Why Advertisers Love Baby Boomers

Why Advertisers Love Baby Boomers

Advertising

Baby Boomers are hot! While Millennials and Gen Z continue to capture love from marketers, brands are also reaching out to the Boomer audience. This post will take a closer look at why:

Baby Boomers Defined

Baby Boomers are the generation sandwiched between the so-called Silent Generation and Generation X. Roughly defined as the cohort born from 1946 to 1964 during the post-World War II baby boom, Boomers were shaped by post-WW II optimism, the cold war, and the seismic changes wrought by 1960s counterculture.

Boomers make up a large segment of the U.S. population. In fact, they are right behind Millennials in terms of size; according to 2019 stats published by Statista Research Department early this year, just under 70 million Baby Boomers live in the United States, compared to about 72 million Millennials. Furthermore, as Forbes points out, the Baby Boomer generation, at 40 percent market share, make up the largest piece of the consumer pie.

And they’ve got money to spend.

Why Boomers Matter to Brands

Craig Millon, the chief client officer of IPG’s Jack Morton Worldwide, reminds brands that while younger generations are a worthy target audience, the importance of Boomers should not be underestimated.

“A lot of people spent an insane amount of time focused on Millennials,” Millon says. “Boomers are an incredibly good, loyal, and wealthy segment of our population that probably do not get as much attention as they used to.”

And yet the Baby Boomer generation continues to manifest the values that have characterized them all along: this cohort is defined by a tendency to be hard workers who have spent wisely and saved. Many are still working full- or part-time, which means that their choices continue to have a powerful impact on the economy. In fact, Boomers “make up the only population group experiencing growth in the workforce.” As a relatively health-conscious generation, Baby Boomers are also poised to take advantage of advanced medical technology to live healthier and longer. As Forbes has noted, “Unlike their parents, who desired to relax during retirement, the baby boomer generation wants to get out and do all the things they’ve always dreamed of doing.”

How does this manifest in a world moving beyond pandemic-era lockdowns? The headline is this: Boomers are motivated to spend. Business Insider describes a generation that’s been vaccinated, is resuming travel, and with no young children at home, is eager to spend the money they saved during the past year. Research from ad EGC Group shows that Boomers are increasing their spend levels by 10-to-15 percent in 2021. And brands from Mercedes-Benz to candles maker Glasshouse Fragrances are taking note, increasing their outreach to this group by 30 to 40 percent.

Of course some advertisers might still be reluctant to divert precious resources to the Boomer cohort. Their logic — that resources need to go to reaching younger generations — is not uncommon. And yet marketing to Boomers can be a win/win. Baby Boomers not only have the spending power, they also stand to share their brand experiences with children and grandchildren.

“Give the boomer a reason to love your brand,” Steven Seghers, CEO of Hooray Agency, says. “The boomer generation brings other generations with them.”

Tips for Marketing to Baby Boomers

 How does a brand connect with the Baby Boomer audience? Some recommendations:

  • While Boomers are more tech-savvy than they are sometimes given credit for, make sure that your digital outreach addresses Boomer needs. Many Boomers wear glasses and have a harder time reading small text, for example. On your website, pay attention to font size, visual contrast, and button sizes, all of which an inform the usability of your site.
  • Finally, don’t jettison phone support options. Live chat is a popular support tool for Gen X, Millennials, and Gen Z , but many Boomers still prefer interactions where they can express themselves verbally — and go hear another human voice. Prominently displaying a phone number on your site (and including a link that can easily work on mobile so that users can make their call with one click) speaks volumes about your dedication to an easy, reliable consumer experience.

Contact True Interactive

Interested in making inroads with the powerful Boomer demographic? Contact us. We can help.

Photo by Marcus Aurelius from Pexels

How Twitch Is Appealing to Advertisers

How Twitch Is Appealing to Advertisers

Advertising Gaming

Twitch, the popular streaming site owned by Amazon, is expanding marketing partnership opportunities beyond its competitive esports channel, Twitch Rivals. The gaming platform’s new Official Marketing Partner program creates branding opportunities for /twitchgaming, a Twitch channel dedicated to non-competitive gaming. Already Chipotle and Ally Financial have signed up. Does it make sense for your brand to join the party? Read on.

How Twitch Has Grown during the Pandemic — and Who Likes Twitch

Twitch has definitely enjoyed a growth spurt. The platform exploded in popularity during the pandemic, as gaming and streaming became reliable sources of entertainment in a world locked down against the virus. According to Ad Age, “Twitch has nearly doubled its daily visitors and minutes watched since the pandemic began.” That translates into an average of 30 million visitors daily — up from 17.5 million in 2020. This growth is good news for brands who want exposure. In January alone, according to Modern Retail, Twitch users devoured more than two billion hours of content.

Who are these viewers? Ad Age reports that almost half of Twitch users are 18 to 34 years old; 21 percent fall into the 13-to-17-year-old demographic. That’s a big piece of the Gen Z/Millennial pie. Lou Garate, the head of global sponsorship sales at Twitch, also notes that Twitch followers tend to be online loyalists who seek nearly all their entertainment online, making them hard to reach via more traditional advertising channels.

Twitch Expands Marketing Opportunities

Given the elusive nature of that demographic, perhaps it was inevitable that Twitch would grow as a branding destination. At first, only brands with a clearly defined tie to gaming tested the waters: headphone companies like Hyper X, for example, and energy drink brands like Red Bull and Monster tested out promotion with campaigns that proved popular. Doritos also was in this vanguard, in 2018 sponsoring a Twitch competition called the Doritos Bowl.

But while headphones and snacks make perfect sense when it comes to partnering with a gaming platform, brands in other arenas are starting to explore how they might connect with Twitch users. Understanding that Twitch actually supports an increasingly diverse array of niche communities has been key. Chess, for example, is popular on the platform. So is anime.

As a result, any number of brands are starting to think about partnering with Twitch. Consider Lexus, which in January recruited the Twitch community to create a custom version of its 2021 IS sedan. Twitch streamer Fuslie hosted a livestream in which viewers could vote on modifications to the car, including gaming consoles and car wrap; more than half a million viewers showed up. A second livestream on February 17 disclosed the car’s design.

Brands like Chipotle have certainly seemed to do their homework in order to find a home on Twitch. According to a 60,000-person user panel called the Twitch Research Power Group, a whopping 97 percent of Twitch users eat at quick service restaurants — 57 percent of them on a weekly basis. In addition, arbiters like McKinsey & Company have identified Gen Z (a significant percentage of the Twitch audience, as noted above) as the “True Gen,” a generation dedicated to, among other things, ethical concerns. Chipotle speaks to these factors in a Twitch campaign that reaches out to Gen Z in particular in a meaningful way. As Ad Age reports, Chipotle will in coming months sponsor custom segments in /twitchgaming show The Weekly, including a “Chipotle Build Your Own PC” segment in which guests build their own PCs —much as customers build custom burritos at Chipotle. After the segment, Twitch and Chipotle will give the equipment to a nonprofit.

Twitch’s expanded Marketing Partners Program

Let’s take a closer look at the new Official Marketing Partner program. The Chipotle campaign is part of this effort, which essentially has meant Twitch opening up sponsorship opportunities on its /twitchgaming channel. “With the launch of this new Official Marketing Partner program, we’re taking a unique approach in sponsoring non-competitive content, to reach a new audience of elusive gaming enthusiasts on /twitchgaming,” Garate explains. The new program demonstrates Twitch’s desire to work with brands and connect them with gamers across the platform — not just those interested in Twitch Rivals’ esports content.

What Brands Should Do

 Interested in exploring opportunities to partner with Twitch? We recommend the following:

  • Understand your audience. As noted above, the demographic skews young, and they don’t necessarily respond to traditional advertising. Take a page from Chipotle’s book and get to know the Twitch audience — and how to speak their language.
  • Understand the nuances of Twitch. As Jamin Warren, the founder of the gaming-focused consultancy Twofivesix, notes, “Of all the platforms that we look at, Twitch is really one of the most interesting, and it’s the most complicated as well.” One reason? Part of Twitch’s draw stems directly from the appeal of its streamers. Brands launching channels must find authentic, identifiable streamers to run their accounts. Otherwise, they may find themselves speaking into the void.

Brands also need to get comfortable with the nature of this beast: livestreams are by definition hard to script, and the best content tends to be spontaneous. Maintaining that spontaneity while keeping things from going off the rails can be an art — and one that brands need to learn in order to thrive on Twitch.

Contact True Interactive

Does it make sense for your brand to reach out to the Twitch audience? Contact us. We can advise.

Why Google Delayed Its Plan to Scrap Cookies

Why Google Delayed Its Plan to Scrap Cookies

Google

Not so fast, Google. The company has announced that its campaign to kill cookies on the Chrome browser is slowing down. This is an increasingly complicated story with a simple conclusion: no matter what Google does or does not do, ad personalization is alive and well.

What Google Announced about Blocking Third-Party Cookies

In a blog post, Google said that its plan to block web tracking on Chrome – originally planned to happen in 2022 – will be delayed until later in 2023. The company also indicated that its timeline is subject to its engagement with the United Kingdom’s Competition and Markets Authority (CMA). In other words, Google will need the cooperation of legislators who are growing very concerned about Google’s growing power. This is an important development. Previously, Google was rolling along unchecked with its anti-cookie measures despite an outcry from advertisers and ad tech firms — who are concerned that Google is amassing too much power and restricting their ability to deliver personalized ads by tracking users across the web.

A Brief Timeline of Google’s War against Third-Party Cookies

Google’s announcement is best understood in context of a series of moves that the company has made since January 2020. Let’s break it down for you:

January 14, 2020: The Bombshell

Google said it will phase out support for third-party cookies on Chrome, which is the most popular browser in the world. Advertisers rely on third-party cookies to track user behavior across the web in order to serve up personalized ads. Google said it wanted to make the web more private. Google said it would work with advertisers to create alternatives to third-party cookies through its Privacy Sandbox project.

The news created a wave of protest from advertisers and ad tech firms. They accused Google of stacking the deck against them by denying them the ability to use third-party cookies to personalized ads. Meanwhile, Google’s own powerful ad platforms, such as YouTube and Google Search, would be exempted from Google’s phasing out of cookies. That’s because those platforms use first-party data, or data collected from user behavior on those sites. They don’t rely on third-party cookies. Advertisers complained that Google was creating an unfair competitive advantage.

January 8, 2021: A Regulator Steps In

The United Kingdom’s Competition and Markets Authority (CMA) announced it was investigating Google’s Privacy Sandbox because the CMA was getting concerned that Google was potentially violating anti-trust laws. This was an important development leading up to Google’s June 24 announcement.

January 25, 2021: Will FLoC Float?

Google announced it was developed an open-source program that would ease the pain of businesses eventually losing access to third-party cookies. This open-source program is known as FLoC (Federated Learning of Cohorts). FLoC will make it possible for businesses to group people based on their common browsing behavior instead of using third-party cookies.

March 3, 2021: Google Doubles Down

Google doubled down on its campaign against cookies. Google said that once third-party cookies are phased out of Chrome browsers, Google will not build alternative identifiers to track individuals as they browse across the web, nor will Google use them in its products. Examples of those alternative identifiers include Unified ID and LiveRamp IdentityLink. Instead, Google pushed advertisers to adopt FLoCs developed out Google’s own Privacy Sandbox initiative (as noted above).

Notably, Google  also said, “We will continue to support first-party relationships on our ad platforms for partners, in which they have direct connections with their own customers. And we’ll deepen our support for solutions that build on these direct relationships between consumers and the brands and publishers they engage with.”

March 11, 2021: Google Keeps Pushing First-Party Data

Google announced some product developments intended to make it easier for publishers to use their first-party data programmatically for ad buys. The announcement was seen as another sign of Google’s intention to bring about the demise of third-party cookies and push businesses toward using first-party data to personalize content.

June 11, 2021: Google Feels the Heat

Feeling the heat from the CMA investigation, Google made some public commitments to protect free competition, such as “no data advantage for Google advertising products” and that “We will play by the same rules as everybody else because we believe in competition on the merits. Our commitments make clear that, as the Privacy Sandbox proposals are developed and implemented, that work will not give preferential treatment or advantage to Google’s advertising products or to Google’s own sites.”  Google also pledged to cooperate with the CMA.

June 24, 2021: The Cookies Are Still Baking

As a byproduct of pledging to cooperate with the CMA, Google agreed to slow down its phasing out of third-party cookies. The CMA wants Google to proceed more cautiously and thoughtfully with the CMA’s oversight, especially amid the ongoing outcry from advertisers, ad tech firms, and competitors.

The New Timeline

Google shared a revised timeline. Here’s exactly how Google describes it:

“After this public development process, and subject to our engagement with the CMA, our plan for Chrome is to phase out support for third party cookies in two stages:

  • Stage 1 (Starting late-2022):Once testing is complete and APIs are launched in Chrome, we will announce the start of stage 1. During stage 1, publishers and the advertising industry will have time to migrate their services. We expect this stage to last for nine months, and we will monitor adoption and feedback carefully before moving to stage 2.
  • Stage 2 (Starting mid-2023):Chrome will phase out support for third-party cookies over a three month period finishing in late 2023.

Soon we will provide a more detailed schedule on privacysandbox.com, where it will be updated regularly to provide greater clarity and ensure that developers and publishers can plan their testing and migration schedules.”

What Does All This Mean?

  • The demise of third-party cookies is still happening – just not as quickly as Google originally planned.
  • Google now has oversight. The CMA could pull its support or impose more restrictions if it feels Google is not playing fair. And who knows what would happen to Google’s Privacy Sandbox if that were to happen?
  • Personalization is alive and well. As we noted on our blog, even if Google succeeds ultimately, businesses have access to alternatives to third-party cookies such as Unified ID 2.0 — is a next generation identity solution built on an open-source digital framework.
  • First-party data is more important than ever. That’s because Google isn’t the only Big Tech firm clamping down on web tracking. So is Apple with its Application Tracking Transparency privacy control, which requires apps to get the user’s permission before tracking their data across apps or websites owned by other companies for advertising, or sharing their data with data brokers.

What Businesses Should Do

  • Heed Google’s advice and monitor the detailed schedule for its next moves on privacysandbox.com
  • Work with your advertising agency to understand what’s happening and how you may be affected. That’s exactly what our clients are doing with True Interactive. That’s what we’re here for.
  • Don’t abandon ship with ads that rely on web tracking. As you can see with Google’s June 24 announcement, things may not proceed the way Google plans.
  • Do invest in ways to leverage your own (first-party) customer data to create personalized ads. We can help you do that.
  • Consider ad platforms such as Amazon Advertising and Walmart Connect, which give businesses entrée to a vast base of customers who search and shop on Amazon and Walmart. True Interactive offers services on both platforms in addition to our longstanding work on Google, Bing, and other platforms.

Contact True Interactive

To succeed with online advertising, contact True Interactive. Read about some of our client work here.

Photo by Mitchell Luo on Unsplash

For Further Reading

Apple Announces New Privacy Features,” Mark Smith.

Why the Google Ad Juggernaut is Back,” Tim Colucci.

Why Amazon and Facebook Are Catching up to Google,” Kurt Anagnostopoulos.

Google Unlocks First-Party Data for Publishers,” Mark Smith.

Google Rejects Alternatives to Cookie Tracking,” Mark Smith.

Google Responds to Apple’s App Tracking Transparency,” Taylor Hart.

The Facebook Spat with Apple,” Taylor Hart.

Google to Stop Supporting Third-Party Cookies on Chrome,” Mark Smith.

Apple Announces New Privacy Features

Apple Announces New Privacy Features

Apple

Apple has once again made some moves to make the internet more private. At its 2021 Worldwide Developers Conference (WWDC), Apple announced new features intended to give consumers more control over how businesses interact with them. Let’s take a closer look.

What Privacy Controls Did Apple Announce at WWDC?

Apple announced that later in 2021, the company will roll out new features to help people control how their online data is used by third parties. They include:

  • Allowing people to disable the ability of marketers to see if and when an email is opened via Apple’s Mail app.
  • Making it possible for people to hide their internet protocol (IP) address information in order to prevent businesses from tracking web usage on the Safari browser.

In addition, Apple indicted that premium iCloud users will be able to access the internet with a feature called Private Relay. This feature will  block network providers from using IP addresses and web usage to create a user profile for tracking.

Why Does Apple’s WWDC Announcement Matter?

The news from WWDC is the latest in a series of actions from technology giants Apple and Google to make it more difficult for businesses to track users in order to deliver personalized advertising. For instance:

  • In 2020, Google announced it would stop supporting third-party cookies on the Chrome browser. In 2021, Google toughened its stance by saying it would not support workarounds for third-party cookie tracking.
  • Apple recently launched a privacy control known as Application Tracking Transparency (ATT), which requires apps to get the user’s permission before tracking their data across apps or websites owned by other companies for advertising, or sharing their data with data brokers.

The advertising world has reacted with a mixture of concern and resignation as businesses adapt to a reality in which third-party cookies will be less useful for creating targeted advertising. In addition, Facebook has argued that Apple’s ATT will hurt small businesses that rely on Facebook’s advertising tools to create personalized content.

How Will the WWDC Announcement Affect Advertisers?

It’s really too early to say yet how advertisers will be affected by Apple’s latest announcements. For one thing, they have not been launched yet. In addition, although Safari is the second-most popular browser in the world, it lags far behind Chrome in terms of usage. On the other hand, Chrome and Safari together constitute 83 percent of the global market share for browsers. The real impact will be seen when both Google’s and Apple’s tighter restrictions take hold together. It will be interesting to see the impact of the restrictions in Apple Mail, which has the largest market share among email apps.

What Should Advertisers Do?

As I noted in a recent blog post,

  • Don’t assume targeting and personalization are dead because of the way Apple and Google are focusing on privacy. You can still use your own data to buy targeted ads on Google properties such as YouTube, Gmail, and Google Search – so long as you bring their first-party data into Google through the company’s existing Customer Match product. Moreover, as we noted in a recent blog post, if you want to use your own data to serve up targeted ads outside Google’s walls, Google is developing its own cohort-based alternative to third-party cookies to help you do that. Stay tuned for more product developments.
  • Do consider tapping into your own first-party data more effectively to create ads (and True Interactive can help you do so). For example, collect more first-party data by using cookies to understand who visits your site; or run a promotion that collects email addresses. Collect purchase data if applicable to your site.

My blog post “Google Unlocks First-Party Data for Publishers” contains more tips.

At True Interactive, we’re doing the heavy lifting to help our clients navigate these changes. Bottom line: be ready to adapt. But don’t panic.

Contact True Interactive

To succeed with online advertising, contact True Interactive. Read about some of our client work here.

Photo by Laurenz Heymann on Unsplash

For Further Insight

Why the Google Ad Juggernaut Is Back

Why the Google Ad Juggernaut Is Back

Google

Google’s advertising business has come roaring back. In 2020, Google found itself to be in the unusual position of seeing a downturn in its advertising revenue for the first time in 29 years. That’s because a pullback in ad spending among Google’s clients, many of whom come from a travel/hospitality industry ravaged by the COVID-19 pandemic, hurt Google even as ad competitors Amazon and Facebook were reaping a windfall. But Google’s recent financial results show that the downturn was temporary, and Google will continue to exert an enormous influence on the advertising world.

Recently, Google’s parent firm Alphabet announced quarterly earnings that exceeded investors’ expectations. Although the growth of Google’s cloud computing business had a lot to do with Alphabet’s success, the rebound of Google advertising played a big role, too. Google’s advertising revenue rose to $44.68 billion for the first quarter of 2021, up from $33.76 billion the year before, prompting CNBC to note that the ad revenue spike was the fastest annualized growth rate in at least four years. So, what can we conclude form the turnaround?:

  • Google is benefitting from the popularity of video. YouTube earned $6 billion in revenue for the quarter, increasing 49 percent from a year earlier. Earlier in 2021, we predicted a surge in online video consumption, a reality that has been borne out during the pandemic. To be sure, online video is much bigger than YouTube, as the success of TikTok demonstrates. But as Google reported later in 2020, during the pandemic, people were turning to video more as a learning tool when in-person learning options were shut down, which benefits YouTube given the amount of instructional content that exists there. The only question that remains now is whether the popularity of online video, and, by extension, YouTube, will remain as strong in a post-pandemic world.
  • Google’s Knowledge Graph is becoming more powerful. The Google Knowledge Graph consists of all the sources of information that Google draws upon to provide search results to queries. It’s a wonky concept that people in the search engine optimization (SEO) industry follow closely. But the Knowledge Graph applies to advertising, too. When Google provides answers to searches such as “Where can I find a plumber near me?” or “Where can I find Anime T shirts?” Google draws upon sources such as Google Maps, Snippets, and a company’s Google My Business (GMB) listings (among other sources) to share information about relevant businesses. Well, guess what? Google is doing such an effective job tapping into its Knowledge Graph to serve up answers on search engine results pages (SERPs) that people are finding answers to what they need on Google without needing to click anywhere else. More eyeballs on Google SERPs means that Google can deliver a larger audience to advertisers through Google Search. As Google becomes an even stronger all-purpose search tool (hard to believe given Google’s dominance in search already), the company becomes even more valuable to advertisers.
  • Google is creating its own future. As widely reported, Google has intensified its war against third-party cookies that are essential for businesses to deliver ads based on a person’s browsing behavior across the web. As Google forces the demise of third-party cookies, advertisers will need to tap into businesses that possesses first-party data (such as Amazon) in order to continue to deliver effective personalized ads. And as it turns out, Google is sitting on a lot of first-party data through that Knowledge Graph I mentioned. When people use Google Maps, YouTube, and other Google properties, they give Google a ton of information about their search and purchase habits, which Google uses to create better ad products. According to Brendan Eich, cofounder and CEO of the privacy-focused browser company Brave, “The reality is that Google already has first-party access to nearly every site—via Google Analytics, ad words, Google Tag Manager, Google Maps, etc.—and that its users are being data mined for profit.”

All of this is not to say that businesses need to dial up their advertising on Google. We’ve always recommended that advertisers go where their audience is, period. At the same time, Google has demonstrated the wisdom of businesses taking the long view with their advertising. The Big Tech ad platforms – Amazon, Facebook, Google, and Microsoft – have carved out a powerful space in the advertising world. Those companies are all big targets for critics, which has resulted in antitrust action and negative PR. But the negative PR can lead a business around by the nose, too, resulting in short-sighted thinking. The ad giants are not going away. If they’re important to your business – and I suspect they are if you’ve read this far into my post – don’t pump on the brakes in 2021.

Contact True Interactive

To succeed with online advertising, contact True Interactive. Read about some of our client work here.

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Five Lessons From the 2021 Ad Spending Surge

Five Lessons From the 2021 Ad Spending Surge

Advertising

Ad spending is surging. As reported in The Wall Street Journal, U.S. companies are expected to spend 15 percent more on advertising in 2021 year than they did in 2020. That’s because consumer confidence is increasing, and the pace of Covid-19 vaccinations is accelerating. And digital is getting a bigger share than ever of the advertising pie:

Digital Share of Ad Spending

Announcements from technology giants and social media apps in recent days underscore just how much businesses are investing into digital advertising:

  • As we reported on our blog, Amazon Advertising and Facebook reported strong year-over-year ad revenue growth in their most recent quarterly earnings announcements.
  • Alphabet announced 32 percent year-over-year ad growth for Google, demonstrating an impressive rebound from a slump triggered by the pandemic.

Amid this spending surge, we see some important lessons emerging:

  • Businesses that maintained their spending levels during the depths of Covid-19 in 2020 are at an advantage over those who pulled back and are now kickstarting their spending. Consumer behavior and sentiment are changing faster than ever. We predicted in 2020 that reducing ad spend during the pandemic would catch businesses flat-footed when consumer behavior shifted again – as it has done in 2021.
  • We’ve hit an inflection point with digital. As the stay-at-home economy takes hold, consumers are remaining online at higher levels than ever. As a result, online spending continues to accelerate. Businesses that asked, “But how long will the growth last?” in 2020 fell behind those that saw the surge for what it is: a behavioral change. The faster businesses adapt to those changes by boosting their online advertising, the sooner they’ll attract shoppers online.
  • The tech giants are experiencing a golden era. We’ve seen the tech giants – namely Amazon, Apple, Facebook, Google, and Microsoft – experience heavy criticism in recent years for reasons too numerous to summarize in a blog post. And of course the specter of antitrust lawsuits looms over Facebook and Google (and Apple in Europe). On top of that, they’re at war with each other, and the demise of third-party cookies calls into question how well advertisers will be able to target consumers across these platforms. But guess what? Amid the blowback, the tech giants continue to run the table, as noted above. Smart advertisers aren’t allowing negative headlines to scare them away from the tech giants. They’re watching how these platforms innovate with new ad units that monetize the surging online audience.
  • Retail ad platforms are on the rise. Savvy marketers are capitalizing on the fact that retailers such as Amazon, Dollar Tree, Kroger, Macy’s, Target, and Walmart are monetizing their first-party customer data by building ad businesses. Each retailer can give advertisers access to different types of consumers. We expect more of these platforms to emerge, contributing to robust ad growth.
  • Social commerce is going to fuel more ad spending. As we discussed on our blog recently, businesses should capitalize on social commerce advertising tools such as Pinterest Product Pins, through which a business can connect its product catalog to Pinterest, filter and organize inventory, create shopping ads, and measure results; or numerous ad units on Instagram that make it easier for businesses to turn advertising into shopping experiences.

We urge businesses to take a fresh look at how your customers’ journeys are changing amid the rise of digital-first living and spending. Monitor performance closely as consumer behavior fluctuates. Businesses that invest in strong real-time analytics tools will have the upper hand.

Contact True Interactive

At True Interactive, we know how to help businesses navigate the complex waters of online advertising. Contact us. Learn more about our work here.

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Amazon Unveils New Ad Units Across Its Ecosystem

Amazon Unveils New Ad Units Across Its Ecosystem

Amazon

Amazon keeps giving advertisers more reasons to choose its advertising platform, Amazon Advertising.

We recently blogged about the fact that Amazon and Facebook are steadily chipping away at Google’s online advertising marketshare. As eMarketer reported, Amazon’s share of the online advertising market increased from 7.8 percent in 2019 to 10 percent in 2020. Amazon just reminded us why Amazon Advertising will keep growing: product innovations.

We’ve already talked about how Amazon keeps launching ad units such as Sponsored Products and Sponsored Brands that make it possible for businesses to place ads on Amazon, which functions as a powerful search engine for people looking to purchase things. As reported in Advertising Age, Amazon is rolling out new products that extend beyond the Amazon site:

  • Amazon will expand advertising opportunities on Fire TV, which competes with devices such as Apple TV and Roku to stream content on connected TVs for millions of viewers. Fire TV is more than a device. It’s a way for advertisers to reach people as they browse and discover new entertainment. One new ad unit, Sponsored Content Rows, is designed for businesses to promote content such as new shows and movies in the form of a row (or carousel) of sponsored content while people browse for shows on their connected TVs (akin to sponsored search results in a Google search engine results page).
  • Amazon also expanded the places where it will show display ads across the Amazon network, including Fire TV, Prime, IMDb TV and Twitch. “We’re making it easier by introducing sponsorship opportunities paired with high-quality content from Prime Video, IMDb TV, Twitch, and third-party content,” Amazon said. This is an important development because it shows that Amazon is expanding its advertising reach beyond the core Amazon site. Many consumers are not aware that Amazon’s network of brands includes sites such as IMDb and Twitch – but indeed they’re part of Amazon’s empire. Amazon is figuring out more ways for advertisers to monetize those popular sites. (Twitch ranks 32 among the world’s 50 most popular websites, with Amazon ranking 13.)

This news comes on the heels of a huge week for Amazon. On April 29, The company announced quarterly earnings that exceeded analysts’ expectations. Although Amazon does not disclose revenue results for Amazon Advertising, it’s estimated that Amazon Advertising realizing revenue growth of 77 percent year over year to achieve $6.9 billion in the first quarter alone.

Earlier in 2021, Amazon scored a huge advertising coup when Amazon Prime Video became the first streaming service to secure an exclusive NFL national broadcast package, which will begin in 2022. The agreement will open up more advertising revenue streams as Amazon monetizes the value of the audience that relies on Amazon Prime Video.

It’s important that advertisers keep their options open by capitalizing on the power of platforms such as Amazon that are harnessing the value of their first-party data to create ad units. (We’re seeing the emergence of more similar platforms such as the Macy’s Media Network.) True Interactive works with brands to capitalize on these offerings such as Amazon Advertising and Walmart Connect, along with our longstanding work with advertising partners such as Google, Facebook, and Microsoft.  To succeed on these networks, contact us. We can help!