Ad Industry Responds To ACCC’s Ad Tech Report

The Australian media industry has responded to a new report from the ACCC which found Google’s dominance has lessened competition in the ad tech space.
Released yesterday, the ACCC’s Digital Advertising Services inquiry final report suggested a lack of competition in the ad tech space has created poorer quality services and ultimately higher prices for consumers.
The report makes six recommendations, including calls for the ACCC to be given more power when it comes to controlling Google and new requirements aimed at improving transparency in digital advertising.
The final report was shared with the Treasurer last month, who will now consider the recommendations and findings.
“Digital platforms have fundamentally changed the way that media content is produced, distributed and consumed,” Treasurer Josh Frydenberg said yesterday, according to the Herald.
“It is therefore important that our regulatory frameworks keep pace with the changes being driven by digital platforms.”
And while it remains to be seen whether or not the government will initiate any significant changes on the back of ACCC’s report, the findings have already got the industry talking.
Here are some different perspectives on the report from a range of stakeholders.
“Google’s digital advertising technology services are delivering benefits for businesses and consumers – helping publishers fund their content, enabling small businesses to reach customers and grow, and protecting people online from bad ad practices.
“Analysis by PwC Australia for Google Australia found that three quarters of Google’s ad tech customers are Australian small and medium businesses – and three in four businesses surveyed observed important benefits from using Google’s services including cost savings, time savings and business growth, compared to other services. PwC also estimated that the existence and use of Google’s advertising technology directly supports more than 15,000 full-time equivalent jobs and contributes $2.45 billion to the Australian economy annually.
“As one of the many advertising technology providers in Australia, we will continue to work collaboratively with industry and regulators to support a healthy ads ecosystem.”
IAB CEO Gai Le Roy (pictured)
“Ad funded digital media and services, supported by the ad tech sector, perform a critical role in the digital economy. The ACCC’s detailed Digital Advertising Services Inquiry Report has implications for many aspects of the ad tech sector and the IAB looks forward to working constructively on behalf of the industry with Government on the key issues it raises and to continue to build confidence across the ad tech ecosystem.
The digital advertising industry is focused on ensuring advertising technologies prioritise consumer privacy and accountability in the development of targeting, measurement, and attribution solutions. We recognise the critical importance of transparency across the Australian ad tech supply chain and are actively working to develop measures that work for advertisers and publishers, as well as consumers.”
Free TV Australia CEO Bridget Fair
“Advertisers and publishers need to know that the prices they pay and their access to ad tech services are competitive and are not impacted by the market power of one business.
“That is why we have been consistently calling for sector specific rules to ban firms with market power across the supply chain from preferencing their own services. Crucially, this includes controls on the use of consumer data obtained from the provision of ad tech services from being used to gain a competitive advantage in the supply of other services.
“We urge the Government to accept all of the ACCC’s recommendations and move to introduce the necessary legislation as quickly as possible.”
The Trade Desk.
“The Trade Desk welcomes the ACCC’s final report and recommendations as part of the Advertising Services Inquiry.”
“The Trade Desk absolutely believes in the power of the open internet to fuel an important diversity of ideas, content and commerce, that is vital to the functioning of a healthy, competitive economy and society.”
“We support efforts to bring greater transparency and objectivity and look forward to working with the regulator and other industry bodies to execute on the vision for the recommendations.”
“We believe these measures have the potential to deliver more competition into the market and importantly ensure that advertisers can have confidence their investment is placed solely based on what will drive optimal outcomes without ulterior influence.”
“Greater consumer trust in relevant digital advertising, and advertiser trust in the transparency of the digital ad marketplace, will only drive market confidence and growth. And this, in turn, helps fuel the open internet.”
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