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What The Hell Happened to Good Publishers 1995 2015

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Good publishers have had to lay off journalists and other staff in an effort to survive. Ad dollars spent by marketers are not going to them but instead of siphoned off by ad tech for themselves and also into the pockets of bad guys, using ad fraud to steal ad dollars.

Go back to buying media as if it were 1995 and cut out the middlemen - the Badtech industrial Complex.

Published in: Marketing
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What The Hell Happened to Good Publishers 1995 2015

  1. 1. January 2019 / Page 0marketing.scienceconsulting group, inc. linkedin.com/in/augustinefou Adtech enabled siphoning PublishersAdvertisers Human Audience Advertisers Publishers Human Audience Fake Users Fake Sites 1995 2015
  2. 2. January 2019 / Page 1marketing.scienceconsulting group, inc. linkedin.com/in/augustinefou Badtech Tax: 60-70% extracted Source: WFA, April 2017 Source: ANA, May 2017
  3. 3. January 2019 / Page 2marketing.scienceconsulting group, inc. linkedin.com/in/augustinefou Case examples of this … Publisher only gets 30-60c on the dollar after middlemen fees https://mediatel.co.uk/newsline/2016/10/04/where-did-the- money-go-guardian-buys-its-own-ad-inventory 2016 The Guardian “for every pound an advertiser spends programmatically on the Guardian only 30 pence actually goes to the publisher.” 2017 BusinessInsider “$40,000 worth of ad inventory through the open exchanges, the publication only saw $97.” http://adage.com/article/digital/business-insider-york-times- shed-details-ad-industry-s-biggest-problem/311081/
  4. 4. January 2019 / Page 3marketing.scienceconsulting group, inc. linkedin.com/in/augustinefou U.S. Digital Ad Spend Distribution $46 Search Display/Video $46 $32$39 $8 Google Search FB+Google Display$29 (outside Google/Facebook) $100 Billion Digital SpendSource: IAB 2H 2018 Report Source: Verisign, Q4 2016 329M domains est. 1 million est. 164 million 7M apps Source: Statista, March 2017 est. 10,000 est. 6.99 million 1% of impressions 99% of impressions $10B $19B Good Publishers “sites/apps with ads”
  5. 5. January 2019 / Page 4marketing.scienceconsulting group, inc. linkedin.com/in/augustinefou Scarcity … vs unlim fake ads Infinite quantities of digital ads can be created on real or fake sites Unlike real billboards that people actually drive by in the physical world … Limitless quantities of digital ads can be created on fake sites that humans never visit.
  6. 6. January 2019 / Page 5marketing.scienceconsulting group, inc. linkedin.com/in/augustinefou Myth of the long tail Most people visit sites they know most; occasionally long tail ones “There are numerous pieces of research on how even as people accumulate hundreds of TV channels, they only watch seven. It's rather commonly accepted that in a sea of millions of mobile apps, most people stick to half a dozen.” http://www.businessinsider.com/the-advertising-industry-has-been-living-a-lie-2017-10
  7. 7. January 2019 / Page 6marketing.scienceconsulting group, inc. linkedin.com/in/augustinefou Myth of Hypertargeting After 3 parameters, the matching audience gets really tiny Female Male 18-25 13-17 25-34 35-49 50+ 1. gender 2. age range 3. geographic location 50% 10% 2% 100 params? 300 params? Starting Audience 100% ? ? % of AudienceTargeting parameters
  8. 8. January 2019 / Page 7marketing.scienceconsulting group, inc. linkedin.com/in/augustinefou Myth of behavioral targeting Ad tech sold the idea of deriving intent from web history Outdoor enthusiast?Male? Female? “This works on simplistic examples, like the above. But when the list of sites grows longer and more diverse, the assumptions used to derive data points, even gender, are going to be less and less accurate. In fact, a recent study of online identifiers determined that over 80% of the records were designated as BOTH male and female.” Source: Yeah, Your Data’s Screwed
  9. 9. January 2019 / Page 8marketing.scienceconsulting group, inc. linkedin.com/in/augustinefou hypertargeting behavioral targeting “Badtech” harms all parties Good Publishers (lower revenue, CPMs) Consumers (privacy violations) Advertisers (ad fraud, no outcomes) Badtech Industrial Complex Badtech Industrial Complex long tail sites

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