"AI-enabled advertising may not expand the overall size of the digital ad market, writes Eric Seufert at Mobile Dev Memo. Instead, it could reduce ad loads on pages. It's more likely that better targeting through AI could drive up prices for high-performing ads, Seufert says. And publishers will be incentivized to maximize revenue from high-performing inventory by making the remaining ad slots on the page more attention-grabbing."
"The result, according to Seufert, would be "a new equilibrium price point for advertising with the overall market size not expanding dramatically." However, one way AI could expand the ad market is by bringing more SMBs - and their customers, who tend to be under-targeted by larger brands - into the digital fold. Often-hyped use cases for AI tools include automating creative generation and optimizing bidding strategies."
"The Preemptening Disney and ABC might have reinstated "Jimmy Kimmel Live!" on Tuesday night. But on Nexstar- and Sinclair-owned affiliate channels, where the program was preempted for " news programming," the blackout is ongoing. And like any blackout, it has not been going smoothly. Protests are breaking out near station locations, local advertisers are pulling their spots, and employees are venting their frustrations online."
AI-enabled advertising may not increase the overall size of the digital ad market and could instead reduce ad loads on pages. Improved AI targeting is likely to raise prices for high-performing ads. Publishers will optimize page layouts to maximize revenue from top-performing inventory by making fewer remaining ad slots more attention-grabbing. The market may settle at a new equilibrium price without dramatic expansion. AI could expand demand by bringing more SMBs and their under-targeted customers into digital advertising. SMBs stand to benefit most from AI creative automation and bid optimization and from unlocking offline conversion data.
Read at AdExchanger
Unable to calculate read time
Collection
[
|
...
]