While Google and Facebook are the undisputed advertising leaders online, companies are increasingly looking for other digital ways to spend their marketing budgets, according to advertising and public relations company WPP CEO Sir Martin Sorrell.
"What our clients want and what our agencies want is more competition of the space, anything that gives more competition to the duopoly of Facebook and Google," Sorrell said to CNBC.
The two tech giants account for about 75 percent of digital ad budgets, according to Sorrell. But, there are competitors ready to chip away at their dominance, including AOL and Yahoo's ad tech platforms and Snap. Even Amazon is becoming a threat, with its ad platform recently valued at $350 billion, he pointed out.
"Getting more than two solutions is important," he said.
But while Google's issue of ads appearing next to questionable content is causing companies to pull dollars right now, Sorrell doesn't think the moves will be permanent because of how big of
The impending IPO of Snap Inc., the parent of social media platform Snapchat, is shrouded in mystery, typical of the way business is run at the company. To maintain control of the company, its founders Evan Spiegel and Bobby Murphy are expected to reportedly hold about 70 percent of the voting power following the IPO, with new investors getting no voting rights.
Ad Dollars On Upward Trajectory
Notwithstanding the limited visibility into the IPO, advertisers are warming up to Snapchat. Ad firm WPP's CEO Martin Sorrel told CNBC that its clients spend about $90 million on Snapchat in 2016, which is a notable increase from the $30 million WPP predicted at the start of the year. Given the ad spend statistics, Sorrel believes the company's total revenues could be higher than what the markets have been anticipating.
Advertising Revenues Of Facebook, Twitter
Quarterly filing by Facebook Inc FB 0.64% showed that ad revenue totaled $6.82 billion in the September quarter of 2016, with 50 percent
As those inventive advertisers, forever attempting to hold our attention in the first few, crucial seconds before we flip the channel or run to the kitchen to refill our drink. At least these guys grab your attention from the get go. Wait for it..........wait for it..........
When EBAY was blow torched this week after AAPL unveiled Apple Pay at their investor event on September 7th, I saw the knee-jerk fear that Apple Pay would take down PayPal as one to raise an eyebrow, however considering the possible number of iphone6 and Apple watch sales (because it won't be available on current Apple products) versus worldwide usage of PayPal, this would not something that would immediately destroy the EBAY name. On Wednesday I jumped in on EBAY calls (cheap at that point) feeling the reaction was over done.
Booyah! Was I glad today that I did. Dumb luck is definitely better than no luck at all.
Not only are other market participants now beginning to question the depth of impact from Apple Pay (again only available on the new iPhone6 or Apple Watch), but it's overall security in a day and age of endless hackers when it comes to one's digital wallet replacing their plastic card and cash.
Then today the news hit when EBAY announced they are set to launch an
While discussing the upcoming Twitter IPO and whether we were going to "get in" if shares became available, Matt offered up this interesting read on Twitter's acquisition of MoPub and what a game changer it is. I highly recommend:
WTF is MoPub?
MoPub is the world’s largest mobile ad exchange. That means people trade eyeballs on mobile devices for money through the technology MoPub provides. And they do it billions of times a day.
“The two major trends in the ad world right now are the rapid consumer shift toward mobile usage, and the industry shift to programmatic buying.”
That’s absolutely right. Those are the only trends in the ad world that matter, and........... Twitter is betting big on both of them. It’s a bigger, ballsier bet than my former employer (FB) ever made, and it puts Twitter way ahead of any other social media player. I hate the douchey cant of MBA-speak, but to the extent we can use the term ‘game changer’ without puking in our mouths, this move is that.
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