Online Advertising Data: Who Owns It and why is that important?- IAB Ad Operations Summit
The question is not WHO owns the data but who CAN USE the data. So the truth is that more data leads to more complexity in our business. The vast majority of publishers are still trading on content and not audiences. But staying ahead of the technology curve allows a publisher to be more aggressive in the innovative marketplace.
One big problem within digital advertising is that the cost of doing business is 2x or 3x the amount of other mediums (such as print, radio, TV, etc). We need one electronic system to handle the workflow and inventory… The fundamental problem is that companies like Procter and Gamble cannot spend $1 billion online without a better understanding of audience measurement.
Think about search. Google is successful because they gave the advertiser control. This is a concept of what needs to change in the display market- let the market decide what it wants to buy. Display has 95% of all inventory but provides very little control for advertisers.
Predictions – if you are looking at demand side platforms and buyers are looking to find value, then you will see audience based buys through open marketplaces and there will be less integrated sponsorships (Yahoo). Data will either liberate us or crush us (WPP). There will be two different planners: the ones in the marketplace and the other will be integration (WPP). Real time bidding (like a clearing house) will control 60% of the business in 2 years (WPP).
The knowledge is where the data is. How can Operative become a force and help publishers use this data? Let us know your thoughts…
