For years, June’s Pride Month has been a beacon for brands to demonstrate their support for the LGBTQA+ community, often translating into vibrant advertising campaigns across various media outlets focused on these demographics. Historically, these initiatives have served as a celebration of diversity and inclusivity. They’ve also provided a lucrative opportunity for LGBTQA+-themed publishers who saw significant increases in advertising spend during this period.
However, recent trends indicated a significant shift in Pride Month advertising. Brands have increasingly and unfortunately retreated from public LGBTQA+ supportive ad campaigns, influenced by last year’s Bud Light backlash and growing anti-LGBTQA+ legislation. This pullback did not just take the form of a reduction in rainbow-themed products but was deeply reflected in advertising spend. Major players like Target and Starbucks scaled back their Pride-themed offerings and the ripple effect dampened the financial outlook for LGBTQA+-focused advertising this past Pride Month.
Trend analysis: beyond pride month
This retreat hasn’t been confined to June alone. While our data for this period is still pending – a more comprehensive analysis will be available by mid-July – we analyzed advertising spend across 18 LGBTQA+-themed media outlets including national TV, print publications, and online channels, revealing a broader trend that predates Pride Month. In the first four months of 2024 alone, there was a noticeable decrease in advertising commitment. Here’s a detailed data breakdown:
2023 overview
In 2023, the landscape appeared strong, with more than $63 million spent on advertising across selected LGBTQA+ media outlets, marking a 38% increase from the $45.5 million recorded in 2022. Top advertisers such as pharmaceutical brands Biktarby, Spravato, Dovato, Cabenuva, and Apretude significantly contributed, each investing more than $1.8 million.
Early 2024 trends
The momentum shifted in 2024. From January to April, these outlets witnessed a fairly massive 10% decrease in advertising spend compared to the same period in 2023, with $17.9 million spent down from $19.9 million. However, this still represented a 40% increase from the $12.8 million noted between January and April of 2022. Yes, this is better than 2022. But the numbers suggest a volatile advertising environment for these publishers.
Notable declines
Prominent advertisers like Spravato, My Pillow (surprise!), Vitamin Water, and Harlem (an Amazon Prime Video series) slashed budgets almost entirely. This contributed to a collective $2.2 million drop year-over-year. Similarly, Cabenuva and Virgin Voyages cut expenditures by at least 60%, tallying up to a $929K reduction.
Impact on LGBTQA+ publishers
This decrease in advertising spend could be dire for LGBTQA+-focused media outlets that rely on these revenues. These publishers undoubtedly faced a tough loss this year. As brands retreat, the onus falls on LGBTQA+-focused publishers to find new ways to attract and retain advertisers, ensuring they can continue to serve their audiences effectively.
A strategic reassessment
For brands and advertisers, this LGBTQA+ advertising pullback calls for a strategic reassessment. It is crucial to recognize that while immediate reactions to socio-political pressures might seem necessary, they can also undermine long-term brand loyalty and consumer trust, especially within the LGBTQA+ community.
To navigate this complex landscape, brands should consider more sustainable and genuine engagement strategies that extend beyond the confines of Pride Month. This could involve year-round support through consistent representation in advertising, sponsorship of LGBTQA+ events, and partnerships with LGBTQA+ organizations. By integrating inclusivity into the core of their brand ethos, advertisers can build deeper, more authentic connections with their entire customer base.
The road ahead
These advertising insights underscore a cautious approach taken by brands, reflecting a broader hesitation across industries to engage in what has become a politically-charged atmosphere. For LGBTQA+-focused publishers, the challenge will be to navigate this new landscape where traditional peaks in advertising spend are no longer guaranteed. Depending on the 2024 election, we could see even more volatility.
Publishers in this space must now innovate and perhaps look to diversify their brand customer base. With Pride Month shouldering less of the annual revenue, it may be helpful to consider higher impact media types like video and native advertising to help mitigate losses. Above all, media companies should focus on fostering year-round partnerships with brands willing to commit to diversity, equity and inclusion, regardless of the prevailing political climate.
This data not only sheds light on the challenges facing LGBTQA+-focused publishers but also signals a conservative shift across the entire brand landscape, especially during an election year. Heightened scrutiny and polarization have made advertisers more cautious about brand safety– focusing on where and how their ads are displayed. Publishers that provide content with universally appealing themes, such as family, lifestyle, and travel could attract more advertisers, as a result.
In the fast-paced world of digital publishing, the latest wave of developments in Artificial Intelligence (AI) has emerged as a welcome solution to the organized chaos of ad operations. Yet, despite its transformative potential, many media companies struggle with the adoption of AI technology. Costly implementation, complex integrations, and a shortage of AI-savvy professionals are hurdles slowing adoption to a snail’s pace.
For media executives looking to move faster, the answer is simple: purpose-built AI solutions. Forget everything you know about generic AI technology. The real magic happens with AI solutions specifically built – for a very specific purpose. By embracing a tailored approach, media executives can accelerate AI adoption with purpose-built solutions that deliver immediate value and growth.
But to harness AI’s power, understanding the strategic advantage of purpose-built AI solutions is crucial. These specialized tools can help media companies reduce implementation issues and offer tangible benefits. Let’s explore the common challenges in media operations that custom AI tools can address.
Unpacking the challenges in digital media operations
Operationally, digital publishers have their work cut out for them in today’s digital media ecosystem. Fragmented data, inefficient, manual workflows, and complexity management in ad operations create significant challenges. These issues slow down processes and hinder the ability to quickly adapt to market changes.
This is where a purpose-built AI solution can deliver a strategic advantage over a generic AI tool. Think of a generic AI tool as a Swiss Army knife – versatile but not specialized for any one task. In contrast, a purpose-built AI solution is like a precision scalpel, expertly designed for a specific function, ensuring optimal performance and efficiency in that area. Now, let’s explore how these tailored solutions can specifically address implementation challenges.
Finding and implementing AI solutions involves extensive testing and high costs. However, purpose-built AI sidesteps these challenges with pre-designed functionalities that can be implemented quickly and efficiently. Here’s how these tailored solutions address common implementation hurdles.
Lower implementation costs
The initial investment in AI technology, including hardware, software, and skilled personnel, can be prohibitively expensive. However, purpose-built AI solutions are pre-designed for specific tasks, reducing the need for extensive custom development. This lowers both initial investment and ongoing costs.
Simplified integrations
Integrating AI systems with existing workflows often proves difficult, requiring significant time and resources. But purpose-built solutions are designed to integrate seamlessly with existing workflows and technologies, minimizing the complexity and time required for setup. They offer specific capabilities that streamline the integration process.
Unified data management
Disparate data sources and poor data quality hinder AI performance. According to Theorem’s research, 33% of ad professionals cite a lack of centralized tools as a major pain point. Purpose-built AI solutions consolidate data sources, improving quality and consistency. This unified approach enables more accurate insights, better decision-making, and more effective ad targeting.
User-friendly
There is often a shortage of professionals with the expertise needed to develop, implement, and maintain AI systems. With user-friendly interfaces and automated features, purpose-built AI solutions reduce the dependency on specialized AI talent. This makes it easier for existing staff to utilize and manage the AI system.
Faster deployment
These solutions are designed for specific workflows and processes, which reduces the development cycle, while accelerating deployment, and team training. Organizations can rapidly implement the solution and hit the ground running.
With implementation challenges out of the way, more on the tangible benefits and rapid results purpose-built AI solutions have to offer.
Benefits and strategic growth opportunities
Purpose-built, custom AI solutions offer a number of benefits and opportunities for growth, including:
Immediate value
With an AI solution specifically designed to automate ad operations, implementation and adoption shift from labor-intensive to quick and easy. This allows media companies to quickly realize productivity gains by tapping into ready-to-launch solutions almost instantly.
Scalability
These solutions are built to scale seamlessly with the company’s growth. As your business expands and evolves, purpose-built AI solutions can adapt to new requirements and increased workloads. This flexibility ensures sustained performance and supports long-term success without the need for constant reinvestment in new technologies.
Cost-effectiveness
Purpose-built AI solutions offer significant cost benefits. Processes are streamlined, makegoods and errors decrease. And, as a result, implementation and operational costs are reduced.
New revenue generation
Purpose-built AI solutions can identify new revenue streams and optimize existing ones. For example, an AI solution built specifically to increase engagement through more targeted, personalized advertising can generate more ad revenue. Or consider the impact of a solution designed to predict what type of content will be popular in the future. This solution would allow publishers to focus on creating content that is more likely to attract and retain users, driving more revenue.
Maintaining a competitive edge in digital media’s turbulent ecosystem today requires the ability to act swiftly and strategically. Understanding the benefits is just the beginning, now it’s time to take action.
Practical steps to drive quick adoption of purpose-built AI solutions
Implementing purpose-built AI solutions can be streamlined with the right approach. By following these steps, your organization can swiftly integrate AI technology and start reaping the benefits.
Start by identifying key areas where AI can have the most impact with a thorough assessment of current processes.
Prioritize those that promise the quickest wins and greatest value. Next, research and select AI solutions with capabilities that align with your business goals and workflow challenges.
Measure the potential impact on data, infrastructure and governance to ensure smoother AI adoption.
Identify training needs and assess any ethical considerations.
Carefully evaluate vendors based on functionality, ease of integration, and proven success.
Begin with a pilot implementation, test the solution in a controlled environment, gather feedback, and make necessary adjustments before a full rollout.
Investing in a purpose-built AI solution is a long-term strategy that yields ongoing benefits as the technology evolves. Much like choosing a tailored suit that fits perfectly vs a suit off the rack, it offers the precise fit and functionality needed to drive strategic growth. Those who embrace it now stand to reap immediate productivity gains, scalability, and cost-effectiveness.
The data is clear: a chasm exists between what traditional news offers and what younger audiences crave. Decades of research haven’t bridged this gap, and proposed solutions often fall short. Blumler and McQuail’s (1970) Need for Gratification Theory suggests people use media to fulfill specific desires. You do have to wonder if the problem a mismatch in needs. Perhaps traditional news fails to satisfy younger generations’ hunger for in-depth analysis or a more positive outlook, driving them to seek information elsewhere. This disconnect demands a fresh approach – one that bridges the gap and fosters genuine connection.
A Spring 2023 Harvard Youth Poll reveals that young Americans prioritize economic concerns like inflation, healthcare, housing, and job availability, alongside social justice and environmental issues like reproductive rights, climate change, and immigration. This focus mirrors global trends. However, traditional media coverage often falls short on these topics. The rise of “alternative platforms” and the demand for short, relatable, and authentic content signals a broader shift in news consumption. Furthermore, Gen X’s declining interest and the perception of traditional media content as distant, pedantic, and delivered on outdated platforms underscore the need to completely rethink how we deliver news.
Despite the challenges, a bright future awaits news media built on growth and audience engagement. The key lies in a shift towards hyper-local coverage. This doesn’t mean abandoning national and global news. Rather, it means prioritizing content that resonates with the local audience. Imagine relatable journalists delivering stories on local issues through engaging formats like social media posts, listicles, explainers, and high-quality video content. This focus has demonstrably built loyal readership and increased audience size for news organizations around the country.
A decline in news interest among Gen X and Millennials, as reported by the Pew Research Center, and a growing preference for authenticity in news presenters, according to Reuters 2022 Digital News Report, paint a clear picture of the current news consumption landscape. Addressing these audience preferences and tailoring content to local issues can foster greater trust and engagement with news media.
The solution seems straightforward: connect the dots between state or regional events and their impact on local communities. However doing this effectively is harder than it seems. News outlets must transition from high-level reporting to a more responsible and objective approach. This means translating complex issues into clear, concise explanations that highlight the specific impact on people’s daily lives. For example, a national story on rising gas prices might be tailored locally to show how much transportation costs have increased in your city and how residents are coping.
Take, for instance, the Miami Herald’s recent spring climate change article on sea levels rising. This article uses multimedia storytelling to explore the rising sea level’s impact on Miami, a city particularly vulnerable to coastal flooding. The article features data insights from local scientists and researchers and explains how climate change is affecting the city’s infrastructure and communities. By connecting the global threat of climate change to the specific challenges faced by Miami, this article highlights the urgency of addressing sea level rise. This focus on local impacts can potentially empower younger audiences to engage with the issue in their city, and “actionability” is something that is particularly resonant with this group.
As we navigate the evolving media landscape and changing news consumption habits, traditional media must redefine its role. It should not only inform, but also serve as a vital resource for today’s and tomorrow’s generations. This shift is crucial for both local and national news outlets as they strive to bridge the generational gap and earn trust.
Younger audiences increasingly seek news that offers practical and useful information for their daily lives. This demand highlights the need for journalism to evolve beyond reporting. News organizations must provide guidance and resources on various topics, offering actionable insights that empower readers.
The challenge lies in transforming news into actionable resources that not only inform but also empower and engage audiences. Organizations like NPR have shown the way by expanding their coverage to include comprehensive guides and interactive tools on topics like financial planning and mental health resources. These resources equip readers to make informed decisions and take meaningful action based on factual reporting.
By providing practical resources alongside factual reporting, news organizations can empower readers with deeper understanding and the tools they need to take action. This ensures content remains informative while upholding journalistic integrity. In an era where accessible knowledge and meaningful impact are highly valued, this approach fosters informed decision-making and strengthens audience engagement.
Embracing hyper-local coverage and authentic storytelling will enable news organizations to bridge the chasm that separates them from Gen X and Millennials. Focusing on issues that directly impact these audiences’ daily lives fosters a sense of relevance and connection. Authentic voices, relatable formats, and clear explanations that empower readers with actionable insights will cultivate trust and engagement. This also translates to a more valuable audience for advertisers, potentially leading to increased revenue streams.
In essence, a focus on local issues and a commitment to genuine storytelling that makes issues personally relevant represents a strategic investment in the future of news. By prioritizing content that resonates with younger generations, news organizations can not only ensure their long-term sustainability but also cultivate a more engaged and informed citizenry. A future where news is relevant, sustainable, and fosters meaningful connections between audiences and journalists is entirely within reach.
The Tokyo 2020 Olympics heralded the digital transformation of Games coverage. Fans no longer need to stay glued to the TV to see what they want. Nor do they have to or solely rely on news titles to keep them up to speed on the big picture. Younger audiences in particular consumed highlight clips rather than watching linear coverage and followed their favorite athletes on social media to gain a more in-depth, behind-the-scenes insights. In fact, the IOC clocked6.1 billion digital engagements on Olympic social media channels during the competition.
Four years later, as we approach the Paris event, these trends are again set to influence international consumption of Olympic content. News and sports organizations have already learned from these new social media-inspired audience dynamics, with live blogs offering a valuable means of competing with social channels for mainstream media share of voice. The delivery of real-time, snackable content that enables interactivity will continue to be essential in 2024 Olympics coverage. Still, there are also new, broader issues to address to capture audience share – particularly among Gen Z, or ‘the purpose generation‘.
Beyond the sport
Olympics coverage is no longer simply about sport. Athletes and governments have always used the Games to spotlightpertinent social and political issues, from Black Power and anti-apartheid to LGBTQI. Now, younger generations increasingly see the potential for activism from the sidelines. Environmental sustainability and the participation of transgender athletes have emerged as important topics for Paris 2024. There’s also likely to be an impact from the substantial political tension caused by the Russia-Ukraine and Israel-Hamas conflicts on the event. Newsrooms will need to have one eye on the sport, and one eye on the bigger picture to ensure audience engagement.
News providers covering the Olympics must, therefore, up their game (pun intended), adopting audience-first strategies that cater to theneeds of Gen Z and beyond to ensure they compete in the race against social media for audience share. They must deliver authentic, personalized, and interactive content that addresses both the event and the wider issues surrounding it.
Incorporating multiple, intertwined storylines to provide greater depth and insight and encourage engagement will be vital. By doing so, they can boost traffic, dwell time or subscription conversions and encourage brands keen for Olympics association to spend money on advertising.
Prepare for the marathon, not the sprint
However, with the Games lasting two weeks and spanning 320 different competitions across 32 sports, it’s no easy feat to keep audiences up to date on the sports that interest them, provide athlete and behind-the-scenes insights and tune into the wider news stories that intersect with the Olympics. Newsrooms must, therefore, box clever when it comes to delivering on audience expectations.
Live blogs offer an important starting block to help reach this goal. They allow newsrooms to create an engaging and responsive experience tailored to the audience’s preferences by offering real-time updates, encouraging active participation, and enabling a multimedia-rich format. But live blogs can also go beyond real-time news to deliver much more.
Curated content to meet multiple audience needs
The beauty of the live blog format for long events such as the Olympics is that it allows content to be curated, drawing on a range of mixed media to tell the wider story and showcasing numerous perspectives in easily digestible snippets. From integrating Q&As with athletes and coaches for greater depth of insight to fans’ social media posts, multimedia clips of key moments or retrospective and contextual news bits relating to the environmental, political and social issues surrounding the games, live blogs can effectively serve a wide range of audience expectations.
The 2022 European Championships ably demonstrated how live blogs can communicate complex event information in simple terms for spectators, volunteers and employees. From rain delays and available transportation to coverage of medal winners, funny anecdotes and heart-wrenching athlete stories, reporters delivered both range and depth of coverage, harnessing the live blog’s visual storytelling power to share close to 600 photos of what made the event so unique. Custom tags allowed each post to be categorized so that users could easily search for and access the information they wanted.
User-generated content (UGC) creates a more engaging and inclusive narrative beyond just text. Surveys, polls, unique social media hashtags, and live comment blocks all enable a two-way flow of information. Stufffrequently uses this to good effect in their live blog coverage, giving its passionate sports community the chance to engage on topics such as the All Blacks World Cup Squad Announcement, and the team’s return home. This involves audiences in the reporting process and establishes a sense of community to strengthen the media-audience relationship.
Live blogs also allow individual journalist and editorial styles to shine through, creating further audience bonds. We see many young journalists creating social-style videos to tell stories, with their personalities influencing how viewers consume content. DER SPIEGEL’s reporters demonstrated the power of personality intheir coverage of the FIFA Women’s World Cup in 2023, expressing personal opinions, cracking jokes and reacting with emojis in a lively dialogue. This gives the audience a deeper understanding of the people behind the content, injecting personality and making it more relatable and authentic.
On your mark, get set, go!
The evolution of Olympics coverage reflects the changing preferences of audiences, particularly younger generations. As we look forward to the Paris 2024 Olympics, it’s clear that news and sports organizations must continue to adapt to digital and social media consumption to compete. In order to capture and maintain audience engagement, a focus on delivering real-time, interactive, and curated content that addresses both the sporting events and the broader social, political, and environmental issues surrounding the Games is crucial.
Live blogs have emerged as a valuable tool for providing both real-time and in-depth coverage while catering to diverse audience needs and preferences. As newsrooms prepare for the marathon-like coverage of the two-week event, prioritizing audience-first strategies will be essential to ensure a meaningful and immersive Olympic experience for all. Leveraging live blogs during the Games enables publishers to inform, educate, engage, and connect with audiences on a new level.
Influencers, independent journalists, and smaller news outlets sharing news and commentary on social platforms increasingly compete for audience attention with traditional and digital news brands. These “alternative voices” can also provide a place for a diverse array of opinions and perspectives—though the most popular accounts don’t appear to be particularly diverse or alternative, unless the term alternative is simply defined as delivered by social platforms outside of established news brands.
Platforms like TikTok and Instagram offer access to creator tools and global distribution, which helps these accounts reach large audiences. However, measuring the extent of news consumption on social and video networks is complex due to the diverse range of accounts and topics discussed. However, Reuters’ Institute’s new report, Digital News Report 2024, provides a snapshot of the most influential accounts and the balance of attention between alternative news sources and mainstream. The report examines the nature of these alternative voices and their followers and evaluates the reliability of the information and the implications for the marketplace.
Recall of alternative news accounts (58%) surpasses mainstream news brands in the U.S. (42%). This indicates a significant shift toward news creators and influencers. This trend also underscores alternative voices’ growing influence, as well as the continuous evolution of news content and delivery.
Linked to this trend, video storytelling is an increasingly crucial online news source, especially among younger audiences. Short news videos – popular on TikTok and Instagram – are accessed by 66% of respondents each week, while longer formats attract around 51%. Most online news video consumption takes place on social platforms. Audiences favor these platforms for news (72%) over publisher websites, which only attract 22%. This increases the challenges around monetization and connection for traditional news publishers.
Audience and content analysis
Reuter’s report asked respondents to name accounts they follow most closely across six popular platforms—Facebook, X, YouTube, Instagram, Snapchat, and TikTok. Respondents identify Tucker Carlson and Joe Rogan as the accounts they follow most closely. Interestingly, the most mentioned (top 10) individual names offer political commentary or chat rather than original newsgathering. Most of the popular content is also partisan, with little or no attempt to present a balanced view. And the entire top 10 list is comprised of white men. Many of these names are hardly “alternative,” as they come with decades of experience in legacy media ― traditional cable or talk radio networks.
Some alternative news brands are comprised of multiple creators, such as the Daily Wire and Blaze TV (conservative), Young Turks, and Medias Touch (progressive). Regardless of their politics, the look is consistent and video-centric. It’s somewhere between a podcast and a TV broadcast – with mostly male hosts talking to mostly male guests.
The nature of some of this content may not appeal to advertisers. As a result, some personalities find other ways to generate revenue, such as appealing directly for donations or selling merchandise. A few, such as Tucker Carlson, are trying out premium subscriptions, providing additional content or networking opportunities for a fee.
Reliability and impact on society
The reliability of information shared by alternative voices is a critical concern. While some independent journalists and creators provide valuable insights and diverse perspectives, others report misinformation and partisan content. The decentralized nature of these platforms makes it challenging to regulate content quality, leading to potential societal impacts, such as increased polarization and the spread of false information.
The rise of alternative news sources and the popularity of individual’s “news” accounts shows a growing audience preference for creators and influencers—even in their consumption of what they define as news. These alternatives claim to offer free expression, positioning themselves against mainstream media, which they accuse of suppressing the truth or serving elite interests.
The insights provided by Reuters’ findings makes evident the popularity of short form video for news among audiences. It also sheds some light on the types of storytelling and storytellers who audiences find most engaging. News media outlets should explore new creative formats and personalities and showcase creators’ individual style and personalities to embrace changing news preferences and engage today’s audiences.
Regardless of how many times Google delays its cookie phase out, publishers need to understand what’s at stake for them in the advertising ecosystem post third-party cookies. Media companies also need to be aware of the various data operations strategies then can experiment with to position themselves for success as first-party data moves to the fore.
ArcSpan Technologies analyzed the extent to which the looming deprecation of third-party cookies in digital advertising requires publishers to revamp their audience data operations in order to maintain and grow their sales results. Through quantifying the expected data monetization disruption that digital media companies face over the coming 12-18 months, we found that there are proactive solutions that offer ways publishers can mitigate material revenue losses.
What’s at stake for media companies
CPMs on Google Chrome will decrease 42%: Based on the value of programmatic advertising over the past eight months based on the presence of third-party cookies (“3PC”) across browsers.
Google Chrome 3PC deprecation puts 25% of publisher’s total revenue at risk: The impact of a 42% decrease in Google Chrome CPMs translates to a 25% overall revenue loss for median publishers in the study.
ArcSpan’s study to measure the impact of cookie deprecation
To measure the potential impact of impending third-party cookie deprecation, ArcSpan analyzed data across a number of top-tier and mid-tier publishers. By dissecting publisher revenue according to channel, browser and cookie presence, we were able to identify the portion of revenue most vulnerable to cookie deprecation.
The analysis looked at the revenue distribution between Direct Sold and Programmatic channels, of which Programmatic is expected to experience the most pronounced revenue impact. ArcSpan observed an average distribution of 20% of revenue stemming from Direct Sales, while 80% was sourced through the programmatic channel.
Next, we analyzed the percent of programmatic impressions and revenue in which third party cookies were present. While these impressions comprised 68% of total programmatic impressions, they accounted for 80% of programmatic revenue. Finally, we isolated the revenue attributable to Chrome browsers in which third-party cookies were present.
Among the publishers analyzed, a median of 60% percent of total revenue was associated with programmatic impressions delivered via the Chrome browser where third-party cookies were present. This portion of revenue will thus be the most impacted by CPM decreases in the event that third-party cookie deprecation occurs without viable and scalable alternatives.
The analysis further quantified the potential revenue impact by observing CPM differences based on whether third-party cookies were present or absent. According to our research, impressions lacking third-party cookies cleared at 42% lower CPMs. To summarize, ArcSpan identified a potential scenario in which 60% of publisher revenue could decrease by 42%, netting a 25% decrease in overall revenue.
Revenue risk grows to 35% amongst heaviest programmatic and Chrome-driven publishers
While a potential revenue decrease of 25% represents the median in our research, the range of outcomes can vary greatly across the publisher spectrum. ArcSpan highlighted a quartile of publishers who were most at-risk as a result of cookie deprecation. Publishers in this quartile tend to have greater than 95% of revenue sourced via programmatic, and greater than 85% of programmatic revenue coming from Chrome programmatic impressions with third party cookies. For this quartile of publishers, the total revenue at risk increased from 25% to 35%.
Advertising success without third party cookies
Leading media companies are developing strategies to both prepare for a future without third party cookies and mitigate potential revenue losses under those conditions. These strategies typically take the form of a portfolio management approach and upgrading publishers’ revenue operations tools with a focus on first-party data quality, accuracy and scale.
These options can support both direct and programmatic revenue:
Develop a first party data strategy: Publishers are creating compelling first-party audience segments by processing and organizing contextual, content consumption, engagement, and offline data signals. Publishers are also investing in collecting first party data from their users by offering on-site engagement tools such as surveys and polls, while more premium publishers have been able to acquire registered and even subscription users. They can then develop differentiated data product offerings to both earn data premiums and grow direct sales.
Participate in audience curation opportunities: In this scenario, publishers with and without a direct sales team can feed audiences into curated deals that meet the buy-side needs to target consistent audience definitions at scale across multiple publishers. By partnering with the right platforms, publishers can leverage A.I. and machine learning to automate site content and data processing to create scalable audiences with accuracy and consistency.
Establish an identity framework: Testing different identifiers to determine open auction uplift is critical for publishers. There needs to be a consistent approach to onboard alternative identifiers and measure their incremental impact in programmatic transactions under different scenarios (type of browser, SSP, etc).
Incorporate first-party data signals in the bid stream:While still evolving offerings like Google PPS and Prebid SDA offer an opportunity to push high quality data signals into the bid request and potentially positively influence bidding behavior.
Explore dynamic flooring: Publishers can leverage machine learning in conjunction with their proprietary data signals to optimize programmatic auction prices.
These options have different degrees of impact and different levels of effort to implement. But as a portfolio, they will help drive incremental revenue in a changing environment.
Although Google has (repeatedly) delayed the timeline for Chrome third-party cookie deprecation, leading publishers are keenly aware that they cannot become complacent. ArcSpan’s research highlights the revenue at stake in the event publishers are forced to accept the level of CPMs that are associated with cookieless impressions today. Regardless of a publisher’s level of readiness, it is important that they identify tools and platforms that can comprehensively address the portfolio of strategies that will enable them to protect and grow their revenue.
Media companies say they want to grow their younger audiences. So, why aren’t executives making more of a concerted effort to lean on that same generation for guidance on how to reach that audience?
Earlier this year, I attended an industry conference event in San Francisco where leading executives from the fields of advertising, marketing, broadcasting and streaming came together to exchange thoughts and ideas on how their industries are converging and where things are headed next.
One of the presenting panelists was Jasmin Corley, a 20-something billed as a “social media influencer” who, in fact, has spent the formative years of her young life establishing and building her own fashion and beauty media brand across social video platforms. Hundreds of thousands of people follow Corley across Instagram, YouTube Shorts and TikTok. Her best-performing clips have north of 1 million views — not an easy thing for anyone to pull off.
Corley shared the stage with executives who hailed from a leading electronics company, a television start-up and an advertising manager from a streaming-focused joint venture. Each of those panelists got more time to speak than she did. In fact, even the moderator — a well-known former reporter for an entertainment trade publication who now covers the free streaming space for a media research company — spoke more than Corley did.
She was asked just two questions, one from the moderator, one from a panelist who sought validation in his own product. The tone seemed to be this: Corley was lucky to share a stage with such esteemed executives in the media and advertising industry. Really, though, they were lucky to share a stage with her. Ultimately, it was a lost opportunity to hear from someone who not only reaches the younger generation on a regular basis, but who walks among them, too.
The same old management
If Corley was frustrated by the experience, she didn’t show it. She graciously exited the stage and went home. I wish I had been as graceful in my 20s. When I was hired to oversee digital initiatives for a Tribune Media-owned newsroom in 2008, I was a baby-faced 21-year-old who was still in college. I thought the company was hiring me for my ideas. Over time, I came to realize they brought me on because I could do a lot of work quickly. And they didn’t have to pay me very much to do it.
Every week, the station assembled different department heads for a meeting. In my first few meetings, I said nothing, though I had a lot of thoughts. Eventually, I spoke up, but it seemed like things were always being shot down. Conversations usually ended with the message that “it isn’t the way we do things here,” or “things are done for a reason,” something along those lines. The meetings did little to accomplish anything, except that everyone seemed annoyed with me toward the end. It was mutual. They mistook my confidence for arrogance; I mistook their arrogance for incompetence.
Times change but too many things stay the same
Perhaps if all sides had gone in with more of an open mind, things would have been different. Back then, media companies had very little to lose — traditional platforms were doing as well, if not better, than emerging digital ones. Today, the opposite is clearly true. Traditional platforms like broadcast radio and television are struggling to address a downturn in their advertising businesses. Meanwhile, next-generation platforms like TikTok, YouTube and Instagram seem to have more money than they know what to do with.
The reasons are numerous, and not too hard to understand. Take TV, for instance. While traditional TV still frames itself around a 30-minute or 1-hour episode, content creators on YouTube or Instagram can go as long as they want, unencumbered by schedules or time limits. They can 30-second clips three times a day, or a 30-minute tutorial twice a month, or any combination or variation in-between. While traditional TV might require a fully-developed script or outline, along with numerous pitch meetings and ad sales justifications, young people can simply grab their phone and create whatever they want to bring into the world.
The proliferation of tablets and smartphones, coupled with the abundance of social video platforms, has lowered the barrier of entry for content creation and distribution. No one understands this better than the generation who grew up with a mature Internet and digital toolset capable of handling those things. And they are taking full advantage of it.
The end result is highly-engaging content that connects with younger consumers, and influences them in many ways, including purchase intentions. A survey by Nerds Collective as reported in The Drum found that 45% of young Europeans who identify as Generation Z “want brands they’ve seen an influencer or celebrity wear,” while just 18% say they’re influenced by what their friends wear.
Young people turn to TikTok
Fashion is one thing. News and information is another. But similar trends apply. Young people are increasingly turning to TikTok and Instagram over Google to find things online (and, to be honest, you can’t really blame them, because Google is a hot mess). When it comes to news and current events, younger audiences are gravitating toward unfiltered personalities and curated experiences that podcasters like comedian Joe Rogan, radio host James O’Brien and French YouTube channel Hugo Décrype offer.
Why is this happening? Over the past few months, I’ve reached out to a number of key figures in media and entertainment to find out. Three executives told me they had to run things up the chain before they could speak with me — suggesting corporate bureaucracy has changed little since I worked in that TV newsroom all those years ago. I managed to secure interviews with three others. But it seemed that they either didn’t understand the situation or could only offer answers that didn’t address the issue at hand.
Change in strategy
I spent more than a month doing precisely the wrong thing: Trying to secure interviews with people with nice executive titles at well-established places, but whose businesses embody many of the problems that this column is trying to address. About two weeks ago, it finally occurred to me that I needed to reach someone who wasn’t involved in media and entertainment, but who spends a lot of time thinking and writing about these problems: Charles Benaiah.
Like me, Benaiah spent his early career working for established media brands before venturing out onto his own. Today, his job as the CEO of Watzan is to observe the landscape and dream up ways for it to improve.
“There are decades of ingrained expectations that are going to have to change,” Benaiah told me in an interview, after I filled him in on the above issues. “It’s not going to change quickly.”
Benaiah agrees that one way to attract and engage younger consumers is to create content that resonates with them. To do so requires hiring young people into key decision-making roles. It also means allowing personality to bubble through. He likens it to the better days of the newspaper industry, where someone might pick up a copy of the daily edition to read the latest clip from their favorite columnist. In the process, they have to flip through several pages of news, and might stop on a story here or there that is connected to, but otherwise separate from, the editorial section.
These days, the editorial page is X, the platform formerly known as Twitter. “We’re 25 years into social media, and I’ve always looked at Twitter as being the social media place for journalists,” Benaiah remarked. “Journalists are writing somewhat dry stories, because that’s what they’re asked to do. They’ve got these great, brilliant quips, and they toss them out all day, but they don’t work their way back into the personality of the newsroom — they make their way onto Twitter.”
Personality and connections
Newsrooms didn’t have a chance to embrace the idea of Twitter before young journalists gravitated to the platform on their own. Once news organizations saw that young journalists could attract a blockbuster following on the platform, they encouraged their reporters to link to their stories, as a way to drive traffic to their website.
The growing pains came when journalists really started to stretch out and let loose on Twitter. Controversies followed. Suddenly, a reporter’s off-hand remark or poorly-landed joke became fodder for another reporter’s mini exposé. Newsrooms that had never developed a framework of acceptable use and best social media practices suddenly found themselves cleaning up a lot of messes.
Some news organizations handled that better than others. However, for the most part, the industry really struggled to find an appropriate balance between giving young journalists the freedom to be themselves on a public platform and applying standards and ethics policies in a non-constraining way.
Striking that balance is important, Benaiah says, because newsrooms that are too rigid risk losing authoritative voices, many of which are deeply engaged with younger audiences. But a free-for-all is also problematic, because authority in news requires trust, and to be trust-worthy, one must be honest and believable.
Supporting young leaders
Young journalists can build authority and trust by being mentored by industry veterans who impart the best practices while embracing the idea that the way things have traditionally been done might not be the best way of doing things in the future. It won’t keep a young journalist from making mistakes, but a guiding hand can encourage them that it isn’t the end of the world. The payoff for giving emerging reporters the space to be themselves and the guidance to be accurate and reliable will be recognized in the long term, in a way that benefits both individual brands and companies at large.
Likewise, media companies that want to reach younger audiences have to hire young people into leadership roles and allow them to be an integral part in content creation and audience engagement strategies. That is the first step, and it is a substantial one. Not engaging young professionals as part of the process is a bit like asking someone who speaks English to create a product slogan in Greek. It makes no sense, yet this is what corporate America has done for years. It is not a winning formula.
At the industry conference I attended earlier this year, everyone in the room should have been clamoring to give Corley their card. They should have asked if she was willing to be a brand ambassador, to help put their product or service or company in front of her audience. They should have asked her for a little insight into the secret sauce that makes her content so tastefully appealing to thousands of viewers.
But no one did. Not that it mattered much to Corley. She went home, and immediately started working on her next project: The “Fr$h Editing Bootcamp.” Over the course of 30 days, Corley educated her followers on the best ways to make short-form videos really pop on social platforms. To date, those videos have amassed tens of thousands of views, and likely influenced the next batch of content creators. It is tough to predict what platforms those videos will live on in 5, 10, 20 years — but if traditional media companies are smart, they’ll do whatever it takes to bring those content creators in before they’re left in the dust.
The introduction of AI-generated search results is just the next step in a long line of the platforms moving more of the audience interactions behind their walled gardens. This is an accelerating trend that’s not going to reverse. Google began answering common questions itself in 2012, Meta increased its deprioritization of news in 2023, and now some analysts are predicting that AI search will drop traffic to media sites by 40% in the next couple years.
It’s a dire prediction. Panic is understandable. The uncertainty is doubled by the sheer pace of AI developments and the fracturing of the attention economy.
However, it is important to know that this is another situation in which it is critical to focus on the fundamentals. Media companies need to develop direct relationships with audiences, double down on quality content, and use new technology to remove any inefficiencies in their publishing operation. Yes, the industry has already done this for decades. However, there are new approaches in 2024 that can allow publishers to improve experiences to attract direct audiences.
All-in on direct relationships
When there’s breaking news, is the first thought in your audience’s mind opening your app, or typing in your URL? Or are they going to take the first answer they can get – likely from someone else’s channel?
Some media companies view direct relationships as a “nice to have” or as a secondary objective. If that’s the case, it’s time to make them a priority.
Whether direct relationships are already the top priority or not, now’s a good time to take a step back to re-evaluate the website’s content experience and the business model that supports it. Does it emphasize—above all else—providing an audience experience that encourages readers to create a direct relationship with your business?
When the cost to produce content is zero, quality stands out
This brings us to the avenue that drives direct relationships: your website, and your app. Particularly as search declines as a traffic source, these become the primary interaction space with audiences. We’ll follow up next month with frameworks for your product team to use to make your website and apps more engaging to further build your direct audience traffic.
It’s no longer about competing for attention on a third-party platform—for example through a sheer quantity of content about every possible keyword. It’s about making the owned platform compelling. Quality over quantity has never been more important.
Incorporating AI into editorial workflow
As the cost to create content is increasingly commoditized via the large language models (LLMs), the internet will fill up with generic noise—even more so than it already is.
Content that’s actually of genuinely high quality will rise in appreciation, both by readers themselves and the search engines that deliver traffic to them. Google is already punishing low quality content. So are audiences. The teams using LLMs to generate entire articles, whole-cloth, are being downgraded by Google (and this approach is not likely to drive readers to you directly either).
But AI does have its uses. One big challenge in generating quality content is time. Ideally, technology gives time back to journalists. They’ll have extra time to dig into their research. They may gain another hour to interview more sources and find that killer quote. Editors have more time to really make the copy pop. The editorial team has more time for collaborating on the perfect news package. The list goes on.
AI is perfect for automating all the non-critical busywork that consumes so much time: generating titles, tags, excerpts, backlinks, A/B tests, and more. This frees up researchers, writers, and creatives to do the work that audiences value most, and deliver the content that drives readers to return to websites and download apps.
This approach has been emerging for a while now. For example, ChatGPT is great at creating suggestions for titles, excerpts, tags, and so on. However, there’s a new approach that’s really accelerating results: Retrieval Augmented Generation (RAG).
RAG is the difference maker when it comes to quality
The base-model LLMs are trained on the whole internet, rather than specific businesses. RAG brings an organization’s own data to AI generation. Journalists using ChatGPT to get generations will get “ok” results that they then need to spend time fixing. With RAG, they can focus the results to make sure they’re fine-tuned to your particular style. That’s important for branding, and also saves creatives time to use for other things.
The next level not only uses content data, but also performance data to optimize RAG setups. This way, AI is not just generating headline suggestions or excerpts that match a particular voice, it’s also basing them on what has historically generated the most results.
In other words, instead of giving a newsroom ChatGPT subscriptions and saying “have at it,” media companies can use middleware that intelligently prompts LLMs using their own historical content and performance data.
Do this right and journalists, editors, and content optimizers can effortlessly generate suggestions for titles, tags, links, and more. These generations will be rooted in brand and identity, instead of being generic noise. This means the team doesn’t need to spend time doing all that manually, and can focus on content quality.
Using RAG to leverage the back catalog
Media companies have thousands upon thousands of articles published going back years. Some of them are still relevant. But the reality is that leveraging the back catalog effectively has been a difficult undertaking.
Humans can’t possibly remember the entirety of everything an organization has ever published. But machines can.
A machine plugged into the CMS can use Natural Language Processing (NLP) to understand the content currently being worked—what is it about? Then it can check the back catalog for every single other article on the topic. It can also rank each of those historical articles by which generated the most attention and which floundered. Then it can help staff insert the most high-performing links into current pieces.
Similarly, imagine the same process, just in reverse. By automating the updating of historical evergreen content with fresh links, new articles can immediately jump-start with built-in traffic.
Removing silos between creation and analysis
While Google traffic might be declining, it will nonetheless remain important in this new world. And in this period of uncertainty, media organizations need to convert as much as possible of the traffic from this channel while it is still operating.
We call this “Leaving the platforms behind.” Media companies should focus on getting as much of the traffic from search and other channels into first-party data collection funnels as possible. This way, they can build enough moat to continue floating if any or all of these traffic channels completely disappear.
Most teams today have dedicated SEO analysts who are essentially gatekeepers between SEO insights and content production. The SEO analysts aren’t going anywhere any time soon. But the new table stakes are that every journalist needs to be able to self-serve keyword insights.
It is important to use analytics tools that bring search console data directly to the approachable/easy article analytics page that the editorial team already knows how to use. Ideally, analytics tools should connect keywords and other platform traffic to conversions, so everyone on your team can understand their impact on leaving the platforms behind.
Done well, you’ll create a feedback loop that evolves and improves your content in a way that resonates with readers and machines.
Quality is all that matters
This is not the first “all hands on deck,” moment for the media industry. That being said, what we’re seeing is that the barometer of success is a truly aligned strategy and execution that brings product, business development, and editorial teams together to pursue creating first party relationships with audiences. The organizations that have little brand identity, and pursue traffic instead of subscriptions, are suffering—and will likely continue to do so.
Video streaming services (SVODs) are entering a new phase of maturity, characterized by moderate growth in an increasingly crowded market. SVODs are shifting their focus from subscriber acquisition to implementing strategies to achieve profitable growth. Marketplace trends show that advertising and bundling services are integral to the next stage in the SVOD landscape.
According to Antenna’s new State of Subscription report, most new SVOD subscribers selected ad-supported tiers in Q4 2023 and Q1 2024. This practice will likely continue, as ad-supported subscriptions account for over half of the gross additions during this period. Notably, 61% of SVOD consumers opted for the ad-supported service, indicating a significant shift toward ad acceptance. Antenna identifies subscribers in four distinct choice groups:
Ad Takers – Always opt for ads.
Ad Avoiders – Never choose ads.
Ad Managers – Mix and match ad-supported and ad-free plans.
Ad Oblivious – Have not encountered an ad choice.
With 38% of subscriptions now ad-supported, reflecting a 7-point increase from 2023, consumers are increasingly open to ad-supported options. This trend is further apparent by the growing segment of Ad Takers, which has increased by 11.2 million since Q1 2022.
Benefits of bundling
Bundling SVOD services proves to be an effective strategy for reducing churn. Disney and Apple observed a 2 to 6-point improvement in churn rates for their bundled services compared to standalone offerings. Bundling Disney+, Hulu, and ESPN+ helps retain more subscribers than offering each service separately.
Antenna’s Bundle Benefit Ratio (BBR) measures the potential upside of bundling. It suggests that most premium SVODs have more curious customers than committed ones. This indicates the potential for bundled offerings to convert these curious customers into loyal subscribers.
Curious Customers: Users who have either canceled a service or are currently subscribed to a service for 6 months or less.
Committed Customers: Users who have subscribed to a service for over 6 months and have not canceled it before.
All Premium SVODs, except Netflix, have a higher number of Curious Customers compared to Committed Customers. Netflix’s exceptionally low Bundle Benefit Ratio indicates a higher risk of cannibalization from bundled offerings than other services. Notably, Netflix’s bundling strategies have mainly targeted its Ad-Supported tier. Conversely, Starz and Max have the highest ratios of Curious to Committed customers, indicating substantial potential gains from bundling strategies.
Effective acquisition strategies
The method of subscriber acquisition significantly impacts customer lifetime value (CLTV). Users acquired at full price can have CLTVs that are 52% higher than those acquired via free trials. Full-price subscribers tend to have higher retention rates and greater long-term value. In 2022, 65% of SVOD sign-ups came at full price from day one, continuing into 2023 and Q1 2024.
Promotions also play a critical role in driving annual plan uptake. For instance, when discounted in late 2022, the uptake of Max’s (formerly HBO Max) annual plans increased more than fivefold. This demonstrates that well-timed promotions can significantly boost long-term subscriber commitments.
Growth and churn dynamics
The overall growth of SVOD subscriptions has slowed to a more moderate pace, with a 10.2% year-over-year increase compared to 18.8% in 2023. However, specialty SVOD services have outpaced premium ones, growing at 15.8% YoY versus 9.4%. This growth is driven by niche content that appeals to specific audiences, highlighting the importance of content differentiation in the competitive SVOD market.
SVOD services must optimize pricing and packaging strategies to drive healthy performance. Ad-supported tiers will continue to play a crucial role, with increasing consumer acceptance and the potential for significant revenue from advertisements. Bundling and effective acquisition strategies will also be vital in maintaining and growing subscriber bases. The video streaming industry is evolving towards sustainable and profitable growth. As SVOD services navigate the landscape, they must balance subscriber acquisition with retention strategies, leveraging ads, bundles, and pricing tactics to achieve long-term success.
Signal loss makes it increasingly difficult for advertisers to run campaigns across the open web. Traditional methods for prospecting and direct response are particularly impacted, with only 30% of the open web currently being addressable.
This change places advertisers in a challenging position, making it difficult to reach their target audience and maintain brand equity, especially on the open web. However, publishers and broadcasters are uniquely positioned to assist advertisers in navigating these issues, as they have not experienced signal loss.
Media companies have highly engaged audiences and access to a growing variety and volume of behavioral and contextual data points, which are essential for effective audience modeling. Essentially, publishers are the key to achieving 100% addressability and the future of targeting on the open web. However, to maximize the value of these insights, they need tools that foster collaboration and provide advertisers with clarity amidst the chaos.
To gain insights into how publishers are strategically addressing these issues, Permutive gathered four customers and publishing leaders who are reimagining data collaboration. We asked them where they see opportunities and how they are solving the challenges that arise.
Our panel included Stephanie Mazzamaro, VP, Addressability & Premium Programmatic at The Arena Group, Michael Nuzzo, SVP Data Solutions at Hearst Magazines, Josh Peters, Global Head of Commercial Data Strategy and Programmatic Operations at The Washington Post, and Bethany Hillman, Vice President, Data and Advertising Operations at TelevisaUnivision.
Here are the four key insights from that discussion:
1. Solving for signal loss: What advertisers want
The panel’s resoundingly indicated that advertisers are looking to publishers to solve signal loss across the open web and the addressability data gap caused by privacy regulations and third-party cookie deprecation. Josh Peters at The Washington Post emphasized the complexity of these advertiser requests. He said they are seeing varied inquiries about data access and standards and noted the challenge of advocating for better solutions beyond standard industry offerings. He said: “They want the IAB standard. We have to make the case that we actually have something better.”
Stephanie Mazzamaro at The Arena Group stressed the need for standardizing signals. She explained that one of the big initiatives and challenges for the publisher this year is making the signals a standard but still unique. “How do we still create that special sauce and still provide differentiators in the marketplace?, she mused. On the issue of creating standardized audiences – and echoing Mazzamaro’s challenge – Michael Nuzzo at Hearst Magazines said: “Having a single person be one thing, at any given time, is kind of an impossible task.”
Publishers know their audience, and, through the right tech, can connect the dots and provide insights into audiences that advertisers might not realize. Nuzzo believes it’s important to understand who users are at the right time in a given contextual space and expand beyond existing user bases.
He said that “it’s something that advertisers and agencies understand really well: If someone’s reading about dog food, I should serve them a dog food ad. But we also know, through a taxonomy, that people who are interested in dog food are often outdoor runners because they run with their dogs. And so we open up new audiences, and we’re not just pitching these people into a single segment.”
2. Metrics for success: Moving away from clicks
The Arena Group has put a lot of resources into launching “as many IDs as possible” to find its North Star, and has started shifting from page views to addressability metrics, focusing on user engagement and “stickiness.” Highlighting the role of Permutive’s new identity hub in streamlining these efforts, Mazzamarro said her team has been busy finding ways to use contextual with addressable audiences. They are also focused on finding ways to make them stickier and have created a scorecard internally to measure them.
Amid the furor of made-for-advertising sites (MFAs) and external companies deciding the premium status of publishers, is a focus on quality and equipping premium publishers to tell their own story through insights, which can be used at every stage of the sales cycle. Washington Post, for example. is moving towards quality over quantity, emphasizing time spent and exposure. They are also using clean room interactions for better post-campaign analytics and insights.
Peters told the audience the publisher is being more precise with its actions and feedback to advertisers. For example, if an advertiser spends money in one area, Washington Post can point out another area with better performance and time on site, suggesting they focus more there. He said: “That’s what the advertisers are looking for and that’s where the dollars are going to end up.”
The challenge here is different for broadcasters, particularly given the proximity to its end users in the app environment and considering both linear and digital buyers. TelevisaUnivision is packaging digital metrics with traditional video and CTV platforms, aiming to provide comprehensive audience insights and drive better market adoption. “I’m pulling those linear buyers through,” explained Bethany Hillman at TelevisaUnivision. “Not just saying you have to purchase video and big-screen, but giving them the full concept of all the digital metrics, we’re not just looking at households. Pulling that market along has been the most important piece for us.
3. Identity management: Connecting disparate data
TelevisaUnivision and The Arena Group both see identity management as an important part of their strategies, particularly the need for consolidation and easier data access to drive forward resource allocation and storytelling. Referencing Permutive’s Collaboration and Connectivity products, Bethany Hillman at TelevisaUnivision said: “We have offline pieces. I’m calling APIs to get data in. I’m trying to find coverage in different places. For me, the consolidation is going to be huge.”
Nuzzo at Hearst stressed the responsibility of managing identity data, including consent management and internal collaboration to maximize data utility.
It’s important to be transparent about that data, too. Hearst integrates identity and data with media activations, determining value through CPM uplift. Washington Post has developed a dashboard to track audience transactions and contextual performance, providing transparent and actionable insights company-wide.
4. Clean room: Scaled activation versus single solution
Washington Post and The Arena Group both discussed the challenges of adopting and implementing clean room technologies, calling for clear next steps and collaboration to fully leverage these tools. Mazzamaro said “it’s a checkbox” for agencies when they ask if publishers can access clean rooms. It’s always a positive reaction when a publisher says yes, but that agency always runs something else that does not require a clean room. “Working through adoption is really hard as an industry,” explained Mazzamaro.
TelevisaUnivision highlighted a partnership with Home Depot to illustrate the potential of clean rooms but said that “it’s an oxymoron that clean rooms equal data collaboration.” She said: “What I’ve seen so far is you load your data in, and you get a match rate… where I am collaborating on data? My big hope for clean rooms as we stand them up, is that we see the activation, not just from a one-to-one match perspective, but really to see that growth scale and to collaborate for the first time. So what data can I bring to the table to help that person expand their consumers.”
The critical role of data collaboration
In the face of signal loss, publishers and broadcasters play a vital role in addressing advertisers’ needs for audience reach on the open web. As our panelists have discussed, advertisers are coming to them with requests because they possess highly engaged audiences and access to a wealth of data points.
By leveraging data collaboration strategies and connectivity tools, publishers can advance the industry by consolidating disparate data for effective identity management and fully realizing the potential of clean rooms for scaled activation and data collaboration. These strategies will enable the media industry to continue providing effective audience targeting and drive greater success in an evolving digital landscape.