Chris Glushko: February 2008 Archives
THAT’S A WRAP! What an amazing three days in Phoenix. Before I sign off and close this blog, I wanted to remind everyone to check iab.net in the coming days for in-depth analysis, videos, photos and more as part of our Ecosystem 2.0 Recap. I hope everyone enjoyed this blog and enjoyed the conference. I know I did. Now, it’s time to sneak one more In-N-Out Burger in before flying back to New York. See you next time!
What a way to close what has been an an amazing conference by all accounts! We were just treated to a frank an insightful interview of new AOL Chairman & CEO Randy Falco performed by Randall Rothenberg as he once again dusted off his journalist’s cap.
If there is one key point to take away from this interview, it’s that Falco strongly feels this business needs to be about the customer, not the technology. He expressed that we are still in the media and marketing business. People and creativity still matter. We are still very early in the game and the people who will win this game are the ones that go out there and think about solutions for their partners. Another key differentiation between Falco and his peers is his belief that he is not in this business to own insights and data. He wants the marketers and agencies to be as smart as possible as it all comes back to relationships and customers.
Our last panel of the conference did not disappoint. It was The Great Debate - two branded publishers and two ad exchange leaders going head to head on the future of online advertising. The panel featured the following:
Moderator: Michael Wolf, Partner, Farallon Point Inc.
Patrick Keane, Executive Vice President, Chief Marketing Officer, CBS Interactive
Jim Spanfeller, President and CEO, Forbes.com
Michael Rubenstein, Vice President and General Manager, DoubleClick Advertising Exchange
Bill Wise, General Manger, Global Exchange, Yahoo!
By all accounts, this was the most lively panel of the three days. Each side raised insightful points. Exchanges reduce friction points and can help sell remnant inventory. They help figure our the value based on market demand. At the same time, publishers need control and the relationships and understanding of inventory is still very important as consumers come to the web for content, not advertising. Exchanges want to reduce friction, Publishers want to maintain control of their customer interactions. Based on what we saw today, this debate is far from over.
Jim Spanfeller says exchanges disassociate the content provider from the advertiser.
Bill Wise feels the exchange is a platform that allows the combination of art and science.
Patrick Keane wants transparency and visibility as a publisher.
Michael Rubenstein expresses that buyers are looking to have access to inventory
and they want the controls in their hands.
Rob Norman, CEO, GroupM Interaction, just delivered and exciting and energetic opening keynote. Mr. Norman joked that he was a downgrade in keynote speaker from the previous days, but I doubt a single person in the highly engaged and entertained crowd would agree.
Entitled “Holy Crap!! What Now?” the presentation took a dive into the world of GroupM (the largest company nobody has ever heard of per Norman) and then proceeded to take a look at the past, present and future of the media agency. One of the key themes is that today’s media agency is a dual agency, where tomorrow’s needs to be one. And not only does the agency need to be integrated - so does the thinking. For Mr. Norman feels that interactive is not a media or a channel, rather it is a parallel universe. The new media agency needs to be a major data center, an arbitrageur of value and a significant component of the distribution chain.
Next up is the highly anticipated “Great Debate.” Stay tuned for more!
Randall Rothenberg just gave his thoughts on the key themes of the conference so far -
- Platforms are competing for your attention.
- Media is not a commodity if you don’t want it to be.
- You can surmount commoditization with insights and a great user experience.
- We must pursue the digital immigrants.
- Agencies need the help f the media and the platforms.
Good morning and welcome back to the Ecosystem 2.0 Live Blog. It’s our last day here in Phoenix after what has been a news shattering conference. You can check out a partial list of coverage here - IAB Annual Meeting Press Coverage So Far
On tap today are addresses from Rob Norman and Randy Falco, as well as an exciting debate on Ad Networks, Exchanges and the commoditization of media. While you’re waiting for the program to start, I recommend you check out this morning’s “3 Minute Ad Age” featuring an interview with Randall Rothenberg on this event.
Last but not least, it was time for Kimberly Kadlec, Chief Media Officer, Johnson & Johnson and Tina Sharkey, Chairman, BabyCenter to take the stage. This was another highly anticipated panel and it did not disappoint. Kadlec led off and it was clear this session would be all about insights. Per Ms. Kadlec, “Media companies are the most underleveraged resources for insights that exist.” She expressed her desire to not have media companies also serve as agencies. “We need media companies to do what they do best and create great content and drive insight through that,” said Kadlec. She added, “BabyCenter has taught us that media companies don’t just sell pork bellies, they sell much more.” And with that barb aimed firmly towards the commoditization of media, she introduced Tina Sharkey.
Ms. Sharkey took us through a deep dive into the
world of BabyCenter. Throughout her
presentation, we observed a new type of media company - the insights
engine. And within this insights engine
is an ecosystem of engagement or as Ms. Sharkey preferred to call it, an
egosystem. It’s made up of the ways moms
interact - from the Web to blogs, email, IM, Facebook and more. The bottom line of this presentation is that
there is more to advertising and marketing on the Web than impressions and ad
Tina Sharkey illuminates the audience on the wonders of BabyCenter and the valuable insights it brings to marketers.
With that, it is time for me to say goodbye for today. I’m off to enjoy some cocktails and dinner (and maybe a post dinner In-N-Out Burger). Come back tomorrow for more live coverage of the IAB Annual Meeting!
It was now time to give branded media a place at the podium and first up was Jason Kilar, CEO of Hulu. For those who are unaware, Hulu is a new digital video distribution service focusing on premium content. It’s actually in private beta at this time, soon to take the Internet by storm. Jason explained that Hulu’s mission is to help the world find the world’s premium content when, where and how they want to. Before you confuse Hulu with YouTube, keep in mind that “premium content” is key to Hulu’s strategy and this is an area of the market that is not yet well served. In the demonstration, we saw countless seasons of television shows ranging from current hits like 30 Rock, Simpsons and Heroes to classics like A-Team, Mary Tyler Moore and Hill Street Blues. It’s an endless supply of premium media on your terms. It’s important to note that everything is monetized, but it is done so in the most elegant way possible in order to keep the focus on the user experience. Also included in Hulu are self-service social networking tools for blogging, sharing and more!
A photo of Jason is below. Now, if you’ll excuse me, I’m off to search for some episodes of Knight Rider. After all, you can never get too much of “The Hoff.”
Our next panel was all about behavioral targeting. The member of the panel were:
Moderator: Matthew Wise, President and CEO, Q Interactive
Heidi Browning, Senior Vice President, Client Solutions, FOX Interactive Media
Bill Gossman, President and CEO, Revenue Science
Jay Krihak, Mediaedge:cia Sr Partner, Group Media Director, MEC Interaction
Joe Kyriakoza, Vice President, Product Strategy, Jumpstart Automotive Media
Each person brought his or her own expert perspective on
the possibilities on behavioral targeting and where the industry needs to go to
embrace and maximize value. Behavioral targeting is here and it is only going
to become stronger and more embraced.
Bill Gossman believes, “the companies that are going to be good at this are the
ones who can pull out the ideal candidates for advertisers.”
Joe Kyriakoza told us how the automotive space is one of the key drivers of behavioral
targeting because of the highly coveted audience.
Jay Krihak states, “you cannot look at behavior targeting as the end all
be all for direct response and branding. You must identify the individual
Heidi Browning is proud that, “you can do a focus group every day for every
demographic across the country and
not get a fraction of the insights that we get each day from our users.”
Up next - Jason Kilar, CEO of Hulu. Stay tuned!
Next up was Brian McAndrews, Microsoft’s new digital advertising chief. Given the current situation between Microsoft and Yahoo!, it was quite interesting to hear what McAndrews had to say in contrast to Jerry Yang and Susan Decker this morning. He went into great detail on the work Microsoft is doing on their ad network and where they see the future heading. One item that he placed a great deal of focus on is the data warehouse. In order to do the kind of targeting that there is the potential to do, a massive data warehouse will be required in order to analyze, aggregate, predict and target. He also expressed that you invent in the platform to innovate. The digital ecosystem is all about change, innovation and opportunity. He also stated that a comprehensive digital platform requires tremendous investment and scale, and by using that platform, publishers can invest in content and audience building. Finally, we were treated to an overview of Microsoft’s Engagement ROI, a new system for analyzing the action driven by ads.
Randall Rothenberg took the stage to give all in the house a brief update on IAB activities, letting us know what the IAB is doing as part of its three strategic pillars - engagement, accountability and operational effectiveness. For more information, visit “Updates on 2008 IAB Initiatives” off the homepage of Iab.net. He also announced that interactive advertising revenues for 2007 are expected to surpass $21 billion, per PricewaterhouseCoopers. Congrats to all the interactive publishers in attendance and those reading from home!
Ok, we’re back. During lunch, Jack Myers presented the first annual IAB Sales Awards to a packed house. We’ll have a full gallery of winners on IAB.net in the next couple days so stay tuned. Now, it’s time to get ready for a jam-packed afternoon agenda kicked off by Microsoft’s new digital advertising chief, Brian McAndrews. Stay tuned for more updates!
ps - No In-N-Out Burgers for lunch as I predicted. Maybe next year if I have anything to say about it (which I won’t but one can always dream ;>)
We just finished our first panel discussion of the day. One of these strongest themes of Ecosystem 2.0 has been the idea of competition leading to cooperation leading back to competition and so on. Gathered onstage were an agency leader, a branded publisher, a vertical network founder, and a platform executive. What makes this special is that each has partnered outside of their core business in order to drive growth. Taking part in this panel were:
Moderator: John Battelle, Founder and Chairman, Federated Media Publishing
Matt Freeman, CEO, Tribal DDB
Don Friedman, EVP and CMO, Computer Associates
Lauren Wiener, Senior Vice President, Meredith Interactive Media
Peter Horan, CEO, IAC Media and Advertising
Check out some photos below -
The panel speaks of the new platforms that are based on conversation and how they are monetized.
Matt Freeman believes that in today’s ecosystem, whoever gets to the senior decision maker with good ideas essentially takes money from everyone else.
Don Friedman has a simply principle – anything published must be of value to the customer
Lauren Wiener uses her insights on the CRM side to bring great ideas to Digitas and then go back to the brands.
Peter Horan talks about how were are transitioning away from the high buy-in broadcast model into a conversational model.
That’s it for the morning session. I’m off to lunch (unfortunately the events staff did not take my advice and cater from In-N-Out Burger) and then we’ll have more live from Ecosystem 2.0 this afternoon!
Chris Vollmer, Media Practices Leader from Booz Allen Hamilton, just finished his presentation on the second half of the Marketing & Media Ecosystem 2010 study. This may have been the most informative hour of the conference so far. There really is no way for me to address the depth and grasp of this groundbreaking study in this tiny bit of cyberspace I have here for the Ecosystem 2.0 Live Blog. In a nutshell, online activity is on a tear. However, there are still tremendous growth opportunities and this study outlined many of those. We’ll have the full presentation on IAB.net in the coming days if not sooner. Please remember to come back and download it.
Chris Vollmer tells us how marketers want advertising that provides a service – that consumers find valuable.
Jerry Yang and Susan Decker just left the stage and it was quite an eventful hour. Yang opened up with some reflection, remembering the days before the dot.com bust – when all knew that a more sustainable model had to be built. And over the last five years, we’ve seen that. He spoke of Yahoo!’s strength in being part of our ecosystem as well as Yahoo! being an ecosystem in itself. Most importantly, he spoke of personalization and openness. How do we drive a better experience for users and advertisers? Yang expressed that it’s about creating an advertiser and user experience that is flawless and creative.
Susan Decker then spoke about Yahoo!’s focus on making the process simpler for everyone engaging with each other in the advertising process. She spoke of Yahoo!’s ad network, Panama, and their hope of revolutionizing the advertising industry by removing the headaches. Yahoo! hopes to leverage the power of all the users in the industry – and wants to do for the advertising industry what the DVR did for VCR users – revolutionize with simplicity in ways not thought possible. Ultimately the goal is to allow publishers and advertisers to focus on creating and getting to the right audience at the right time.
Last but not least was a spirited Q&A with Randall Rothenberg. Rothenberg put on his reporter’s cap and wasted no time in raising the elephant in the room of Microsoft’s attempted purchase. This issue is so public that there was not much Yang could say that we have not already read. However, he did speak of the galvanizing affect it has had within Yahoo!. Susan added that this combined with the fact that more R&D dollars than ever are going towards new products, both on the consumer and advertiser side, makes this one of the most exciting first quarters ever at Yahoo!.
Randall spoke of branded publishers being fearful of platform consolidation and potential commoditization. Yang feels that rather than commoditizing, platforms are building the tools to enable more creativity. The tools that are shown to publishers are garnering the reactions of “wow, I can do so much more.”
Another interesting response came when Susan Decker was asked what today’s sales force needs to do differently than 10 years ago. She stated that what is happening now allows them to focus less on ad operations and more on sales channels. They can think of how to optimize the marketing funnel – how to increase awareness and branding. They can now use any product online to achieve a goal – search, video, mobile – it’s not just about display.
Overall, a very special session to watch, especially given how busy the folks at Yahoo! must be these days. Chris Vollmer from Booz Allen is up next to talk about the second half of Marketing & Media Ecosystem 2010. Stay tuned for more!
Jerry Yang asks “how do we drive a better experience for our users and our advertisers?”
Susan Decker is all smiles as she speaks about Yahoo!’s new ad network.
In response to the ownership of data,Yang expresses, “The consumer is still the king and they ultimately decide how they want to respond in this medium. We know there is an ecosystem developing. Now we have to figure out the rules.”
Good morning and welcome back to the Ecosystem 2.0 Live Blog from the IAB Annual Meeting in Phoenix, AZ. We will once again be covering all the action as it happens. Last night ended on a very fun note with a wonderful outdoor networking reception. All in attendance looked to have a great time and we’ll have a gallery of photos up soon on IAB.net. Right now, the general session room is filling up as everyone in attendance is waiting to hear what Jerry Yang and Susan Decker of Yahoo! will have to say. Stay tuned for more!
Rick Brunner does some entertaining for Rich LeFurgy and the rest of the welcome reception last night.
That’s it for tonight. I’ve off to the welcome reception to enjoy some cocktails, meet some old friends, make some new ones and maybe even slip away for an In-N-Out Burger (which as a New Yorker, might be one of the finest treats of taking a trip out to the Southwest).
Tune in tomorrow for complete coverage of the day’s events. And don’t forget to come back to IAB.net after the conference for a full gallery of photos, video, presentations and more. It’s going to be an exciting couple of days in Phoenix!
Sunday Evening 6:50pm
Another surprise this evening - the debut of the IAB Service Excellence Awards. Randall Rothenberg is on stage giving some well deserved recognition to the IAB members who have gone above and beyond in contributing over the years. Here’s a list of the winners and check back on in the coming days to IAB.net for a full gallery of those who have contributed so much to the industry.
Chairperson Appreciation Awards
Adrian D’Souza of CNET and Dan Murphy of Univision Online, Ad Operations Council
Bruce Rogers of the Walt Disney Internet Group, CFO Council
Mike Hurt of Microsoft, Digital Video Committee
Craig Swerdloff of Return Path, eEmail Committee
Dave Madden of Wild Tangent, Games Committee
Peter Blacker of Telemundo, Hispanic Committee
Gayle Guzzardo of Q Interactive, Lead Generation Committee
Andy Jedynak of WeatherBug and Gary Schwartz of Impact Mobile, Mobile Committee
Dave Morgan, formerly of AOL, Public Policy Council
Stephen Kim of Microsoft, Research Council
Michael Rosen of WeatherBug and Brian Quinn of The Wall Street Journal Digital Network, Sales Executive Council
Tim Armstrong of Google and David Karnstedt of Yahoo, Search Committee
Heidi Browning of FOX Interactive Media, User Generated Content Committee
Outstanding Achievement Awards
Adrian D’Souza and Dan Murphy
Sunday Evening 6:45pm
Wenda Harris Millard just left the stage and as your intrepid live blogger, I don’t know where to begin as the smoke pours out of my keyboard. If there was ever a way to kick off Ecosystem 2.0, this was it. Ms. Millard focussed on change, the powerful change that has been sweeping through the marketing and advertising industry and will continue to do so at an even more rapid pace. She spoke of the consumer and how many years ago we knew the consumer would become the programmer of their own media. However, we never anticipated that the consumer would also end up as the producer and the distributor. She spoke of the marketing process being in a strange, stagnant state in a dynamic world as the consumer is now ahead of the marketer. Research used to be all about input. Now, it’s about output. We need to take responsibility for educating ourselves, marketers and agencies. And we must help distinguish between quality and commodity.
Wenda Harris Millard believes the coming year in media will be more volitile and hair-raising than the one that just passed.
Sunday Evening 6:15pm
Jim Spanfeller just left the stage after a brief reflection on this two-year tenure as Chairman of the IAB Board. He pointed out three key items on his agenda when he took the position two years ago. The first is making metrics more transparent as well as referenceable between online and offline media - something that the IAB has put a tremendous amount of diligence and effort into. Second was giving the IAB a seat in Washington, something achieved just over a year ago when the IAB opened its Washington, DC office. And finally, he talked about content and how people go to the internet for great content - both editorial and services and we need to recognize that more than ever.
Spanfeller states, “We need to acknowledge, nourish and recognize great content.”
Sunday Evening 6:00pm
A pleasant and well deserved surprise as Randall Rothenberg givens Jim Spanfeller an award for his contributions to the IAB and the industry.
Sunday Evening 5:30pm
Let’s get the show on the road! Randall Rothenberg, IAB President and CEO just opened up with some powerful remarks. He emphasized that this conference is about coming together to respond to industry demands. It is incumbent on us to know and write the rules that will guide interactive moving forward. Everyone is this room works hard to compete against each other and that drives tremendous growth. But at the same time, we must also be willing to work together. This is crucial as we work to drive ownership of the consumer. He stated it best when he said “Ecosystem 2.0 is all of us working together to build businesses and improve lives.”
Rothenberg draws smiles from the rooms when he says “We must be willing to beat each others brains out and we must be willing to work together.”
Sunday Evening 5:00pm
Hello and welcome to the Ecosystem 2.0 live blog from the IAB Annual Meeting in Phoenix, Arizona. Right now there’s a great buzz in the room. The general session is slowly filling up in anticipation of Randall Rothenberg, Jim Spanfeller and Wenda Harris Millard taking the stage to open the meeting. Stay tuned for photos, updates and commentary as the evening continues. And, please post your comments, questions and observations below. Remember to hit refresh throughout the next two days to keep up with all the action.