Last Week in Advertising
As an Ad Tech Product Manager, I spend considerable amount of time keeping up with the trends and latest happenings in the industry. I would like to share some of the interesting articles and blog posts I come across during my research, along with my takeaways from them. With Olympics news galore, here’s the first installation.
Ratings on the last day of competition in Rio Olympics fell a whooping 33% in overall audience and a harsh 44% in 18–49 demo, when compared to London Olympics. Previous Sunday was the lowest rated middle Sunday since 1984. Over the first 10 days, ratings slumped 17% overall and 25% in the 18–49 demo. Young people are still following the Olympics: NBC’s streaming is up significantly, and 50 million people are watching Olympics highlights on Snapchat. The last data point indicates that sports are shifting from mass media centerpiece to another bit of content available on an aggregator. What does that mean for broadcast networks, where sports account for 37% of ad revenue despite making up only 10–12% of programming? We’ll have to wait and see.
Thanks to the explosive growth of platforms like Snapchat, Instagram, Twitter and Facebook, the 2016 Rio Games are widely assumed to be the most social and most mobile ever. During the opening ceremony alone, 52 million people had about 110 million interactions on Facebook, while another 21 million had 62 million actions on Instagram. Of the overall chatter, millennials made up nearly 75 percent of the conversation, with men comprising 57 percent of total chatter. Facebook has begun testing its MSQRD filters in select markets using Instagram Live Stories, providing users a chance to try Snapchat-like face filters to digitally paint their faces.
Broadcasters, brands and everything in between incorporated 360 video into their broader coverage of Rio’s Olympic Games. BBC Sport provided 100 hours of 360 video, including a daily event and highlights package. Samsung and Alcatel put out their own Olympics-related content as they launched their new VR-optimized devices and improved headsets. Visa created a 360 spot set in the Olympic diving facilities which puts viewers seemingly 20 feet in front of the diver poised to leap off the 10-meter platform, allows you to look around at the crowd below and then takes you underwater as the dive is completed. Whether the Olympics can do for 360 what Pokémon Go has already done for AR remains to be seen.
93% of MLB parks, 53% of NBA arenas and 47% of NFL stadiums are dotted with beacons and other technologies that communicate with mobile devices to track fan footpaths, encourage them to upgrade seating, and connect with them on behalf of sponsors during and after the game. The number of proximity sensors placed in physical spaces across the globe appears to be growing rapidly. The number rose to 8.3 million in the most recent report, up 33% from the report three months earlier.
The television industry must maintain open standards and common guidelines for how it shares data. It can spur adoption of programmatic television buying by developing a standardized, universal data set that can match proprietary data against third-party data, and better represent audience value. This will ensure demand and inventory are represented fairly across the TV platform. This will also give buyers and sellers a common language, promoting a sense of openness and transparency. This is crucial to preserving and improving the art of selling broadcast linear television advertising.
Verizon has 75 million smartphone post-paid subscribers and activates about 10 million new phones a quarter. It has only offered the installations on Android phones, because Google’s software is open for carriers to customize. Android phones command more than 50% of the U.S. market, according to ComScore. Verizon was seeking between $1 and $2 for each device affected.
As self-driving cars free up commuters’ time, marketers have an opportunity to grab some of that attention. Augmented reality on your windows (and phones) will become the new billboard. Car sharing services like Uber and Lyft will almost certainly unveil their own version of ad networks to supplement their income or subsidize cheaper rides. PS: Uber and Volvo are bringing free self-driving cars to Pittsburgh this month.