IBM released a new study recently confirming the sea change currently taking place in the world of advertising, and it's directly attributable to the increasing popularity of Social Media.
"Imagine a world where ... spending on interactive, one-to-one advertising formats surpasses traditional, one-to-many advertising vehicles, and a significant share of ad space is sold through auctions and exchanges. Advertisers know who viewed and acted on any ad, and pay for it based on real impact rather than estimated “impressions.” Consumers self-select which ads they watch and share preferred ads with peers. User-generated advertising is as prevalent (and appealing) as agency-created spots."*
Based on the IBM global survey, there are four "change drivers" shifting control within the ad industry:
1) Attention – Consumers are increasingly in control of how they view, interact with, and filter advertising in the multichannel world.
2) Creativity – The rising popularity of user-generated and peer-delivered content, and new ad revenue-sharing models (e.g., YouTube, Crackle, Current TV), amateurs and semi-professionals are creating lower-cost advertising content.
3) Measurement – Advertisers are demanding more individual and involvement-based measurements, putting pressure on the traditional mass-market model.
4) Advertising Inventories – They are on their way to being bought-sold through more efficient exchanges, bypassing traditional intermediaries.
There is no question that the future of advertising will look radically different from its past. The push for control in these four key areas is quickly reshaping the value chain and shifting the balance of power. Where are you in all this change? Devotees of advertising and marketing who are ready (and able) to adapt to the changing times and accompanying creative challenges will rise quickly within the industry.
At Exam Time, Students May Face
a New Test -- for 'Smart Drugs'
After years of bringing shame to professional athletes, performance-enhancing drugs may soon do the same for college students. Vince Cakic, a psychologist at the University of Sydney in Australia reports in an article in the Journal of Medical Ethics that the increasing use of "smart drugs" or "nootropics" by students—a phenomenon already being witnessed by professors—could mean that college students taking exams will one day face routine drug tests. In the article, Mr. Cakic says that psychostimulants like Dexedrine, Ritalin and Adderall are already used by about a quarter of students at some American colleges.
Google introduces a new level of consumer control - Sidewiki
Google invited 200,000 people to download its latest feature this week. Were you on the super special invite list? Sidewiki is similar to StumbleUpon and De.licio.us, but because it's from Google and more visible, it's a much bigger deal. Sidewiki (where users/readers donate content on the side of any web page, a la Wikipedia) is sure to catch on. It may take a few years just like Twitter, but it's spot on the Google Toolbar, seductive interface, and the ability to become viral as users spread it, means this is definitely something to watch.
That's all the news that's fit to print this Thursday. For those embarking on the Fall Break - enjoy!