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Digital advertising update: Google, Yahoo and AOL discuss innovation; research reveals agency attitudes and programmatic ad spend rise

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By The Drum Team | Staff Writer

September 12, 2014 | 4 min read

This week's round-up saw Google's Kirk Perry discuss innovation; Yahoo's Dawn Airey insist the company isn't "in the slightest bit schizophrenic"; and AOl's Noel Penzer blog for The Drum on why programmatic is key to a sales team's success.

It's been a bumper week for research with reports from Videology, Adap.tv and Adform. Videology's research was carried out by Forrester and identified an appetite for a more holistic buying approach; Adap.tv found that advertisers are shifting spend from broadcast budgets to video; and Adform found a 52 per cent year-on-year rise in programmatic spend for Q2 2014, with a significant rise in mobile spending.

Google's Kirk Perry talks innovation

Speaking at Dmexco, Google president of brand solutions Kirk Perry said that brands should give more credit to their competition and reconsider what innovation really means if they are to succeed in a digital world.

Delivering a keynote, Perry said that brands should “reframe innovation” and that being “rapidly disruptive” is now key.

Videology research

Research unveiled by Videology at Dmexco showed advertisers and agencies are keen for a more holistic buying approach but held back by challenges around measurement and necessary transitions within managerial structures.

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The study was carried out by Forrester and 70 per cent of respondents agreed it was “important” or “very important” to be able to buy audiences in a cross-screen way within three years.

AOL UK MD Noel Penzer on programmatic

AOL’s UK MD, Noel Penzer, blogged for The Drum this week on why programmatic is key to a sales team’s success.

“We drive programmatic in support of engance creativity, not to its detriment,” he wrote. “It is vital that we as an industry, and AOL as a publisher, see the programmatic offering as more than automation.

“It is about liberating teams to do braver, more exciting things with brands and advertisers, and upskilling the sales force to inject renewed creativity into everything they do.”

Carat figures forecast

Carat revealed updated forecasts this week for its 2014 and 2015 worldwide ad expenditure. Based on data from 59 markets in the Americas, Asia Pacific and EMEA, the business expects global ad revenues to increase by five per cent in 2014, and a further five per cent in 2015. Figures also show it expects digital to account for one fifth of spend.

Adform research shows programmatic ad spend boost

A report from Adform released this week found that spend in the programmatic space in Q2 2014 has increased by 52 per cent year-on-year. Mobile spend rocketed, according to the figures, with smartphone spend up by 894 per cent and tablet spend up by 973 per cent.

While programmatic ad spend targeting tablet has now overtaken smartphones at 13.75 per cent compared to 11.94 per cent, spend targeting desktop has dropped from 91.8 per cent to 74.31 per cent year-on-year.

Adap.tv study finds advertisers are shifting spend from broadcast to video

A report from AOL’s programmatic video platform Adap.tv found that advertisers have shifted spend from broadcast budgets to invest instead in video. Data showed a 42 per cent increase in digital video spend, and more than half (52 per cent) of agency respondents said they’d taken spend out of broadcast to diver to video.

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