Following recent changes announced by Google for its Chrome browser, users will be prompted to exercise more control over third-party cookies. And while it is plain to see that Google and regulators wish to avoid a repeat of the App Tracking Transparency (ATT) debacle, the mere possibility of comparison warrants serious investigation into alternatives, of which Privacy Sandbox appears heir apparent.

Years of development and negotiations, its most recent pivot, and newly announced features demonstrate Google’s dedication to finding a balance that satisfies its obligations to the Competition and Markets Authority (CMA) and the concerns of the Information Commissioner’s Office (ICO). When it does, addressability through cookies will decline rapidly and brands dependent on them will be impacted absent adaptation.

Powering this colossal and oft-delayed shift is an irrefutable truth: online privacy has become a core concern for lawmakers and their constituents in Europe and worldwide.

The Legal Push Behind Corporate Change

Privacy is no longer a niche concern; it is becoming a fundamental expectation of regulators and consumers, especially in the States where legal reforms are gaining momentum. Comprehensive privacy laws are taking effect in nearly twenty states, with California leading the way through the California Consumer Privacy Act (CCPA) and its amendment, the California Privacy Rights Act (CPRA).

The rapid pace of legislative change is striking — more than half of new privacy laws were introduced in 2023-24 alone. While the House failed to pass the American Privacy Rights Act (APRA) out of committee, the bill came far closer to a floor vote than most anticipated. Congress appears poised to pass children and teen-focused privacy bills before the end of session.

This shift is more than just a legal headache for companies; it reshapes how businesses interact with consumers. Brands should rethink their data collection and data use strategies, due to the requirement to respect types of opt-out signals mandated by laws in California, Colorado, and Texas, as well as increased obligations to consent for certain data types, and internal data mapping requirements.

U.S. state laws, while different in structure from the General Data Protection Regulation (GDPR), share common enforcement elements that compel companies to change their data practices, and penalties for non-compliance are steep The message is clear: compliance isn’t just about avoiding penalties—financial and reputational—it’s about staying ahead of a wave of risk that is only gathering strength.

What the U.S. Can Prepare For

Looking to Europe provides a roadmap for how privacy laws can amplify consumer expectations. The GDPR, now six years into enforcement, has dramatically altered the landscape for advertisers and consumers alike. With more than  2,000 fines issued by March 2024 and penalties nearing €4.5 billion, companies have had to adjust their strategies to comply with stricter privacy regulations.

Even though privacy was already a top concern for consumers in Europe, legally required changes by companies there led to increased awareness of users’ privacy rights and more frequent exercise of those rights

In the U.S., this process is beginning to unfold. While data protection concerns have historically focused on government surveillance, the growing wave of state privacy laws and increasing public scrutiny of private data usage — especially after Cambridge Analytica — are starting to mirror the European experience. However, the signs of fatigue in Europe due to the constant consent requests have led regulators to express a desire for reform. If it happens, the process will likely be slow, but we may hope to see similar changes in U.S. legislation sooner rather than later.

The Path to Consumer Trust

The importance of comparing the EU and U.S. approaches to privacy lies in user behavior. As brands prepare to comply with evolving privacy laws, consumers are becoming increasingly informed about data practices, leading to heightened expectations around transparency and choice. However, there is a critical need to find the right balance between customer expectations regarding data privacy and their desire for relevant, personalized experiences.

A recent survey revealed that 86% of Americans are concerned about their online privacy, a number likely to rise as privacy laws gain ubiquity. Just as the GDPR heightened awareness among Europeans, U.S. consumers will reasonably demand more control over their data. This shift will inevitably result in more users opting out of third-party cookies, requesting their data deletion, and exercising their rights to the data companies hold about them — whether manually, through changes implemented by platforms, or via authorized agents.

Navigating the Road Ahead

It’s essential for brands to recognize that user behavior will evolve alongside legal obligations. Companies that fail to adapt their strategies now risk losing trust and relevance in the eyes of consumers.

The shift towards cookieless technologies is not merely a legal necessity but also a crucial response to meet evolving consumer demands and offset increased risk and overhead associated with new obligations.

First-party data and strong consumer relationships have never been more critical. Diversifying vendors for each critical function will ensure continuity and create a competitive advantage amidst these changes. Additionally, assessing whether partners are equipped to help navigate this new landscape is vital.

Laws are driving changes in both corporate behavior and consumer expectations, forcing companies to adapt. Eventually, the switch for third-party cookies will be flipped to “off.” The time to prepare is now.

The post Beyond Compliance: Adapting to Privacy-Centric Platforms and Consumer Expectations appeared first on AdMonsters.

Is there a bigger disconnect between marketers and consumers than we initially thought? 

A recent iHeartMedia study exposes a growing divide between how marketers perceive their audience and how consumers actually experience media and advertising. 

The research reveals a striking statistic: nearly half of Americans — 44% — feel ignored by advertisers, indicating a significant disconnect that could have real consequences for brands. In fact, 72% of consumers say they are unwilling to buy from companies they feel are overlooking them, and 75% express a willingness to pay more for brands that align with their values. These insights challenge brands to reassess their strategies and find more meaningful ways to connect with their audience.

This disconnect, alongside a clear cultural divide in values — from religion and law enforcement to perceptions of luxury — highlights the urgent need for brands to bridge the gap between their strategies and consumers’ real-world preferences and behaviors.

“We marketers have more data at our fingertips than ever before, yet almost half of American consumers are feeling ignored,” said Gayle Troberman, CMO, iHeartMedia. “As marketers, we have to be careful not to let our personal perception guide our marketing decisions. This study lays out where our perception matches the marketplace and where there are major differences.”

Who Feels Ignored Across Geography, Race, and Income? 

While the bigger picture here is important – that stats say nearly half of consumers feel ignored – it’s also important to look at the minute details. Based on IHeartMedia’s study of consumers’ geography, race/ethnicity, and income, there are some startling stats. 

Geography:

• In suburban homes, about 40% of consumers fit in the ignored and non-ignored categories. 
• About 32% felt ignored in urban homes, and 38% fit in the non-ignored category. While more fit in the non-ignored category marketeers will still want to hit the other 32%. 
• In rural areas, 27% fit in the ignored category and 22% fit in the ignored. 

Race/Ethnicity: 

The race and ethnicity category is a bit more complex. While the stats show that 63% of white consumers fit in the ignored category, about 58% of white consumers fit in the non-ignored category. This is a stark difference in Black (22%), Hispanic (13%), and Asian (4%) consumers who fit in the non-ignored category. 

While it is no secret that multicultural audiences are often ignored and underrepresented in marketing strategies, it should still be an eye-opening statistic when the numbers are laid out plainly. These audiences hold massive amounts of influence, spending power, and essential data that marketers are ignoring. 

AdMonsters just covered this in our Spanish-language streaming article: experts expect Spanish speakers in the U.S. to grow to over 75 million by 2030 and projected Hispanic buying power in the U.S. to reach $1.9 trillion by the end of 2023.  But this is true for all diverse audiences. 

Income: 

When it comes to the ignored and non-ignored categories, most participants from a salary under $50,000 to a salary over $100,000 fit in the 40 – 50 % range. 

Personalization: The Creep Around the Corner 

Marketers love personalization. It helps them connect more closely with consumers and ensures that the ads that consumers engage with result in a final purchase. 

Research company Advertising Perceptions recently conducted a study showing that 82% of advertisers attributed 2023 revenue growth to customized ads. They further argued that, without personalized ads, one in five businesses would face closure or layoffs, and nearly half would need to raise prices. 

It’s no surprise that advertisers bank on personal ads for their business. However, many consumers feel personalized targeting is creepy, and I know marketers do not want audiences to equate them with creepiness. Ad tech is still fighting against this narrative. 

According to IHeartMedia’s study, 68% of consumers hated personalized advertising and are two times more likely to hate AI personalization. I know this puts a screw in most advertisers’ practices, but it is also important to listen to the consumer. 

Even further, the study reveals that this level of ad targeting may not be working as intended. Seven out of ten consumers claim digital ads are irrelevant despite targeting. Will this change the $9.5 billion that IHeartMedia projects marketers to spend on personalization and hyper-targeting in 2024? 

Consumer Values vs. Marketing Trends: Why the Disconnect Matters

There’s a significant gap between how consumers and marketers approach advertising, purchasing decisions, and values. A striking 44% of Americans feel ignored by both media and advertisers. Both groups must understand that most consumers prefer to support brands that align with their values. 

Unlike marketers who can swiftly make higher-value purchases, consumers take a more deliberate path to purchasing, often consulting family and saving up for weeks before making decisions on $100 purchases. 

The divide continues with contrasting preferences. While consumers enjoy activities like buying lottery tickets, marketers find them cringeworthy, and while marketers are enthusiastic about health trends, consumers remain skeptical. Furthermore, religion, law, and order are twice as important to consumers as to marketers. 

All these stats highlight that advertisers must meet consumers where they are. This could be the difference between further alienating your audience and bringing them into the fold.

The post How Can Marketers Bridge the Gap Between Their Goals and Consumers’ Needs? appeared first on AdMonsters.

Last week, I had the honor of moderating a session at the IAB Connected Commerce Summit called “How to Supercharge Your Creative Strategy with AI.” Joining me on stage were Mike Brunick, SVP, Head of Commerce Media at Yahoo; Devrie DeMarco, Managing Director at MediaLink/UTA; and Wendi Dunlap, EVP, Business Intelligence and Audience Science at Mediahub Worldwide.

Together, we dove into how AI is reshaping creative strategies and, most importantly, how it’s knitting together the online and offline worlds to build seamless customer experiences.

One of the most compelling moments came from DeMarco, who reminded us that it’s not just about optimizing workflows, it’s about crafting journeys that resonate across every touchpoint. She said it powerfully: “If AI can free people from manual tasks, imagine the potential of a better in-store experience.”That struck a chord. We’re not just using AI for efficiency’s sake; we’re using it to enrich the entire shopping experience, connecting the digital and physical realms.

Brunick emphasized that personalization needs to go beyond immediate transactions. It’s about fostering long-term relationships. Picture a customer’s journey as a continuous thread weaving through both online and in-store experiences. AI helps us analyze behaviors, build meaningful touchpoints, and drive engagement that resonates across channels. But it’s most effective when it amplifies our ability to connect on a human level. We can’t let data and automation drown out the personal touch.

Dunlap added another layer, urging us not to overlook the ethical implications of AI in creative strategies. While AI can enhance creativity, without vigilance, we risk introducing bias into the strategies we create to connect with diverse audiences. “Bias” and “inclusivity” must be at the forefront of any AI-driven approach, Dunlap explained. The technology is only as good as the data it’s fed. Without human insight, we can easily miss the mark in reflecting our diverse audiences and their varied consumer experiences.  This isn’t just about algorithms; it’s about responsibility.

AI Strategy in Three Key Points

Our panel boiled down AI strategy to three essential takeaways:

1. Bridge the Online and In-Store Experience: It’s not about separate channels; it’s about guiding customers through a unified journey.
2. Enhance Creativity, Don’t Replace It: AI should augment the human touch, but always keep a sharp eye on data-driven biases.
3. Start Small: Test a few use cases, learn, and then scale up thoughtfully. Don’t try to boil the ocean.

The Power of Experience

After my panel, I attended several discussions that expanded on these ideas. But the last session of the day — “Unlock the Power of Innovation through Creativity in Commerce” — truly drove everything home for me. Featuring Michael Olaye, EVP, Managing Director at Hero Digital, and Lauren Chesley, Head of Industry, Retail + Restaurants at SiriusXM Media, and moderated by Pam Zucker, Chief Strategy Officer at IAB<, this session wrapped up many of the themes we’d explored throughout the day.

They picked up right where our panel left off and closed the loop on what Walter T. Geer III touched upon earlier in the day during his fireside chat: We need to be creating experiences. It’s not just about selling products; it’s about crafting a journey that resonates on multiple sensory levels and stays with the consumer long after.

Olaye framed it perfectly: “Creativity stays the same, but the canvas changes.” We’ve moved from TV and print to automation and digital platforms, and it’s about using technology to drive human thinking. His words encapsulated what we’d been circling all day — AI isn’t here to replace creativity; it’s here to enhance it, giving us new canvases to paint on.

Chesley illustrated this idea deeper, painting a vivid picture of a European hotel where every detail was designed to engage the senses. The scent in the lobby, the jazz music playing softly, the warm towel handed to guests, and the champagne toast at check-in. “The more senses you activate, the more connected you are to someone,” she explained. It clicked. The same principles apply to retail. She argued that audio is a powerful yet often underused channel, creating emotional connections in a world saturated with visuals. When was the last time you thought about a brand’s sonic identity?

Olaye also introduced the idea of Zero UI — a world that moves beyond screens and traditional interfaces. Imagine stores where sensors, AI, and connected devices know your preferences without you having to input anything. Zero UI is about blending the physical and digital worlds in seamless ways. This dovetailed perfectly with what we discussed during the session I moderated: AI is a tool to build customer journeys that speak to how people want to interact with brands, online or offline.

Key Takeaways from the IAB Connected Commerce Summit

1. Phygital Experiences Are Key: Rose Ferraro of Rockbot emphasized that consistency between online and in-store environments is crucial. Unified media across audio, signage, and other touchpoints strengthens the brand narrative and keeps consumers engaged.
2. In-Store Digitization as a Business Enabler: Nick Ashley of Tesco Media nailed it when he said that digitization isn’t just about media revenue; it’s about enhancing the overall business. Elevating the look and feel of stores fosters long-term customer loyalty.
3. Retail Data Drives Better Impact: Elizabeth Cotogno of Kroger Precision Marketing noted that incorporating retail data earlier in media planning can boost business impact by 50%. But the real challenge? Moving beyond outdated metrics like CPMs and focusing on real-world outcomes.
4. Creativity and Technology Must Work Hand-in-Hand: Walter T. Geer III reminded us that while AI and automation provide incredible tools, it’s the human element — our stories, ethics, and passion — that ultimately drives compelling campaigns.
5. Personalization, but Not at the Expense of Privacy: The summit repeatedly highlighted that AI should personalize and enhance consumer experiences while keeping privacy and ethics at the forefront of every interaction.

Creating the Connected Experience

If there’s one major lesson I walked away from the IAB Connected Commerce Summit with, it’s this: AI is an enabler, not the end goal. Whether we’re streamlining creative processes or building phygital retail environments, the focus should always be on crafting meaningful, holistic experiences.

AI can free us from mundane tasks, drive deeper insights, and open up new possibilities. But at its core, it’s the human touch that keeps the heartbeat of creative strategy alive. It’s about understanding what truly resonates with people and using technology to amplify those connections.

The post Supercharging Creative Strategies with AI: Top Takeaways from IAB Connected Commerce Summit appeared first on AdMonsters.

Choosing the right retail media provider is crucial for your advertising strategy. With US omnichannel retail media ad spend projected to hit $54.85 billion in 2024, growing 26% year-over-year, retail media will make up 21.8% of total US media ad spend by 2027. This growth demands that agencies select partners who can drive real business outcomes.

As retail media expands, so does its complexity. It’s no longer just about placing ads but leveraging retailer-specific insights, ad innovation, and personalization. The right provider will offer precision targeting, data transparency, and seamless campaign integration, helping advertisers achieve measurable, data-driven results in an increasingly competitive landscape. 

“When choosing a retail media network, we focus on finding a partner that can help us drive meaningful results for our clients,” said Chelsea Monaco, SVP Commerce Media at Digitas. “We look for networks that offer strong audience reach, flexibility in ad formats, and the ability to provide actionable insights. Ultimately, we want a platform that delivers high visibility and supports strategic, data-driven decision-making to maximize impact across the board.”

We’ve worked with some of the top retail media networks on the market to identify the top criteria ad agencies and brands look for when selecting a Retail Media Network (RMN). Here’s what we’ve compiled from those conversations: 

1. Retailer-Specific Customer Insights: What exclusive insights can you tap into? Retail media networks grant access to valuable first-party data directly from retailers. This data offers a window into detailed customer purchase behaviors and evolving shopping trends, empowering you to make smarter, more informed advertising decisions. By leveraging these insights, you can create highly targeted campaigns that align with real consumer interests and buying patterns, boosting relevance and effectiveness.
2. Ad Innovation and Personalization: How advanced is the technology? Seek out networks that provide innovative tools like dynamic ad creatives, personalized offers, and AI-powered product recommendations. These advanced capabilities help ensure your ads are more relevant to individual consumers, driving higher engagement and better overall performance. By harnessing technology to deliver tailored experiences, you can create more impactful, results-driven campaigns. 
3. Brand Alignment: Does the retail network resonate with your client’s brand? The retailer’s reputation and brand image significantly influence how consumers view your ads. It’s essential to select retail partners that share your client’s brand values and appeal to their target audience, ensuring that your message is consistent and strengthens brand perception.
4. Audience Targeting Capabilities: Who are you trying to reach? Make sure the retail media network provides comprehensive targeting tools, including insights into customer demographics, purchase behavior, and browsing patterns. The more refined and accurate the targeting, the greater the chance of connecting with the right audience and driving meaningful results.
5. Ad Placement Options: Where will your ads appear? Consider the range of placements offered, such as on product pages, checkout pages, search results, or homepage banners. The relevance of these placements to your target audience’s journey is critical.
6. Data Transparency and Reporting: How transparent is the data? Ensure the network provides real-time performance insights with granular reporting on key metrics like impressions, clicks, conversions, and ROAS (Return on Ad Spend). Access to detailed analytics will allow for continuous optimization. Also consider the pricing models (CPM, CPC, CPA) offered by the network. Compare the costs with the expected returns based on the network’s historical performance and your campaign objectives.
7. Integration with Other Campaigns: Does it complement your broader strategy? Evaluate how well the retail media network fits your broader digital and omnichannel advertising strategy. The ability to integrate with existing campaigns across channels like social media, search, or programmatic is crucial for holistic marketing.

“Selecting a retail media network is about finding a platform that provides deep customer insights and the flexibility to precisely target the right audience. It’s about finding a solution that offers strong brand alignment and the tools to create impactful, personalized ad experiences,” said Janine Flaccavento, EVP, Vertical Lead at Merkle. “Ultimately, I want a partner that can deliver measurable results and help drive real business growth for our clients.”

 The retail media landscape is rapidly transforming, with several key industry trends driving this growth. Retailer-specific customer insights powered by first-party data give advertisers unprecedented access to consumer behaviors and shopping patterns, allowing for highly targeted and relevant campaigns. Additionally, advancements in ad innovation and personalization, such as ad creatives and AI-driven recommendations, are helping advertisers deliver more engaging, tailored experiences that increase consumer interaction.

As retail media networks become more integrated into omnichannel strategies, advertisers focus on networks offering advanced audience targeting capabilities, real-time data transparency, and seamless integration with other marketing channels. These trends are forcing advertisers to rethink their approach, demanding more strategic partnerships that align with the evolving digital ecosystem and consumer expectations.

The post Inside the Buy Side: What Retail Media Network (RMN) Is Right for Your Ads? appeared first on AdMonsters.

Out-of-home (OOH) and digital out-of-home (DOOH) advertising are gaining momentum, especially as part of omnichannel marketing strategies.

According to the IAB, 89% of ad sellers — including publishers and platforms — have expanded their political ad inventory since the last presidential election. Meanwhile, 86% of these sellers have seen a significant rise in demand. With political ad rates climbing for 84% of sellers, publishers are seizing the opportunity to leverage OOH advertising, targeting voters in high-traffic, real-world locations.

Since Kamala Harris entered the race, 91% of ad sellers have reported a surge in demand for national political ads, while 75% have seen growth locally. Political advertisers now leverage custom audience segments at unprecedented levels, using political affiliation, interest-based targeting, and demographic data like race and ethnicity. The creative potential and precise targeting offered by OOH advertising allow campaigns to connect with younger, multicultural voters in impactful ways.

It’s no secret that political campaigns now leverage the creative power of DOOH and OOH to drive awareness and action. Still, the real question is — how can publishers and advertisers fine-tune their offerings to capture this growing market?

In this Q&A with Anna Bager,  President and CEO of The Out of Home Advertising Association of America (OAAA), we explore how OOH political ad spend is increasing, its growing effectiveness, and how publishers can capitalize on this market. We’ll dive into creative strategies, measurement challenges, and the rising role of location-based targeting, all shaping the future of OOH advertising for political campaigns.

She shares a ton of tips and strategies for publishers and advertisers alike. Check out the full convo below.

Surge in Political Ad Spend: Opportunities and Strategies

Yakira Young: What factors are driving the surge in political ad spend for OOH, and how can publishers adapt their offerings to capture this market?

Anna Bager: The surge in political ad spend on OOH is part of a broader trend, with out-of-home advertising experiencing record-breaking growth in the first half of 2024. OOH produced a 3.4% increase in ad revenue in the second quarter, reaching $2.78 billion. Political advertisers are tapping into this momentum, recognizing OOH’s ability to engage voters in a meaningful way.

In fact, 68% of likely voters have seen political ads through OOH formats, with nearly half of them finding these ads personally influential. For publishers, this growing market presents an opportunity to adapt offerings that emphasize OOH’s high trust factor and visibility. Multicultural and younger voters, critical for this year’s election cycles, are key audiences that OOH tends to over-index with.

Lessons from Top OOH Advertisers

YY: What lessons can publishers learn from the top OOH brand spenders like Hotels.com and Apple in terms of effective advertising strategies?

AB: Top OOH spenders like Hotels.com, Apple, and other industry leaders are driving growth by capitalizing on high-visibility placements that resonate with diverse audiences. These brands blend location-based targeting with creative consistency, ensuring their messages reach the right consumers at key moments. For publishers, mirroring this success means enhancing cross-channel campaigns—incorporating DOOH screens or leveraging digital platforms for location-based targeting alongside traditional OOH placements.

The Rise of Transit Advertising

YY: How are transit ads achieving such significant growth, and can publishers replicate this success in other advertising formats?

AB: Transit advertising continues to lead growth, thanks to the captive environments offered by high-dwell locations like airports, subways, buses, and transit stations. These spaces generate strong consumer interaction, particularly through tap or scan technologies. Transit’s rise highlights the value of reaching audiences during their daily commutes. For publishers, replicating this success means employing dynamic placements like geo-targeted mobile ads and DOOH screens in public spaces to create highly relevant, engaging campaigns.

Location-Based Targeting and Audience Appeal

Yakira Young: What role does location-based targeting play in OOH’s success, and how can publishers incorporate similar strategies in their digital offerings?

Anna Bager: Location-based targeting is a core driver of OOH’s success, allowing campaigns to deploy with pinpoint accuracy. The growth of DOOH, now accounting for 33.4% of total OOH revenue, is a testament to the power of digital targeting. Publishers can take cues from this, incorporating geo-fencing and real-time ad optimization to meet the rising demand for hyper-local, personalized campaigns.

YY: How is OOH resonating with younger and multicultural audiences, and what insights can publishers gain from this trend?

AB: OOH’s appeal to younger and multicultural audiences is a major factor behind its growth. Gen Z and Millennials, in particular, appreciate the non-intrusive, visually engaging nature of OOH ads. Our research shows these demographics respond well to OOH’s clarity and shareability. Publishers can learn from this by creating short-form, engaging content that seamlessly integrates into the daily lives of mobile-first audiences.

Capitalizing on Economic Growth

YY: With economic indicators showing strength across various industries, how can publishers tailor their advertising solutions to capitalize on this growth?

AB: With the economy on the rise, advertisers are eager to engage consumers with increased spending power. OOH, especially in urban markets, is well-positioned to capture affluent audiences through premium placements. Financial services, technology, and retail sectors are already leading this charge. Publishers can capitalize by offering premium ad packages that combine OOH with targeted digital campaigns, helping brands reach high-intent consumers through multi-channel strategies.

Measuring Campaign Effectiveness

YY: How are OOH advertisers measuring the effectiveness of their campaigns, and what metrics are most valuable to them?

AB: OOH advertisers are now focused on measurable outcomes such as social media sharing, foot traffic, coupon redemptions, brand lift, and consumer engagement. This shift towards data-driven approaches is fueled by digital integrations, making campaign performance more transparent. For publishers, providing clear reporting and real-time analytics will be essential to meeting advertisers’ expectations and proving ROI across both OOH and digital formats.

Creative Campaigns and Cross-Channel Synergy

YY: What strategies are OOH advertisers using to create memorable and impactful campaigns, and how can these be applied to digital publishing?

AB: OOH is unique in its ability to deliver high-impact, memorable campaigns through bold creative that taps into emotions like humor or curiosity. DOOH adds flexibility, enabling brands to update messages in real time based on various inputs. For publishers, applying similar strategies in digital formats—focusing on visual storytelling and concise messaging—will ensure consistency and resonance across channels.

OOH’s Impact on Ad Budgets

YY: How is the increasing popularity of OOH affecting overall advertising budgets, and what implications does this have for digital publishers?

AB: OOH is often considered the last true mass-reach medium, offering access to consumers without the fear of ad-blocking or skipping. As OOH’s influence grows, some advertisers are shifting budgets from traditional digital formats to focus on high-impact placements. However, the potential for cross-channel synergy remains strong. DOOH can amplify the effectiveness of CTV campaigns, reinforcing messages without the risk of overexposure. For publishers, the key lies in positioning themselves as essential partners in omnichannel campaigns, where OOH and digital work together to maximize reach and impact.

The post From Billboards to Ballots: How OOH Is Powering the Next Wave of Political Campaigns appeared first on AdMonsters.

The open web has long been the entrance to the internet for consumers, serving as the domains outside the walled gardens of social networks or search engines. However, its perception has evolved in recent years, often framed in a good versus evil context by those battling for advertising dollars. On one side there are the small, but righteous actors who are keeping information free against those on the other side who feel that anything goes and crime and bad behavior rules.

Consumers Don’t Care About Walled Gardens, They Want Seamless Experiences

It’s a complicated situation where small businesses need to work together to get the scale and relevance of the big platforms, while the walled gardens keep growing by creating new closed systems with restricted access, edging the smaller players out. This has become such a clear issue that the original walled garden — Google — faces an advertising antitrust DOJ case this month.

The truth is that the perceptions of both sides are caricatures because they aren’t thinking about this problem from a consumer standpoint.  In reality, consumers don’t distinguish between the content monetized by a platform’s first-party data or through cross-platform tools and technology. They just want a seamless experience.

AI and the Open Web: How Technology is Shaping Digital Engagement

This desire is evolving the open web as most envisage it, as consumers increasingly embrace digital technology to bring convenience into their lives. Today, even the most fundamental and sensitive parts of daily life such as healthcare and personal finance are increasingly happening digitally. The definition of the open web is made even more complicated with the advancement of AI to further that convenience with conversational robots transforming customer service, skills training, financial advice, and even therapy.

With a focus on experience, brands must understand how exactly they can effectively reach consumers who are interacting with these new technologies that add value. For instance, when interacting with an online bank or an AI assistant, consumers might be served an ad appearing next to the virtual agent, or the insights, recommendations, and support provided might include products and services that have paid to be integrated into the conversation. These could be the new sponsored links or content on websites.

The Future of Advertising: Winning by Embracing Innovation

In short, leveraging the open web to increase the perceived value of the inventory you happen to be selling, is missing a trick. There is a way to win in the open web, and those that will be successful are the companies shaping how advertising is received by consumers while removing friction and irrelevance. Those looking backward and fighting over the relative quality of decreasing volumes of traditional inventory will be left behind. Instead, they need to embrace new methods of reaching consumers, whether it be by utilizing new technologies or better using data to ensure that the ads consumers receive are relevant to their interests.

The open web does not need to be a battle among advertisers; instead, it’s time to embrace the opportunities that it presents to better connect with their target audiences.

The post The Open Web Isn’t What Advertisers Think It Is appeared first on AdMonsters.

For as long as retailers have existed, they have sought ways to monetize the audience they bring to suppliers. From end caps to circulars, retailers have been a pervasive, but understated, media partner to brands of all sizes. 

But nothing in history has the scope and potential of retail media–the process of selling inventory on their websites, and other owned channels, to brands. 

It’s quickly becoming a huge market for advertisers, reaching $46B of ad spend in 2023. That is significantly higher than CTV, which was estimated at $25B. It is also expected to reach $100B by 2026. 

While some might consider retail media a performance marketing channel, Upwave data busts that myth, showing it is also a brand-building powerhouse.

Upwave’s recent analysis of over 500 retail media campaigns, spanning 300+ brands, found that 96% of campaigns had a positive lift on at least one brand KPI, 87% of campaigns had at least one brand KPI that was above Upwave Norms, and 18.8% of campaigns exceeded Upwave Norms for all brand KPIs.

The Rise of Retail Media

As with other eCommerce advancements, Amazon deserves credit for building the modern retail media network environment. Once Amazon became the online store for virtually everything, they realized millions of people were coming by daily to buy a variety of things. Amazon could sell space on its various product and category webpages to companies looking to influence those visitors. That first-mover advantage has paid off. Over 75% of the current US Retail Media investment is spent on Amazon advertising. Walmart is second, via its advertising solutions division, Walmart Connect.

There’s a simple reason why so many retailers are joining the ranks of retail media: the channel can produce margins of up to 90%, according to the Boston Consulting Group. We’ve even heard that it’s not hyperbole to suggest retailers would gladly do away with selling goods if they could just make the same amount of money in the media. 

Now, brands as diverse as Uber, Sephora, Sam’s Club, and Best Buy all have their retail media networks.

Unsurprisingly, performance marketers have flocked to retail media as a way to monetize that audience immediately. And, sure, it makes perfect sense that people browsing a retailer’s website are considered to be in the market to buy now.

However, retail media is a huge opportunity for brand building, one not nearly enough companies are taking advantage of. That means industry watchers are potentially even underestimating the future revenue opportunities from retail media.

Here’s why.

• The massive first-party data retailers are sitting on. It’s no coincidence that retail media is at the top of the minds of all advertisers at a time when cookies are going away. Retailers are better equipped than almost anyone else to offer targeting capabilities to advertisers and their agencies. They have a plethora of data on hand about households, such as if they have kids. For example, a car manufacturer can more accurately advertise its suite of cars to the right buyers (e.g. a minivan to those with multiple children).

• Not everyone on those websites is in the market to buy. It’s hard to track down specific stats for how many people visit a website without adding something to their shopping cart but the overwhelming majority of visitors do not purchase at the time of visiting. Sometimes people are browsing and not looking for something specific. Even those looking to make a purchase could be stopped in their tracks by a brand-building ad regardless. 

• Non-endemic ads performed as well, if not better than endemic ones. Another myth busted for this channel, Upwave’s study found that advertisements featuring products not for sale on retail media sites outperformed those that you could buy in several key areas, including ad recall, consideration, and purchase intent. One reason is the ad stands out as unique amid dozens of product listings. For example, an ad for insurance may be more noticeable among kitchen staples on a grocery store website. 

• Its reach extends beyond the retail domain. Amazon has Prime, a video platform increasingly winning high-profile deals like NFL broadcasts and producing large-budget shows like Lord of the Rings. Walmart has agreed to acquire Vizio, a manufacturer of smart TVs. Rakuten purchased eBook company Kobo. That’s in addition to their ability to place ads on third-party sites they don’t own. Retailers and eTailers alike are looking to expand their reach as far as possible, given the data advantage they have on many other websites. Retail media offers much more than on-site placements because they can better validate those audiences.

• A strong trust factor. Individuals browsing their favorite retail websites, apps, or streaming from retailer-owned platforms, are likely to trust those who run ads on the site. A 2024 eMarketer study found consumers trusted ads on retail sites almost double that of social media or third-party marketplaces. Furthermore, slightly over 50% of respondents were more likely to buy items and try out a new brand they hadn’t purchased before if a retailer advertised them. This is especially important for newer brands looking to build up their name recognition and trust. Our study found retail media tied with online video as driving the most consideration against all other mediums. Frequent shoppers of a particular website could learn about a brand one day through a well-placed ad intended to drive consideration, and then return days or weeks later to make a purchase.

Now is the time for brand marketers to reevaluate their channel mix and take another look at this medium. By understanding that brand-building is a possibility in retail media it opens up the category for more growth than what is being predicted. All of our data demonstrates it’s a huge opportunity for brands looking to impact consumer behavior along the mid-lower brand funnel. Now is the time for brand builders to embrace the opportunity before the rest catch on.

The post Retail Media: As Important for Brand Builders as Performance Marketers appeared first on AdMonsters.

New platforms, data-driven targeting strategies, and cutting-edge measurement solutions are the lifeblood of the ad tech industry. However, as credit remains tight, payment terms from major advertisers have gotten longer — especially thanks to the growing SPO trend and more intermediaries going directly.

Unfortunately, longer payment cycles are becoming more common, threatening to stifle momentum and create additional cash constraints for companies powering the next era of ad tech.

Keurig Dr Pepper’s Controversial Move: A 360-Day Payment Term Shockwave

The most notable example came from Keurig Dr Pepper (KDP).

In 2023, the beverage giant requested extended payment terms (up to 360 days) from its agencies. The 360-day terms required agencies to wait up to a year to receive full payment, but they also offered low-cost financing so they could access funds sooner. Suppliers could self-fund the requirement or participate in KDP’s Supply Chain Financing Program with Prime Revenue (a capital solution).

As is usually the case, the closer to the advertiser a company is in the supply chain, the longer the payment terms. However, this was an unheard-of proposition in the advertising ecosystem. So much so that these terms were highlighted and passed around within the industry, gathering backlash from thought leaders and the media about the potential negative consequences and concern about the precedent it would set.

Theoretically, the extended payment terms could have created a significant ripple effect throughout the ad tech ecosystem – and it was an eye-opening moment for many.

Downstream Effects: Vendors and Agencies Struggle with Extended Payment Terms

When a brand like KDP demands longer payment terms, the burden falls on the vendor and inevitably trickles downstream to their supply partners. The vendor must pay upfront for ad space, media buys, and the technology fees associated with running the campaign.

Then, they extend terms to their vendors, albeit not usually commensurate with their terms, and raise rates or margins to offset the newly added costs they’ll incur. This upfront cost creates a severe cash flow strain for vendors and agencies, especially smaller or independent shops with limited access to capital compared to their larger competitors.

"The lack of liquidity makes them more dependent on cash flow and less likely to take risks they otherwise would have, severely limiting their growth potential and ultimately stifling momentum at a critical time."

With cash tied up and waiting for client payment, supply partners have less to invest in areas critical for long-term success. This is referred to as opportunity cost, or the cost of choosing one option over an alternative that may have a better yield. When resources are limited, this becomes a much more pressing quandary, and opportunities for growth, innovation, and other initiatives take a back seat.

Companies may be forced to make hard decisions, like making payroll or taking on new business. The lack of liquidity makes them more dependent on cash flow and less likely to take risks they otherwise would have, severely limiting their growth potential and ultimately stifling momentum at a critical time. 

Reality Check: Liquidity Challenges in Ad Tech

In some form or another, payments have long been a central concern within media and advertising. In many ways, payment trends serve as an industry barometer, often highlighting the broader health of the market. Demand partner payments, or lack thereof, have shaped ad tech throughout history, spurring hot-button topics like downstream transparency and sequential liability.

"Risk rises as liquidity falls. Terms get longer, offsets get bigger, and companies go under."

While these topics are pertinent, they are tangential to the cornerstone issue of liquidity. Of course, no amount of capital will save us from bad actors, gross negligence, or abhorrent mismanagement. However, that is more of a question of the human condition rather than a treatable industry diagnosis.

While the above risks will be philosophized for eternity, their inverse correlation to liquidity remains relevant. Risk rises as liquidity falls. Terms get longer, offsets get bigger, and companies go under.

Navigating the Liquidity Squeeze: Financing Options for Survival and Growth

Making matters worse is the self-perpetuating nature of a tightening credit environment. As risk rises, lenders and investors become more averse, seeking safer options to deploy their capital. This, in turn, ultimately exacerbates and compounds the issue. At worst, some companies are no longer eligible for their funding.

At best, their funding gets more expensive, and their terms become even more restrictive.

While there is no catch-all answer, alternative financing solutions can help. Downstream partners can leverage solutions to access flexible capital on demand, bringing certainty to their cash flow and enabling them to grow on their terms. However, be aware that not all revenue-based financing options are alike. Industry knowledge and flexibility are frequently overlooked when reviewing capital partners, so pay close attention to penalties, covenants, and recourse. 

If nothing else, it is essential to determine how complicated their funding process is and, ultimately, if they will grow with you.

The post The Cash Crunch Conundrum: How Extended Payment Terms Stall Ad Tech Innovation appeared first on AdMonsters.

Digital advertising is becoming increasingly complex, and honestly, this won’t change for some time. While the advertising ecosystem is strategically preparing for the long haul, peak season is upon us and before you know it, summer will be gone.

With transparency and media quality at the top of publishers’ minds, it will be interesting to see how Q4 plays out. External factors such as Google’s decision to maintain third-party cookies are only further complicating things.

For brands, brand safety is a major concern, especially during election season like this one where advertisers are projected to spend over $12B on ads across all channels. With brands opting out of placing ads next to election content, or news entirely, the question arises, what do brands have to be afraid of?

At the recent AdMonsters Publisher Forum in Boston, Jana Meron, the newly appointed VP of Revenue Operations and Data at The Washington Post, challenged the conventional wisdom around news and brand safety. Speaking to a packed room of publishers and tech vendors, she questioned, “Why would you avoid reaching this audience when they’re most engaged?”

A few years ago, an IAB study found that 84% of consumers trust brands they see in the news, which highlights the importance of addressing misconceptions about news content. Yet, despite this trust, Resonate’s Fall 2024 Consumer Trends Report tells us that consumer spending is down, which is no bueno for publishers, brands, and agencies already grappling with declining ad revenue and sales.

“The challenge continues for advertisers trying to navigate trust and brand safety,” said Jonathan Neddenriep, co-founder and CTO of Postie. “This also puts pressure on the large tech platforms to double down on ad and content safety tools, something that isn’t always a popular or easy investment (see the Meta CrowdTangle shutdown, for instance.)”

So, what’s a brand to do during times like these?

I recently moderated a webinar with Neddenriep and Bethany Bollenbacher, Customer Success Senior Team Leader at Postie, where they dropped a ton of jaw-dropping gems to help brands stay afloat. If one thing is for sure, and two things are for certain, brands should definitely incorporate direct mail into their strategies. With Postie, direct mail now offers digital capabilities like real-time reporting, website re-targeting, and targeting that exceeds even digital channels. 

Here are some insights and strategies to help brands navigate holiday and election campaigns.

• Election Season: The Catalyst for Surging  Ad Rates
  During election years, the surge in political ad spending significantly impacts ad rates on major platforms like Meta and Google. The bid-based nature of these platforms intensifies competition for ad slots, driving up CPMs and CPAs. This situation is particularly challenging for ecommerce brands looking to grow during the holiday season. To navigate these fluctuations, brands should develop conservative forecasts for CPMs and explore alternative channels with more stable performance metrics. Implementing digital campaign levers like cost-capping can also help protect your budget from being drained by the rising cost of ad slots.
• Leveraging Direct Mail for Stability
  Direct mail offers a stable and predictable alternative amidst fluctuating digital ad rates. Unlike digital channels, where ad placements can be unpredictable and subject to sudden rate hikes, direct mail provides a consistent and reliable medium. Its ability to lock in rates and deliver steady results makes it an attractive option for brands looking to diversify their advertising strategies. Additionally, direct mail’s physical separation from digital noise can enhance brand safety—a key concern during politically charged periods.
  
• Develop Strong Personalization and Creative Strategies
  Personalizing direct mail is key to maximizing engagement and conversions. While basic tactics like adding a recipient’s name may have limited impact, tailoring offers relevant to the specific needs of each household can significantly boost engagement. For example, offering loyalty rewards or promoting local pickup to save on shipping can make direct mail more enticing. Additionally, tapping into the nostalgic and emotional appeal of the holiday season in your creative strategies can strengthen consumer connection and drive purchasing behavior. As Bollenbacher puts it, “Keep it warm, fuzzy, and cheesy!”
• Hone in on Your First-party Data
  First-party data remains a vital brand asset, especially as third-party data faces increasing scrutiny and regulation. By leveraging first-party data, brands can gain deeper insights into consumer behaviors and optimize their marketing efforts. Retail media networks, which capitalize on this data, are gaining traction to support both retailers’ and brands’ growth objectives. This data-driven approach enables precise targeting and personalization, enhancing overall campaign effectiveness. During a session at AdMonsters Ops titled “Retail Media In-Housing: It’s the New Wave,” speakers stressed how crowded the retail media space has become. To stand out, one strategy for RMNs is to tap into direct mail, a far less crowded medium in RMN.
• Remain Flexible to Keep up With Consumer Habits
  To run effective holiday campaigns, it’s crucial to understand and align with consumer habits. Different industries follow unique seasonal patterns, so your marketing should reflect these trends. For example, gift-giving behaviors ramp up in early Q4 while sectors like home services decline — no one wants to start a home improvement project on Thanksgiving when everyone is focused on eating. Brands can optimize their campaigns by targeting consumers at the right times and revisiting CRM strategies to encourage multiple purchases during the holiday season, boosting lifetime value.
• Understanding Publisher Concerns
  Publishers are facing a host of challenges, with transparency and diversity in advertising being especially critical for niche publishers striving to stay afloat. Media quality verification remains is also a hot topic, with industry experts debating its effectiveness. At Publisher Forum Boston, Claire Atkin from Check My Ads highlighted these issues, calling for ongoing dialogue and efficiency improvements. In this challenging environment, publishers need strong strategies to maintain and strengthen their market positions.

A Worry-free Approach to Surviving Q4

Navigating holiday campaigns during an election year requires a multifaceted approach, balancing digital and traditional channels, and better leveraging first-party data, while understanding consumer habits. 

Brands and agencies must stay agile and prepare for fluctuating ad rates while optimizing strategies to cut through the political and holiday noise. Direct mail offers a stable, effective alternative, and personalized, emotionally resonant creative strategies can drive consumer engagement. Ultimately, a well-rounded, data-driven approach will empower brands to succeed even in the most challenging advertising landscapes.

Don’t sleep on the power of direct mail. To watch the full discussion click here.

The post Deck the Halls With Votes and Direct Mail: Mastering Holiday Campaigns in an Election Year appeared first on AdMonsters.

Worldwide, finding a consensus on nearly anything is just about impossible. Yet, when thinking about the way people interact with brands online, there are two glaring truths: consumers demand personalization and privacy in nearly equal measure.

Studies show time and again that nearly 90% of consumers want to do more to protect their online privacy, and almost as many consumers will choose one brand over another if that brand provides a personalized experience. Both of these aspects of digital advertising and commerce are now table stakes. Striking the balance between the two, however, can be difficult, particularly for upstart brands. 

On the privacy front, many brands must contend with increased regulation. Especially in a more globalized marketplace, brands need to conform to international regulations, including GDPR, CCPA, and many more, which can limit the amount and type of consumer data they can collect.

This is all leading to the eventual depreciation of third-party cookies. While it’s true that Google has walked back from its plans to eliminate cookies in Chrome, other browsers have degraded their value, and their continued use in global commerce can run afoul of privacy regulations. Moreover, even if cookie depreciation is slow, brands can find a point of differentiation by offering services that demonstrate respect for consumer privacy. Traditionally, this means turning to transparently collected first-party data.

Yet for smaller advertisers, building up stores of that valuable data can be nearly impossible; third-party cookies are a cheap and abundant way to deliver that needed personalization at scale.

Looking to the future, data clean rooms can be a conduit for advertisers to continue offering highly personalized experiences while also respecting consumer privacy through multiparty collaboration and first-party data access.

What Are Data Clean Rooms?

To understand what a data clean room is, it’s first essential to know why it rose to prominence about a decade ago. For smaller brands and advertisers, there isn’t the luxury of vast amounts of first-party data for targeting and personalization efforts. However, if advertisers could share data with other smaller entities, perhaps everyone could benefit from those insights. 

Data clean rooms provide a secure virtual environment where multiple parties can analyze and collaborate using shared, anonymized data sets without the risk of exposing or sharing the underlying data. These virtual platforms provide the necessary data protections that can enable collective user data programs while remaining above board with regulators.

The Importance of Multiparty Collaboration in Data Clean Rooms

As regulation increases and consumer sentiment moves more towards privacy, brands and advertisers will need to rely more heavily on their first-party customer data. Collection of this data must be ethical and based on a value exchange, with consumers willingly offering their information in exchange for exclusive offers, access to gated content, rewards programs, and much more.

For larger brands with massive customer bases, accessing this first-party data provides a major competitive advantage over smaller brands. If you already have a user base of hundreds of thousands of customers, turning that user data into something actionable is almost as simple as flipping a switch. Smaller brands don’t have that same luxury, which is where collaboration becomes essential.

Data clean rooms level the playing field for smaller advertisers by pooling first-party data to create a unified resource that all contributors can access.

What Advertisers Can Do With Pooled First-Party Data

By working together, small and mid-tier advertisers can enjoy the same insights as larger brands with massive stores of first-party data through data clean rooms.

The utility of this pooled data can’t be understated; bringing in anonymized consumer information from multiple brands can dramatically improve customer experience across each brand’s channels. By analyzing aggregated data, advertisers can identify patterns and trends that might not be evident from their data alone. Zooming out and broadening the pool of insights enables more precise audience targeting, which can improve the effectiveness of marketing campaigns.

Advertisers can also leverage this pooled data for performance tracking and benchmarking campaign efficacy against industry standards or competitors to help identify areas for improvement.

Data clean rooms help facilitate this collaboration, extending beyond data sharing. It can also enable advertisers to co-create targeted campaigns with partners, which can help optimize ad spend and maximize reach.

Why We Need Clean Room Standardization

Once you understand the utility of data clean rooms, it’s pretty easy to see the difference they can make industry-wide. Unfortunately, one of the biggest challenges of data clean rooms that threaten their adoption is a lack of rules and standards for contributors.

Standardization works to ensure consistency and trust across platforms. Establishing uniform protocols and frameworks for data security, privacy, and collaboration can facilitate seamless data sharing and analysis between different parties, reducing complexity, enhancing efficiency, and encouraging continued collaboration.

Additionally, locking in set security protocols guarantees that all parties adhere to the same stringent regulations, thus protecting consumer data more effectively.

In early 2023, the IAB Tech Lab set out to create a set of unified standards for data clean rooms. While this project is still ongoing, it opens up the conversation for parameters of collaboration in the future.

Data clean rooms are not without faults, but their adoption is critical to enable small and mid-sized advertisers to compete with larger companies as the availability of third-party data dwindles. Coming together, creating a standardized methodology for data clean rooms, and using that combined data effectively can be a major win for the entire industry.

The post The Crucial Role of Data Clean Rooms in the Future of Digital Advertising appeared first on AdMonsters.