5 Game Changers Every Advertiser Must Know in January 2019

SQADPOD: 5 Game Changers Every Advertiser Should Know – January 2019

Industry news and insights podcast curated from the world of advertising and marketing trends.

SQAD Pod – January 2019
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As we launch into a new year, everyone seems to be bombarded with emails that need to be answered, tasks that need to be done, and of course – lots of news stories to read up on. To help you get on track, we’ve gathered the advertising industry trends you need to know. This month we are talking about Netflix’s new advertising weapon, Nielsen and Comscore’s format war, scarily targeted OOH ads, Amazon’s free sample program, and Facebook’s messaging merger plans.

1. Choose Your Own Ad-venture

A recent episode from Netflix’s “Bandersnatch” brings a new spin to this mind-boggling, twisting, turning story where viewers are given 10 seconds to choose between two story options, for scenes throughout the show. The choices made determines the progression of the story, and the subsequent choices available. It’s not unrealistic to imagine Netflix taking this “choose your own adventure” to the next level with programmatic product placement. Suppose in one scene the viewer chooses the story line with a Ninja Blender rather than a Hamilton Beach. Throughout the show you keep seeing that product you chose. Your choices can also reveal a lot about who you are including your age, gender, education, and income level… which they can use to deliver even more relevant product placements to you throughout the episode. Imagine the possible partnerships with retailers like Amazon to better target you with products and offer one-click buy options directly from within the show. There is a huge potential for this type of adaptive marketing to change the game, and Netflix has a head start on the competition.

2. One Impression to Rule Them All

We’re seeing all the telltale signs of a fast-approaching format war as we watch Comscore and Nielsen circle each other in the boxing ring, both vying for the title of cross-platform measurement king. While Comscore takes the charge on digital, Nielsen claims the traditional TV side – both working to break into each other’s domain to provide “one impression” to rule them all. This year, both companies are working to roll out new tools for advertisers to measure both traditional linear TV and digital streaming. Publishers and advertisers are waiting (not so patiently) for the one score to accurately measure the reach of their content across all mediums. Just as VHS and Betamax fought head-to-head for format domination, so too will Comscore and Nielsen, and the outcome could be game-changing for the industry.

3. This Billboard Ad Knows What You Bought Last Week

In today’s world, there are no limits to what advertising is capable of (until we factor in privacy concerns, of course). Imagine waiting at a bus stop with one of those digital ads that shift every 30 seconds. The next thing you know, there’s a Walgreens ad suggesting items like shampoo and toothbrushes. The billboard seems to know what’s on your shopping list – and that’s because it does. This is a scene from a very plausible future of advertising, where smart billboards will be able to track who you are based on your loyalty and rewards cards from your favorite stores. When you come within the vicinity of a programmed billboard, the advertisement will change based on who you are and your buying habits that are tracked on your card. NXP, a semiconductor company, is envisioning this type of advertising with their latest card chip technology, which was presented at this year’s CES conference. How it is ultimately implemented will be up to advertisers, but we can already foresee all the data and privacy issues that will need to be addressed before this takes off. But if/when it does, it will take targeted OOH advertising to a whole new level.

4. Amazon Thinks You Want Free Samples

What better way to  convince people to buy a product than to give them a free sample to see it in action? That’s exactly what Amazon has in mind and why they automatically enrolled all their users into a product sample delivery program – which will send samples based on your purchasing history. The company maintains this will help users discover products they probably don’t know about but might buy if they’ve tried it. This is basically taking the “suggested items” list and weaponizing it for advertisers. You can bet Amazon will be monetizing this sample strategy and charging advertisers big bucks for this level of targeted sample delivery. Obviously, free samples are not new, but the fact that all users were automatically subscribed to the program, and advertisers can target their promotion strategy based on buying history, is what Amazon thinks will change the game.

5. Messaging Merger Means More Money

Facebook is working on cross-messaging capabilities for its massive communication network of apps: Messenger, Instagram, and Whatsapp – which together boasts of more than 2.6 billion users worldwide. The intention behind the merge is to keep users engaged within a single communications space and to compete against Apple’s iMessage platform. This is starkly different from Facebook CEO Mark Zuckerberg’s original plan to keep the three companies separate and the integration has caused tension between the platforms. Obvious concerns revolve around the handling of private information and data. With the integration, more users would spend more time on Facebook’s sites and thus allow it to add more data to its already existing treasure trove for advertising targeting purposes. While many within the companies expressed confusion over why Zuckerberg is deciding to do this, the answer seems pretty clear: more data means more advertising means more money.