This document summarizes an internet marketing presentation about emerging trends in online advertising, mobile ads, and implications for advertising agencies. It discusses Google Analytics, Facebook privacy settings, remarketing tools, and buzzwords like CPM, CPC. It also compares Apple's iAd platform to Google's AdMob for mobile ads. Finally, it speculates about potential future directions like addressable TV, Web 3.0, and a more integrated world where computers generate information.
4. Mobile Ads - Apple vs. Google iAd $1 million to Join $10 CPM $2 CPC fee At 1% click-through rate that is $30 per click AdMob $10 to $15 CPM No costs per click CPC campaigns - 15 cents to 30 cents per click. “People aren’t searching on a mobile device like they are on a desktop device, they are using apps to get to the Internet.” – Steve Jobs
5. Ad Revenues The largest SEM vendors are Google AdWords, Yahoo! Search Marketing and Microsoft adCenter In 2008, North American advertisers spent US$13.5 billion on search engine marketing. In 2008, Google's total advertising revenues were US$21 billion Google set the minimum CPM bid for placement targeted campaigns at 25 cents
6. Effects - The Death of Ad Agencies? “I’m shocked at how arrogant they’ve become,” says an agency source. “I find it really scary. They have every intention of relegating agencies to just a strategy function.” – an agency exec about Google’s activity in the provision of online display ads “Since this is a closed ad network run by Apple I guess you’ll just have to trust them that they’re giving you a media plan that meets your objectives. ‘I want to reach young men who are interested in sports’ – How does this get translated into a media plan? If Apple does all the work, then how does an agency add any value to the process?” – on Apple’s iAd platform Apple will make ads for iAd Apple is charging $50,000 to $100,000 to produce iAds – double of agency fees
7. What is Next? Addressable TV Google teams up with Visible World Inc. NBC is using Microsoft’s Admira platform Apple’s Vision of the iPad and Apple TV
8. What is Next? Evolution of Web 3.0 Semantic Web Personalization “Totally integrated world” “To emerge from new and innovative Web 2.0 services with a profitable business model” “Where the computer is generating new information, rather than humans”
Notas del editor
One company, Phorm, signed up three of Britain’s largest ISP’s to its behavioral tracking service and was nearly drummed out of the country. However, with the passage of time, it’s still doing nicely, thank you very much. Today, Google monitors the books you read and no one seems to mind.In 1999, DoubleClick merged with the data-collection agency Abacus Direct.This raised fears that the combined company would link anonymous Web-surfing profiles with personally identifiable information. The divisions were separated in 2006 and Abacus was finally sold in December 2006.Apple iAd Platform: Is still a bit of a mystery, but the informed speculation is that it will offer advertisers a way to serve ads to you based on the location of your mobile device.Facebook’s new privacy settings: Will offer your Facebook information (friend lists, group lists, etc) to third party advertisers unless you opt out.Google’s Remarketing tool: Will offer advertisers a cookie they can place on your machine whenever you visit an advertiser’s page. If you go elsewhere on Google’s content partners — YouTube or CNN.com, for instance — you’ll continue to see that advertiser’s ads whenever your behavior triggers a reason for it. Don’t want to be stalked by Google’s paymasters? You’ll have to remember to opt out.
When Apple introduces a shiny new object, a faithful group of early adopters pony up top dollar to be the first to play with it. Turns out it's counting on the same behavior with mobile marketing.Apple is reinventing mobile ad pricing -- and not in a good way. They're essentially double-dipping by simultaneously charging a rate for 1,000 impressions (CPM) and a rate for click-throughs (CPC). That's different from other mobile ad networks that usually charge one or the other, not both.“People aren’t searching on a mobile device like they are on a desktop device,” said Mr. Jobs at an event at the company’s headquarters. “They are using apps to get to the Internet.”AdMob -- awaiting FTC approval for its acquisition by Google
Google Inc. is teaming up with Visible World Inc., a well-known New York technology company that uses software to create multiple versions of a given ad, in its push to offer TV advertisers more targeting options.Google will combine the technology with its Google TV Ads, an automated auction-based system for buying TV ads by choosing which shows best fit the advertised product or service. The idea of such “addressable advertising” is to send a TV ad promoting a sale on minivans to a household with children, for example, and the same basic ad with a promo for a sports sedan to a childless household.