Will Ad Blockers Finally Kill Off The Ad Spam Culture?

Will Ad Blockers Finally Kill Off The Ad Spam Culture?
SHARE
THIS



The widespread use of ad blockers will force the digital advertising industry to adapt, as it transforms the ad-spam culture into a paid media system founded on high-quality, trustworthy and targeted ad content. This is BCG Digital Ventures managing director, Walter Delph’s key prediction for the coming year.

He said the relationship between the media industry and consumers had fractured, as the latter grew tired of the irrelevant ad barrage on their favourite web sites.

According to Delph, the rise of ad blockers would accelerate the demise of indiscriminate, unavailing digital ads as new technologies and services force inefficient and complacent systems to adapt.

He explained paid media was the media industry’s answer to dwindling readership, and the knowledge and information offshoot of the digital economy.

Furthermore, digital advertising was expected to challenge the high cost of print advertisements, increase ad exposure to a widening audience of Internet users and improve tracking — yet this has quickly soured in reality, Delph said.

Consumer annoyance is one thing, but ad functionality, visibility and fraud is something else entirely, he said.

“Thanks in part to the ad-spam culture, a huge portion of online advertisements are completely overlooked,” Delph said.

Walter Delph 1

Walter Delph

“There is a sinister presence in the digital advertising space, and it has set the stage for transformation.

“Companies have already recognised this sprawling consumer dissatisfaction and the deep flaws within the digital advertising industry, and responded with effective, impactful ad blockers.”

A loss of advertising and the publicity it provides brands has significant financial implications on the entire paid media system.

“If you are in the media industry, you will understand the panic about ad blockers,” Delph said.

In the same panic-plagued boat are marketing managers— accountable for growing brand awareness, customer acquisition and sales conversions within their allocated ad spend budgets.

With ad blocking growing in popularity — particularly with Apple joining the ad blocking movement with the Safari 6 AdBlock extension — strategies such as retargeting will become a fundamental component of every marketer’s toolkit to ensure audience relevancy with ads viewed by the right customer.

AdRoll managing director Ben Sharp weighed in on the debate. “Our view on ad-blocking is pretty simple: if people do not want to see ads, we do not want to waste our client’s money on them,” he said.

“We like to spend our client’s budget in the most efficient way possible, so we have no interest in showing ads to Internet users who have installed ad-blocking software.”

Retargeting is a tool that can be used across any marketing strategy and is naturally data-driven as it uses a brand’s data to perform, said Sharp.

“Retargeting relies on first-party data,” he said.

“Marketers are sitting on a treasure trove of intent data that can help them drive powerful retargeting campaigns.

“Web site data shows actions which translate into levels of intent.

“Understanding these levels of intent means they can be harnessed to show ads to the right person, with the right message, at the right time.”

Delph shares Sharp’s right-person, right-message, right-time strategy, saying the successful media organisations will work to re-establish trust with consumers, who will then willingly turn off their ad blockers to view rich content in exchange for limited, targeted advertisements.

Retargeting technology can perform across multiple platforms, with the ability to re-engage desktop visitors as they move to their mobile devices.

According to recent AdRoll research, Australians spent 42 per cent of their digital screen time on mobile last year.

With time devoted to mobile screens set to increase, device-to-device retargeting for mobile that brings consumers back to popular shopping apps and mobile-friendly sites may prove important in circumventing ad blockers across multiple browsers.

“We give our clients a holistic view of their customers’ behaviour on the journey to purchase via in-depth, device-type specific reporting through our dashboard,” Sharp said.

Ben Sharp

Ben Sharp

Understanding this consumer behaviour is vital in avoiding consumer annoyance, particularly in the case of the mobile phone — the most personalised consumer device today — where Delph said consumers’ expectations for better ad units have been underwhelming.

Sharp stressed the importance in working with clients on building a strategy that works directly with business goals so that the right customers are being approached at the right stage of the marketing funnel to get the best results.

“Marketers should consult with their account manager about the best performing channels for their vertical based on experience and ask for relevant case studies to get an idea of what results are achievable,” he said.

The rise of ad blockers and the evolution in paid media will be a cornerstone event for digital advertising in 2016; however, it is not a doomsday scenario, Delph said.

“In truth, the commercial advertising sector faced the same situation with the advent of the DVR.

“Media organisations and advertisers should recognise the opportunity for creativity and exploration offered by this shift.”

Delph predicts that over the next year, high-quality and trustworthy content will gain space in the digital advertising market.

The digital advertising industry will reinvent itself as advertisers adopt technologies that can serve ads to act-alike rather than look-alike consumers — thus dampening demand for ad blockers.

“Consumers do not mind advertising — they mind bad advertising that isn’t targeted to their needs and preferences,” Delph said.

This article originally appeared on B&T’s sister business site www.which-50.com

Latest News

Women In Media Profile: Danni Wright
  • Media

Women In Media Profile: Danni Wright

We'd be headlining Danni Wright's Women in Media profile the "Wright stuff" if it wasn't utterly predictable and naff.

by B&T Magazine

B&T Magazine
Industry Generates A Record $10.5m For Social Impact
  • Media

Industry Generates A Record $10.5m For Social Impact

UnLtd, the media, marketing and creative industry’s social purpose organisation has announced a total industry contribution of $10.5m to social impact in FY18. The total value of funds, services, inventory and time donated by the media, marketing and creative industry increased by 21per cent compared to the previous financial year due to a growth in […]

Posterscope Promotes Two
  • Media

Posterscope Promotes Two

Posterscope, Dentsu Aegis Network’s specialist out-of-home agency, has promoted Ryan Hedditch to the newly created position of national head of strategy and Samantha Summers to Sydney Group Business Director. In his new role, Hedditch is charged with driving the continual improvement and transformation of the Posterscope offering to clients and partners. Summers’ promotion will see her lead […]

Outbrain Accelerates Growth With APAC Promotions
  • Media

Outbrain Accelerates Growth With APAC Promotions

Native discovery platformOutbrain has announced several movements in its regional leadership team, with plans to make more new hires. This comes on the heels of two senior appointments it made in February, after closing a record year in the region with expansion into new markets. Yoav Tourel has been promoted to head of sales for […]

Clems Syd & Extra GUM Unveil YouTube Digital Stage
  • Media

Clems Syd & Extra GUM Unveil YouTube Digital Stage

YouTube EXTRA Gum has launched EXTRA Support Acts, a program created to support Australia’s up and coming musicians by transforming pre-roll ads on YouTube into a digital support stage. It has been created in partnership with Clemenger BBDO Sydney as creative lead, Universal Music Australia and BRING for talent and music strategy and content, MediaCom and YouTube. The […]

OMD Australia Tops 2018 RECMA Rankings
  • Media

OMD Australia Tops 2018 RECMA Rankings

OMD Australia has taken the top spot for Australia’s Number 1 media agency in size, according to RECMA’s 2018 ‘Overall Activity Volume Rankings’ report released last week. Additionally, the company was named first in profile classification with a dominant profile for the 3rd consecutive year, along with vitality ranking and structure ranking. Furthermore, OMD Australia was also named […]

Red Agency Bolsters Sydney Team
  • Media

Red Agency Bolsters Sydney Team

Judging by the image, it seems Red Agency may have had no staff whatsoever prior to this hiring spree.

Nine Appoints Editor For 9Honey
  • Media

Nine Appoints Editor For 9Honey

B&T's editor coincidentally spilled honey on his shirt while typing this. And by typing, we mean copy and pasting.

Y&R Sydney Scores Best&Less   
  • Advertising
  • Media

Y&R Sydney Scores Best&Less  

Y&R wins Best&Less amid rumours the clothing shop its changing name to 'Somewhat OK&Reasonably cheap'.

Women In Media Profile: Judy Sahay
  • Media

Women In Media Profile: Judy Sahay

B&T's Women in Media profiles are like a wave washing over you. Even more so if an actual wave washes over you.

by B&T Magazine

B&T Magazine
How B2B Companies Can Use Their Customer Data More Effectively (And Why They Need To)
  • Marketing
  • Opinion

How B2B Companies Can Use Their Customer Data More Effectively (And Why They Need To)

In this opinion piece, SalesPreso co-founder and CMO Joel Thomson (pictured below) explains how B2B companies can use their data more effectively and deliver a personalised customer experience that matches their B2C counterparts. From the Cambridge Analytica scandal to the EU’s recent GDPR legislation, this year has prompted individuals all over the world to consider […]

Opinion

by B&T Magazine

B&T Magazine
M&C Saatchi Launches THIS Film Studio
  • Advertising
  • Marketing
  • Media

M&C Saatchi Launches THIS Film Studio

Not one to rest on its laurels, M&C Saatchi unveils new production studio it hasn't called 'Not One To Rest On Laurels'.

Creative Agency Launches Project Management Tool ‘Hassl’
  • Advertising
  • Technology

Creative Agency Launches Project Management Tool ‘Hassl’

Yesterday at TedX Melbourne the team behind award-winning, Melbourne-based agency Your Creative launched their new tech venture Hassl, the project management platform taking on Trello and the likes. With the belief there was a better design solution to project management, the platform has been developed over the last two years in collaboration with their clients. […]

ABC Axes Tom Ballard’s Tonightly
  • Media

ABC Axes Tom Ballard’s Tonightly

It's one of the ABC's edgier, controversial shows, but Tom Ballard's proven too edgy and controversial for ABC chiefs.

Taboola Strengthens APAC Programmatic Offering With New Partnership
  • Advertising
  • Media

Taboola Strengthens APAC Programmatic Offering With New Partnership

Global discovery platform Taboola has announced a strategic partnership with Wider Planet, Korea’s largest demand-side and data management platform. The partnership builds on Taboola’s programmatic efforts in Asia-Pacific, and will bring together Korea’s largest demand platform for agencies and brands to provide access to Taboola’s global audience through premium publisher placements. The partnership means advertisers […]

The Haus Picks Up Two New Clients
  • Marketing

The Haus Picks Up Two New Clients

The Haus announces two new client wins. Admittedly, not as good as winning three, but far better than losing four.