Bring on Programatic for Linear
There has been lots of buzz surrounding the programatic markets on the digital side of media advertising. The jury is still out on the cause and effect relationship it has and the value it may bring as a new currency by which the effectiveness is measured.
As I was reading about the potential for programatic on the linear side this weekend it caused some interesting thoughts to occur. ESPN is doing quite well with it and many industry participants feel it would take a 70 Billion dollar industry down to 7 Billion. However, is that really true?
I believe that an open ecosystem is what makes disruption and new business models effective. I have the fortunate opportunity to be a part of the Cloud Foundry Foundation which for lack of a better description is the PaaS layer for Cloud akin to Openstack for the IaaS layer. Lots of companies vying for these dollars but the ones that take part in, thrive on and contribute actively the ecosystem are the ones that win.
The advertising markets are ripe for disruption. I see it every day. The large networks and companies are putting disruptors in the key positions. They want to change things and they embrace change. They embrace ecosystems that are open and transparent. Sharing data and making more informed decisions won't dillute the brand if your brand has value. It won't drive pricing down if there is full transparency into the audiences your buying and seeing them through the lifecycle of their viewing habits.
The Open Source movement is teaching us a lot and driving more disruption that just at the infrastructure or platform level. It is fundamentally allowing us to drive change in the upstream business process and applying the same principals to drive collaboration. While this is change and is different that does not mean it is not where we need to go long term.
The jury is out for sure and many are jockeying for position on both sides. It will be interesting to watch. In the end the ones who win will be driven by the data, generating analytic insights that were not previously possible. These insights will be consumed via net new web and mobile applications that foster collaboration and transparency in the process. If this is the end goal it then seems that disruptive change plays to the strengths of those who embrace and not fight the change.
Something to think about and will be interesting to watch.
Technical CRO | $2B in ARR last 10 Yrs | Talent Obsessed
10 年Valid points Will and agree with you. Too many trying to fight change for the sake of it just being different.
AI - data - cloud and everything required to make it work at scale for large enterprises.
10 年If you study the past as guidance for the future then you would argue that opening the TV advertising system to world is a mistake for both the content creators and the content distributors. Does it need to evolve from its last century architecture and capabilities? Yes, of course. Does it need to open up people's homes and living rooms to the kind of bullshit ads we get online? No, never. The TV ecosystem does need to evolve to into modern internet based delivery platform for content and thus for advertising. It does need to use the data available to increase ad performance. And it needs to use set top box data as the measurement and forever do away with the Nielsen ratings. I for one support change in the current system but mostly for a change focused on bringing in new technologies to improve the current ecosystem. I would never want my data shared with third party advertisers and networks unless they are willing to pay my cable bill for me.