5 Game Changers Every Advertiser Must Know in October 2016

SQAD POD: 5 Game Changers Every Advertiser Should Know – October 2016

Industry news and insights podcast curated from the world of advertising and marketing trends.Audio Player00:0000:00Use Up/Down Arrow keys to increase or decrease volume.

October brings about a lot of change—weather, leaves, and advertising innovations. But there is nothing scary about the end of October if you are up to date on the five game changers every advertiser should know. This month we are taking a look at differentiation between social media viewing metrics, Netflix’s plans for the future, audio inventory for programmatic advertising, a new RBC report about programmatic naysayers, and interactive advertisements.

1. All Social Media Video Not Created Equal

Ad spend on digital video has increased by 114% since 2014, and major traditional outlets such as the New York Times are doubling down on their video content. But, after news that Facebook had been overcharging advertisers for video views due to an error in their metrics, there is now a lot more light shining on this dark & mysterious corner of social media advertising – where much of this video content is shared and viewed. Each social media platform operates independently with their own definitions of what constitutes a view, so planners cannot accurately compare where they are performing better. To help clear things up, the folks over at Pressboard, a content marketing firm, recently laid out how views are calculated in terms of initiation, time spent, viewability, and platform. It’s worth a quick look.

2. Netflix Has Big Plans for the Big Screen

If you’ve every hoped to get greasy movie theater popcorn while watching Netflix, you’re prayers me soon be answered. With more viewers cutting the cord and relying on online streaming services, traditional networks are starting to consider online-only subscription models to keep up with Hulu and Amazon Prime. So, Netflix isn’t waiting around for the competition to make up the ground they’ve lost fighting for a shrinking distribution model. This month, the steaming video leader reported it will be expanding its business to include more traditional movie theater experiences by teaming up with iPic Entertainment. Strategy #1, Netflix will reportedly host original movie screenings on the same day they are released for online streaming.

3. Spotify Brings Targeting Experience to Asia

Back in June, Spotify launched programmatic ad buying, which some have predicted will lead to more mainstream opportunities in audio for programmatic buying. The industry is already seeing a major boost in programmatic inventory in the digital audio space, now through a partnership with Trade Desk, Spotify will be offering inventory throughout the Asia-Pacific region. This partnership allows advertisers to target audiences by age, gender, and music genre, and even playlists. The partnership also gives advertisers the ability to target consumers based on their listening habits, including during commutes, workouts, or at a party – reflecting how users use different playlists that represent or cater to moments in their lives.

4. Progammatic Reality Check from RBC

A report by RBC Capital Markets found that marketers may be showing less enthusasm about programmatic advertising. The somewhat trend-busting report finds that 24% choose not to use programmatic transactions, and only 51% found an improved ROI using the technology – for perspective, that is down from 57% from just one year ago. We’ve talked about it here before, and the industry is still buzzing with the potential of Programmatic buying…but at this point only 13% of marketers reported spending more than 20% of their budget through programmatic channels. It’s unlikely this is pointing to “the death of programmatic” before it really gets a foothold. This is more likely a mid-journey check-in to see if the technology and metrics are fully in place to give the marketers the peace-of-mind they want when launching into the unknown future of programmatic buying. Our friend, Laurie Sullivan has analyzed the RBC report and has all the details over at MediaPost. The link is on our website.

5. Ads Learning to Play the Game

Interactive ads are the new strategy that major companies are using to increase engagement time with consumers. Brands who are looking to change the relationship between consumers and advertisements are looking away from the delayed gratification of traditional advertisements towards a new model that streamlines the whole digital entertainment experience by making ads more fun and engaging. Snapchat is one of the first social media platforms to integrate interactive advertisement into the very core of the application’s user experience – seamlessly allowing users to interact with ads as custom image filters within the native functionality of the Ap. Recently, Starbucks and Fox’s reboot of Rocky Horror Picture show got in on the fun, but for perspective, a recent campaign by Gatorade during the US Open lead to an average of 217 seconds of consumer engagement compared to a typical average engagement rate of 3 seconds on traditional Snapchat ads.