The Current Applications Of Artificial Intelligence In Mobile Advertising (source: Forbes)

The concept of self-programming computers was closer to science fiction than reality just ten years ago. Today, we feel comfortable conversing with smart personal assistant like Siri and keep wondering just how Spotify guessed what we like.

It’s not just the mobile apps that are becoming more “intelligent”. Advertising encouraging us to interact and install those apps has made its way onto a way new quality level as well. Thanks to advances in machine learning (ML), the baseline technology for AI, mobile advertising industry is now undergoing significant transformation.

source: https://www.forbes.com/sites/andrewarnold/2018/12/24/the-current-applications-of-artificial-intelligence-in-mobile-advertising/#2c8fa7f91821

AI can reduce mobile advertising fraud

In 2018, mobile ad fraud rates have doubled compared to the previous year. To tap into the expanding marketer’s ad budgets, hackers have created a host of new tricks to their playbook. According to Adjust data, the following mobile ad threats have prevailed:

SDK spoofing accounts represented 37% of ad fraud. In SDK Spoofing malicious code is injected in one app (the attacked) that simulates ad clicks, installs and other fake engagement and sends faulty signals to an attribution provider on behalf of the “victim” app. Such attacks can make a significant dent in an advertiser’s budget by forcing them to pay for installs that never actually took place.

Click injections accounted for 27% of attacks. Cybercriminals trigger clicks before the app installation is complete and receive credit for those installs as a result. Again, these can drain your ad budgets and dilute your ROI numbers.

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Faked installs and click spam accounted for 20% and 16% of fraudulent activities respectively. E-commerce apps have been in the fraud limelight this year, with nearly two-fifths of all app installs being marked as “fake” or “spam”, followed closely by games and travel apps. Forrester further reports that 69% of marketers whose monthly digital advertising budgets run above $1 million admit that at least 20% of those budgets are drained by fraud on the mobile web.

If the issue is so big, why no one’s tackling it? Well, detecting ad fraud is a complex process that requires 24/7 monitoring and analysis of incoming data. And that’s where AI comes to the fore. Intelligent algorithms can operationalize large volumes of data at a pace far more accurate than any human analyst, spot abnormalities and trigger alerts for further investigation. What’s more promising is that with advances in deep learning, the new-gen AI-powered fraud systems will also become capable to self-tune their performance over time, learning to predict, detect and mitigate emerging threats.

AI brings increased efficiency and higher ROI for real-time ad bidding

One of the biggest selling points of “AI revolution” across multiple industries is the promise to automate and eliminate low-value business processes. Mobile advertising is no exception. Juniper Research predicts that by 2021, machine learning algorithms that increase efficiency across real-time bidding networks will drive an additional $42 billion in annual spend.

Again, thanks to robust analytical capabilities ML-algorithms can create the perfect recipe for your ad, displaying it at the right time to the right people. Google has already been experimenting with various optimizations for mobile search ads. The results so far are rather promising. Macy’s, for instance, has been leveraging inventory ads and displaying them to customers’ who recently checked-up on their products and are now in close geo-proximity to the store holding the goods they looked up a few hours ago.

AdTiming has been helping marketers refine their approach to in-app advertising. By leveraging and crunching data from over 1000 marketers, the startup has developed their recipe for best ad placements. “Prescriptive analytics will tell our users when is the best time to run their ads; what messaging to use and how frequently the ad needs to be displayed in order to meet their ROI while maintaining the set budget,” said Leo Yang, CEO of AdTiming.

Just how competitive AI-powered real-time ad bidding can be? A recent experiment conducted by a group of scientists on Taobao – China’s largest e-commerce platform – proves that algorithms are performing way better than humans.

For comparison:

  • Manual bidding campaigns brought in 100% ROI with 99.52% of budget spent.
  • Algorithmic bidding generated 340% ROI with 99.51% of budget spent.

It’s clear who’s the winner here.

AI enables advanced customer segmentation and ad targeting

Algorithms are better suited for detecting patterns than a human eye, especially when sent to deal with large volumes of data. They can effectively group and cluster that data to create rich user profiles for individual customers – based on their past interactions with your brand, their demographic data and online browsing behaviors.

This means that you are no longer targeting a broad demographic of “women (aged 25-35), based in the US”. You become capable to pursue more niche audiences, exhibiting rather specific behaviors e.g. regularly engaging with hair care products in the luxury segment on social media. This insight can be further applied by an AI system when entering an RTB auction to predict when your ad should be displayed in front of the consumer (matching your profile) and when it’s worth a pass.

The best part is that AI-powered advertising is no longer cost-prohibitive for smaller companies. With new solutions entering the market, it would be interesting to observe how the face of mobile advertising will change in 2019 and onward.

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“Amazon va favoriser le rapprochement du retail et de la publicité”

Guillaume Planet, VP media & digital marketing du Groupe SEB, et ancien directeur d’agences médias (Havas, Fullsix, Dentsu Aegis…), livre son analyse sur les bouleversements du secteur publicitaire causés par le déploiement des activités publicitaires d’Amazon.

 

En dévoilant, lors de ses différentes communications financières depuis début 2018, des chiffres de ventes publicitaires en très forte progression, pour ne pas dire bluffants – plus ou moins 4,2 milliards de dollars sur les six premiers mois de l’année – Amazon a officialisé son arrivée parmi les grands acteurs du marché publicitaire. Le cabinet eMarketer prévoit même que le groupe devienne dès 2018 le troisième acteur de la publicité en ligne aux Etats-Unis, devant Microsoft et Oath.

source: https://www.mindnews.fr/article/13318/amazon-va-favoriser-le-rapprochement-du-retail-et-de-la-publicite/

Et ce n’est qu’un début. Car les passerelles entre ses activités de distributeur de produits en ligne et ses activités publicitaires lui offrent des perspectives énormes.

Si on s’arrête sur le secteur du retail, on peut supposer que les développements d’Amazon vont créer des vocations chez les autres acteurs tant cette évolution du modèle est intelligente. Elle s’appuie sur plusieurs leviers :

1 – Un avantage concurrentiel

Amazon a un double avantage concurrentiel avec les autres vendeurs d’espaces publicitaires : une possession massive de data transactionnelles, associée à une position de clients et non de fournisseurs vis-à-vis des marques qui achètent ces espaces publicitaires.

2 – Un cercle vertueux achat – data – publicité

Amazon jouit d’un cercle vertueux d’investissements publicitaires financés par les marques qui drivent un trafic très qualifié grâce à la data, nourrit le core business de vente des retailers, et alimente encore plus en data qui vont elles même nourrir le volet publicitaire.

3 – Un levier de marge

L’activité publicitaire, surtout avec ses actifs présentés plus haut, offre surtout à Amazon des perspectives de profitabilité élevée, alors que l’activité de négoce l’est peu par nature.

 

Quel impact sur le marché publicitaire ?

 

L’impact du développement d’Amazon sur la publicité est triple concernant le secteur :

1 – Les plateformes suivent le même sillon

Les autres acteurs en devenir vont devoir se rapprocher du monde du retail. Google en fait une priorité comme le montre les récents partenariats avec Wallmart et Carrefour et l’investissement dans JD.com. Tencent en fait de même, et Facebook s’y intéresse aussi très probablement, comme le montre la place de marché actuellement en test sur la plateforme.

En effet, les opportunités sont grandes pour ces acteurs en termes de data très pertinentes pour nourrir l’efficacité des solutions proposées. Le retail ouvre aussi accès à d’autres types de budgets marketing des marques : les fameux budgets “BTL”, dédiés aux points de ventes, souvent supérieurs aux budgets publicitaires.

2 – Des opportunités pour de nouveaux acteurs

Ces développements du marché derrière Amazon créent des opportunités pour de nouveaux types d’acteurs pure players de la publicité retail, par exemple Criteo.

3 – Les médias encore plus marginalisés

Mais Amazon pousse surtout un peu plus les acteurs historiques de la vente d’espace publicitaire – je parle ici des médias traditionnels – vers un rôle plus marginal sur ce modèle économique. Ces derniers, déjà chahutés par Google et Facebook, font face à un nombre croissant de concurrents mieux armés pour profiter des transformations du secteur de la publicité : ils sont riches en data ultra-pertinentes, matures en expertises digitales et data, possesseurs d’infrastructures techs sophistiquées, et hyper-puissants financièrement.

Face à cette nouvelle donne, les médias prennent de plus en plus le sujet dans le bon sens. Après une période de déni et de diabolisation des GAFA, ils cherchent maintenant de plus en plus à investiguer de nouveaux modèles économiques et revoient leur relation avec Google et Facebook, qui doivent être assimilés à des partenaires pour contribuer à engager au mieux leurs audiences.

 

Quelle réaction pour les grands distributeurs ?

 

Les retailers réagissent différemment. Ils ont étonnamment tendance à se rapprocher immédiatement de leurs nouveaux concurrents : Wallmart et Carrefour pactisent avec Google, Carrefour avec Tencent, Auchan avec Alibaba, Monoprix avec Amazon… Leur objectif est d’apprendre à travers ces partenariats, mais les risques sont évidemment importants.

Quels sont-ils ? Que Monoprix perde l’accès à la data, moteur du nouveau modèle vertueux du retail en s’associant à la market place d’Amazon. Que Carrefour et Wallmart offrent potentiellement à un futur concurrent – au minimum sur le volet publicitaire -, Google, l’opportunité de développer sa courbe d’expérience dans l’univers du retail. Enfin qu’Auchan prend le risque de donner les clés de compréhension de nouveaux marchés cible pour Alibaba.

Le rapprochement avec des acteurs certes matures en digital et data, mais moins menaçants (de type Criteo, par exemple sur le volet publicitaire) serait probablement une démarche moins risquée pour apprendre les nouveaux codes de ce secteur.

13 Scalable Ways To Reach Your Audience In A More Personal Way (Source: Forbes) #audience #addressable #advertainment

Forbes Agency Council

Successful PR, media strategy, creative and advertising executives from Forbes Agency Council share trends and tips.

https://www.forbes.com/sites/forbesagencycouncil/2018/09/30/13-scalable-ways-to-reach-your-audience-in-a-more-personal-way/#77bcf79c3e9f

Years ago, a “one size fits all” approach to marketing was the standard. But with the vast amounts of customer data and feedback platforms available today, personalization is the name of the game. Customers want to know that you’re listening to them and providing an experience that speaks to their needs — and that requires taking different approaches to different audience groups.

If you’re ready to start refining your audience targeting strategy, consider the following 13 tips from members of the Forbes Agency Council.

Members of the Forbes Agency Council offer their best tips.IMAGES COURTESY OF FAC MEMBERS

1. Work Backward And Target One Person First

We build a persona as if targeting a single individual first. What do they look like? Where do they shop? What do they eat? What music do they love? From here, we work backward and start scaling and testing. It’s easier to find an audience in this manner than to start too broad and spend months scaling down. – Bernard MayNational Positions

2. Take Advantage Of Lookalike Audiences

We target high-performing influencer content to a particular audience segment, but then watch as folks click on that content. We make a Custom Audience out of the “clickers” and then target lookalikes of them. We’ve found that people who look like those who engaged initially convert at a much higher rate than any other target audience. It’s a strong argument against “set it and forget it.” – Jim TobinCarusele

3. Offer Plenty Of Choices

I think one of the greatest mistakes that firms make (enabled by their marketing department and agencies) is over-segmenting their campaigns, products and offerings. While data and even artificial intelligence can inform marketing of expected/prior behavior, I believe that today’s consumers want to choose what they want and when they want it, without being served something created just for them. – April Joy RudinThe Rudin Group

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4. Speak To The Customer’s Journey

The first thing is to map out your customer’s journey. Then, create educational content they can interact with. Now build custom audiences that help them move throughout their journey. Be relevant to them while being omnipresent so they see you everywhere. All marketing has to be relevant, and by knowing your customer’s journey, you can use storytelling to create intimacy and familiarity. – Imran Tariq, WebMetrix Group LLC

5. Create Alignment With Their Holistic Personal Narratives

We look at potential clients in a holistic, personal way. This means we consider things that may not be directly related to them hiring us — things that are indicative of the kinds of people who resonate with our message. For example, people involved with charity, animal advocates, environmentally conscious organizations, etc. We approach them as a whole person. – Drew GerberWasabi Publicity, Inc.

6. Create Personas Based On Your Existing Customers

We implemented the inbound marketing principle and have been testing it out on ourselves and clients. We craft personas based on our existing customers that help us reach our ideal audiences more effectively. This is scalable, personal and, most importantly, effective. We’ve generated more leads from our content marketing efforts over the past few months than at any other point in our history. – Mary Ann O’BrienOBI Creative

7. Define Your Audience’s Goals, Opportunities And Challenges

The best approach I’ve seen is building an ideal client profile that contains a description of their top goals, opportunities and challenges. Then, create content that gives your best advice about how to address those three things. This creates a completely scalable approach to audience targeting that realizes meaningful engagement. When you talk about what matters to ideal clients, they cannot resist it. – Randy ShattuckThe Shattuck Group

8. Leverage Unbranded Social Communities 

Targeting an audience by building and/or participating in unbranded social communities can be a strategic advantage. Both B2C and B2B decision makers want to engage and learn from peers, and Facebook or LinkedIn Groups provide that forum. Brands can then listen and participate, and over time they can activate this audience in a way that paid social targeting cannot. – Brian WalkerAE Marketing Group

9. Communicate With Audiences Based On Behavioral Preferences

We support behavior changing through communication. This can be achieved by organizing customers into behavioral categories and personalizing campaigns based on behavior preferences. For example, a “playful” behavior segment will respond better when everything is presented in a playful style that aligns with their own, while “analytic” behavior segments want clear statements. – Elizabeth EdwardsVolume Public Relations

10. Focus On Life Moments

By focusing more on the important decisions that someone might need to make at a specific point in their life instead of making generalizations based on how old they are, we can create more meaningful connections with individuals. This also allows content to be more focused on the motivations behind the actions we want someone to take than other, more traditional approaches. – Greg KihlstromYes& Agency

11. Create Categories Of Buyers

Many platforms are built to deliver the promise of one-to-one marketing, but the reality is many segments of customers will respond to customized ads. Instead of trying to drill down to the individual, find different categories, be it B2B or B2C, C-level or procurement, etc., and create content that resonates with each group. Personalize this. The individual level simply isn’t scalable. – Dan GoldenBe Found Online

12. Automate Marketing Where You Can

With all the technology we have at our disposal, we’d be negligent not to employ it for the furthering of our message as well as better targeting of our audience. Marketing automation tools make it much more manageable to create and syndicate content that is on target, down to the individual level. Dynamic content, personalized emails, conditional workflows — it’s all inside and it works. – Ricardo CasasFahrenheit Marketing

13. Sell To Your Early Adopters And Loyal Customers First

Following the 80/20 rule of marketing, we try to identify audience members who are most likely to become early adopters of our brand. From here, we can execute lookalike audiences in Facebook advertising, as well as leverage other platforms our audience engages with and target people with similar needs. These customers lead us to similar ones in need of our services and give us plenty of referrals. – Kristopher JonesLSEO.com

3A's to save the advertising: Audience – Addressable – Advertainment (Webcast: The Conference Board Europe)

In a world in which the consumer suffers from advertising fatigue and advertising blindness, Hugues Rey, CEO Havas Media Group BeLux, joins us to discuss how data and dynamic creations enable us to reach the right person at the right moment on the right channel.

Advertising is still a massive budget for corporations and concerns remain on the effectiveness of channels in a fast changing media world. How can companies switch from perceived irrelevant spending to a tangible return on investement and better connect with their consumers in the process?

Key takeaways around the 3A’s

  • Audience – From reach to audience, what are the ways to connect better with the consumer to deliver the relevant content?
  • Addressability – What is the future of the mass media and how to use it in a more accurate targeted approach?
  • Advertainment – How to develop specific and dynamic content that engage, educate and entertain the consumer?

 

3A's to save the advertising: Audience – Addressable – Advertainment (Webcast: The Conference Board Europe)

 

In a world in which the consumer suffers from advertising fatigue and advertising blindness, Hugues Rey, CEO Havas Media Group BeLux, joins us to discuss how data and dynamic creations enable us to reach the right person at the right moment on the right channel.

Advertising is still a massive budget for corporations and concerns remain on the effectiveness of channels in a fast changing media world. How can companies switch from perceived irrelevant spending to a tangible return on investement and better connect with their consumers in the process?

Key takeaways around the 3A’s

  • Audience – From reach to audience, what are the ways to connect better with the consumer to deliver the relevant content?
  • Addressability – What is the future of the mass media and how to use it in a more accurate targeted approach?
  • Advertainment – How to develop specific and dynamic content that engage, educate and entertain the consumer?

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Is Voice The Next Advertising Frontier For Amazon ? (Author: Adam Blair)

 

 

Amazon has reportedly been talking with major CPG companies, including Procter & Gamble and Clorox, about introducing digital ads to its Alexa voice platform, according to CNBC. Early discussions have focused on whether companies would pay for higher placement when a consumer searches for a product on their Echo device — similar to the way paid searches put sponsored results higher up in Google search results.

Both voice and digital advertising are becoming major forces in the retail and CPG industries. Amazon claims that millions of Prime members used Amazon Alexa to shop by voice for gifts during the 2017 holiday season, and that the Echo Dot was the number-one selling Amazon Device during this period. Amazon Echo had 70.6% of voice assistant user share in May 2017, more than triple the 23.8% of Google Home, according to eMarketer. Overall, eMarketer forecasted that 35.6 million Americans would use a voice-activated assistant at least once a month in 2017, a 129% increase over the previous year.

Will Consumers Want To Silence Voice Ads?

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There are risks in selling advertising on voice platforms. While it’s easy for a shopper to scroll past a labeled ad on a desktop or mobile device, there’s much more “inertia” with voice platforms. Users would presumably need to verbally request another brand option if they don’t want to purchase Clorox bleach or Tide detergent.“I think [ads on voice platforms] would be a turn-off,” said Paula Rosenblum, Managing Partner at RSR Research. “It would likely be followed by the ‘Pay $9.99 per month for the ad-free version.’ You’d think Amazon would be happy with its captive ecosystem. I guess not.”

Other industry experts see greater potential for benefits. “I believe this is a good thing for advertising in general,” said Sam Cinquegrani, CEO of ObjectWave, a digital strategy and services firm. “We need more space not less, whether that be voice or click ads. It’s a good move as long as the consumer accepts it. And like most ad platforms, giving the consumer a chance to turn it off is a smart move. But not everyone is annoyed by ads.”

Consumer acceptance will be heavily influenced by the content and style of voice platform advertising. “I’d recommend that any ad material should give listeners a reason to not want to switch them off, particularly given the medium,” said Cinquegrani in an interview with Retail TouchPoints. “This is Alexa, not radio. So by focusing more on being informative and less on being promotional or a hard sell, CPGs are more likely to succeed. This works very much along the same lines as content marketing.”

Brands also will need to tread lightly in terms of how consumers perceive the way their personal data is being used, in order to avoid the “creep factor.”

“Consumers will likely be concerned that these ads may interfere with their anonymity as well as privacy,” said Marshal Cohen, Chief Industry Analyst, The NPD Group in an interview with Retail TouchPoints. “They are already fighting the privacy issue. But consumers are also used to ads invading their space. Cable TV, Sirius Radio and even apps they download on phones now all come with ads. All once promoted as ‘ad free’ now come with them. So over time I suspect the objections will fade.”

Amazon’s primary competitor in the voice realm — Google — has focused on product partnerships with retailers rather than advertising. Walmart announced in August 2017 that it would make thousands of items available for voice shopping via Google Assistant. The retailer integrated its Easy Reorder feature into the platform, enabling existing customers to link their Walmart accounts to Google and receive personalized shopping results based on previous online and in-store Walmart purchases.

Amazon Moves Aggressively Into Digital Advertising In 2018

The Alexa news followed a Dec. 26, 2017 CNBC report that Amazon will be making a major push into digital advertising this year, challenging industry leaders Google and Facebook. Most of the conversations are focusing on e-Commerce search and video products. Amazon also plans to partner with third-party tech companies to sell partnered TV and mobile ads.

Digital and mobile advertising is projected to grow 13% in 2018 to reach $237 billion, or 44% of global ad revenues, according to Magna Global. The media buying research firm forecasts that by 2020, this type of advertising will comprise 50% of the total global ad spend.

Is Voice The Next Advertising Frontier For Amazon ? (Author: Adam Blair)

Source: https://www.retailtouchpoints.com/features/trend-watch/is-voice-the-next-advertising-frontier-for-amazon

Is Voice The Next Advertising Frontier For Amazon?

Amazon has reportedly been talking with major CPG companies, including Procter & Gamble and Clorox, about introducing digital ads to its Alexa voice platform, according to CNBC. Early discussions have focused on whether companies would pay for higher placement when a consumer searches for a product on their Echo device — similar to the way paid searches put sponsored results higher up in Google search results.

Both voice and digital advertising are becoming major forces in the retail and CPG industries. Amazon claims that millions of Prime members used Amazon Alexa to shop by voice for gifts during the 2017 holiday season, and that the Echo Dot was the number-one selling Amazon Device during this period. Amazon Echo had 70.6% of voice assistant user share in May 2017, more than triple the 23.8% of Google Home, according to eMarketer. Overall, eMarketer forecasted that 35.6 million Americans would use a voice-activated assistant at least once a month in 2017, a 129% increase over the previous year.

Will Consumers Want To Silence Voice Ads?

ADVERTISEMENT

There are risks in selling advertising on voice platforms. While it’s easy for a shopper to scroll past a labeled ad on a desktop or mobile device, there’s much more “inertia” with voice platforms. Users would presumably need to verbally request another brand option if they don’t want to purchase Clorox bleach or Tide detergent.“I think [ads on voice platforms] would be a turn-off,” said Paula Rosenblum, Managing Partner at RSR Research. “It would likely be followed by the ‘Pay $9.99 per month for the ad-free version.’ You’d think Amazon would be happy with its captive ecosystem. I guess not.”

Other industry experts see greater potential for benefits. “I believe this is a good thing for advertising in general,” said Sam Cinquegrani, CEO of ObjectWave, a digital strategy and services firm. “We need more space not less, whether that be voice or click ads. It’s a good move as long as the consumer accepts it. And like most ad platforms, giving the consumer a chance to turn it off is a smart move. But not everyone is annoyed by ads.”

Consumer acceptance will be heavily influenced by the content and style of voice platform advertising. “I’d recommend that any ad material should give listeners a reason to not want to switch them off, particularly given the medium,” said Cinquegrani in an interview with Retail TouchPoints. “This is Alexa, not radio. So by focusing more on being informative and less on being promotional or a hard sell, CPGs are more likely to succeed. This works very much along the same lines as content marketing.”

Brands also will need to tread lightly in terms of how consumers perceive the way their personal data is being used, in order to avoid the “creep factor.”

“Consumers will likely be concerned that these ads may interfere with their anonymity as well as privacy,” said Marshal Cohen, Chief Industry Analyst, The NPD Group in an interview with Retail TouchPoints. “They are already fighting the privacy issue. But consumers are also used to ads invading their space. Cable TV, Sirius Radio and even apps they download on phones now all come with ads. All once promoted as ‘ad free’ now come with them. So over time I suspect the objections will fade.”

Amazon’s primary competitor in the voice realm — Google — has focused on product partnerships with retailers rather than advertising. Walmart announced in August 2017 that it would make thousands of items available for voice shopping via Google Assistant. The retailer integrated its Easy Reorder feature into the platform, enabling existing customers to link their Walmart accounts to Google and receive personalized shopping results based on previous online and in-store Walmart purchases.

Amazon Moves Aggressively Into Digital Advertising In 2018

The Alexa news followed a Dec. 26, 2017 CNBC report that Amazon will be making a major push into digital advertising this year, challenging industry leaders Google and Facebook. Most of the conversations are focusing on e-Commerce search and video products. Amazon also plans to partner with third-party tech companies to sell partnered TV and mobile ads.

Digital and mobile advertising is projected to grow 13% in 2018 to reach $237 billion, or 44% of global ad revenues, according to Magna Global. The media buying research firm forecasts that by 2020, this type of advertising will comprise 50% of the total global ad spend.