Australia's Ultimate Marketing Technology Almanac Apr 2016 - Page 13

performance and ROI, while eliminates uncertainty and waste. analytics Social media channels have enriched relationships with consumers turning communication into a genuine dialogue. Technologies to measure and monitor social activity provide insights into emerging opportunities along with an early warning of trouble. Finally, marketers themselves are big winners. They have seen their prestige and power (and budgets) increase in unison with the growing power of consumers in whose voice they speak. of their revenues in markets like the US. The rot will not stop. Based on their share of eyeballs they should probably lose another 70% of what they have left. Free to air television has had a happier time of it, although the outlook is more opaque. The rise of video advertising and the ubiquity of smart mobility means that brands are able to distribute their messages with less friction, more precision and frankly lower cost than in the cosy analogue world of the past. For agencies too the outlook is problematic. The have more control over technology investment decisions and more options about where they buy and rent those services. And their ability to describe and justify their spending is fed by the transparency of the systems. Advances in CRM give them visibility over the entire supply chain and improving cross device integration and cross channel visibility have brought the potential for genuine and accurate campaign attribution, (If they can just bend their mind beyond the last click). And finally newer developments such as the rise of data management platforms are bringing the promise of near total control and visibility over once disparate, complicated and unwieldy information silos to fruition. Research by Gartner suggests that the larger a brand is the more likely it is to start asserting control. And here is a strong economic incentive for brands to reduce intermediaries. For companies with more than $500 million in revenues the percentage who run digital advertising internally has increased by 54% to 76% in just two years according to studies by Gartner. And despite the rise of trading desks and programmatic paraphernalia, agencies are still ceding the greater share of revenue to other participants such as ad networks and other adtech platforms, say the analysts. Coins of course have two sides. So who are the likely losers from many of the changes. It is not all bad news, creative and strategic advice is as important as ever – although even here our industry sources tell us the bigger tech companies are looking to automate even this most human of endeavours. Traditional publishers and media companies top that list. The travails of newspaper companies are well documented. As eyeballs have shifted to digital channels print publishers lost about 70% Data scientists likewise should make the most of their moment in the sun. The high and unsustainable salaries being paid for these numerical alchemists is most likely temporary. TROUBLE IN MIND We are already seeing the emergence of analytics off shoring to fill the current capabilities gap. In the longer term technology is likely to have a more corrosive effect on demand for data science services. Already in the visualisation space companies such as Oracle and others are arming business users with the toolkits they need to start making their own decisions without recall to data science or even business analysis specialists. YOU CAN’T GET THERE FROM HERE Marketing and ad tech are not new. They are as old as Netscape’s browser and the commercial internet. What is new in recent years in the level of investment and the massive wave