What does the repeal of net neutrality mean for brands?
The issue of net neutrality has again been cast into mainstream attention following the Federal Communication Commission’s (FCC) decision to repeal laws that classify high-speed internet as a public utility. The result? Internet service provides (ISPs) will possess power to control internet access across the nation.
Despite its emergence as a hot-button topic, net neutrality is still a relatively abstract concept for many people. In short, it means internet service providers have to treat all web traffic equally. The FCC’s new framework, titled ‘Action to Restore Internet Freedom’, contains a host of potential changes that would affect consumers and companies in different ways. While each of these parties have forcibly argued their opinion, we as an industry are yet to truly reckon with the consequences or opportunities that might present themselves if net neutrality is stripped back. Without delving into the political weeds of this argument, it makes sense to consider what could change for marketers and how the entire industry can adapt.
The term ‘pay to play’ strikes at the heart of net neutrality and like the issue itself, is best understood through metaphor. Tim Karr – of the organization of the Free Press – favours the ‘highway.’
"What the internet service providers are proposing to do is that they want to set up a fast line and a slow lane on the internet," Karr says. "They want to have a fast lane for the few companies that can afford their tolls and they want a slow lane for the rest of us."
That simple explanation paints a pretty clear picture of the situation at hand. Brands that have come to rely upon equal access to their content could face a situation where they pay increased fees to broadband service providers to ensure their message is heard, creating further silos between consumers and the companies hoping to reach them.
We already find ourselves at a tipping point when it comes to digital advertising. The 30% surge in ad-blocker usage last year, while a commonly quoted statistic, helps to demonstrate the level of consumer frustration with advertising. Banner ads and mobile overlays are already a bad experience, and with throttled internet access (resulting in slower ad load rates), the experience will only get when worse. The implication here is that marketers will need to wean themselves off the addiction to reach and recast their role as a provider of relevance. While many of these formats have been able to deliver huge impression numbers in the interim, the ultimate objective of meaningful sales and brand growth has remained a more distant goal.
While it’s relatively easy to reckon with the changes for big brands, the potential ramifications for talent in the media industry are just as pronounced. The current role of a communications planner has evolved to include concepts way beyond the scope of someone in the same role 20 years ago, yet the ultimate objective remains the same: design a plan that ensures a brand’s message reaches the right person at the right moment in time. Analytics, and a better understanding of data, has helped make sense of these media variables, but changes to net neutrality would add a new wrinkle to the mix: access speed. This would mean that platform delivery speed, along with context, content and target, must be considered when trying to reach already-fragmenting audiences.
This is where we find ourselves today: an industry characterised by changed, forced to deal with even more of it. While Tim Wu, the law professor who coined the term net neutrality, has raised the prospect of the judiciary stepping in to prevent its repeal, the discussion is not for naught. It never hurts to consider the future of our industry and it is always beneficial to consider the role we’re playing, particularly heading into a new year. Are brands considering relevance as much as they consider reach? Are media planners thinking about user experience as much as channel, format and message?
When we think about these sorts of questions, there is a temptation to conclude that for everyone in our industry, things will just get harder. This well may be the case: more variables, more fragmentation and more change. But that’s often what creates the conditions for success, whether it’s a brand, content creator or planner, eventually the best find a way. As long as there is equal opportunity to succeed, and this is naturally the crux of the argument around net neutrality, then the internet will continue to be a space where brands, consumers and marketers can thrive in equal measure.
Innovation Analyst, Executive Advisor, Venture Mentor focused on the Communications Ecosystem (6G and beyond), IoT, Smart City, Smart Home, etc.
6 年Interesting. That's why I'm a proponent of Open Access Broadband. All brands are at the same "level" and the only brand aggregator is the local broadband company. For a partial explanation please see; https://bbcmag.epubxp.com/i/918469-nov-dec-2017/96?m4=
Sales and Marketing Communication Professional
6 年Great article enjoyed your insights thankyou. Happy New Year Matt
California Commercial Bus Driver Instructor
6 年When you are willing allow Government to control the service level you receive in exchange for "protection", you create stagnation and failed service. If you want high speed internet then pay for it. If the free market doesn't give you the service you need then CREATE it.