The Beginning Of The End For The "Programmatic" Ad Network

The acquisition of [X+1] by Rocketfuel signals the beginning of the end for “programmatic” ad networks. Since the industry’s shift to programmatic, countless ad networks have changed how they market themselves, adjusting their sales language to mimic legitimate programmatic platforms. The “programmatic” ad network insertion order-based and flat-rate business model has prolonged the black box opacity that spurred the need for demand side platforms and exchange based media buying. It’s only fitting that one of the industry’s most successful “programmatic” ad networks — Rocketfuel — is addressing client demand by making a move that launches them into the digital marketing SaaS market.

There is a lot to be said about the success that Rocketfuel has had in the industry; they have done great things for marketers looking to automate audience prospecting and retargeting. They certainly have done an amazing job marketing their programmatic chops, with the success of their AI product and their success with agencies running performance based campaigns. Their recent revenue growth and the fact that Rocketfuel had the capital to acquire a DSP/DMP in [X+1], are testaments to the success that they have had in the industry.

Despite their success, prolonging opacity for marketers in this market is a short-term strategy, and Rocketfuel is positioning itself for long-term success.

Coming from the agency trading desk world, I did not partner with Rocketfuel for several reasons:

  • Rocketfuel works with marketers and agencies on a flat-rate business model, which is aligned with traditional ad network buying.
Read more

How Privacy Legislation Will Change The Ad Network/Exchange Paradigm -- Pulling Back The Curtain Of Oz

Anthony Mullen

In my recent paper titled Privacy Laws Force Rich Dialogue with Customers I outlined some of the looming legal directives that will change the targeting dialogue between brands and consumers and how the industry should respond. 

The ad network ecosystem will ultimately be forced the pull back the curtain of Oz to reveal to customers the machines and levers behind targeting technology. As illustrated in my paper, the predominant approaches are full targeting vesus opt out, but this is not enough choice. Segmentation strategies and targeting techniques used by ad tools are hidden within engines and will need to be surfaced to customers so that they may verify, modify, and importantly play with them.

This isn’t easy, however, as the mathematical vernacular of targeting technology with confusing terms such as graphs, nodes, and vectors are unintelligible to most. Metaphors will be needed to distill the complexity for customers. One of the approaches to take will be similar to how optometrists work by showing the customer different "lenses" (perceptions) held about them and subsequently allowing them to choose. These "lenses" may not just be rich segmentation concepts but will include social and individual assumptions too.

Where does this transparency and explanation rationale take us?

Read more