MORE THOUGHT LEADERSHIP ON THE SUBJECT OF AUDIO: I often write about the power of audio as an advertising medium and the transformative moment we’re living in right now when Voice is supplanting Touch as the primary input method in an IoT connected world. I can now happily say another industry expert, Gary Vaynerchuk, agrees with me. Mr. Vaynerchuk is the CEO of Vayner Media and is also an accomplished blogger, podcaster and a NYT Bestselling Author. In the attached Medium link he echoes the argument about the rise of Digital Audio, even beyond what the industry is currently seeing with Digital Video. Beyond just the music side of streaming, Mr. Vaynerchuk makes the point that original audio content, like podcasts, will become the primary way listeners consume on-demand audio in the very near future. I especially enjoyed that last paragraph about Voice being the most natural human interface of all, and his call to arms for fellow podcasters to start producing more original audio content. Inspiring stuff!
SNAP GETTING INTO LOCATION TRACKING: Late Monday news broke that Snap, Inc. (Snapchat’s parent co) had agreed to acquire the location tracking firm Placed for $200M. A few years ago Placed was the clear leader in cell-based panels which could loosely tie in-store visits to attribution using lat/long tracking. Recently the sector has gotten fairly crowded, with even more powerful location platforms like Foursquare starting to lead in the space. For Snap the acquisition gives them a proprietary AdTech solution for lat/long targeting and measurement. It fits pretty much in line with their “gingerbread man strategy” of running as fast, fast, fast as they can in several directions at once. It will be interesting to see if they can successfully weave Placed into their overall strategy and see some ROI on this $200M investment.
“ONE BIG EGG” SYNDROME: Last month P&G announced it was ending its data management deal with AudienceScience after a seven year relationship, in favor of new deal with DSP competitor Neustar. For me the Why behind P&G’s decision to end the contract is less important than the lesson it teaches about the value of client diversification. For the first 10 years of its existence AudienceScience had a relatively diverse base of CPG clients on their roster. But as the P&G relationship grew they started to shed more and more of their other work, which made them completely dependent on one master client. The risk associated with this type of setup literally became AudienceScience’s downfall, as explained in the attached AdExchanger link. Because once P&G pulled their biz it was too late for AudienceScience to pivot into other account pitches to fill the gap. This left no billable work to do, and therefore no income or value in the company. Unfortunately the move resulted in the shuttering of the entire company which put over 200 AdTech professionals out of their jobs. The demise of AudienceScience is a cautionary tale for any company (or even individual sales rep) about always making sure to have several clients of all sizes in your nest, and not put yourself in a feast or famine position with just that one big egg.
Have a great Wednesday guys!
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