Data Protection Regulation (GDPR) before it comes into force in May 2018, and crucially: what to do about it.</p> <h4>In association with:</h4> <p><img src="http://image.mail.centaurmedia.com/lib/fe9612747465007c7d/m/2/logo_RGB_web.png" alt="" width="250" height="150">       </p> <p> <img src="https://cdn.frontify.com/api/screen/thumbnail/EAzkFg3Qo4YvWC4ph_8yDMC_6Ml5rGzx333b8HZkq4KJx64s6xyk9RzcSAvrX2PW9ftJln_n7gjA8HJCDP8ZQg/800" alt="" width="300" height="100"> </p> tag:econsultancy.com,2008:BlogPost/69934 2018-04-10T13:00:00+01:00 2018-04-10T13:00:00+01:00 Google's response to header bidding is now available to all DFP publishers Patricio Robles <p>Announced nearly a year ago, Exchange Bidding gives publishers the ability to allow third party exchanges and <a href="https://econsultancy.com/blog/65197-the-beginner-s-glossary-of-programmatic-advertising">supply side platforms</a> (SSPs) to submit real-time bids that are considered alongside bids from the publisher's reservation campaigns and DoubleClick Ad Exchange.</p> <p>Unlike header bidding, Exchange Bidding doesn't rely on client-side code. This is a potentially big differentiator as one of the biggest concerns around header bidding is that it <a href="https://www.linkedin.com/pulse/how-header-bidders-affect-latency-christopher-reid">can increase page load latency</a>. While some publishers have reported substantial double-digit increases in revenue thanks to header bidding, others have also reported double-digit increases in page load times.</p> <p>There are ways to fight latency, such as using a wrapper solution like Prebid.js and configuring a reasonable timeout setting, but solutions that eliminate client-side code entirely <a href="https://pubmatic.com/blog/server-side-header-bidding-reduces-latency/">have obvious appeal</a>.</p> <p>Google says that it is delivering similar lifts in revenue for publishers “without sacrificing user experience across their properties.” For example, programmatic marketplace RhythmOne reports that its publishers using Exchange Bidding have seen a whopping 40% increase in programmatic revenue.</p> <p>In addition to offering the potential for increased revenue with better performance than header bidding, Google is also playing up the fact that Exchange Bidding allows publishers to consolidate billing and payment. And thanks to new reporting functionality Google unveiled at the time of its announcement, publishers can easily obtain a holistic view of performance.</p> <p>As DoubleClick's Jonathan Bellack explained:</p> <blockquote> <p>Exchange Bidding customers can now generate reports across several new dimensions including demand channel, exchange partner, yield group or advertiser on a per-impression level. With these new insights, publishers can make smarter and faster decisions to ensure they're getting the greatest value from every impression.</p> </blockquote> <h3>The end of header bidding?</h3> <p>Given DFP's position in the market, one might ask: is the general availability of Exchange Bidding the beginning of the end for header bidding? </p> <p>Perhaps not.</p> <p>When Google first announced Exchange Bidding, SOVRN, an ad tech firm that is a player in the header bidding ecosystem, <a href="https://www.sovrn.com/blog/header-bidding-grows-up/">suggested that</a> “the influx of new rich data generated by header bidding has enlightened publishers to a new reality and power that they are unlikely to abandon.”</p> <p>It added, “That isn't to say that publishers won't adopt Exchange Bidding at all. Most publishers utilizing header bidding have one mantra: more competition is always better. If there isn't a large impact on operations, most publishers will continue to increase demand whenever possible. Again, for publishers, efficient and results-based diversification will be key.”</p> <p>One of the biggest advantages header bidding retains is that publishers have the freedom to choose the demand partners they want to work with without limitation. While Exchange Bidding currently has more than 10 partners, publishers are ultimately limited to the exchanges Google selects. For publishers that are wary of giving up control, that could tip the scales in favor of header bidding.</p> <p>Even so, Exchange Bidding is evidence of the fact that demand among publishers for greater competition among ad partners is something that even Google has found it can't ignore.</p> <p><em><strong>Further reading:</strong></em></p> <ul> <li><a href="https://www.econsultancy.com/blog/69671-programmatic-advertising-trends-in-2018-what-do-the-experts-predict">Programmatic advertising trends in 2018: What do the experts predict?</a></li> <li><a href="https://www.econsultancy.com/reports/the-cmo-s-guide-to-programmatic">CMO's Guide to Progammatic</a></li> <li><a href="https://www.econsultancy.com/blog/69588-10-signs-that-programmatic-advertising-is-reaching-maturity">10 signs that programmatic advertising is reaching maturity</a></li> </ul> <p><em><strong>Or check out <a href="https://econsultancy.com/training/courses/programmatic">Econsultancy's programmatic training</a>.</strong></em></p> tag:econsultancy.com,2008:BlogPost/69935 2018-04-10T11:00:00+01:00 2018-04-10T11:00:00+01:00 Companies should consider embracing the GDPR even where they don't have to Patricio Robles <p>In <a href="http://tacd.org/wp-content/uploads/2018/04/TACD-letter-to-Mark-Zuckerberg_final.pdf">a letter</a> to Mark Zuckerberg, members of the Transatlantic Consumer Dialogue, a coalition of US and EU consumer groups, wrote:</p> <blockquote> <p>The GDPR helps ensure that companies such as yours operate in an accountable and transparent manner, subject to the rule of law and the democratic process. The GDPR provides a solid foundation for data protection, establishing clear responsibilities for companies that collect personal data and clear rights for users whose data is gathered. These are protections that all users should be entitled to no matter where they are located.</p> </blockquote> <p>The letter comes less than a week after Zuckerberg <a href="https://www.reuters.com/article/us-facebook-ceo-privacy-exclusive/exclusive-facebook-ceo-stops-short-of-extending-european-privacy-globally-idUSKCN1HA2M1">stated</a> that he agreed “in spirit” with the GDPR but refused to commit to adopting it worldwide. “We're still nailing down details on this, but it should directionally be, in spirit, the whole thing,” he told Reuters, a statement that is unlikely to satisfy the growing number of critics of his company.</p> <p>While it remains to be seen whether or not Facebook will eventually give in, the situation does raise an interesting questions: should companies adopt the GDPR as a global standard, applying it to users and customers they aren't required to?</p> <p>Here are four reasons why they should consider it.</p> <h3>GDPR compliance is no simple task</h3> <p>While many companies with the greatest exposure to GDPR risk are still ill-prepared for its impending implementation, as the risks come into focus and the inevitable initial enforcement actions demonstrate that they're not merely theoretical, expect to see a scramble for compliance. </p> <p>Unfortunately, complying with the GDPR is not exactly a straightforward process. Understanding what the rules are and figuring out what specific actions need to be taken to comply has proven to be quite an undertaking for many companies. Given that, companies should consider that if they're going to make a substantial investment of time and money to comply, it might make a lot of sense to leverage that investment across all their operations. </p> <h3>Global application might be easier</h3> <p>For many companies, trying to treat individuals subject to the protections of the GDPR differently than individuals who aren't might actually prove to be more difficult and costly than simply treating all individuals the same regardless of where they're located. </p> <p>Consider, for example, the fact that a US citizen who moves to an EU country <a href="https://www.itgovernance.eu/blog/en/expert-gdpr-qa-international-transfers-brexit-and-eu-us-privacy-considerations/">would be</a> covered by the GDPR. For many companies, detecting such a move and responding to it might prove more difficult than it would seem it should be.</p> <h3>Similar regulation is likely coming outside of the EU</h3> <p>There's a growing consensus that GDPR-like regulation will be adopted outside of Europe, including in the US. While it's likely that there will be differences between regulations in different parts of the world, expect to see countries like the US look to the GDRP <a href="http://www.thedrum.com/news/2018/03/27/let-s-look-gdpr-global-data-protection-regulation-grapeshot">as a model</a> when they get around to creating their own scheme.</p> <p>This means companies that embrace the GDPR as a global standard will likely be better positioned to comply with similar regulations when and as they're implemented.</p> <h3>The tide has turned on privacy</h3> <p>Perhaps the biggest reason companies should consider applying their GDPR compliance to their global operations is that it's becoming increasingly evident that there is sea shift taking place vis-à-vis data collection, usage and protection.</p> <p>The Cambridge Analytica scandal is no longer just about Cambridge Analytica. Instead, Facebook's practices are being scrutinized in a way they never have been before and while it's still too early to predict what exactly will happen, the actions Facebook has taken to date suggest that even it knows the largely unregulated data Gold Rush is fast coming to an end. </p> <p>Put simply, in the post-GDPR world, data will have the potential to be a huge liability, not just an asset.</p> <p>The implication for companies: it might be wise to accept this and proactively prepare for substantially more rules around how data is collected and used.</p> <p><a href="https://www.econsultancy.com/reports/a-marketer-s-guide-to-the-general-data-protection-regulation-gdpr"><img src="https://assets.econsultancy.com/images/0009/3207/gdpr_report.png" alt="gdpr" width="615" height="243"></a></p> <p><em>Note that this article represents the views of the author solely, and are not intended to constitute legal advice.</em></p> tag:econsultancy.com,2008:BlogPost/69932 2018-04-10T09:30:00+01:00 2018-04-10T09:30:00+01:00 No, 'the media' is not just out to get Facebook because it’s taking its advertising revenue James Carson <blockquote class="twitter-tweet"> <p lang="en" dir="ltr">It’s *unbelievable* how far things have come. At the time, it was *crazy* to think that in 1 year : Zuckerberg would be testifying before Congress, Facebook might be regulated, or Cambridge Analytica manipulation elections would be on front-page headlines around the world.</p> — Tristan Harris (@tristanharris) <a href="https://twitter.com/tristanharris/status/983551599485177856?ref_src=twsrc%5Etfw">10 April 2018</a> </blockquote> <p>But this obvious reporting will probably be met with a somewhat troubling sentiment that I’ve noticed coming from the influencers of LinkedIn, or various conference stages of late.</p> <p>It’s the claim that newspapers are ‘out to get’ Facebook, because it has eaten up all their advertising revenue and sent them into commercial turmoil. The incentive to report on Facebook’s problems is apparently a monetary one and the old media’s revenge is going to be made in column inches.</p> <p>This sentiment is regularly met with conference audience nods and hundreds of LinkedIn likes. Unfortunately, it is wrong. Wrong because editorial in media companies doesn’t really operate like that, wrong because it absolves Facebook of accountability and wrong because it simplifies a complicated issue in a multitude of confused ways. It is dangerous because it makes a fantasy of how the editorial and advertising ecosystem really operates. It is worth discussing each of these problems in the detail that they deserve - away from the 140 characters of social media. </p> <h3>Editorial doesn’t really operate like that</h3> <p>It all sounds so simple and rational. Each morning editorial get together with a representative from advertising, who tells them which stories from the last day did well (and thus monetised), and which didn’t. Furthermore, this advertising person will tell them the commercial agenda. “Coca Cola pulled out of a six figure deal last week, we should rough them up,” or “The Guardian won that pitch I thought we were better than them on, we should dig up some dirt on their newsroom practices.”</p> <p>Put like that, it sounds quite ridiculous, if not entirely fantastical. But, I can assure you, <em>it is</em> fantastical. In all my experience in media companies, I cannot remember a single time when a commercial representative was in a meeting or conference with editorial plans being specifically debated in tandem with advertising needs. For example, “Advertiser X wants you to cover that like this.” There are limited examples of this church and state divide being breached, but it is not in any way common (and it is itself a scandal if it does). Either I am suffering from a distinct form of selective amnesia after a decade, or this just isn’t a done thing.</p> <p>We might forget that newspapers are in fact not particularly rational economic enterprises. They don’t really trade on the rules of business that we’d normally think of. It is not a rational trade off between ‘Write 10x of X and we shall made £X’ – news reporting would cease to function if this was so. Furthermore, it is difficult to really comprehend a widespread strategy of press negativity funnelling advertising revenue away from Facebook and <em>back</em> to newspapers or news networks. There are plenty of other ways for companies to buy media, after all. </p> <p>So, to start with, we can rule out the simple notion that newspapers are out to get Facebook for commercial reasons: editorial don’t discuss advertising revenue as a matter of strategy, and newspapers are not rational commercial enterprises in any case.</p> <h3>Who is really covering the story?</h3> <p>There is also a serious problem with the perception that ‘newspapers’ are doing most of the reporting of the Cambridge Analytica and Facebook story. A quick overview can show how this doesn’t stand up to scrutiny. The outlets reporting in the greatest detail are Channel 4 and The Guardian, who broke the story, The New York Times, and BuzzFeed. Only two of them have a newspaper. That said, that group of companies is also well known for their progressive web presences, which makes defining them as old media at all somewhat difficult anyway. Indeed, The Guardian, with a daily circulation of 152,000 in print vs 150m+ monthly unique browsers online, has rather more clout on the web.</p> <p>BuzzFeed certainly never had any problem with Facebook taking revenue from them. Indeed, that company pretty much exists at its current scale because of Facebook. Yet BuzzFeed News has been rightly <a href="https://www.buzzfeed.com/alexkantrowitz/in-its-fight-against-fake-news-facebook-found-a-resiliant-fo?utm_term=.sl3r3kag3Q#.xsmWL47XLg">hounding Facebook for years about the presence of fake news</a> and the out of control nature of information dissemination within the platform. It has also gone to town in its detailed reporting of Facebook’s latest problems.</p> <blockquote class="twitter-tweet"> <p lang="en" dir="ltr">NEW: Under fire for fake news and the exploitation of user data, Facebook is emphasizing groups as a key source of valuable engagement and content for users. This is our investigation (and a thread!) about why that could blow up in its face: <a href="https://t.co/uy99U2VpXr">https://t.co/uy99U2VpXr</a></p> — Craig Silverman (@CraigSilverman) <a href="https://twitter.com/CraigSilverman/status/975795093608087553?ref_src=twsrc%5Etfw">19 March 2018</a> </blockquote> <p>This blanketing of ‘the media’ as some sort of racket with a subversive goal lends itself to the uneasy falsehood of the ‘fake news media’ - constantly battered home in Donald Trump’s tweets. It implies that nothing coming from the established press can ever be done for anything but commercial incentives. That in itself is particularly worrying for what people hold to be real.</p> <p>We might take heed of Paul Farhi, writing in The Washington Post, <a href="https://www.washingtonpost.com/lifestyle/style/dear-readers-please-stop-calling-us-the-media-there-is-no-such-thing/2016/09/23/37972a32-7932-11e6-ac8e-cf8e0dd91dc7_story.html?noredirect=on&amp;utm_term=.b53bc9202e90">Dear reader: Please stop calling us ‘the media’. There is no such thing</a>. In which he writes:</p> <p>“Lumping these disparate entities under the same single bland label is like describing the denizens of the ocean as “the fish.” It’s true, but effectively meaningless.”</p> <h3>Facebook has got too big, and it’s out of control</h3> <p>The traditional press’ main responsibility to democracy is to make sure that the powerful are held accountable. For instance, this is why <em>The Telegraph</em> led its investigations into MPs expenses or the football for sale scandal, which led to England manager Sam Allardyce losing his job. Despite the cynical view, these ‘stings’ are not there just so people will buy more papers – investigative journalism is a grisly commercial reality. A lot of investigations don’t go anywhere and they very often don’t sell more papers. </p> <p>Traditionally, investigations are likely to focus on the authority of politics and government – after all, they ultimately rule over us. But in recent years, we have come to an uncomfortable reality – the waning of the state, and in every direction the growth of hugely powerful tech platforms that we will almost certainly encounter every single day – often for several hours. In some cases, <a href="https://www.amazon.co.uk/Move-Fast-Break-Things-Undermined/dp/0316275778">it has been argued that these are monopolies</a>.</p> <blockquote class="twitter-tweet"> <p lang="en" dir="ltr">Again. Core problem w/FB (et al.) is that capture + exploitation of human attn. is the bus. model. Without changing that, "honest ads" do nothing. Privacy does nothing. And Zuck's testifying before Congress is petty status-downranking that will set this whole mess back by decades</p> — James Williams (@WilliamsJames_) <a href="https://twitter.com/WilliamsJames_/status/982708511531511808?ref_src=twsrc%5Etfw">7 April 2018</a> </blockquote> <p>Working in digital marketing and media, it is so easy to praise the power and success of tech companies, but never take heed of uncomfortable realities. Facebook is massive. It employs 25,000 people yet connects with 2 billion people on a daily basis. In the last quarter of 2017 it collected nearly <a href="https://www.cnbc.com/2018/01/31/facebook-earnings-q4-2017.html">$13 billion in revenue</a>. It is the biggest social network in the world, owns the next biggest, and owns the world’s single biggest messaging service.</p> <p>One might hope that with such great power came an acceptance of great responsibility – as Peter Parker was told. But we have had little of it. Facebook has previously downplayed its role in the spread of fake news, failed to notice Russian interference in the US election and not taken the appropriate measures to ensure Cambridge Analytica had deleted improperly acquired data. These, collectively, are serious problems.</p> <p>One specific example where Facebook's dark side is so obvious, yet hasn’t been discussed in much detail anywhere else, is the appalling state of the Facebook pages comment system. Go on the comment threads of any news page, or political party, and find something that would normally be considered unacceptable in real life – or certainly printed in a newspaper. A whirlpool of polarised hyperbole and anger, where the first and angriest is voted up into full view, despite a lack of truth in the expression. </p> <p>Yet Facebook acts without responsibility because it is the user’s expression and the company’s page – and not them as the technological enabler. This is a sentiment technology platforms have got away with for too long - in copyright issues, in hate speech and suggestions that high time spent on the platforms is entirely down to the user’s preference. </p> <p>Facebook has acted badly, and continued to act badly, and only now after scandal after scandal has there been a story that has affected enough people directly that people are starting to question – is Facebook really on our side? The reporting of these issues is not about advertising revenue; it’s that it is the right time to be asking such questions, after a decade of unbridled growth and <a href="https://www.itstimetologoff.com/2018/04/03/real-facebook-scandal-not-data-time-attention/">absorption of human attention</a>.</p> <h3>'Us vs. them' digital dogma</h3> <p>I will conclude on the point of what I have come to define as ‘digital dogma’. This is a pervading feeling that people who have made a success out of digital media will defend it at all costs and make simplistic 'us vs. them' points to further this aim. Somehow, we should get rid of the shackles of the old and firmly embrace the new. I have come across this wisdom repeatedly, and it will keep happening. Take the following examples:</p> <ul> <li>Content marketing is more effective than advertising (c.2012)</li> <li>Bitcoin will make you richer than the stock market ever could (late 2017)</li> <li>Social media is better than established media (last five years at least)</li> </ul> <p>These all sound strange in isolation, but that is so often what social media posts lambasting the old ways can boil down to. Let’s not forget that social media, in its limited characters lengths (and an extended character limited on Twitter is still pitiful) is extremely bad with the delicacies of expression. Thousands of Likes later, this nuance-stripped sentiment is hitting viral levels.</p> <p>The reality of the situation is much more nuanced. I’d argue, don’t believe the hype and simplicity. It is important to understand the non-commercial realities of news media before jumping to conclusions; that Facebook has simply not met the responsibilities expected of it, and that we are aware of the wider complexities of the media landscape that social media rarely lends to. We’ll all be better marketers for it.</p> tag:econsultancy.com,2008:BlogPost/69924 2018-04-09T14:30:00+01:00 2018-04-09T14:30:00+01:00 Is the ad fraud problem really getting better? New research suggests not Patricio Robles <p>But is the appearance of progress little more than a mirage?</p> <p>A recent study conducted by Adobe paints a bleak picture. As <a href="https://www.wsj.com/articles/fraudulent-web-traffic-continues-to-plague-advertisers-other-businesses-1522234801">detailed by</a> the Wall Street Journal, the study, which looked at traffic across thousands of its client sites, found that a whopping 28% of the traffic displayed strong “non-human signals” suggesting that it was the product of bots or click farms.</p> <p>Since this non-human traffic is typically associated with various forms of ad fraud, it's not unreasonable to assume that a substantial portion of this apparently non-human traffic was in some way associated with ads.</p> <p>As Bob Hoffman of the Ad Contrarian suggests, “Using Adobe's 28% number and projecting this out over $237 billion in estimated online ad spending this year...I calculate that online ad fraud may reach $66 billion in 2018.”</p> <p>While the size of that number is so massive as to be unbelievable, Hoffman does make the point that numerous ad fraud experts believe the ANA's numbers dramatically underestimate the amount of money being lost to ad fraud. As ad fraud expert Dr. Augustine Fou, the former Chief Digital Officer of Omnicom's Healthcare Consultancy Group, has stated, “No matter what you are hearing or reading about digital ad fraud, I can assure you it's actually worse than you think.”</p> <h3>Mo' apps, mo' problems</h3> <p>Confirmation that the ad fraud problem is getting worse, not better, comes in the form of <a href="https://www.mediapost.com/publications/article/316976/mobile-app-ad-fraud-up-30.html">a recent report published by AppsFlyer</a>, a mobile marketing analytics platform. It found that marketers were exposed to $700m to $800m in mobile app ad fraud losses in the first quarter of the year, a 30% year-over-year increase. Advertisers of shopping apps took a particularly harsh beating, with AppsFlyer estimating that they lost $275m to mobile app ad fraud.</p> <p>AppsFlyer says that fraudulent app installs now account for 11.5% of all ad-driven installs and 22% of apps now have over 10% fraudulent installs. 30% of these installs are produced by bots, which they say have replaced device farms as the most popular vector for ad fraud.</p> <h3>Whack-a-mole</h3> <p>AppsFlyer's findings highlight one of the biggest challenges in combating ad fraud: the fraudsters don't give up when the industry cracks down on a particular fraud method. Instead, they evolve their attacks, forcing the industry to play whack-a-mole.</p> <p>Will that game ever end? Initiatives like <a href="https://www.econsultancy.com/blog/69231-ads-txt-a-new-standard-for-fighting-inventory-spoofing-unauthorized-sellers-what-you-need-to-know">Ads.txt</a> suggest that gains against ad fraud are possible. But Ads.txt is far from perfect and it's not yet clear how much of a financial impact it will have on actual losses.</p> <p>There are also actions advertisers can take to minimize their exposure to ad fraud. Some advertiser have significantly cut back on the number of properties they advertise on. JPMorgan Chase, for example, last year <a href="https://econsultancy.com/blog/69309-how-much-waste-is-in-the-digital-ad-market">reduced the number of sites it advertises on</a> from more than 400,000 to 5,000 without any apparent negative effect. To accomplish this, it first eliminated sites that produced no activity beyond impressions, which reduced the number of sites to 12,000. It then manually reviewed the remaining sites.</p> <h3>Is acceptance the answer?</h3> <p>But ultimately, the size of the market and the strong incentives that exist for bad actors will make it hard for the industry to completely eliminate fraud. With that in mind, it's worth considering that the most realistic method for dealing with ad fraud is to simply factor it into ad rates.</p> <p>Advertisers already do this to some extent, of course. For example, they routinely pay more for ads from premium publishers than non-premium publishers. But as the recent <a href="https://econsultancy.com/blog/69796-traffic-buying-allegations-against-newsweek-media-group-highlight-complexity-of-the-digital-ad-problem">Newsweek Media Group scandal</a> demonstrated, even well-known publishers seen as being legitimate are capable of engaging in questionable practices if not fraud.</p> <p>This suggests that different techniques will be required. Technology like that Adobe used to detect non-human traffic could prove valuable here as it would allow advertisers to better assess the quality of traffic from a given source and adjust ad spend accordingly based on quality.</p> <p>While not perfect, an approach that accepts ad fraud instead of fighting it head-on might prove to be more practical and effective in light of the fact that despite the industry's efforts, the problem appears to be getting worse.</p> <p><em><strong>For more on this topic, why not try Econsultancy's <a href="https://econsultancy.com/training/courses/programmatic/">Introduction to Programmatic</a> training course.</strong></em></p>