Last week, IAB released the data behind lost advertising dollars. Every year, various forms of ad fraud end up costing the marketing and media industry a whopping total of $8.2 billion.
$4.2 billion of that total comes from “non-human” traffic, which makes it sound like there are aliens and robots that are frequenting our favorite websites and getting served ads from Taco Bell and Burberry. If this is the case, I believe I have a solution.
$2.4 billion is lost from people pirating video/music/editorial content. While, this total is a little more slippery (it’s hard to pin down how many of these pirates would ever pay for legal service or watch traditional TV) the effect of piracy is nonetheless noticeable.
$781 million is lost to ad-blocking, which has been growing quickly over the last year. Apple recently opened up iOS 9 for ad blocking technology.
The New York Times explored the world of pop up ads and why so many consumers may have been driven to ad blockers. They place much of the blame on the intrusive ads and the ever-present-yet-ever-unclickable “x” in the corner of internet ads. It’s hard enough to even get a finger on the tiny little target, but even then, it seems no matter how many times you try and click it, nothing happens. The “x” is so elusive that one report shows 50% of all traffic from clicks are completely accidental.
Rdio Files for Bankruptcy, Pandora Snatches It Up
Because this newsletter has been on a brief hiatus, this update is more ICYMI than FYI — Rdio has filed for bankruptcy and was picked up by Pandora. In the ongoing war for music streaming supremacy, this is a huge win for Pandora. Offering only internet radio may have been holding Pandora behind services like Spotify and Apple Music. But now, having absorbed Rdio’s technology, Pandora will likely expand their offering to adapt to the changing industry.
Media Partner of the Week: theSkimm
Founded by former NBC News Producers, theSkimm is the go-to source for nonpartisan, daily news summary. Sent to over one million (mostly) female readers via email every day, theSkimm is quickly becoming the go-to source for well-informed, yet busy professionals to keep up with the news.
Why does it matter for media? theSkimm boasts a very loyal readership who love the tongue-in cheek wrap ups and catchy subject lines. The email newsletter also has strong word of mouth endorsements from celebrities including Oprah, Reese Witherspoon, and Chelsea Handler. theSkimm is on fire with $6MM in financing, 1 million subscribers, and an unheard of 45% open rate (industry standard is about 10%). [ed. note: this newsletter averages about 51%, where’s our sponsorship deal?]
Check out this sponsorship Starbucks did for theSkimm last month with the publication’s silhouetted logo updated to include a Starbucks holiday cup and the headline prompting users to take advantage of a two for one deal.
This Week In Social
Aldo Goes Beyond Fashion
Fashion brand Aldo realized that their products go far beyond shoes and accessories – it’s a lifestyle. Therefore, their Instagram strategy has moved to a more inspiration based approach with influencers in the design and culinary fields.
Commotion Over Coldplay
One of last week’s biggest Twitter conversations wasn’t about sports, but about the selection of the halftime show performer. While Coldplay is almost always a crowd pleaser, football fans felt otherwise.
Jolly Rancher Joins Snapchat
This candy brand knows that the struggle is real, so they’re taking to Snapchat to talk to millennials about the moments in their life that “Keep on Sucking.” The campaign drove more than 2.5 million impressions in just under one week after going live, which definitely doesn’t suck.