Holler’s Mike Hill Pens Open Letter To IAB’s Randall Rothenberg On Ad Blocking Debate
The hype around ad blocking and whether it’s good for the industry or not has reached boiling point. Mike Hill and Dan Hitchcock from digital agency Holler recently coined an opinion piece together about why ad blocking was beneficial for adland. However, head honcho of the Interactive Advertising Bureau (IAB) in the States, Randall Rothenberg, slammed the suggestion, saying anyone who thought it was good was “foolish”.
Here, Hill responds to Rothenberg in an open letter.
Dear Randall,
Let me tell you a story; an urban myth if you like.
In the early 2000s the execs at Sony called an emergency meeting with a bunch of teenagers. They called some Napster-loving teens into a big office and ran a workshop about music listening habits. They talked about the music they liked, where they got it from, the gigs they went to, etc.
It was an arduous meeting. In return for their feedback, on a large white table on the way out of the executive floor, were hundreds of CDs for the teens to take home. As many as they wanted.
Not a single kid took a CD. It was then that the execs realised they were in trouble.
You see, no matter the size of your subpoena, you can’t change what consumers want and don’t want. A giant like Sony couldn’t make kids want CDs. And you can’t make people want banner ads. This is not my opinion. You are not debating me, a foolish ad exec. You are debating the people. And we (I say “we” because we should be on the same side) will lose this one.
Isn’t it ironic that digital, the advertising discipline that has for so long cried “interruption is dead”, is now bleating that it needs to protect its right to interrupt?
Banner ads work
We do lots of them. We do them well. We put a huge amount of effort into the craft of building them. We’re even doing them according to your very own recommended industry standards.
We get a lot of traction with them too, especially in a retail capacity.
However, whether they are effective or not is a moot point. They’re on their way out. Not because I say they are, but because companies like Apple, Google and Firefox allow (or will soon allow) consumers to block them. Consumers will welcome this change with open arms. Not simply because banners are distracting, but also because they hamper the speed and quality of their online experience.
For too long, all of us in the advertising industry have lived under the delusion that people want what we make. They usually don’t. They sometimes really don’t. They might have tolerated banners for many years, and even (reluctantly) enjoyed them when we got it right. But now they don’t have to, so they won’t.
We need to find a better solution now before it’s too late
The little guy is going to lose out in ad revenue on this. That is a shame, however it’s not the end of the little guy. They said music piracy would destroy music. It didn’t. Smaller bands found a way to keep earning. It hasn’t been easy, but the quality and abundance of new music hasn’t changed. Today consumers now have Spotify, Pandora, and now Apple Music as a result of that change. Smaller content providers will find their own ways to adapt.
We need to look at the impending technological block coming, and find better ways of engaging audiences. The brands that have been slow off the mark building their owned media will be caught, finally, with their pants down.
Legal action is not a solution
This is a battle you cannot win. They are too many and we are too few.
Napster may have felt the force of law nearly 15 years ago. Yet file sharing continues to punctuate the musical landscape. Those who fail to adjust their business model to the new rhythms punched out by the Internet and digital technologies are ruthlessly left behind.
The demise of EMI in 2011 is perhaps the best illustration of this. Despite becoming the first record company to go DRM-free, their tried and trusted business model was completely upended by file sharing, and the lucrative record contracts that they’d signed-off in the preceding years, became completely unsustainable.
Failure to adapt to digital technology is not just confined to the music industry. We all know what happened to Kodak, who’s short sighted management brushed off the threat of digital photography for decades, a technology that they had ironically invented.
The companies’ strategic failure to acknowledge the influence of digital photography was the direct cause of the drastic decline of its film-based business model.
If we have learnt one thing from stories like Kodak and EMI, is that failure to adapt to a constantly evolving digital landscape can drive a business into the ground.
In the case of ad-blockers, penalising people or companies by denying them access to your product and services is a dangerous game to play and is not the model for sustainable growth. Even a foolish ad exec can see that.
A solution?
We have to get better at what we do. It’s time to up the stakes on gathering data on our customers. We have to mine that data. We have to create content that compels them to watch, break, fix, consume. I’m not talking about competing with the likes of Big Brother or The Voice. I’m talking about entertaining people on their commute into work, or breaking up their day at the office.
I don’t foresee banners going away immediately. Maybe they won’t entirely go away at all. Maybe you are right and sites will adopt a “No ads, no entry” policy. I hope not. It’s not a good experience for users, brands or publishers.
People are crying out to stop the bullshit. I say let’s listen to them and work on ways we can evolve the industry for a better experience across the board. Let’s not repeat the mistakes of the music industry. Let’s learn from them. I for one would rather embrace change than fear it.
Please login with linkedin to comment
#WeStandWithWDBJ creative directors Designworks matt lawson PR World Awards San FrancsicoLatest News
TV Ratings 29/4/24: Farmer Wants A Wife And Lego Masters Lock Horns In Overnight’s Battle
Who won the battle of the big guns - Lego or Farmer Wants A Wife? One thing's for sure, it wasn't Great Train Journeys.
Nielsen Data Reveals Brands Spending Big To Attract Aussie Tourists
Nielsen Ad Intel data has revealed that the travel and tourism industry spent more than $153 million on advertising in Australia in Q1, 2024 – an increase of 8 per cent from the previous quarter, with TripADeal the biggest spender, followed by Virgin Australia, then the Flight Centre-owned Ignite Travel. As many Australians return from […]
IAS Awarded New Responsible AI Certification From Trustarc
Integral Ad Science tossing up over the mahogany or teak frame after being awarded TRUSTe Responsible AI Certification.
AWARD Calls For Hall Of Fame Nominations
B&T's noms for AWARD Hall of Famer includes Louis The Fly, Chums' talking Scottie dog & Mumbrella's coke dealer.
Havas Red Wins PagerDuty PR Account
Havas Red wins PagerDuty's PR. And judging by B&T having to Google PagerDuty, it could probably do with some help.
ACA Poised To Release Results Of 2023 Create Space Census
The Advertising Council unveils date for its census results. Hey, why not coincide it with an office lamington drive?
Why Fear Is Essential To Fernando Machado’s Creativity
If there's anyone B&T loves to chat to, it's fabled marketer Fernando Machado. Although the 5am time difference sucks.
Superdry Drafts AFL’s Patrick Lipinski For New Campaign
B&T fast regretting that poncho we just bought, as it appears the puffer jacket returns as winter's hottest trend.
Elon Musk vs eSafety: Legal Experts Warn That ‘Rogue Operators’ Like X Are Unlikely To Win Federal Court Battle
If this legal stoush boils down to who can afford the better lawyers, B&T's backing Mr Musk every single time.
Amy Poehler Presents First Look At Inside Out 2 At Vivid Sydney 2024
Vivid isn't about freezing your arse off while looking at lights on a wall, as you'll learn with this Amy Poehler news.
Mutinex Launches DataOS Improving Data Warehousing & Quality For MMM Marketers
Work in marketing? Does your data warehousing resemble a teenager's bedroom? Here's a Marie Kondo-approved read.
IMAA Celebrates Three Years Of Group Trade Credit Insurance Deal
Are you a struggling indie? Thinking of firebombing the building for the insurance money? IMAA has you covered here.
Adam Sandler Seemingly ‘Slams’ Ukraine In Pro-Kremlin Campaign
Host of A-list celebs caught slamming Ukraine's president. Thankfully it does have the Milli Vanillis about it.
New Marketing & Comms Agency For Defence & Aerospace Industry Takes Flight
As painful as this is to say, judging by current world events, the bomb & tank industries must be in rude health.
Opinion: Do Punters Want To Wear Your Brand?
This columnist asks do punters want to wear your brand? B&T'd say yes if you were Nike, no if you were Anusol.
WiredCo Builds Portfolio With Appointment To G.J. Gardner Creative Account
WiredCo 'cements' its relationship with home builder G.J. Gardner. Did you see what B&T cheekily did there?
Keep Left Reveals ‘Strategically Assembled’ Strategy Team
PR agency announces serious upgrade to its strategy offerings. Thankfully stops short of calling them Delta Force.
Initiative’s Michael Chong: What Do Mountaineering, Media & Marketing Have In Common?
Yes, B&T's running an inspiring mountaineering story. And this from people who won't come to work if the lift's broken.
CMOs To Watch: DrinkWise’s Part Time Builder, Part Time Marketer, Nathan Kent
Despite his love of DIY, B&T can't see Drinkwise's Nathan Kent in any "you can get it" VB ads anytime soon.
Mari Kauppinen Pops Up As MD Of ITA Group ANZ
Mari Kauppinen set to bring some zing, some song and some va-va-voom to her new role at ITA Group.
“It Is Getting Better But At A Glacial Speed”: PR Guns On Shaping A More Diverse Media Industry
B&T has a love-hate relationship with PRs. Love if they take us for a boozy lunch. Hate when you send releases as PDFs.
GoTransit Media Group Unveils The Power Of Regional Transit Advertising
Need reminding lots of people live outside the Surry Hills enclave? It's the regionals &, yes, they have almond milk.
Slew Of Promotions For Special Senior Creative Leadership Team
Special announces a slew of promotions in its creative team. And, no, they didn't order Uber Eats to celebrate.
Kantar: AVOD Subscribers Double In 12 Months
Study finds Aussies happy to watch ads on their streaming services. Or, are they just putting the kettle on more often?
Val Morgan Digital Exceeds All Campaign Uplift Benchmarks Via A 12-Month Brand Metrics Study
Val Morgan announces it has exceeded all its campaign benchmarks. Still can't get under an hour for the City To Surf.
Australian Retirement Trust launches monster of a campaign, by M&C Saatchi and Bohemia
Get offered a seat on the bus today? Knees creak like an old pirate's galleon? This retirement ad may be of interest.
Print Audits To Discontinue As Audited Media Association Of Australia Pivots To Support Influencer Marketing
Is it just B&T or are audits in the media industry suddenly becoming murkier than Roxy's husband's tax returns?
News Corp Australia Launches 2024 National Education Advocacy Initiative With Expanded Program
News Corp set to shine a light on the nation's schools in new series, giving illegal bikie gangs a well-earned rest.
Decoding The Consumer Maze: Urban List Report Reveals How Modern Shoppers Spiral From Discovery To Purchase
Latest report unravels a shopper's journey from the joy of discovery through to a nasty letter from a debt collector.
Cosmo Returns To Australia!
Ever get the feeling we've weirdly warped back to 1988 at the moment? Confirm it with the relaunch of Cosmo in print.
People & Culture Consultancy Human Kind Collective Launches To Plug HR Gap For Media Agencies
Does the very mention of HR have you struggling to remember last year's Christmas party? Get the sweats with this news.
‘We Want To Be A Growth Partner, Not Just A Media Buyer Or Someone That Makes Ads’ – Bohemia Boss On Agency’s Ambition
B&T's chatting with Bohemia boss Paul ‘Hutch’ Hutchison. Although we do think 'the dagger' a far superior nickname.
Initiative’s Geoff Clarke: ‘Youth Hits Targets With Enthusiasm, Experience Hits The Targets You Can’t See’
Initiative’s CCO Geoff Clarke on the value of experience in agencies. Not to mention quoting lines from Pulp Fiction.
The Iconic Teams Up With 5 Aussie Athletes For Latest Campaign
Fashion label brings in the athletes for new campaign, many of whom appear to have prepped with re-runs of Zoolander.
Seven West Media Secures New Director Of News & Current Affairs
After a tumultuous few weeks, Seven unveils director of news & current affairs. And B&T never uses tumultuous lightly.
Seven Network Expands NSW Sales Team With Two New Group Business Directors
Seven ramps up its NSW sales team. Both of whom are well versed in pronouncing Manu Feildel's croque-monsieur.