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by manigandham
3382 days ago
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Perverse incentives and lack of regulation means nobody cares. The adtech industry isn't full of idiots, it's thousands of people like you and me. Most people know how it all works, but unfortunately these companies are currently setup to make money on data and scale by any means - not by quality. The advertisers who hold all the money could do something by only spending it on good vendors - but who's going to tell them that? The agencies who sell them the ad campaigns and have inside deals with their own vendors? Also the most annoying ads are the ones that show the most "engagement" - precisely because they are annoying. The ad that overlays the page and gets in your face will show more impressions and more time on screen than the less intrusive versions, and so these formats continue to get more money. Same with the outstream video (the ads that open up between paragraphs). Everyone wanted video, there wasn't enough inventory to go around, so these companies just created new spots for it. Unfortunately you can't escape from watching it so their stats look great and now these companies are massive. What about data collection? Even the FCC/FTC hasn't really done much around proper disclaimers or data rights. Europe is leading the way with GDPR but that's still waiting to play out. This is a tough industry where doing the right thing doesnt make you much money, and so you get the results you see. |
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> The advertisers who hold all the money could do something by only spending it on good vendors - but who's going to tell them that?
I guess I always figured (hoped?) that the folks like you and I, but in that industry, would speak up to the folks buying the ads, but you're right: Us folks aren't the ones selling the ad campaigns to the folks with the money.
Vendors can't be that aloof though.. can they? Surely they're aware of the impact that poor advertising campaigns can have on their brand? Are you seeing any hints of that?
> Also the most annoying ads are the ones that show the most "engagement" - precisely because they are annoying.
From what you've seen, would you say that despite the growing prevalence of adblockers, these types of "engaging" adverts are still the most profitable today?
I mean, I figured one of the reasons ad companies were getting so vocal about adblockers lately is that it was starting to impact their bottom line. Perhaps just not enough to spur real change yet.
Do you think ad companies will change their ways when adblocking starts to have a more significant impact on them financially, or do you see them as too stuck in their ways, perhaps needing to be unseated by startups who aren't afraid to push respectable advertising and raise the bar?
One of my takeaways from watching the documentary "Art & Copy" was that advertising can be respectable and engaging without being intrusive and in your face, but I can't think of very many recent examples of that. A diminishing art form perhaps.