Here’s my take on the month gone in the advertising world and a bit on the latest from us here at MAG.
The misery has been heaped on for Google and its video partner, with several major brands deciding to boycott advertising completely. This follows an investigation by The Times which found ads were being run alongside extremist content. Rumour has it that the fallout from the actions of YouTube could cost the company over $750 million losing huge names including Pepsi, Wal-Mart and even The Australian Government.
Things could worsen for Google too, with their overall credibility as an ad platform being questioned by the likes of Channel 4. This follows a report that advertisers could be paying more per minute for completed views when pitted against broadcaster VOD.
As you would imagine, the powers that be have been clambering to put the issue to bed, first suggesting that it was only a “small issue” to bringing in a third party to monitor ad placement to changing their policy all together. Channels must now reach 10,000 lifetime views before they can begin generating revenue from adverts, essentially leaving the platform in a more selective position. Perhaps it wasn’t such a “small issue” after all.
Snapchat on the rise
Someone enjoying fairer fortunes is Snapchat who have been tipped by experts to become “bigger than Twitter Yahoo and AOL with advertisers.” It’s no secret that the platform is being used more and more as a viable advertising output and it is expected that the app will be capable of pulling in revenues of around $3billion per year by 2019.
TV still king
A new study has confirmed that TV still accounts for 74.8% of all UK video viewing, a slight dip from 2015 when it was 76% but still, an obvious leader in terms of influence. Reinforced by the year on year increase of total video consumption to an average of 4h37m each day.
Cadbury in creative review
Back in 2007, Cadbury seemed to have the ad-game down to a tee. Their Phil Collins inspired drumming gorilla was probably the most talked about advert for months. Followed up by the eyebrow dancing and they could do no wrong. However since then and a number of failed campaigns later the brand are looking to breakout of the rut by consolidating their advertising efforts into a single account rather than the current dual effort of Saatchi & Saatchi and Fallon.
March saw Instagram hit one million advertisers running campaigns within their platform, comprising mostly of small businesses. The milestone means the figures have grown five-fold from the 200,000 recorded in 2015. The numbers should continue to rise too, with the platform continuing to develop uses for business like a ‘booking’ feature.
Airbnb set for a name change
Only in China mind you. ‘Aibiying 爱彼迎’ which translates to ‘welcome each other with love’ is the latest move by the property sharing site to conquer the China’s 1.4 billion strong market. It comes with CEO and co-founder Brian Chesky’s ambitious plans to double the company’s investment in the market by tapping into a new generation of Chinese travellers.
March at MAG
We welcomed some huge names to the MAG family over March, with Portaventura appointing us as they prepared to launch Europe’s first Ferrari Land, an extremely exciting time to be on board! We’ve also teamed up with Herbalife whose latest campaigns feature none other than Cristiano Ronaldo. We’re also very pleased to begin working with Scalable Capital, Europe’s fastest growing digital investment manager. Finally we have been working closely with Royal Air Maroc to help promote their new flights from Manchester to Casablanca which launched last week.