Académique Documents
Professionnel Documents
Culture Documents
Advertising
The Future of
Digital Advertising:
Overcoming the Challenges
to Higher ROI and Revenues
Advertisers 41%
Share of Advertising TV
Budget by Channel
12%
Other
41% 10%
Digital & Print
Mobile
Figure 1
Buy Side
But Both Buyers and Sellers Face
Higher ROI
Numerous Challenges in Making
the Transition to Digital Better
audience /
targeting data
Why the rush toward digital? The biggest
factor is the lure of greater returns (Figure 2). Skills and
capabilities
Buyers believe the convergence of digital and
traditional advertising, and the large amounts
of data increasingly available, will help Sell Side
them more effectively target their audience. Increased
Revenues
This will lead to greater returns on their ad
investments. Sellers think convergence and Maximised
use of
data will help them maximize the use of Inventory
inventory, thus boosting revenues. More efficient
use of
Inventory
0% 50% 100%
Onsite Search
Consumer Measurement
Data Sources Companies
Survey
Used for Audience
Segmentation
Figure 5: Different sources of data buyers and sellers use to segment audiences
Challenges when using Customer Data for Better Audience Targeting
Figure 6: Buyers’ and sellers’ challenges in using customer data for targeting
The Future Is Now
These obstacles, while formidable now, pose to how humans behave,” said a buyer’s
even greater threats in the near future. In chief digital officer. “We need to find ways
fact, they’re already creating problems that of relating on a more human level and that
will only get exponentially worse quarter by means creating things people want to engage
quarter if the status quo prevails. with.”
What does that fast-approaching future look For many, engagement will have to be tied to
like? The executives we spoke to expect ads content. “I feel the future of advertising is all
to be increasingly focused on the consumer— about content and figuring a way to weave
meaning more personalized, targeted, and the advertiser’s message into a compelling
valuable. piece of content in a way that gets the brand
message across and at same time serves some
consumer need,” noted an executive director,
“Ad blocking is consumers’ digital advertising, on the sell side. The head
response; it’s their way to of digital at a sell-side company emphatically
took the concept a step further. “In general,
say ‘enough’… enough of [advertising] will evolve largely into content,”
the barrage of unnecessary, this person said. “What typically we see is
unwanted, irrelevant content on a page and the advertising goes
around it…but for advertising to work in
messages.” the future, it will have to be the content—
Digital Marketing Manager, Sell Side whether you call it branded content, native
advertising, or advertorial. It will be about
making advertising as interesting as the
A digital marketing manager on the buy side
content it sits around.”
said the widespread use of ad blocking is
evidence that such tailored and meaningful But it’s not just what’s in ads that will
ads are long overdue. “Ad blocking is change. Executives believe how ads are
consumers’ response; it’s their way to delivered also will need to evolve. And that
say ‘enough’… enough of the barrage of means taking an omni-channel, screen-
unnecessary, unwanted, irrelevant messages,” agnostic approach. “It’s critical that offerings
this person said. “Companies not wired to be integrated across media channels, and
be thinking about personalization will really publishers need to look at media from a
struggle going forward. Re-targeting is not more synergistic place in terms of what
the answer; consumers move on too quickly. they are offering,” said a buyer’s director
They want the right message, at the right of integrated marketing. One ad buyer is
time, on the right device, right now.” exploring just that approach. “We’re starting
to look at a video-agnostic strategy—some
In other words, consumers will have to find
call it a “screen strategy”—meaning it could
something of value in ads for them to be
be TV, tablet, etc.” noted this company’s vice
effective—and that means companies must
president of global media. “That’s the notion
know far more about consumers than simply
of cross-device viewership and ability to track
their age and gender. “Broadly speaking,
someone from device to device.”
offerings must be more holistic in relation
Moving Toward Greater Maturity
Integration &
Analysis & Discovery Action & Optimization Execution & Delivery
Understanding
Leverage insights to
Fully understand multi- Understand the
Marketers gather and optimize spend and ensure
touch attribution, best channels to
connect customer data customers are receiving
which assigns values to communicate and deliver
from all available channels the right offer via the right
different touch points of personalized messages to
to develop channel at the right time.
the customer the customer
Every time.
Figure 7: A comprehensive cross-channel approach to digital advertising will drive more personalized and effective marketing
What does this business model look like? How is content distributed? Is the business
It’s different for every company. True, subscription based or ad supported? Which
every business model will include the same operations will be centralized versus
common elements. But what distinguishes decentralized?
them is how each company interprets and
implements those elements. One can think The answers to these and other tough
about these elements as part of a spectrum. questions will shape the new business model.
How a company chooses to emphasize each Then come a number of technology- and
element across that spectrum will make its organization-related changes needed to bring
business model distinct. What’s the mix of it to life.
content between original and syndicated?
Technology changes
Technology changes will center on three
key areas: data and analytics, systems
integration, and salesforce automation.
Video * * * Video * * *
Display * * * Display * * *
Mobile * * Mobile * *
Figure 8: Sellers must break down their siloes to enhance digital ad effectiveness
Conclusion
The digital advertising wave continues to It’s clear from our research that many issues
wash across the advertising landscape and remain for both buyers and sellers. Some are
will only gain momentum in the coming years. relatively straightforward to address, such
And for good reason: Done right, it can be a as mastering the right tools. Others present
huge win for both ad buyers and sellers. a thornier challenge, such as transforming
an entrenched culture that resists
Digital advertising opens a whole new world innovation. But collectively, they prevent
of opportunity for buyers: a way to more digital advertising from realizing its massive
precisely, and in exciting new ways, reach potential.
and engage with consumers. For sellers,
it dramatically expands their advertising Individual companies and the industry at large
inventory and creates significant new face a choice: Change their ways and reap
sources of revenue. Yet both sides have only the rewards, or muddle along as they have
scratched the surface of digital advertising’s and be content to underachieve.
benefits.
Authors About Accenture About Accenture Research
Lynn McMahon Accenture is a leading global Accenture Research is a global
Managing Director professional services company, team of industry and digital
Accenture Digital Advertising providing a broad range of analysts who create data-driven
Services services and solutions in strategy, insights to identify disruptors,
consulting, digital, technology and opportunities and risks for
Matthew Gay operations. Combining unmatched Accenture and its clients. Using
Senior Manager experience and specialized skills innovative business research
Media and Entertainment across more than 40 industries techniques such as economic
and all business functions— value modelling, analytics,
Bouchra Carlier underpinned by the world’s largest crowdsourcing, expert networks,
Senior Principal delivery network—Accenture works surveys, data visualization and
Global Lead for Media & at the intersection of business research with academic and
Entertainment Research and technology to help clients business partners they create
improve their performance and hundreds of points of views
For more information on create sustainable value for their published by Accenture every year.
Accenture Digital Advertising stakeholders. With approximately
Services, please visit www. 373,000 people serving clients
accenture.com/digitaladvertising in more than 120 countries,
Accenture drives innovation
to improve the way the world
works and lives. Visit us at www.
accenture.com.