Predictions 2020: Publisher Monetisation
Frequently Asked Questions
What does the article identify as the new breed of publishers?
The article identifies commerce companies — including traditional retailers like Walmart, Target and eBay and less-obvious players like Starbucks and Uber — as a new breed of publishers emerging to compete for ad dollars.
Why do commerce companies have an advantage over traditional open web publishers?
Commerce companies have strong logged-in user bases, robust first-party data, massive scale and direct relationships with consumers based on a clear value exchange, which positions them well to monetise audiences while navigating privacy regulations.
How do privacy regulations like GDPR and CCPA affect publisher monetisation?
GDPR and CCPA increase the value of first-party data and logged-in relationships because they constrain third-party data usage. Commerce companies with owned data can better monetise while complying with privacy rules.
What benefit does a delayed entrance into the ad market give commerce companies?
A delayed entrance lets commerce companies build ad products with a clean slate — they can avoid legacy ad-tech dependencies and adopt best practices learned from incumbent publishers when integrating ads into the user experience.
ExchangeWire | December 11, 2019 - As the decade draws to a close, ExchangeWire has invited thought leaders from across the industry to share their predictions and insight into what 2020 will hold for the ad tech and martech industries. Under the spotlight today is publisher monetisation, which is facing ever-greater challenges in the privacy-first era, though this in turn leads to opportunities which could not previously be realised.
Commerce companies: The publishers of the future
Justin Choi, Nativo CEO
A new breed of publishers is emerging to challenge traditional open web publishers for ad dollars: commerce companies. These companies boast strong logged-in user bases, healthy first-party data stores, massive scale, and, perhaps most importantly, clear relationships with consumers based on a tangible value exchange. Were talking about not only traditional commerce players like Walmart, Target and eBay (all of whom are openly exploring ad revenue as a source of growth), but also less-obvious players like Starbucks and Uber. In fact, Uber threw its hat in the ad revenue ring just last month with the addition of ads to its Uber Eats experience.
Commerce companies already have a leg-up on traditional open web publishers when it comes to their first-party data and user relationships, especially as more data regulations like GDPR and CCPA come into effect. Their delayed entrance into the ad game will also prove fortuitous, as they are not dependent on ad tech incumbents and will be able to take a clean slate and can employ the lessons of their predecessors when it comes to integrating ads into their user experiences.
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