Advertising adventures in feverish times


The digital ad revenue ecosystem is now pretty much under the state of ‘that’s that’: Facebook and Google’s position is undeniable, while digital advertising in total is expected to surpass TV in 2017. Plus: watch that space for Amazon as well.

Media firms (publishing houses, ad-agencies etc) are struggling for this 10% slice, as seen in the picture attached. Hardly exciting, in my opinion.

Advertisers’ strategic response to this FB/Google-opoly challenge has been extremely confusing over the years, with ‘monetisation’ being one of the most complicated parts.

Shifting towards social and mobile has resulted in a profound change with major repercussions for advertising agencies and media shops (among others). Those unable to see it on time (and ”on time” cannot not possibly be stressed more) are now struggling for a piece of this 10% slice, while still running serious risks of just getting the crumbs of it. Those who were able to prepare soon enough and get bigger chunks of the 10% slice, also have to face a pretty straightforward (and even visceral) fear: the severe disruption of the ad-agency structure.

In other words, when ad revenue power is concentrated in the hands of two data giants, then advertisers’ don’t get to dictate any rules.

On the same topic, this is a great (and long) read by the FT. Highly recommended.

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