Link: Facebook’s facing limits

“By most estimates, the entire global ad market (digital and offline) sits at roughly $550-600bn and by that measure Facebook, whose sales come almost entirely from ads, commands nearly 10% of it.” But, compared to Google: “If Facebook plans to regain the value it lost with its latest earnings announcement, it’s going to have to ink some riskier acquisitions that increase its addressable market, or at least take it into new corners of advertising.”
Original source: Facebook’s facing limits

Link: This is the Amazon everyone should have feared — and it has nothing to do with its retail business

“the massive online retailer once again posted its largest quarterly profit in history — $2.5 billion for the quarter — on the back of two businesses that were afterthoughts just a few years ago: Amazon Web Services, its cloud computing unit, as well as its fast-growing advertising business.”

Good charts, too.
Original source: This is the Amazon everyone should have feared — and it has nothing to do with its retail business

Link: Authenticity Wins

Put user generated content in your Web 2.0 hustling mix:

“The study also highlights other social media nuances that might be easy to overlook. While posts featuring user-generated content deliver a higher lift than traditional brand posts, the research makes clear that filling your feed with UGC images isn’t always the way to go. Luxury beauty brands see a 23% engagement lift from UGC, yet auto brands see a more modest 3% increase. This could be a matter of frequency, as luxury brands feature user-generated content in only 2% of posts, while auto companies include it in a fifth of content.”
Original source: Authenticity Wins

Link: European privacy regulations predicted to damage digital advertising revenue

“Citi cites forecasts that ePrivacy could trigger a 70% reduction in European display ad revenue, and a 33% cut in digital ad budgets, either of which could eviscerate Facebook and Google, at least under their current business model.”

The narrative that these are “tech companies,” at at least that these are the only tech companies, still drives me crazy. For example, are IBM, Microsoft, and Oracle in that bucket. Aside from advertising at Bing, clearly not. So called “tech companies” in this discussion should be called “advertising companies.”
Original source: European privacy regulations predicted to damage digital advertising revenue

Link: How Does Advertising Work?

‘It is also SELECTIVE … because, apparently, we have always been overwhelmed by sensory data and can’t begin to notice it all. Even before Snap and the iPhone X, our brains said: “Too much! Give me the bullets!”… For advertising, the implications are obvious. To rise from our sensory swamp, an ad must be EMOTIONALLY INTENSE. We assume the binary default is positive, but there is evidence that negative works as well. This study (from a consultancy now called System 1) showed that ads we hate are more likely to get us to buy a product than ads we don’t notice’
Original source: How Does Advertising Work?

Link: ‘Big Tech’ isn’t one big monopoly – it’s 5 companies all in different businesses

‘But despite simple perception of them all as “tech” companies, their core revenue sources are clearly different. And those distinctions suggest ways people can understand and respond to anxieties about their growing economic and cultural influence.’
Original source: ‘Big Tech’ isn’t one big monopoly – it’s 5 companies all in different businesses

Link: Podcast Listeners Really Are the Holy Grail Advertisers Hoped They’d Be – WIRED

Early excitement around what Apple’s podcast analytics is saying about podcast listeners: “At Panoply, home to podcasts like Slate’s Political Gabfest and Malcolm Gladwell’s Revisionist History, CTO Jason Cox says that listeners are typically getting through 80-90 percent of content”
Original source: Podcast Listeners Really Are the Holy Grail Advertisers Hoped They’d Be – WIRED