Technological Developments Greatly Affecting Online Advertising
Online advertising is a rapidly changing field, as noted by King Kong Sabri Suby or anyone else on the field. This is due to its nature as a technologically-heavy field. With all the new developments that are popping up, the field is in constant flux. Here’s a look at a few things worth keeping note of.
Artificial intelligence (AI) has been seen as a bit of a buzzword, something that isn’t pertinent to most advertising clients. But tech giants like Microsoft have been looking at the AI-Advertising train.
According to Microsoft’s research, improving the accuracy of CTR estimation in sponsored ads with the use of AI will be huge for the market, with an increase of just 0.1% supposedly amounting to additional hundreds of millions of revenue.
Google, Amazon, Alibaba, and others have been working on bringing AI and big data together, as they believe that there’s too much data in the field to be converted into revenue-generating insight.
CTV is any TV that has internet capability; smart TVs, Apple TV and Roku, and even gaming consoles. Ad-skipping technology is getting stronger annually, but CTV provides them with a medium. In 2019, about 60% of households in the US have a CTV, with use growing annually.
While the lack of effective measures for measuring audience size and makeup, cookies, and device IDs is holding back this particular medium, it still has potential due to being relatively untapped and rapidly growing.
A different take from the others, in that it’s more about implementation than AI use. Programmatic technology is when someone like King Kong Sabri Suby uses software to purchase digital ads rather than the traditional process. This, in turn, cuts down on overhead and the associated fees.
Programmatic software is versatile, allowing for real-time-bidding as well as guaranteed ad impressions ahead of time. Accenture reports that buyers and sellers use 17% of their inventory, on average, for programmatic, but it’s expected to double by 2022.