Adaptive Medias Inc (fka ADTM)

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The Year of Yahoo and the Tumble of Google ...

and 5 Other Online Video and Advertising Predictions from Digital Media Execs for 2015

Qayed Shareef
Experienced Digital Advertising Executive

Dec 17, 2014

With 2015 right around the corner, a lot of you are probably making mental notes about what to expect for the coming year. However, that can be a little challenging in an industry that is constantly evolving and consolidating, especially in digital video and mobile advertising, where new technologies rollout every few months. I reached to Adaptive Media’s team of seasoned advisors for their thoughts on the coming year. I wanted to share with you their predictions, as well as my own, for what 2015 will likely bring.

Qayed Shareef, CEO of Adaptive Media

The year of Yahoo, the tumble of Google

“Much like AOL’s revival, Yahoo will go through a renaissance period with the influx of cash from Ali Baba, the acquisition of BrightRoll [$640 Million], and the monetization of Tumblr. Also, expect Yahoo to be a serious player in the original content product space. “Burning Love” is just one example of Yahoo’s success in its foray into original content. In 2013, the series was nominated for an Emmy in the Outstanding Special Class - Short-Format Live-Action Entertainment Programs category. Secondly, I forecast Google will take a bit of a tumble in the coming year. Google will start to see issues with its growth in its core search business, as well as further troubles with YouTube and the content partners' uprising.”

Shawn Sires, Operating Partner of Acresis LLC

On what brands will do to stay relevant when it comes to video

“Gone are the days of viral ‘pie-in-face’ YouTube videos and ‘stunt’ marketing. The truth is that only about 25% of companies produce ad oriented video content, and they are raising the expectation level of consumers each day. We’ll see more of the biggest brands creating video production units within their marketing arms with plans of creating films, web series, shows and events. We’ll see more hiring of video bloggers [Vloggers], partnering with celebrities [Like LeBron James, perhaps], and creating content with a loyal audience following. A brand advertiser can tell their most effective story through a well-crafted video element. Whether it’s a ‘how-to,’ a demonstration, editorial or entertaining commercial, the advertiser is most effective when providing quality video content. And frankly, consumers have been shown to be most engaged, reviewers most effective, and shares better received via video.”

Peter Davies, Chief Revenue Officer of ROKT

On premium video content

“Advertisers will always have a seat at the table, especially with premium content. Just look at Red Bull, a content producer and media powerhouse that just happens to sell an energy drink. Brands will become smarter and realize they need to align with great content, either their own (if they can), or with content creators who have a loyal following and can cleverly integrate their brand into their content for a fee. Additionally, I see brands making more ‘campaign style' content, apps, and games (what I define as premium content). They can be hot and popular for 2-4 weeks, and then get ousted from the throne because the next ‘shiny’ big thing comes along. I see this replacing traditional TV and banner campaigns.”

Sandy Grushow, CEO of Phase 2 Media, former Chairman of Fox Television Entertainment

On the role of big data in the face of an anonymous audience

"Big data might help marketers target and reach consumers on a more efficient and effective basis, but it will never, in and of itself, affect the way human beings think, feel and act. Science without art is meaningless. Success will only be enjoyed by those who respect, value and execute exceptionally well on all fronts. 2015 will be the year where we start to see more marketers click on all cylinders.”

E.J. Hilbert, Managing Director/Head of Cyber Investigations at Kroll EMEA

On digital fraud, risks, and compliance

“I expect to see a shift in the risk/reward paradigm in marketing. Advertisers and their agencies have been collecting massive amounts of data about users in an effort to hypertarget ads. That data collection has not proven to be as valuable as once thought given that it has caused a narrowing of the market for consumers rather than an expansion into new interests. Equally, the collection of the data includes a dramatic regulatory and reputation risk if the data is leaked/breached and then misused by the cyber underworld. We are starting to see some of that ‘mis-use’ in the Sony hack. Finally, the cost of maintaining, indexing and effectively using the collected data is growing exponentially equal to the growth of data available. 2015 will see companies reviewing what data they collected versus what they needed to fulfil their role. This will result in an increase in reward with a minimization of risk as there is some data you don’t need, nor do you want to have, about customers.”

Jim Waltz, CEO of Beanstock Media

On programmatic buying and video viewability

“2015 will be the year of viewability for both video and display. Programmatically, most DSPs and exchanges are actively tracking viewable impressions, and we've seen a huge shift in buyer behavior away from less viewed units. If the ad impression isn't ultimately ‘viewed,’ many DPSs avoid bidding upfront, and some exchanges don't charge for winning bids. Since the same buyers are already competing for viewed impressions, the lost revenue for non-viewed impressions won't likely be replaced by higher demand for viewed impressions, so publisher eCPMs will continue to fall unless their ad placements are optimized for viewability.”

While we may not all agree on what the next great thing will be, our advisor’s comments all point to the continued evolution of the digital landscape. It appears that content will continue to reign as king with various features like viewability and fraud detection being key components to distribution.

According to a recent report by Magna Global, digital ad spend is forecast to increase 15% in 2015, with research saying it will equal ad spending on television by 2019. The report also mentioned that mobile and social media will drive 2015 spending on digital to $163 billion, with mobile ad spending expected to jump 45% next year. 2015 will be an exciting year for the digital video economy, and I’m excited to be providing the technology that helps shape it.

https://www.linkedin.com/pulse/year-yahoo-tumble-google-qayed-shareef

COMMENTS:

Tim Napoleon
Broadcast Solution Expert

Great points. 2015 here we come.

Jason Hilton
Conversion & Optimization Specialist

Great stuff. As someone who spends a lot of time educating C-level executives on the need for video in their IR strategy, it is good to hear.

Leah Spengler
Account Management, Print, and Fulfillment Specialist at Geographics

Alibaba would be a great asset, but in the hands of Yahoo, I wonder. Yahoo has annoyed us with their advertising tactics. Google is pretty clean, while Yahoo is like a cluster, from my perspective. However, Google wants to own everything. What to do, what to do...

2015 sounds good to me !!

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