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'The Future of Advertising is Fewer, Better Ads' (recode.net) 244

For more than a decade, the online advertising world has been dominated by "display ads," served up to consumers alongside web content, search results or social media posts. But they're not the only game in town, one digital ad exec says. From a report: "I think the advertising world going forward is going to be filled with fewer, better ads," Deep Focus CEO Ian Schafer said on the latest episode of Recode Media. "The display advertising market is going to crater. By giving away stuff for free for so long, we've created an ad economy that is bigger than it should be," he added. Schafer says there's a untapped value in "nonstandard" ads, meaning branded content and other forms of advertising on platforms such as Snapchat, Musical.ly, WeHeartIt and Imgur.
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'The Future of Advertising is Fewer, Better Ads'

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  • When pigs fly... (Score:5, Insightful)

    by moosehooey ( 953907 ) on Thursday January 26, 2017 @11:43AM (#53742433)

    Yeah, sure. I'll believe it when I see it.

    • Re:When pigs fly... (Score:5, Informative)

      by Anonymous Coward on Thursday January 26, 2017 @11:48AM (#53742463)

      Yep, AdBlock shows this page only had 32 ads blocked!

    • by KiloByte ( 825081 ) on Thursday January 26, 2017 @11:50AM (#53742479)

      Well, most of us already see good ads. And the only good ad is one that takes 0x0 on the screen and no network requests.

      • Re: (Score:2, Interesting)

        by AmiMoJo ( 196126 )

        If there was some easy, anonymous way to support sites as an alternative to advertising I'd be happy to use it. Maybe there could be a browser plugin that tracks usage of sites that accept that form of payment (all data stored locally) and at the end of the month shows some stats and allows me to distribute my budgeted amount fairly with a couple of clicks.

        Sadly no-one has come up with a good way to do microtransactions. Crypto currencies are getting there, but the hassle of exchanging with fiat currency is

        • Re:When pigs fly... (Score:4, Interesting)

          by Aighearach ( 97333 ) on Thursday January 26, 2017 @04:10PM (#53744673)

          If they include a store on the site and sell branded items useful to visitors, lots of people will buy them just to support the site. You don't have to try to replicate or distribute the advertising payment model in order to find alternatives.

      • by sinij ( 911942 )

        Well, most of us already see good ads. And the only good ad is one that takes 0x0 on the screen and no network requests.

        To be pedantic, 127.0.0.1 is still considered a network request.

      • by tepples ( 727027 ) <.tepples. .at. .gmail.com.> on Thursday January 26, 2017 @03:32PM (#53744347) Homepage Journal

        the only good ad is one that takes 0x0 on the screen and no network requests.

        Not everybody agrees with this claim. Imagine doing a web search, but when you visit each of the top several results, you

        Subscribers can read the rest of this comment

    • Re:When pigs fly... (Score:5, Interesting)

      by houstonbofh ( 602064 ) on Thursday January 26, 2017 @11:50AM (#53742481)
      I think the point is that you do not see it. Between ad blockers and just training yourself to ignore the distractions, ads have little to no meaning now, and advertisers are recognising it. The first reaction (force people to whitelist) is having little to no effect, and so advertising has to change. And if it becomes less obnoxious, people might actually start noticing them again.
      • I'm fairly sure if you start putting subtle ad elements into the stuff people are watching, people will make a drinking game out of "spot the product placement".

        Hell, you'll even get some YouTube channels doing nothing but videos about "5 product placements you surely missed in (show)".

        • I'm fairly sure if you start putting subtle ad elements into the stuff people are watching, people will make a drinking game out of "spot the product placement".

          Hell, you'll even get some YouTube channels doing nothing but videos about "5 product placements you surely missed in (show)".

          Why subtle and not direct? Look how well it worked in Chuck! And he was a better sponsor than Jerred... ;)

          • Who or what is Chuck?

            • Spy parody about a decade ago. You'd frequently see Sub Way ad placements in the show- things like his boss at the Buy More sitting down to eat a fresh subway sandwich and go on to describe all that went into making it. It had lots of blatant ad placements like that.

        • Hell, you'll even get some YouTube channels doing nothing but videos about "5 product placements you surely missed in (show)".

          I had never seen one of these so I found one - 10 product placements in TV/film that you didn't notice.

          Almost every example they used was blatantly obvious, although not always overly obnoxious. The first was Lone Star Beer in True Detective. I've never seen that show, but there's a guy with a 6-pack of Lone Star (labels all facing the viewer) and he drinks one. Yeah, not hard to spot, but I'm not sure it was very distracting.

          A Marlboro truck in Superman II? That Superman gets slammed into? Kind of ob

      • If ads become less obnoxious, it will only get easier to ignore them.
      • Re: (Score:3, Informative)

        by Anonymous Coward

        The point is that zero ads is the best number of ads! I block ads in my browser. There are just too many, and they are too annoying (and headache inducing!) to not block them. Sites that request to be white-listed in my ad blocker, or that won't let me see content without white-listing or disabling my ad blocker, never get visited again, if I even bother to remember them! I just go elsewhere.

        I didn't always block ads online. I have been using computers since the DOS 3.3 days, since before the Internet

        • Sites that request to be white-listed in my ad blocker, or that won't let me see content without white-listing or disabling my ad blocker, never get visited again

          Let's say you do a web search, and you open several relevant-appearing results in the first page only to discover that most have only a paragraph of text at most followed by "Whitelist us or buy a month's subscription". If this becomes the new normal for more and more web search queries, what do you plan to do? Do you instead buy a month's subscription to read one article?

          And I "cut the cord" years ago, dropping ad-infested cable TV for streaming services that not only cost literally 1/10th of what cable TV costs today, but have no ads.

          Let me guess: no sports fans in your household, and the cable company serving your city is one of the few that doesn't toss in basic TV a

      • Fewer ads,
        Better ads.
        Ads are saved.
        Burma Shave.
    • by npslider ( 4555045 ) on Thursday January 26, 2017 @11:59AM (#53742521)

      Have you ever wished for flying bacon? Of course you have!

      Well folks, your dreams have now become a reality. For the low low price of just $19.95 you too can have your very own flying pigs!

      Yes, you heard right! Not just one pig, not two, but a whole flock of flying pigs! And if you act now, we will throw in a free dozen eggs. Finally the means to have a quick, and delicious breakfast, brunch, or dinner!

      *Wings sold separate, many restrictions apply, not available in any state that does eat meat, considered harmful while flying in the state of California, and subject to the laws of most third word countries.

  • by DogDude ( 805747 ) on Thursday January 26, 2017 @11:49AM (#53742471)
    The future is media companies going back to having advertising salespeople, and dumping all of these stupid ad networks.
    • Perhaps Jony Ive should switch to late night infomercials. Imagine him highlighting how soft, supple, and vibrantly colorful... a Snuggie is!

  • by npslider ( 4555045 ) on Thursday January 26, 2017 @11:50AM (#53742483)

    The Following Slashdot Post is sponsored by Apple. And now a brief special video, narrated by Sir Jony Ive:

    (5 minute Apple Quality ad)

    We now return to your Post: "Apple still has way more money than it knows what to do with, and that's OK!"

  • by jonsmirl ( 114798 ) on Thursday January 26, 2017 @11:55AM (#53742505) Homepage

    My adblock current reports having blocked 1.6M ads -- 1.6 million! No one looks at 1.6M ads, they are just clutter.

    I loaded my RSS feed yesterday. 1,200 ads blocked from a single use of my RSS reader. No one looks at 1,200 ads from a single use of an RSS feed. These ads are just clutter to be ignored and blocked.

    And I truly hate autoroll video ads with sound. Good way to guarantee I will never buy your product.

    • by Solandri ( 704621 ) on Thursday January 26, 2017 @12:12PM (#53742589)
      Have you looked at a newspaper? They're also filled with thousands of ads. No single reader will look at all thousand. What the advertisers are counting on are the one in a thousand readers who sees their ad.

      I agree with you and TFA though that this is a terrible and inefficient way to do it. Unfortunately, the better way to do it - fewer but targeted ads tailored to better suit your interests and needs - is vehemently opposed by the pro-privacy crowd. The more accurately they can target the ads to you, the more people oppose it as a bigger invasion of their privacy. There's a solution in here somewhere, we just have to find it. (Maybe prohibit collecting and selling of profile info, but allow a user to generate/reset his/her own profile. Advertisers are then allowed to read that profile and present an appropriate ad.)
    • 1.6 Million ads since what date? Yesterday? Last week? 20 years ago?
  • by QuietLagoon ( 813062 ) on Thursday January 26, 2017 @11:58AM (#53742517)
    From TFA:

    ...“There is a lot of audience that’s spread out on places that are not [Facebook and Google], especially younger audiences,” he said. “As audiences get younger, it’s becoming increasingly harder to reach them where everybody else is able to get reached.”...

    That's it. That is all the mention of the recipients (aptly a.k.a, "targets") of the advertising. The advertising industry hasn't a clue what the targets of the advertising want with advertising, nor do they seem to care.

    .
    The advertising industry seems to think that so long as advertising is presented, it is welcomed. That is wrong, just wrong, on so many levels.

    Until the advertising industry fixes that major and fundamental problem with their industry, advertising will be unwelcome.

    • Please, let them keep thinking that way and spreading misinformation. Until literally every program on TV is crap (instead of 97%) and until there are no longer any real journalism sources at all, advertising pays for a lot of nice things - even if the advertising returns very little to the company paying for it.

    • The advertising industry seems to think that so long as advertising is presented, it is welcomed.

      The advertising industry thinks that so long as they get paid, all is well.

      Businesses need to wake up, they're being scammed by the sellers of advertising space

    • by ausekilis ( 1513635 ) on Thursday January 26, 2017 @12:46PM (#53742923)
      The funny part is some of the best places survive on next to no advertising budget. Costco is a prime example of a company that is incredibly popular and doesn't spend money on advertising (well, outside of their coupon mailers to their members).

      How do they do it? They have competitive pricing, great customer service (return policy, friendly staff, etc...), they follow all distribution rules (they self-check all of their meat before it's put out on shelves), and they take care of their employees. Every Costco I've been to has been stupidly busy during rush hour and all-day Saturday.

      Word of mouth and customer good will can go a very long way.
  • by Anonymous Coward
    Personally, my family relies on ads from our local grocers to help us stay on budget. So some ads are okay.
  • by Opportunist ( 166417 ) on Thursday January 26, 2017 @12:06PM (#53742557)

    Entertainment and information is what people want. Until now, ads invariably did one thing: Interrupt our access to entertainment and information. And guess what: People don't like that.

    Your key to getting your ads not only seen but actually associated with something good and something people want is to tie your ads into entertainment and information. Don't interrupt it, accompany it. Red Bull has really understood that. Know that Red Bull Air Race? Some crazy people flying around at breakneck speed and giving the onlookers the thrill of their life. And everyone knows that it's Red Bull that makes this thrill possible. That's cool! That's what people want! And they associate that sugar water with daredevil action and having a good time.

    Have you ever seen a Red Bull ad? I haven't in the past 10 years.

    So sponsor entertainment! It needn't be something huge, go and see what YouTubers have tons of followers and ponder how you can become part of their show. Note, this is important: DO NOT get them to endorse your product, YOUR PRODUCT has to become part of their show. It has to be part of the "cool". But, and this is also again important, it must not take over the show. Else that Youtuber is considered a sellout and his followers will leave. Your job is to find out how your product fits into his routine and your product must not break his routine, for that's why people are watching him!

    If you prefer something more "serious", try to sponsor something closer to documentaries. That is a mostly uncharted land and I really wonder why. Because people doing serious documentaries are usually considered credible and trustworthy by their viewers, so why not use them for your product? Again, the product has to match the person, the style and the documentary (it's kinda pointless to have an archaeologist drink a cup of coffee from fine porcelain on a digging site, but he could hold a cup whenever he's talking to the camera and take a sip whenever he's in the picture but not talking while showing some ruins or something). And again, subtlety is key. People love finding stuff out themselves. Let them! Maybe even make it some sort of game.

    That's where you can thrive. And people will actually love you and your product for it instead of considering you an invasive nuisance. Because yes, you can force us to endure your ads. But you cannot make us watch. And you cannot force us to like something that we consider obnoxious and invasive because it interrupts what we're looking for: Entertainment and Information. Become part of that entertainment and information and we'll actually love you. And your product.

    And we buy what we love.

    • Red bull gives you wings... Yes, I have seen a Red Bull ad.
    • Have you ever seen a Red Bull ad?

      Yes. They do slightly crude looking animation where some non avian ends up flying.

  • by OneHundredAndTen ( 1523865 ) on Thursday January 26, 2017 @12:41PM (#53742859)
    As long as those advertising clowns believe that advertising is going to earn a them an extra few, clueless customers, advertising will be staying. That is a good thing for those of us who use ad blockers - we won't see their stupid ads, but those stupid ads will carry on paying for things. Since there will always be clueless customers, and since the advertising clowns will always have the suspicion that advertising captures such morons, advertising will stay. And we won't see the ads. Things are good.
  • http://www.theverge.com/2017/1/18/14304276/walt-mossberg-online-ads-bad-business [theverge.com]

    Mossberg: Lousy ads are ruining the online experience:

    Last Saturday, as the New England Patriots were sloppily beating the Houston Texans 34–16 in a playoff game, I wanted to look at the highlight video of a play using the NFL app on my iPad. To watch that 14-second clip, I had to suffer through a 30-second ad for something so irrelevant to me that I can’t even recall what it was.

    ...

    But the world has changed as journalism and entertainment have been disrupted by technology. Great power has shifted to the advertisers. I learned this almost immediately after I left the Journal in 2013 and co-founded Recode on January 2nd, 2014.

    About a week after our launch, I was seated at a dinner next to a major advertising executive. He complimented me on our new site’s quality and on that of a predecessor site we had created and run, AllThingsD.com. I asked him if that meant he’d be placing ads on our fledgling site. He said yes, he’d do that for a little while. And then, after the cookies he placed on Recode helped him to track our desirable audience around the web, his agency would begin removing the ads and placing them on cheaper sites our readers also happened to visit. In other words, our quality journalism was, to him, nothing more than a lead generator for target-rich readers, and would ultimately benefit sites that might care less about quality.

    Yes, this advertiser was bold (no, balled) enough to basically tell Mossberg he will screw him over, and he would not be able to do anything against it, because the only way to oppose him was to get no money at all. As long as they have this power, they will give you more and worse ads. Period.

    And this is your fault - because you felt entitled to get everything for free.

  • by cellocgw ( 617879 ) <cellocgw&gmail,com> on Thursday January 26, 2017 @01:04PM (#53743111) Journal

    Joe Bob Briggs had it locked for movie quality . For quality ads, I say skip the bodies and beasts.

  • by taustin ( 171655 ) on Thursday January 26, 2017 @01:40PM (#53743465) Homepage Journal

    1. Do not serve malware. Ever. No matter what it takes. If you have to have an actual human being (who isn't a moron) personally review every single ad every single time it is served to prevent malware, that is what you have to do. If you cannot achieve this, close your doors and get a real job.

    2. Do not serve ads that contain so much a) animation or b) scripting that they slow down the browser to the point it is unusable. Or that it crashes. Ever. If you cannot achieve this, close your doors and get a real job.

    3. Do no serve ads that use more bandwidth than the web page they're embedded in by two or three orders of magnitude. Ever. If you cannot achieve this, close your doors and get a real job.

    4. Do not serve popup or popunder ads, or ads that load any additional windows of any kind. Ever. If you cannot achieve this, close your doors and get a real job.

    5. Do no serve ads that float on top of content, and do no rescale when I zoom in my browser because the web designer doesn't believe in using integer values for font sizes. It makes it literally impossible to read the content. Just do not do this. Ever. If you cannot achieve this, close your doors and get a real job.

    6. Do no serve ads that cover more than 25% of the screen that is visible when the page initially loads. Ever. If you cannot achieve this, close your doors and get a real job.

    7. Stop blaming your victims when you can't make a living because you refuse to do any, much less all, of these things. It is your fault you can't make your boat payment, because you are stupid, dishonest, and lazy. You deserve to live in a cardboard box, and have no choice but to eat your own home for food.

  • Used to, I absolutely hated commercials; I still do to a large degree. However, many advertisers are getting better, and there are, actually, some commercials that I enjoy watching.
  • I agree that there's too much advertising, but why would anyone cut down?
    Bandwidth is cheep, serving an ad costs almost nothing.
    If it's costs $0.0000001, the ad doesn't have to be very effective to be cost effective.

    Sure, everyone will complain, and even the advertisers will agree that the world would be better served with fewer adds.
    But they'll still want to advertise just a bit more than their competitors...

  • No matter what, the old saying will still be true: "I know that half of what I spend on advertising is wasted. I just don't know which half."

  • by emaname ( 1014225 ) on Thursday January 26, 2017 @04:24PM (#53744797)

    My experience is that the advertising industry has inserted itself into the relationship between the customer and the supplier. Coming from a rural community, this was what I saw. My parents and grandparents were farmers. They didn't buy anything until they *needed* it. I can't emphasize the word *needed* enough. We were not flush with cash so many times we just made do with what we had.

    On the rare occasion one of us would actually intend to purchase something, we would go to the local feed store or grocery store and ask questions of the owners or the other customers. Back in those days, that's how it worked. There was such a thing as a community. People who lived and worked close together. They also had the tendency to look out for one another and help one another. So that's where you got your product info. Not from some "jacked up" "insanely enthusiastic" huckster. These neighbors and store owners were the early version of Consumers' Reports." If a product was good, you found out about it. And once you found out about it you... and this is KEY... looked for it because *you were interested* in it. You didn't buy it because some person on amphetamines was pitching it.

    Okay, sorry for the rant, but the point is there has to be a desire for a product before the chance of a purchase exists. Just because a manufacturer decides to flood the freakin" society in every conceivable form and fashion with their exaggerated claims and "in your face" effects does not mean their product will sell any more.

    So here's my advice to manufacturers. Make a good product and sell it at a reasonable price. You'll probably find that people will buy it and like it and you'll develop a reputation for having a good product at a reasonable price. Then tell the advertising hucksters to go pack sand. If you have a good marketing department you won't need much advertising. And if your product/service is good, you won't need to lie your ass off to sell it.

    So AFAIC, you advertising people and just STFU. If and when I want your product and if I find out it's worthwhile, I'll come looking for it.

  • by gordguide ( 307383 ) on Thursday January 26, 2017 @05:15PM (#53745149)

    Advertisers who choose quality over lowest common denominator? Never going to happen. If that industry had any ... and I mean any ... ethics, there would not be late night ads for copper pots on TV. Or anywhere. There would be no way to get fake Viagra; you'd have to get the real thing from a real pharmacy with a real prescription from a real doctor. And the web would not have driven people into ad blockers in the first place.

    Let's not forget, Hosts files have been around for ... I don't even remember when I installed one for the first time, but it was around the time you could get broadband instead of dialup for the first time. So let's say 25 years. Probably longer, but I can only talk of my own experience.

    Yet, few people actually installed them. It was the banal drivel wallpapering every website on the planet that drove ordinary people to seek out simple browser add-ons that kill ads. And it was the demand for those plugins that got developers to build them in the first place. The industry has no-one to blame but themselves.

    And now we get this "it wasn't us, it was the other guy" plea from them to please let them serve us ads. Pretty please. We're sorry.

    Well, they're sorry all right, but not in the meaning they intended.

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