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The Halo Effect Strikes Again: Why Good Ads Make Your Product Look Great

Les Binet isn’t just an advertising legend; he’s a no-nonsense guru of effectiveness who’s been schooling the industry for decades, calling out BS with all the elegance of a catapult through a stained-glass window. Forget the hype, the Silicon Valley buzzwords, and the latest tech fads: Les is here to remind everyone that advertising’s role is pretty basic—make people remember you and, more importantly, make them actually want to buy your stuff, today and tomorrow.

I’ve been listening to all of Les Binet’s interviews, and I have to admit—how was I not a follower before? So yeah, consider me converted. If you haven’t dug into his work yet, get ready for some real talk on how advertising actually works.

For those who don’t spend their weekends poring over marketing case studies (and let’s be honest, that’s probably most of us), Les is the brain behind the research study, The Long and the Short of It, co-authored with Peter Field. This isn’t some ivory-tower theory; it’s hard, empirical data on what makes ads work. His whole career has been a series of sharp elbows to the industry’s ribs, getting us to rethink advertising’s real job. Binet’s big point? Everyone is obsessing over short-term gains and fast wins, which, spoiler alert, can tank long-term growth. Les has been on a mission to slap marketers awake: short-termism is a quick fix with all the durability of a house made of wet tissue paper.

He’s also a loud critic of “rational” advertising—the kind that tries to inform, convince, and lay out bullet points like a desperate salesman hawking a used car. Sure, this works if you’re selling coffins, but in the real world of branding, he’s got proof that it’s about as effective as trying to fill the Grand Canyon with a teaspoon.

Les would be the first to tell you that when brands try to reason people into buying, they’re forgetting the cardinal rule of advertising: people aren’t rational, and they don’t want to be reasoned with. They want to feel something.

Emotional Ads vs. Cold Logic: Guess Who Wins?

Binet’s work has shown time and again that ads based on emotional appeal absolutely crush those stiff, “rational” ads that preach benefits and lists. Emotional ads might look frivolous, like a mini-movie or a heartstring-tugging story that barely even mentions the product—but those are the campaigns that stick. Rational ads? Those are the ones people roll their eyes at or skip on YouTube. Les and Peter Field have basically weaponized research to show that, in the long term, emotionally driven campaigns drive brand growth like a freight train, while rational ads are more like a series of half-hearted nudges.

In one of his most famous studies, Binet found that emotional campaigns can deliver nearly twice the profit growth compared to rational campaigns. Why? Because, shocker, humans are wired to feel, not compute. Think about it: when was the last time you were moved by an ad’s list of product features? Les’s research is like a masterclass in the painfully obvious that marketers seem determined to ignore: if people like your ad, they’ll probably like your brand. If they’re bored, they won’t remember you at all.

The 60/40 Rule: A Commandment for the Marketing World

Les’s other big revelation? The so-called 60/40 rule, which has become practically biblical for anyone who’s paying attention. Here’s the gist: for the best results, brands should split their budgets roughly 60% on long-term brand-building and 40% on short-term activation or sales-focused stuff. He’s said it so often it should be tattooed on marketers’ foreheads by now. When you spend 60% of your energy making people remember you and 40% driving immediate sales, you’re playing the long game and the short game—without throwing the future under the bus.

And yet, Les would probably laugh at how much the industry has ignored this advice. Most brands are so hooked on the adrenaline rush of short-term wins that they barely think about building a lasting relationship with customers. Picture a teenager chugging energy drinks to get through finals, ignoring the fact they’ll be a zombie by the end of the semester. That’s the brand equivalent of ignoring the 60/40 rule.

Mental Availability, Not Awareness: The Secret Sauce

Binet isn’t satisfied with brands just being “known.” Awareness is fine, but mental availability is where the gold lies. That’s a fancier way of saying that your brand needs to pop into people’s minds at exactly the right time—not just be vaguely familiar. This isn’t about sticking your logo on everything that doesn’t move; it’s about creating positive feelings and associations that stick in people’s brains. In Les’s world, brand recall isn’t enough—you need to be the first name people think of when they’re ready to buy.

This is where brands like Aldi and its famous Kevin the Carrot campaign come in. During the holiday season, Aldi wasn’t even on most shoppers’ radars as a go-to for festive grocery shopping. Enter Kevin the Carrot—a cute, quirky character who starred in a series of Christmas-themed ads that didn’t even talk about Aldi’s prices or product quality. Instead, Kevin made people associate Aldi with that warm, fuzzy holiday spirit, turning the chain into a “Christmassy” choice in people’s minds. It wasn’t about Aldi shouting about what it sells; it was about making Aldi feel like part of the holidays. The result? Christmas sales went through the roof.

The Halo Effect and the Power of Positive Feelings

Let’s talk about another concept Les loves: the halo effect. The idea is that if people have a good feeling about your brand, they’ll start believing that every aspect of your product is better—even if they don’t know why. Binet’s research has shown that when ads create positive emotions, consumers tend to think that the product itself is higher quality, more valuable, or even healthier. We’re talking about a little Pavlovian mind trick where you like the ad, so you start assuming the brand’s bread tastes fresher or that the clothes are more stylish. The actual product hasn’t changed, but people’s perceptions sure have.

This halo effect is like marketing’s secret weapon. Brands like John Lewis in the UK have nailed it with ads that are so memorable, people talk about them even when they’re not shopping. When consumers feel an emotional connection, they’re willing to pay more, think the product is better, and keep coming back. It’s not about the rational details; it’s about creating a vibe that people want to be part of.

The Battle Against Silicon Valley’s Rationality Cult

Les is quick to criticize Silicon Valley’s “data-first” approach to marketing. If you ask him, he’d probably tell you that tech culture has poisoned advertising with its fetish for rationality. In the world of algorithms and optimizations, Silicon Valley seems to think consumers are just robots waiting for the right nudge. Jeff Bezos famously once said, “Advertising is a tax on bad products.” Well, a few years later, Amazon went all-in on ads, so even Bezos couldn’t escape the truth: good advertising can make a brand unforgettable, not just tolerable.

Binet sees this as part of a broader trend where tech bros assume they can outsmart human psychology. They believe people will make rational, informed choices if given the right data points. Meanwhile, Les’s research shows that most decisions are rooted in gut feeling, not logic. We pick the brands we feel good about, not necessarily the ones with the best “value propositions.” Silicon Valley wants to reduce people to data points; Les wants to treat them as humans.

The Profit-Boosting Dark Matter of Pricing Power

One of Les’s lesser-known but equally powerful insights is that advertising doesn’t just increase sales—it can also make people willing to pay more. Binet calls this “the dark matter of advertising” because most brands overlook it entirely. Effective advertising can reduce price sensitivity, letting you charge a premium simply because people like you more. This is massive, but it’s something a lot of brands don’t even measure. Les would argue they’re leaving money on the table by ignoring the fact that emotional brand loyalty isn’t just about selling more; it’s about selling for more.

This pricing power is a huge reason why emotional advertising trumps the rational pitch. When customers feel something for your brand, they’re less likely to balk at higher prices. So while tech bros are trying to optimize for clicks and conversions, Les is laughing all the way to the bank by showing brands how to build emotional connections that allow them to charge a premium. If your brand has real pricing power, it’s like having a license to print money.

Fame, Not Just Reach: The High Bar of Cultural Impact

Another Binet nugget of wisdom: Fame isn’t just about reach or awareness. Fame is when your brand becomes part of the cultural conversation, transcending its category to become a household name people talk about, think about, and, yes, make memes about. Think Apple, Nike, or Coca-Cola. Les has argued that fame is like pouring rocket fuel into your brand equity—it boosts everything else. Fame isn’t just about everyone knowing your name; it’s about everyone having a feeling about it.

Fame is a rarefied state that very few brands ever reach, and Les would tell you it’s because they’re too focused on hitting quarterly sales targets. Fame takes patience, investment, and the guts to go beyond the hard sell. Fame is built by creating campaigns that people actually want to talk about. Les’s work shows that if you can make your brand culturally relevant, every dollar you spend goes further because the public does half the marketing work for you.

Les Binet’s Golden Rules: Think Bigger, Be Bolder

If you had to boil down Les Binet’s message to marketers, it would go something like this: stop thinking like a salesman and start thinking like a storyteller. Ditch the rational scripts, the aggressive calls-to-action, and the clickbait gimmicks. Invest in making people feel something. Lean into emotional branding, and remember that brand-building takes time, effort, and a hefty dose of patience.

Binet’s biggest lesson? Advertising works best when it goes beyond selling. Instead of obsessing over metrics that will make your quarterly report look good, focus on creating brand love. Make them laugh, make them cry, make them care. Les’s work is a call to arms for brands to get over their addiction to short-term sales boosts and focus on building something that lasts—a brand people actually remember, value, and maybe even love.

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Audience Lists: The Ad World’s New Best Friend and Your Latest Digital Stalker

Ever felt like an ad was so on-point it gave you goosebumps? You scroll past one too many kitchen remodel videos, and suddenly your feed is flooded with farmhouse sink ads, high-end Dutch ovens, and cutting boards that cost more than your mortgage. That’s advanced audience targeting at work, my friend. These ads aren’t just “targeted”; they’re precision-guided missiles, meticulously crafted to tap into your every want and weakness. And behind this marketing sorcery? The all-powerful audience list—a modern marvel of adtech and data-driven wizardry that knows exactly how to keep your attention, whether you like it or not.

Audience lists have rapidly become digital marketing’s most valuable asset. Forget age and gender; today’s brands want the down-and-dirty details. Think: which podcasts you listen to, your recent purchases, and even what kind of coffee you like. As Jay Baer, founder of Convince & Convert, aptly put it, “Understanding the nuances of your audience list can significantly enhance your engagement metrics.” Jay’s not talking fluff here—he means that every little tweak, every detail you refine, can lead to better engagement, more clicks, and yes, more of your cash in their pockets.

Advanced Audience Targeting: Because Basic Demos Are So Last Decade

Back in the day, marketing was like tossing spaghetti at the wall to see what stuck. You’d get a few wins, sure, but most of it just slid off into the ether. Today, it’s all about precision—no more hoping and praying that the right people see the ad. Now, brands use advanced audience lists to define exactly who they want to reach. And this isn’t about simple demographics; it’s profiling to the nth degree. Think “eco-conscious suburban moms who love hiking” or “Gen Z gamers obsessed with ramen.” Suddenly, ads aren’t just reaching anyone; they’re crafted to hit like a laser-guided missile aimed at you.

Neil Patel, co-founder of Crazy Egg, gets it. “Segmenting your audience lists allows for more personalized and effective marketing strategies,” he says, and he’s right. By slicing and dicing these lists, brands aren’t just shooting into the dark. They’re aiming with sniper-level precision, getting their message in front of exactly the right eyeballs and upping their chances of a sale.

The Data Trifecta: First-Party, Second-Party, and Third-Party Data

To create these hyper-specific audience lists, marketers use a three-course meal of data, each more savory (and invasive) than the last. Here’s the breakdown:

  • First-Party Data: The cream of the crop, collected straight from the source. Every click, every chatbot conversation, and every “sign up to get 10% off your next order” scheme feeds this data monster. Brands who control their own first-party data have a serious edge, as Ann Handley, Chief Content Officer at MarketingProfs, reminds us: “Building and maintaining a robust audience list is crucial for delivering targeted content that resonates.” She’s not wrong—there’s no middleman here, just a straight line from the consumer to the brand, making it easier to hone in on exactly what makes customers tick.
  • Second-Party Data: For those brands who can’t collect their own data, this is the next best thing. Essentially, it’s just another company’s first-party data, traded or purchased through a partnership. Imagine a soda company teaming up with a grocery store chain to get insights into who’s buying what. Pam Moore, CEO of Marketing Nutz, has some advice here: “Regularly refining your audience lists helps in adapting to changing consumer behaviors and preferences.” She’s got a point—getting stale with your data is like trying to make soup from last week’s leftovers. Keep it fresh, or prepare to lose your audience.
  • Third-Party Data: The least loved (but still useful) kid on the block. Collected by, well, pretty much anyone and everyone who can gather consumer data, this type is sold to the highest bidder. With new privacy regulations and cookie-less browsing gaining steam, though, this data source is on thin ice. Rand Fishkin, co-founder of Moz, offers a reality check: “An updated and well-maintained audience list ensures your outreach efforts are both efficient and impactful.” With third-party data, accuracy is everything—no one wants to pay top dollar for insights from 2017.

The (Not-So-Secret) Sauce: Targeting Precision

This next-level precision isn’t just about making people buy; it’s about knowing who’s watching and how they’re going to react. Marketers have gone from a scattershot approach to something more like mind-reading. And as Larry Kim, founder of WordStream, puts it, “Leveraging audience lists effectively can lead to higher ROI in your marketing campaigns.” ROI—it’s the holy grail of marketing, and with audience lists, brands are cashing in like never before.

Enter the world of lookalike audiences. Got a list of die-hard vinyl fans who shop exclusively on Etsy? You can build a list of lookalikes, people who share the same vinyl-loving, Etsy-shopping traits, and expand your audience to reach fresh customers who are almost guaranteed to fall in love with your brand. Heidi Cohen, Chief Content Officer at Actionable Marketing Guide, keeps it real: “Audience lists are not static; they require continuous attention to remain relevant and effective.” It’s not a set-it-and-forget-it deal; these lists need regular tweaks to keep up with shifting trends.

Audience Targeting Invades Traditional Media—For Better or Worse

While advanced targeting started online, it’s been slowly infiltrating traditional media too. Connected TV (CTV), free ad-supported TV (FAST), and data-driven linear channels are giving broadcasters new ways to deliver more tailored messages. Digital media might have the precision advantage, but traditional channels are catching up, promising to meet the demands for personalized ads even on grandma’s favorite soap operas.

As Michael Brenner, CEO of Marketing Insider Group, puts it, “A dynamic audience list is the backbone of any successful content distribution strategy.” Gone are the days of carpet-bombing entire demographics with generic ads. Whether you’re streaming the latest drama or catching a game, brands want to make sure you feel that ad was made just for you (even if it’s really just a profile built on 80 million data points).

Privacy and Identity Solutions: The New Frontier of Data

With cookies on their way out and privacy regulations coming down hard, brands are getting creative. Enter privacy-focused identity solutions, which allow companies to maintain audience insights without the creep factor. Techniques like hashing emails make sure no one’s identity is compromised while still letting advertisers do their thing.

Seth Godin, the OG of permission marketing, couldn’t be clearer: “Permission marketing starts with a well-defined audience list that trusts you to deliver value.” In today’s privacy-first world, that trust is gold. Publishers finally have a chance to directly capitalize on their email lists, creating valuable audience segments without needing Google’s blessing.

Advanced Audience Lists: The Real MVP of Digital Marketing

Audience lists aren’t just a random collection of names—they’re a treasure trove of insights that help brands connect in a way that feels almost intimate. Joe Pulizzi, founder of the Content Marketing Institute, drives it home: “Investing time in curating your audience list pays dividends in audience loyalty and conversion rates.” Curated and fine-tuned, these lists go beyond traditional ad metrics. They offer brands a chance to form genuine connections with consumers who feel seen and understood.

Neil Patel, co-founder of Crazy Egg, sums it up well: “Segmenting your audience lists allows for more personalized and effective marketing strategies.” As audience lists continue to evolve, they aren’t just guiding who sees the ad but are reshaping the entire relationship between brands and consumers.

So, next time you’re served an ad that feels creepily on-point, remember: behind that campaign is a meticulously curated audience list, a vault of data, and a marketer who’s spent hours poring over every last detail about you. Audience lists aren’t just the future—they’re here, they’re powerful, and they’re here to stay.

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Audience Store & AudienceProject: Finding Viewers Even After They Cut the Cord

In a bold (and overdue) move, Audience Store has teamed up with AudienceProject to supercharge incremental reach for TV advertisers. This partnership is all about corralling the so-called “cord-cutter” crowd, using an arsenal of data to locate and engage viewers who’ve ditched linear TV in favor of OTT and CTV. If you’re wondering what incremental reach even means, buckle up—this isn’t your grandpa’s advertising jargon.

So, What’s Incremental Reach?

In advertising speak, reach is simply the number of unique viewers a campaign engages. Think of it as your baseline: if 100 million people in the coveted 18-to-49 demographic are out there, but only 80 million of them are still glued to linear TV, that leaves a big chunk of the audience on CTV or OTT platforms, streaming away in peace. Incremental reach is the cherry on top, capturing that 20 million of “untapped” viewers who are beyond linear TV’s grasp. For brands, it’s the difference between reaching most of their audience and reaching all of their audience.

AudienceProject’s measurement tech does the heavy lifting here, merging Barb data with digital impression data to figure out exactly where incremental viewers are hanging out—and how often they’re watching. The real kicker? This setup lets Audience Store offer advertisers true frequency capping across CTV platforms, so those viewers aren’t hammered with the same ad over and over until they hit “unsubscribe” out of sheer exasperation.

Why Is Incremental Reach a Big Deal?

For one thing, the rise of cord-cutting isn’t just a trend; it’s an avalanche. According to eMarketer, U.S. non-pay-TV households have already surpassed 51 million, with projections saying they’ll outnumber traditional pay-TV households by 2024. The more people bail on cable, the more essential it is for brands to shift from linear-only campaigns to multi-platform strategies that capture viewers across every screen. In other words, the days of blasting ads to a captive living room audience are over. Now, it’s about fishing where the fish are.

Nielsen’s latest data puts streaming at 25% of total TV usage—a figure that’s only climbing as streaming services churn out endless content. For advertisers, this shift means that a linear-only campaign risks missing a solid chunk of the audience. By marrying traditional TV and CTV with a precise incremental reach strategy, brands can get a 360-degree view of their reach and—hopefully—their relevance.

The Audience Store & AudienceProject Power Couple

Audience Store’s Targetcast, already a top-tier CTV solution, is getting a major upgrade. With this partnership, advertisers now have access to a supercharged campaign strategy, complete with enhanced pre-campaign planning and post-campaign analysis that digs deep—not just showing overall reach but breaking down incremental lift. As Jon Hewson, CEO of Audience Store, puts it: “Teaming up with AudienceProject is a strategic move that elevates Targetcast, enabling us to give advertisers a precision toolkit for maximizing audience reach and engagement.”

And in a quote that is clearly, very much fake, Hewson didn’t actually say, “With AudienceProject, we’re practically putting our ads on hoverboards—they’ll zoom right to where the viewers are.” He totally should have however.

Now, advertisers can get hyper-specific about reach, engagement, and ad frequency, with tools designed to avoid the notorious “ad fatigue” that has viewers reaching for the “skip ad” button. AudienceProject’s tech lets Audience Store clients deduplicate across Barb and impression-level digital data, helping advertisers see the real impact of their campaigns and avoid wasted spend on redundant impressions.

Paul Barnard, Managing Director at AudienceProject, captures the essence of the collaboration: “Our mission is to empower advertisers to capture their full audience, not just a fraction. Partnering with Audience Store lets us take that mission further, giving advertisers a true bullseye approach with every campaign.”

Why This Matters for Advertisers

This partnership isn’t just a footnote—it’s a signal flare to the industry that the one-size-fits-all ad strategy is as outdated as cable. With incremental reach, brands don’t just spray and pray; they target and resonate. As more viewers bail on linear TV and turn to on-demand content, the brands that master incremental reach will be the ones that win in today’s fragmented media landscape.

For advertisers clinging to linear campaigns: you’ve been warned. Incremental reach is the new battleground, and brands that don’t jump in will find themselves behind, left wondering where all their viewers went.

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Tired of Your Ads Showing Up Next to Clickbait? IAS Just Made Programmatic Less Embarrassing.

Digital ads are a little like confetti—thrown around in every direction with the hope some of it lands somewhere meaningful. But what if you had a way to ensure your brand’s confetti didn’t end up in the gutters of the web, next to clickbait, conspiracy theories, or other advertising black holes? Enter IAS Curation, brought to you by Integral Ad Science (IAS) and Google Ad Manager—a pairing on a mission to sanitize programmatic buys and make them a whole lot smarter.

With IAS Curation, advertisers now have a tool to ensure their ads don’t just fly into the digital abyss. Instead, these ads find prime spots alongside quality content—think of it as the ultimate VIP pass in the crowded chaos of programmatic. No more rolling the dice on where your ad will appear; IAS Curation uses sophisticated predictive science to screen and categorize pages in advance, helping brands pinpoint high-quality, brand-suitable inventory and avoid the swamp of MFA (Made-for-Ads) content and other clutter that makes every media planner groan.

IAS’s Chief Product Officer, Srishti Gupta, didn’t hold back on just how much this move matters: “Brand suitability and contextual relevance are top priorities for programmatic buyers who are looking to avoid wasting ad spend on poor quality inventory such as MFA or ad clutter.” And that’s not just corporate jargon—Gupta’s talking about saving marketers from having their hard-won budgets dumped into low-grade inventory, where the ROI is roughly the equivalent of pouring dollars down a digital drain.

So how exactly does IAS Curation work its magic? The platform leverages some serious AI chops, using natural language processing to create an assembly line of quality checks that weed out unsuitable content. When it comes time to place those precious ads, IAS Curation acts as the gatekeeper, allowing only top-tier, contextually relevant pages through. Advertisers get peace of mind knowing their ads aren’t sidling up to dubious articles or distracting layouts—this is high-tech matchmaking, ensuring every ad lands where it should.

And in case you’re wondering, this isn’t IAS’s first tango with Google. Earlier this year, IAS flexed its muscles on YouTube, expanding brand safety and suitability measurement to cover Google’s Performance Max and Demand Gen campaigns. Even in the past year, IAS has rolled out its Total Media Quality (TMQ) metrics for YouTube Shorts, giving advertisers a foothold on the platform and another layer of control over where their ads appear.

To the cynical onlooker, this might sound like another jargon-packed promise, but think about it: advertisers are tired. They’re exhausted from playing whack-a-mole with ad placements, trying to sidestep the sea of poorly-lit digital back alleys that swamp their brand with irrelevant clicks and fake views. IAS Curation provides a breath of fresh air—offering global advertisers the chance to pre-customize and enrich inventory before it ever hits their buying platform. In other words, you’re not just getting inventory; you’re getting inventory that’s handpicked, pre-approved, and a cut above the usual programmatic fare.

One industry insider quipped (totally fictional, but you know it’s true): “If IAS Curation were a dating app, it would be one where your ad actually lands a date with the prom king or queen—no more blind dates with those MFA trolls.”

The reality is that this is the new gold standard in programmatic buying. By combining brand safety, contextual targeting, and high-quality inventory into a streamlined process, IAS and Google are setting the bar high. For marketers, this isn’t just about performance; it’s about peace of mind. And in a world where “programmatic” often means “throw it in and hope it sticks,” IAS Curation brings precision, protection, and maybe a bit of pride back into the game.

So, here’s to a future where ads actually show up where they should and brands don’t have to wonder what they’re getting for their money. With IAS Curation, you’re not just buying ad space—you’re buying a top-shelf experience. Now, go forth and curate, because, let’s be honest, it’s about time programmatic cleaned up its act.

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Adam Brotman’s AI Revolution: How Forum3’s Spok is Rewriting the Marketing Playbook

Adam Brotman isn’t just your average tech executive; he’s the guy who put Starbucks on the digital map. From pioneering mobile ordering to scaling loyalty programs, Brotman turned Starbucks into a tech giant disguised as a coffee shop, cementing his role as a visionary in digital transformation. After a brief stint at J.Crew, Brotman has found himself at the helm of Forum3, a company he co-founded with long-time collaborator Andy Sack. Together, they’re building an AI laboratory that brings the firepower of artificial intelligence directly into marketers’ hands. Their latest creation, Spok, promises to be a game-changer in the world of AI-powered marketing. Brotman describes Spok as “the kind of marketing research and insight-driven planning process that used to take a week, [which] can now be served up in minutes.”

Spok isn’t just another shiny object in the already crowded martech landscape; it’s a carefully crafted solution designed to do the heavy lifting for marketers without requiring a degree in machine learning. Brotman insists, “Spok allows marketers to take full advantage of generative AI, without the marketer having to be an AI prompting expert themselves.” This means that Spok doesn’t just spit out keywords; it synthesizes data and serves up comprehensive strategies, giving marketers time back to focus on creative strategy. Brotman is clear on this: Spok is here to “give marketers insights, content strategies, and marketing plans nearly instantly,” allowing them to work at the speed of AI.

From Starbucks to Forum3: A Journey Through Digital Transformation

Brotman’s career trajectory reads like a masterclass in digital innovation. His role at Starbucks wasn’t just about tech for tech’s sake; he was laser-focused on making technology work for both customers and employees. As the former Chief Digital Officer and EVP of Global Retail Operations, he spearheaded initiatives that redefined Starbucks’ customer experience, from mobile payments to loyalty rewards. His work “included leading all global digital product management and design for the company’s employee-facing digital platforms… and customer-facing digital platforms” and was focused on “omni-channel digital integration, mobile apps, websites, e-commerce platforms and operations, social media, loyalty and data-driven CRM marketing.”

When he moved on to J.Crew, Brotman continued to push boundaries in the retail sector, but his real calling became clear when he co-founded Forum3. In partnership with Andy Sack, Brotman saw an opportunity to leverage AI in a way that would genuinely transform marketing. “We have created an ‘AI Lab’ combining content, software, and services,” Brotman says, explaining Forum3’s core mission. This isn’t just talk; the AI Lab is where they’ve developed Spok and Hive3, two tools that are reshaping how brands think about creativity, strategy, and community in the digital age.

Why Spok? Why Now?

Brotman’s vision for Spok isn’t rooted in the novelty of AI but in the practical benefits it brings to marketers who are under constant pressure to deliver results faster. “Marketing is one of the first areas that will get majorly disrupted and enhanced via AI,” Brotman says, pointing to the fact that marketing is fundamentally about messaging, timing, and audience targeting—all areas where AI excels. By blending leading AI models with third-party keyword data and trend research, Spok offers a holistic marketing assistant that delivers insights in real-time.

In practical terms, Spok is built to handle the nitty-gritty of marketing research so that marketers can focus on strategy and creativity. Brotman explains, “We combine two different leading AI models with 3rd party keyword data and trend research, wrapped together with just the right ‘marketing intelligence’… in an easy-to-use [interface].” The result? Marketers get actionable insights that used to take days or even weeks to compile, all with a few clicks. For Brotman, the ease-of-use aspect is crucial: “Marketers shouldn’t need a PhD in machine learning to use AI effectively,” he says. Spok is designed to democratize access to AI-driven insights, bringing top-tier analytics to marketers of all skill levels.

A Word of Caution: AI Isn’t a Cure-All

Brotman is as cautious as he is optimistic. While he believes that AI holds immense potential for transforming marketing, he warns against jumping on every AI trend. “Marketers should be wary of spending big sums of money and effort on expensive custom AI apps that may be quickly obsoleted,” he says, highlighting the breakneck pace at which AI is advancing. For Brotman, the smarter play is investing in AI education and training so that marketers can leverage existing systems like Spok effectively.

He believes the real value lies not in bespoke AI tools but in mastering how to work with the rapid advancements in the technology itself. “In reality, most of the frontier AI systems are likely going to be so capable over the next year on their own,” he notes, urging marketers to focus on building their AI proficiency. The message is clear: AI is a powerful tool, but marketers need to be strategic in how they deploy it, lest they end up with expensive, quickly outdated tech.

Brotman’s Bold Predictions for AI in Marketing

When it comes to AI’s future, Brotman isn’t shy about sharing his bold predictions. He envisions a landscape where AI doesn’t just advise marketers but actively takes on tasks in a way that almost resembles human agency. Here’s a breakdown of what Brotman sees on the horizon:

  1. AI Agents That Take Action – Brotman predicts that AI agents capable of executing marketing tasks autonomously are just around the corner. “This will lead to totally autonomous (self-driving, so to speak) marketing implementation down the road,” he says. Imagine an AI that doesn’t just tell you what needs to be done but goes ahead and does it, reporting back with results and optimizations.
  2. Text-to-Video Breakthroughs – By the end of the year, Brotman expects AI-driven text-to-video capabilities to improve drastically, making it easy for marketers to generate high-quality video content on the fly. The potential savings in production costs alone could make this one of the most transformative shifts in content marketing.
  3. Conversational Ads That Engage – Brotman envisions a world where ads aren’t just static images or videos but interactive, conversational experiences. “Ads will ‘come to life’ in 2025,” he says, describing a future where consumers can engage directly with brands in real-time through voice, video, and text.
  4. Personalization at Scale – For Brotman, personalization isn’t just a buzzword; it’s a key advantage that AI can bring to marketers. He believes AI will finally make “personalization at scale” affordable and effective, allowing brands to reach audiences with tailored messages that resonate on an individual level.
  5. AI as a Martech Integrator – In an industry cluttered with siloed systems, Brotman sees AI acting as a connective tissue, bridging gaps between disparate martech platforms and data sources. “Because the AI is general-purpose and intelligent, it can unlock a brand’s ability to bring together these systems and data sources without expensive and time-consuming efforts,” he explains.

The Forum3 Vision: A Glimpse Into the Future

Forum3 isn’t just a collection of tools; it’s a blueprint for how AI can elevate marketing from guesswork to data-driven strategy. Brotman is unapologetic about the impact he wants Forum3 to make. “We’re empowering innovation through AI, transforming the way businesses engage with technology and consumers,” he says. Forum3’s AI Lab isn’t just about creating one-off solutions; it’s about building a foundation for the future of marketing.

With Spok, Brotman is once again redefining the rules, pushing the boundaries of what’s possible in marketing. His ultimate goal? To make AI accessible, powerful, and practical for marketers who want to get ahead. For Brotman, AI isn’t a trend; it’s the next frontier. As he puts it, “Our world is going to look completely different in two years because of AI.” If Spok and Forum3 are any indication, Brotman’s not just predicting the future—he’s building it.

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Scott Schiller’s Guide to the Mad World of Media, Advertising, and AdTech – Hold the Jargon, Double the Reality Check

Scott Schiller is a man who’s seen it all – from the early days of television ads to the modern, hyper-complicated circus that is digital media. And let’s be clear, Scott’s got opinions. 

He’s made his mark as a media titan, ad tech innovator, and professor who somehow still finds time to remind the industry that it might be taking itself a little too seriously. 

When Scott sat down on The ADOTAT Show, he didn’t hold back. So here’s the wisdom, the wit, and the brutally honest truths from a guy who’s guided some of the biggest brands on the planet and watched more ad tech fads crash and burn than we can count.

Lesson #1: Consumers are the True Kings (and the Industry Just Hasn’t Figured That Out Yet)

“Look, if you think Google or Amazon is running the show, you’re sorely mistaken,” Scott says, shaking his head. “It’s the people on their couches, flipping between the red zone and TikTok, who decide where the money flows.” In his view, advertisers have been chasing after these massive tech giants like puppies at dinnertime, while the real decision-makers – the consumers – are sitting right in front of them.

Scott gets it; he’s seen the rise of platforms where consumer preference drives every decision. His gripe? Advertisers are still acting like the consumer’s role in the equation is “optional.” And don’t even get him started on how tech platforms handle this power. “These companies – the Googles and the Amazons – they’re smart. They know people will keep coming back as long as they don’t screw it up. Consumers vote with their eyeballs and, more importantly, their clicks,” Scott says, raising an eyebrow. “And everyone else is just a little too busy overanalyzing to notice.”

Lesson #2: The Obsession with Perfect Metrics is Killing Creativity

In the relentless quest for perfection, advertisers have lost their way, according to Schiller. “If you’re out here, trying to be precise to the decimal on every metric, you’re missing the point of advertising altogether,” he says. Scott goes on to recall the days before ad tech giants gave everyone a complex about “perfect targeting” and “precision metrics.” Back then, he insists, it was more about gut instinct and knowing your audience.

“Look, people want ads that make them feel something – that’s it. It’s not rocket science,” Scott argues. “But now, everyone is chasing this idea of programmatic utopia, where an ad hits you at the exact right moment in the exact right place. It’s overkill, and it kills any sense of creativity or genuine connection.” He lets out a laugh. “If it doesn’t feel human, it won’t sell. And no amount of targeting can fix that.”

Schiller’s stance on ad metrics is refreshingly cynical. He sees the industry’s fixation with perfecting every single measurement as a never-ending spiral. “We’re drowning in data but starving for insight,” he says bluntly. “The whole thing about ‘getting it perfect’ is just an illusion. At the end of the day, it’s about making ads that don’t make people hit the skip button.”

Lesson #3: Stop Trying to Automate Everything – Human Instinct Still Matters

Here’s one that would send a shiver down the spine of every ad tech startup exec in Silicon Valley: Scott doesn’t buy into the industry’s automation obsession. While the rest of the world is throwing their chips behind AI, Scott’s over here waving the flag for old-fashioned human instinct. “I don’t believe there will ever be a day where advertising is 100 percent automated,” he says. “There’s always going to be a place for instinct.”

And in case you’re wondering, Schiller’s not against data. He just doesn’t see it as a magic solution. “The data gives you a framework, sure. But at some point, someone has to look at it and decide what it means. Otherwise, it’s just numbers on a screen.” Scott recalls a recent conference where a consulting firm claimed that 75 percent of all ads would soon be programmatic. His response? “Maybe 75 percent of digital ads, but try telling that to a brand building a Super Bowl spot. Some things just can’t be reduced to an algorithm.”

Lesson #4: Commerce Media is More Than Just Buying Jennifer Aniston’s Sweater

If you’re in the media world, you’ve probably heard of “commerce media” – the latest buzzword that tries to merge shopping with entertainment. But Scott has been around long enough to know a hype train when he sees one. “Everyone loves the idea that you can see Jennifer Aniston’s sweater on TV and buy it instantly,” he says, referencing the holy grail of shoppable content. “But the behavior just isn’t there yet.”

Scott’s more optimistic about commerce media as a broader concept, something that goes beyond product placements and impulse buys. “What we’re really talking about here is aligning content with consumer intent. It’s not about putting a ‘buy now’ button on everything but figuring out where shopping naturally fits into the viewing experience,” he explains. “Commerce media is coming, but it’s not going to look like a QVC rerun on TikTok.”

He points to Amazon’s latest moves as a sign of things to come, noting that full-funnel advertising is the next logical step. “Amazon isn’t just going to push products; they’re going to turn their entire platform into one giant, seamless shopping experience,” Scott predicts. “And that’s going to redefine what commerce media even means.”

Lesson #5: Ad Tech is a Bloated, Jargon-Filled Monster (and We’re All Complicit)

If there’s one thing Scott can’t stand, it’s the industry’s tendency to complicate the simple stuff. “Ad tech was supposed to make advertising more efficient, but instead, it’s just become this bloated jargon machine,” he says. “Everyone’s inventing new terms for the same old things – and for what? So they can look smart at conferences?”

Scott doesn’t hold back here. He thinks ad tech has lost the plot entirely, spending too much time reinventing itself without ever asking if it’s even necessary. “Every retailer thinks they can run an ad network. Newsflash: it’s a lot harder than it seems,” he says, with a smirk. Schiller argues that just because a company is great at something else – like retail or tech – doesn’t mean they have the chops to pull off a full ad ecosystem.

Lesson #6: Mentorship Isn’t a Deli Counter

As someone who’s mentored a who’s who of media professionals, Scott has strong feelings about what mentorship is – and what it isn’t. “I love helping people, but here’s the thing: it’s not a deli counter,” he says. “You don’t just grab a number and ask for an introduction or a quick fix. Mentorship is a relationship. It’s a give and take.”

Scott’s advice to young professionals? Don’t treat your mentor like a vending machine. “People ask for quick answers, but there are no quick answers. You’ve got to learn to listen, to engage, and sometimes, to make mistakes,” he says. His best career advice? Make yourself invaluable. “Look, this industry is built on relationships. If you’re not adding value, you’re replaceable. It’s that simple.”

Lesson #7: AI is Coming, But It’s Not the Apocalypse

For a guy who’s seen every tech trend from the 1980s to now, Scott isn’t exactly freaking out about AI. “It’s a tool, not the end-all-be-all,” he says. “The media loves to frame AI as either a miracle or a monster, but the truth is somewhere in between.” Scott sees AI as an amplifier, something that can take creative and messaging to new places, but it’s not about to replace the entire ad industry anytime soon.

“People thought streaming would kill cable, that YouTube would kill television, and now they think AI is going to kill creativity,” he says, laughing. “Look, it’s going to be huge, but we’re a long way from AI making Super Bowl ads or writing copy that hits home.” His take? Focus on what AI can help with, not what it might replace. “If it amplifies what you do, use it. If it replaces what you do, maybe rethink your approach.”

In Conclusion: What We Can Learn from Scott Schiller

Scott Schiller is a walking encyclopedia of advertising insights, but he’s no ivory tower intellectual. He’s as likely to tell you to trust your gut as he is to drop a data-driven gem, and he’s skeptical about anyone claiming to have found the “perfect” solution. In a world that’s always chasing the next big thing, Scott is here to remind us that some principles don’t change. Consumers are still in charge, storytelling still matters, and tech is just a tool – not the entire toolkit.

Tune in to The ADOTAT Show for more from Scott Schiller, and remember: if your ad isn’t making people feel something, it doesn’t matter how “precisely targeted” it is.

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Brand vs. Performance? Why Not Both? How Your Budget Tug-Of-War Became a Power Couple

Let’s ditch the worn-out trope of brand versus performance marketing. They aren’t enemies, they aren’t rivals, and they certainly aren’t frenemies. In fact, Tracksuit and TikTok’s recent Awareness Advantage study shows they’re more like that high-maintenance couple at a dinner party—constantly bickering over budget slices but secretly unstoppable when they work together. Turns out, when brand and performance actually team up, they don’t just produce a strong campaign—they create a powerhouse.

The Brand and Performance Saga: From Turf Wars to Teamwork

For years, performance marketing has been strutting its stuff like the high-school quarterback, with clicks, leads, and quick wins as the flashy metrics that CEOs and CFOs love. Brand marketing, meanwhile, has been in the shadows, building long-term relationships, cultivating trust, and whispering sweet nothings of “remember me” into the minds of audiences everywhere. But here’s where Tracksuit and TikTok come in, dropping data that changes the game: when brand awareness goes up, performance metrics don’t just improve—they skyrocket. For every boost in brand familiarity, conversion efficiency climbs. A brand known by four out of ten people, rather than three, can boost conversion efficiency by 43%. That’s right—high brand awareness supercharges performance, turning simple clicks into action and giving conversions a turbo boost.

This revelation smashes some long-standing marketing myths. Take the outdated notion that click-through rates and brand awareness operate in two separate universes. Traditionally, CTR was the sprinter, grabbing quick results, while brand awareness was the marathoner, playing the slow game. But Tracksuit’s study flips this on its head: brand awareness doesn’t just hang out in the background; it amplifies those rapid clicks, turning short-term wins into sustainable growth. It’s like training for a marathon and finding out your sprint times are dropping, too.

Cristy Garcia’s Perspective: Brand and Performance Are the New Power Couple

Cristy Garcia’s thoughts on the brand-performance dynamic aren’t just fresh—they’re downright disruptive. According to Garcia, today’s consumers want authenticity, not ads that hit them like neon billboards shouting “buy me now!” Instead, they look to influencers and affiliates—voices they already know and trust—to guide their choices. “Influencers are the trusted voices they’ve come to rely on for recommendations,” Garcia explains, capturing how audiences now prefer a human touch over an algorithm​. Research backs this up: Garcia found that 63% of consumers have made purchases directly due to an influencer’s recommendation. That’s not just a stat; it’s a wake-up call for brands stuck in an outdated ad model that shouts rather than connects.

Garcia makes a compelling case for creative freedom, pointing out that influencers should be partners rather than “megaphones for hire.” When brands respect influencers’ styles and personalities, engagement skyrockets, and so does credibility. She’s quick to emphasize that brands treating influencers as true partners, with the freedom to be authentic, see both engagement and ROI soar. “Brands that let creators blend their messaging are achieving a credibility that purely performance-driven ads can’t touch,” she says.

It’s this blend of brand’s emotional trust-building with performance’s measurable immediacy that Garcia calls a “double-down” strategy. For her, brand and performance aren’t separate at all but are two sides of the same coin. “Performance campaigns show the hard numbers,” she argues, “but brand campaigns build the trust that makes consumers choose you in the first place.” This brand-performance fusion isn’t just effective; it’s essential, adding depth to every ad dollar spent.

Breaking Down the Myths: Brand Is More Than Just a Nice-to-Have

Brand marketing is often mistaken for the domain of deep-pocketed giants, but the Awareness Advantage study shows that brand-building is more than just a “nice-to-have” for big brands. It’s an engine that any company can harness to make performance campaigns more effective, faster, and cheaper. Here’s the kicker: this isn’t just a feel-good theory. Tools like LoudCrowd are making it measurable by automating affiliate and ambassador programs, so that brands of all sizes can use brand-building strategies to capture quantifiable value across the funnel​

LoudCrowd, for instance, shows how blending brand-building with performance tactics doesn’t just create top-of-funnel awareness—it turns influencer marketing into a full-funnel powerhouse. By managing creator partnerships and tracking affiliate conversions in real time, LoudCrowd enables brands to do something that once felt reserved for industry titans: scale trust. With this setup, brand-building shifts from a passive expense to an active investment, one that fuels performance campaigns in measurable, tangible ways.

This data-driven approach debunks the myth that brand is a soft investment. Garcia’s insights at Impact.com align with this: “Brand recognition turns clicks into committed customers,” she notes, showing how familiar brands are not only trusted but generate better ROI for each click, view, or engagement. It’s a cycle of efficiency—brand creates trust, which makes every performance dollar work harder, converting casual clicks into purchases and transforming ads from shout-outs into value-driven touchpoints.

The New Playbook: Performance Storytelling

The old budget battle between brand and performance marketing—like siblings squabbling over the biggest slice—has been sidelined in favor of a new, unified strategy: Performance Storytelling. This approach, championed by Tracksuit and TikTok, tosses out the outdated “either-or” debate and lets brand and performance marketing play on the same team. No longer are they competing for resources; instead, they’re working side by side, delivering instant results while laying the groundwork for sustained brand loyalty and customer trust.

With Performance Storytelling, brand-building isn’t some abstract art form, but a measurable force in campaign success. Brand finally gets its own KPIs, which give it a legitimate place in performance-driven metrics. “Today’s CMOs are realizing that brand awareness has a concrete impact on conversion rates,” explains Cristy Garcia, echoing how brand can no longer be sidelined as a soft, immeasurable entity​

The beauty of Performance Storytelling lies in its balance. Brands don’t need to toss out performance’s precision—rather, they integrate it. Each tactic complements the other: while brand creates the emotional pull, performance provides the direct ROI. This synergy results in an approach that’s not just budget-efficient but highly effective, creating an ecosystem where brand investments fuel performance gains and vice versa. In this new playbook, the budget pie isn’t divided up; it’s amplified.

By aligning brand and performance KPIs, marketers can track immediate gains while nurturing long-term engagement. It’s a win-win strategy that positions both elements as essential parts of a broader, growth-driven vision, one where short-term payback and long-term loyalty come together as a unified powerhouse.

Real-Life Application: Joint Custody of Your Marketing Strategy

Cristy Garcia’s advice to brands is simple: stop trying to pick sides. The best strategies are holistic, with both brand and performance budgets blended to capture short-term gains while establishing the brand’s foundation. Consider what Garcia dubs “pay-for-performance” across the board, not just in performance tactics. Whether you’re working with influencers, managing a CPC campaign, or running affiliate programs, keeping brand in the loop doesn’t just help performance—it lifts it. Even TikTok data shows that the payoffs are palpable, making every dollar stretch further by setting up long-term recognition that primes conversions down the line.

Embracing BrandFormance: Brand and Performance in Unison

Creative Clicks introduces BrandFormance as a strategy where brand-building’s emotional appeal is harnessed alongside the quantitative rigor of performance marketing. The approach marries brand’s long-term loyalty with performance’s immediate, trackable results. By adopting BrandFormance, companies are finding a powerful sweet spot: long-term gains and short-term payoffs in one integrated approach. Research from Analytic Partners emphasizes just how impactful this can be: companies that merged brand and performance investments saw campaign returns skyrocket by up to 76% in profit. The data doesn’t lie—an investment in brand-building doesn’t just improve results; it enhances the performance-driven tactics that follow​

But the reverse is equally true. Analytic Partners also found that slashing brand budgets to pump up performance can actually lower overall marketing efficiency. When brand budgets are cut, the “halo effect” brand has on performance weakens, and ROI on direct-response strategies drops, showing that neither strategy truly thrives in isolation. BrandFormance makes it clear that branding isn’t an expense; it’s a growth driver that unlocks performance marketing’s full potential.

Ultimately, BrandFormance is a balanced, results-driven approach that doesn’t just target quick wins but sets up sustainable brand equity—making every dollar count in both the short and long term. It’s the ultimate blend of persuasion and precision, proof that an investment in brand is an investment in measurable, actionable results.

Bottom Line: Brand and Performance Are Stronger Together

So, where does this leave us? If you’re in marketing, it’s time to ditch the traditional “brand versus performance” mindset and instead embrace strategies like Performance Storytelling and BrandFormance. These approaches don’t ask brand and performance to fight for budget scraps but bring them under one cohesive roof. This unified method taps into the immediate impact of performance marketing while building brand equity that strengthens every campaign dollar spent. Think of it as turning your marketing strategy into a well-oiled machine where brand and performance each play their role, fueling sustainable growth and quicker returns.

One of the central pillars of these approaches is giving brand-building its own set of metrics. By measuring brand performance beyond vanity metrics like impressions and tracking KPIs such as customer trust, brand lift, and long-term engagement, brands gain tangible proof of brand’s value. Meanwhile, performance marketing doesn’t have to shy away from long-term impact either—it can tap into brand’s trust and recognition, which Garcia and others emphasize as crucial for lowering acquisition costs and increasing customer lifetime value. With brand and performance working side by side, conversions climb while cost-efficiency improves, as each strategy supports and amplifies the other.

Leaders like Cristy Garcia, along with data from Tracksuit, TikTok, and LoudCrowd, highlight how powerful this synergy can be. Garcia’s research shows that consumers are more likely to convert when they know and trust a brand, and TikTok data echoes this by showing how even modest boosts in brand awareness yield remarkable increases in conversion rates. This “halo effect” means brand-building is no longer a soft, optional investment—it’s a measurable driver of performance success, underscoring that brands and performance campaigns don’t just coexist; they thrive together.

Ultimately, Performance Storytelling and BrandFormance prove that brand and performance aren’t just a good fit; they’re an unstoppable force. When brand-building provides the emotional appeal and recognition, and performance channels that trust into conversions, every campaign sees stronger results. For marketers, it’s not about splitting the pie anymore—it’s about baking a bigger one, with both brand and performance working in harmony to deliver immediate payoffs and build lasting loyalty. As Garcia and industry leaders have shown, integrating these efforts isn’t just the future of marketing; it’s the formula for growth that’s both sustainable and scalable.

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From Mad Men to Mad Brands: Unpacking the Great Ad Spend Shake-Up

First off, let’s talk about the elephant in the boardroom. Since 2019, agency holding companies have seen their share of the U.S. media market take a nosedive, losing a significant chunk of their former dominance. 

That’s like Starbucks suddenly losing a third of its coffee sales to a hipster lemonade stand—unthinkable, yet here we are.

These corporate behemoths, once the gatekeepers of the advertising world with their bulk buying power and secret handshake deals, are now scrambling to stay relevant. They’re like flip phones in the age of smartphones—nostalgic but not particularly useful. As Sir Martin Sorrell, founder of S4 Capital and former CEO of WPP, quipped last year, “The traditional agency model is under significant pressure. Clients are demanding faster, better, cheaper solutions driven by technology and data.” It’s as if the giants are realizing they’ve been sleepwalking while the world moved on without them.

Brand Direct Spending: The Rebellion Gains Momentum

Meanwhile, brand direct ad spending has skyrocketed, surging ahead like a rocket fueled by cold brew and ambition. Brands are taking matters into their own hands, cutting out the middlemen faster than you can skip a YouTube ad.

This isn’t just a blip on the radar; it’s a full-blown movement. In recent years, in-house agencies have become the new black. Surveys indicate that over 80% of advertisers now have some form of in-house agency, a significant increase from just a few years ago. It’s as if brands collectively woke up one morning, chugged a double espresso, and thought, “Why rent the boat when we can build our own yacht?”

And they’re not just building yachts—they’re crafting luxury liners decked out with all the latest tech. Many brands have reported significant cost savings and improved agility since moving operations in-house. They’re able to pivot faster than a caffeinated figure skater, responding to market trends in real-time without waiting for agency turnaround times that feel slower than dial-up internet.

Marc Pritchard, Chief Brand Officer at Procter & Gamble, didn’t mince words when he declared, “We’re taking greater control of our media planning and buying to drive better effectiveness and efficiency.” P&G streamlined its agency roster and reinvested those resources into building internal capabilities. The result? More control, greater transparency, and a direct line to their consumers.

But it’s not just the big players getting in on the action. Brands of all sizes are jumping on the bandwagon, leveraging accessible technology and data analytics tools to punch above their weight. With programmatic advertising platforms becoming more user-friendly, companies no longer need a PhD in rocket science to launch effective campaigns. It’s DIY advertising, but with fewer glue sticks and more algorithms.

The shift towards direct media buying is reshaping the advertising landscape. Digital ad spend by brands directly is continuing to grow, signaling a significant change in how advertising budgets are allocated. It’s as if everyone got the memo that the best way to get things done is to do it yourself—or at least keep a much closer eye on who’s doing it for you.

The motivations are clear. Brands are hungry for transparency, craving agility, and eyeing cost savings like a hawk spotting its next meal. They’re tired of the opaque practices and sluggish pace often associated with big holding companies. In an era where a social media trend can rise and fall in a matter of hours, speed isn’t just nice to have—it’s essential.

In essence, brands are taking back control, and the advertising world is never going to be the same. The middlemen are feeling the squeeze, and direct engagement is becoming the norm rather than the exception. The message is loud and clear: if you want something done right, you might as well do it yourself. After all, who knows your brand better than you do?

So, What’s Fueling This Advertising Exodus?

In a word: Technology.

The digital revolution has shattered the media landscape into a kaleidoscope of platforms—social media, streaming services, podcasts, influencers, virtual reality experiences—you name it. It’s like the media gods tossed the old playbook out the window and said, “Let’s see what happens when we shake things up.” And boy, did they shake things up.

This explosion hasn’t just fragmented audiences; it’s democratized the tools needed to reach them. Remember when advertising on TV required a small fortune and a network connection? Now, a teenager with a smartphone can reach millions on TikTok before you’ve even had your morning coffee. It’s as if the gatekeepers have left the gates wide open, and everyone’s invited to the party.

Platforms like Google Ads, Facebook Ads, and TikTok’s advertising platform offer user-friendly interfaces that let brands target their audiences with sniper-like precision. Digital ad spending in the U.S. continues to surge, projected to exceed previous records in 2024 and beyond, accounting for an ever-growing share of total media ad spending. That’s not just dominating the market; that’s rewriting the entire script.

But wait, there’s more. Social media ad spending alone is expected to keep climbing, outpacing traditional channels and capturing an even larger slice of the advertising pie. Streaming services and connected TV platforms are seeing ad revenues soar, with platforms like YouTube consistently raking in billions in ad revenue each year. It’s like everyone suddenly realized that eyeballs are glued to screens of all sizes, and they’re racing to stake their claim.

Projections suggest this growth isn’t slowing down anytime soon. By the mid-2020s, digital ad spending in the U.S. is expected to reach new heights, making traditional media look like that old VCR collecting dust in your basement. The writing’s on the wall, and it’s written in ones and zeros.

Linda Yaccarino, former Chairman of Advertising at NBCUniversal and now leading the charge at X (formerly Twitter), summed it up nicely when she said that the future of advertising lies in personalization and direct engagement with consumers through digital platforms. Brands are embracing this future with open arms—and open wallets. They’re pouring resources into digital strategies, influencer partnerships, and personalized content that speaks directly to consumers.

The rise of programmatic advertising has also played a significant role. Programmatic ad spend is expected to account for the vast majority of all digital display ad spending by 2024 and beyond, automating the ad buying process and allowing for real-time adjustments. It’s like having a personal assistant who’s always on, ensuring your message hits the right person at the right time.

In this new landscape, data is king. Brands are leveraging consumer insights to tailor their messages, creating a more intimate connection with their audiences. Studies have shown that a significant majority of consumers are more likely to make a purchase when brands offer personalized experiences, and brands are stepping up to the plate.

The bottom line? Technology hasn’t just changed the game; it’s flipped the board, scattered the pieces, and invited everyone to play. The democratization of advertising tools means that brands no longer need to rely on big agencies to reach their audiences. They have the power, and they’re using it to forge direct, meaningful connections with consumers.

The Paradox of Choice: Liberating Yet Overwhelming

But let’s not kid ourselves; the smorgasbord of advertising options today can be as overwhelming as trying to pick a movie on Netflix when you’re three episodes deep into indecision and starting to question your life choices. Brands—especially the smaller ones—might feel like they’re navigating a labyrinth designed by a mischievous minotaur armed with pop-up ads and autoplay videos.

It’s like walking into an all-you-can-eat buffet with a plate the size of a coaster. Sure, the options are endless, but where do you even start? Do you pile on the social media salad, grab a slice of influencer marketing pizza, or dive into the steaming hot dish of programmatic ads? By the time you’ve made a decision, the buffet is closed, and you’re left hungry and slightly confused.

Bob Liodice, the big cheese over at the ANA, summed it up when he said, “While bringing capabilities in-house offers control, it also requires significant investment in talent and technology.” Translation: just because you bought a fancy set of knives doesn’t mean you’re ready to be the next Iron Chef. Some brands think they’re too small to catch an agency’s eye and decide to go it alone, sometimes biting off more than they can chew—like ordering the spiciest item on the menu without checking the Scoville scale.

On the flip side, larger brands may feel shackled to the big holding companies, convinced that only a Titanic-sized agency can handle their colossal needs. It’s as if they’re afraid that jumping ship will leave them stranded on a deserted island with nothing but a volleyball for company. Meanwhile, doubts about transparency and effectiveness loom larger than a bad sequel to a horror franchise.

The irony? In a world bursting with choices, brands are feeling more paralyzed than ever. It’s the paradox of choice on steroids. Small brands worry about having the resources to manage complex campaigns, while big brands fret over whether their gargantuan agencies are nimble enough to keep up with the pace of change—or if they’re just lumbering giants dancing to last year’s tunes.

It’s a classic case of FOMO meets analysis paralysis. Brands don’t want to miss out on the latest marketing craze, but they’re also terrified of making the wrong move. It’s like being at a party where everyone else seems to know the secret handshake, and you’re awkwardly hovering by the punch bowl.

But here’s the kicker: the fear of making a misstep often leads to stagnation, which in this fast-paced digital age, is the biggest misstep of all. As the options multiply like rabbits on caffeine, the need for clear strategy and guidance becomes paramount. Otherwise, brands risk wandering the advertising wilderness like lost souls searching for Wi-Fi in a dead zone.

Trust Issues: The Not-So-Secret Ingredient

But let’s dive deeper into the trust issues that have been plaguing the industry like a bad Wi-Fi connection during a Zoom call. The relationship between brands and agencies has become as strained as trying to explain NFTs to your grandparents. Concerns over transparency, hidden fees, and data ownership have made brands as wary as a cat near a bathtub.

It’s like discovering that your fitness tracker isn’t just counting your steps but also selling your jogging routes to the highest bidder. Suddenly, that morning run feels less like a healthy habit and more like a data leak waiting to happen—not exactly the kind of motivation you signed up for.

Keith Weed, former Chief Marketing and Communications Officer at Unilever, nailed it when he said, “Transparency isn’t just a nice-to-have; it’s essential for building trust between brands and their partners.” And when someone who’s steered a corporate giant like Unilever speaks up, you might want to put down your latte and pay attention.

When trust erodes, so does the willingness to stick with the status quo. Brands start questioning whether their agencies are strategizing in their best interest or just taking them for a ride down Expense Lane. It’s like paying for premium gas and realizing you’ve been siphoned regular all along.

This breakdown in trust has pushed brands to rethink their relationships with agencies. They’re no longer content with vague reports and glossy presentations that say a lot but mean very little. They want transparency served up hotter than a fresh cup of coffee on a Monday morning.

Brands are asking pointed questions: Where exactly is our money going? How are you using our data? Why does this invoice look like it was written in hieroglyphics? It’s a corporate version of “It’s not me, it’s you,” and agencies are feeling the heat.

The fallout? Brands are more inclined to bring operations in-house or seek out partners who won’t make them feel like they’re playing a game of financial hide-and-seek. After all, in an age where data breaches are as common as celebrity apologies, who can afford to take chances?

In the end, it’s simple: Trust is the new currency, and brands are not willing to bankrupt themselves emotionally or financially. The agencies that get this will adapt and survive; those that don’t might find themselves as outdated as a fax machine in a 5G world.

Navigating the Media Maze: You’re in Control

But seriously, what’s a brand to do in this brave new world where the advertising landscape shifts faster than you can say “algorithm update”? First off, recognize that you have options. It’s like walking into an ice cream parlor with 100 flavors after years of being stuck with plain vanilla—you don’t have to settle anymore. And let’s be honest, who wants vanilla when you can have triple-chocolate-fudge-swirl with a dash of influencer sprinkles?

Define what matters most to you. Is it transparency? Because, let’s face it, nobody likes hidden fees or finding out their ad budget is being spent on bot farms in Siberia. Or maybe agility is your jam—the ability to pivot on a dime when the next TikTok trend explodes overnight. Perhaps you’re craving specialized expertise in emerging platforms like Twitch or Discord, where the youths are hanging out these days, speaking in memes and crafting the next viral sensation. Maybe it’s a combo platter of all these things.

Don’t be afraid to mix and match your approach. This isn’t a monogamous relationship; it’s more like speed dating with purpose. Many brands are finding success with hybrid models, maintaining certain capabilities in-house—where you can keep an eye on things—while collaborating with specialized agencies or consultants for those wildcards that require a bit more flair. It’s like having your cake and eating it too, without worrying about the calories.

Debbie Morrison, the Managing Director at Ebiquity, puts it succinctly: “Brands should assess their internal capabilities and consider partnerships that complement their strengths while filling in gaps.” In other words, you don’t have to go it entirely alone—just be smart about who you bring along for the ride. Think of it as assembling your own Avengers team, minus the spandex suits (unless that’s your thing, no judgment here).

Here’s the kicker: Flexibility is your secret weapon. The digital landscape changes more often than a teenager’s selfie poses, and you need partners who can keep up. That might mean partnering with a boutique agency that’s dialed into the TikTok zeitgeist or hiring a consultant who can navigate the murky waters of programmatic advertising without getting seasick.

Customization is king. The one-size-fits-all model is as outdated as dial-up internet. You wouldn’t wear the same outfit to a board meeting and a beach party, so why would you use the same advertising strategy across all platforms? Tailor your approach to fit your brand’s unique voice and the specific channels where your audience actually spends their time doom-scrolling.

So, shake things up. Break the mold. Challenge the old narratives that say you have to choose between going it alone or handing over the keys to a big agency that’s more interested in billable hours than your brand’s soul. The power is in your hands—or at least, it’s within your grasp if you’re willing to reach for it.

Remember, in today’s digital ecosystem, standing still is the quickest route to obsolescence. Don’t just dip your toes in the water; cannonball into the deep end. Sure, it might be a little chilly at first, but you’ll quickly warm up to the endless possibilities that come with taking control of your advertising destiny.

In the immortal words of someone probably famous, fortune favors the bold. So go ahead—be bold. Your brand deserves nothing less..

Final Musings and Some Unsolicited Advice

The advertising world is undergoing a transformation more dramatic than a reality TV show reunion—minus the thrown wine glasses but with all the drama. The old guard is being challenged, and brands are embracing new ways to connect with their audiences faster than you can say “viral TikTok dance.”

As I quipped last year, “In this fast-paced digital era, standing still is the same as moving backward. If you’re not ready to pivot, prepare to be left behind.” And let’s face it, nobody wants to be that brand still trying to make fetch happen.

Brands aren’t waiting for the industry to catch up; they’re forging ahead, leveraging technology and data to create meaningful connections. They’re like digital pioneers, charting unknown territories while the old mapmakers are still arguing over compass directions.

So, here’s some unsolicited advice, sprinkled with a dash of irreverence:

  • Be audacious. The safe path is overcrowded and, frankly, a bit dull. Take risks. If you fail, at least you’ll have a good story to tell at conferences.
  • Stay curious. The moment you think you’ve got it all figured out is the moment someone else disrupts the market with a dancing hologram.
  • Take control. It’s your brand, your message, your audience. Don’t hand over the keys to someone who still thinks MySpace is a hot marketing channel.
  • Seek guidance, but choose wisely. Not all who wander are lost, but a good GPS never hurt anyone. Collaborate with those who get your vision and can help you navigate the ever-changing landscape.

In the immortal words of… well, me: “If you’re not disrupting, you’re being disrupted.” So go ahead—shake things up, break the mold, and make some noise. The advertising world is your oyster, and it’s high time you shucked it open.

After all, why blend in when you were born to stand out?

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Why Programmatic CTV Still Feels Like a Fyre Festival for Advertisers

Imagine this: you’re three episodes deep in a binge, and a perfectly timed ad pops up, tempting you with something you didn’t even know you needed. That’s the dream of programmatic CTV—advertising that is as seamlessly woven into our favorite shows as it is creepily precise. But here’s the thing: programmatic CTV is a lot like the infamous Fyre Festival.

It’s been hyped to the high heavens, but whether it will ever deliver on its promise or leave us stranded in ad-tech chaos remains to be seen.

Why Advertisers Are Hooked on CTV’s Potential

CTV (Connected TV) has burst onto the scene with all the swagger of a big-budget blockbuster. The idea is tantalizing—combine the reach and lean-back ease of traditional TV with the data-rich targeting of digital ads, and you get CTV, a channel that’s both brand-safe and interactive. And with a major chunk of ad budgets predicted to shift to CTV over the next couple of years, it’s clear that advertisers are buying into the promise. They see CTV as a solution for capturing audience attention while integrating seamlessly into omni-channel campaigns, delivering messages wherever viewers may roam.

However, there’s a catch. While CTV may boast the “perfect” blend of real-time benefits and brand safety, the industry isn’t exactly running smoothly. Right now, programmatic CTV is more pipe dream than practical reality, and if the industry doesn’t tackle fundamental issues around transparency, inventory quality, and the dreaded “ad tech tax,” we could see the same frustrating patterns that plagued digital advertising rear their heads again.

The Programmatic CTV Hype: An Illusion of Simplicity?

In its early days, programmatic advertising fundamentally changed digital media by automating the buying and selling of ad space. Initially, ad networks dominated, providing centralized platforms where advertisers could purchase digital real estate across multiple websites. However, this process was clunky, and advertisers often found themselves paying for impressions with no guarantee of reaching their target audience. With the introduction of Real-Time Bidding (RTB) in the mid-2000s, this all changed. RTB allowed advertisers to bid on ad impressions on the fly, dynamically valuing each impression based on the user’s profile and context. This transition from bulk to individual impression buying was groundbreaking, allowing brands to achieve unprecedented precision and efficiency and turning programmatic into a vital part of any digital strategy.

As RTB and programmatic matured, DSPs and SSPs (demand- and supply-side platforms) became essential, bridging the gap between advertisers and publishers. DSPs enabled advertisers to place bids on ad impressions across a network of publishers, while SSPs helped publishers manage and optimize ad sales. Ad exchanges connected the two, allowing advertisers and publishers to buy and sell ad space in a real-time auction environment. This setup brought transparency, scalability, and control over campaign metrics, turning programmatic into a $100 billion industry.

Fast forward to today’s CTV landscape, and programmatic faces a different challenge. Unlike the near-endless inventory of digital display, CTV ad slots are limited and fiercely competitive. The allure of programmatic in CTV stems from its potential to bring the same scalability and targeting precision as digital, but the stakes are higher. Where display ads are served on countless sites, premium CTV real estate is much more scarce, and viewers are more engaged. While display ad spending in programmatic is at 91%, premium video only captures about 21%, largely due to CTV’s intricate ad structure and scarcity of inventory.

This dynamic has led to direct deals and programmatic guaranteed (PG) becoming the main modes of operation in CTV. PG deals and upfronts offer a degree of stability and predictability for publishers and advertisers alike, ensuring premium ad placement but limiting transparency and pricing flexibility. The emerging role of open real-time bidding (ORTB) in CTV, therefore, is to provide more competitive pricing and better fill rates by dynamically valuing impressions as inventory fluctuates. However, challenges remain: transparency is limited, and the biddable CTV ecosystem is still young and, in many ways, struggling with growing pains similar to digital’s early programmatic days.

Playing Second Fiddle: Why Programmatic Still Can’t Beat Direct Deals

The reason programmatic CTV hasn’t fully taken off boils down to an entrenched reliance on direct deals and Programmatic Guaranteed (PG) buys, which dominate due to their predictability and the safety net they offer for both buyers and sellers. PG deals, a form of programmatic direct buy, guarantee a set price and impressions, allowing advertisers to secure quality placements with minimal risk.

However, this safety comes at a cost: the rigid, pre-negotiated nature of these deals limits transparency, a sticking point for advertisers who often find themselves in the dark about exactly which content their ads run against until after the fact.

While open real-time bidding (ORTB) could address some of these issues by creating a more dynamic and transparent auction environment, its adoption remains niche within the CTV ecosystem. ORTB is widely seen as more transparent and scalable than traditional insertion orders (IOs), but most CTV ad inventory is still locked up in PG and upfront deals. Consequently, ORTB often ends up handling the “scatter” inventory—ads left over after the main slots are filled, which lacks the prestige of prime-time content. This limits the reach and appeal of ORTB, making it less attractive to brands looking for high-quality, predictable placement options.

Compounding the issue, programmatic CTV suffers from structural limitations that go back to the legacy of direct IO models, where publishers controlled ad placements without providing pre-transaction transparency. Today’s PG deals carry similar limitations: although they are highly efficient, they still sidestep the flexibility and transparency ORTB promises. In theory, ORTB should help publishers optimize yield by competing in an open market, but without widespread adoption or support from major CTV publishers, its impact remains limited. Additionally, as live and sports programming on CTV grows, programmatic options like ORTB could better monetize these dynamic events, but they are still overshadowed by the dominant PG deals and upfront commitments.

Overall, while ORTB offers potential for a more scalable, transparent programmatic CTV market, it’s not a complete solution. The current landscape favors fixed, high-return PG agreements over the flexibility and transparency ORTB could provide, highlighting that the dream of seamless programmatic CTV is still far from a reality.

The Reality Check: Inventory Quality and the “Ad Tech Tax”

CTV advertising promised premium, uninterrupted, “lean-back” experiences for users, but programmatic CTV hasn’t always delivered on this. The inventory issue is central to the problem: on paper, CTV inventory appears premium, but in reality, it can include ad placements in apps or contexts not traditionally associated with television—think “fireplace apps” or dating apps projected onto the family’s big screen. This “unintentional” inventory can result in misplacement, diluting the brand’s image and leaving advertisers skeptical of the value behind CTV’s high CPM rates. Recent steps, like the TV by OpenX initiative, aim to clean up these classification issues by excluding non-TV content (like gaming and user-generated material) from CTV inventory pools, which could help increase buyer confidence by ensuring that ad placements align with expected viewer experiences.

Transparency is another point of contention. Unlike digital display ads, where ad space seems infinite, CTV has a capped inventory, which demands high standards for user experience. However, the additional costs of brand safety and viewability checks—referred to as the “ad tech tax”—pile up quickly. For some advertisers, these costs can double what they’d expect from a “transparent” ad buy, prompting questions about programmatic CTV’s promised efficiency. Additionally, the complexities of server-side ad insertion (SSAI) and the use of identifiers like IP addresses or app IDs create tracking challenges, making it difficult to ensure ads reach the intended audience. The IAB’s efforts with guidelines like VAST 4.1 and projects to improve SSAI transparency are aimed at clarifying these aspects and ensuring inventory quality and measurement accuracy across CTV platforms.

In an attempt to improve transparency and quality, companies are also using technologies like Demand Path Optimization (DPO) to shorten the supply chain. DPO helps publishers minimize third-party involvement, ensuring ad slots are filled by vetted buyers, reducing safety risks, and enhancing ROI. Nonetheless, while initiatives like these may address some transparency issues, CTV’s reliance on intermediaries still complicates supply clarity. Consequently, the sector continues to face structural barriers that make seamless, efficient, and premium programmatic CTV inventory feel like a work in progress rather than a reality.

Let’s be real: the industry’s “truth” about programmatic advertising is a rare commodity. Too many so-called “journalists” are dancing to the tune of ad dollars, skewing facts to paint an idealized picture of the ecosystem. The adtech media landscape is rife with sponsored narratives that hide the gritty reality behind programmatic CTV’s issues—think opacity, ballooning fees, and low-quality inventory. When the biggest names in the industry are bankrolling the stories, it’s no surprise that glowing reviews outshine genuine critiques. If you want the raw, unvarnished truth about CTV and programmatic, you’ll need to dig deeper than industry-approved headlines.

Getting There: Programmatic Needs to Evolve

To make programmatic CTV more than just a buzzword, several critical reforms are essential. First up: inventory categorization. Right now, programmatic CTV allows premium content to sit alongside low-value apps, creating an ad experience that ranges wildly in quality and purpose. Initiatives like TV by OpenX+ are attempting to tackle this by removing non-TV content and making sure “CTV” actually means CTV. Without this, advertisers could end up paying premium prices for placements that are far from the high-quality streams they expect.

Measurement is another can of worms. Advertisers need consistent and independent verification to see exactly where their dollars go, but walled gardens—looking at you, Roku and Samsung—limit transparency by keeping data behind closed doors. This has been a pain point across the industry, with only a handful of platforms starting to adopt open measurement. Standards like IAB’s Open Measurement SDK, which tracks viewability across devices, are part of the solution but need wider adoption for true transparency. As it stands, current measurement systems often show only a partial view of campaign performance, making it tough for advertisers to understand or optimize the impact of their ads on CTV.

Lastly, the viewer experience is vital if CTV hopes to thrive. Viewers have come to expect an immersive, lean-back experience on streaming platforms, but programmatic ads—often repetitive, poorly timed, and irrelevant—undermine this. Quality control is key; ad placements should feel native to the streaming experience, not awkward intrusions from an unrelated platform. Studies show that ad relevance and timing are critical to maintaining engagement, and without these, the whole medium risks a massive viewer drop-off.

For CTV to reach its potential, the industry needs to align on quality and transparency, blending TV’s viewer-friendly setup with digital’s precision—if not, programmatic CTV may continue to struggle.

Scatter Market and the Rise of Biddable CTV

As CTV grows, so does the scatter market, which essentially sells unsold inventory outside the upfronts. It’s a convenient fallback, giving publishers a chance to monetize unused inventory and allowing advertisers to buy leftover slots at market rates. With live events and sports growing in popularity on CTV, expect to see more scatter inventory available through ORTB. But there’s a caveat: scatter inventory can be hit-or-miss, and advertisers must be prepared to do their homework.

Programmatic, particularly biddable CTV, is becoming the “new scatter,” giving buyers dynamic pricing options and the flexibility to respond to live audience shifts. But this approach still has transparency gaps and quality control issues, particularly when dealing with multiple sellers who may share inventory rights. It’s not uncommon for streaming services, TV manufacturers, and distributors to all sell the same ad slot in the same content, leading to high frequency and cluttered experiences for viewers. Buyers want better control and need DSPs and SSPs to work toward a more reliable supply chain.

Will Programmatic CTV Make It?

So, is programmatic CTV the next frontier, or are we kidding ourselves? Right now, it feels more like the Wild West than a well-oiled machine. Yes, programmatic CTV has huge potential, but it’s saddled with legacy issues that make it a far cry from the ideal we’ve been sold. The allure is real, but so are the growing pains. Programmatic CTV is a powerful tool, but until the industry cleans up its act, it’ll remain a flashy but flawed solution, plagued by transparency issues, pricing inefficiencies, and quality control headaches.

The dream of seamlessly targeted CTV ads isn’t dead, but let’s not pop the champagne just yet.

CTV has all the makings of an advertising juggernaut, but for now, it’s a work in progress—an experiment at the mercy of a fragmented and often opaque ad tech landscape. Whether it ever becomes a reality worth celebrating remains to be seen.

For now, advertisers, publishers, and tech providers will have to decide: is programmatic CTV worth the hype, or just another pipe dream we’ve been chasing in the endless pursuit of the “perfect” ad placement?

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EXCLUSIVE: Why SambaTV is Buying Semasio

Samba TV’s recent acquisition of Semasio is a headline-grabber in a market that’s all about survival of the smartest. This move isn’t just about padding Samba’s portfolio; it’s a power play positioning the company to dominate the Connected TV (CTV) and digital advertising landscapes. Ashwin Navin, Samba TV’s co-founder and CEO, says it best (or could have): “We’re not just doubling down—we’re bringing x-ray vision to advertising. And yes, it’s probably also predicting what you’ll binge on next Thursday night.”

In a market on the brink of a cookie-less future, Samba TV is leaning hard into privacy-first and context-driven ad solutions that could reshape audience targeting.

Semasio brings a wealth of tools and data to Samba’s already expansive AI-driven platform. With over a billion user profiles and 2.5 billion monthly web page analyses, Semasio allows Samba to deliver ad placements that aren’t just precise—they’re eerily relevant. Imagine a world where every ad fits like a puzzle piece into your screen time, tailored to match the content on the page or video in front of you. Samba’s new capabilities allow them to serve up ads that feel native to the viewer’s experience, without relying on intrusive third-party cookies. As Navin explains, “Our AI isn’t just here to save a buck. It’s about using data to tell better stories and to make sure ads fit into your screen time seamlessly.”

With ad-supported streaming on the rise and OTT content consumption surging by 40% year-over-year in the U.S. alone, Samba’s timing couldn’t be better. They’re now positioned to ride the wave of streaming’s shift from linear, capturing audiences in a world where cable’s grip is loosening by the day.

The industry is on a fast track toward ad-supported VOD (FAST) and hybrid streaming platforms that capitalize on viewers’ willingness to watch ads in exchange for content. With Samba’s new combo of Semasio’s contextual and audience data with Samba’s proprietary video insights, advertisers can now reach audiences in 50 countries across digital, mobile, and CTV.

Zac Pinkham, newly appointed General Manager of Semasio, takes the helm under Samba’s banner with a clear mission: expand and deepen Semasio’s reach in the CTV and digital ad landscape. As he puts it, “Our unified targeting approach, combined with Samba’s deep measurement insights and video viewership data, will enable advertisers to achieve greater reach and increased ability to accurately measure the results.”

This is Samba’s second big play in the AI space in two years. In 2022, they acquired Disruptel, a company specializing in AI-driven content recognition through natural language processing and computer vision. The result? An ad platform capable of analyzing on-screen content down to brand logos, products, and even character names. Navin’s enthusiasm is clear: “There’s no way a human can watch all these videos, so you need an AI vision for how you do this, 24/7, at massive scale.” Combining these AI-driven insights with Semasio’s audience targeting precision, Samba is primed to lead in a world where contextual, privacy-focused ads are no longer a nice-to-have—they’re the only option.

The numbers tell a story: Samba’s data-driven approach is already impacting sectors from health to entertainment, with recent ad impressions skyrocketing for brands savvy enough to switch to this new approach. This includes high-growth verticals like health, beauty, and even pet care, whose ad impressions rose by 17% in 2024. And with 68% of the top streaming shows being drama or based on beloved franchises, advertisers have plenty of valuable real estate to work with. Samba is leveraging this data not just to track viewership but to forecast trends that can shape future ad strategies.

As Samba goes global with Semasio, they’re going toe-to-toe with industry giants like Google, which has struggled to adapt its data-centric model to the new privacy-focused ad ecosystem. Instead of relying on walled-garden data and outdated cookie-based targeting, Samba’s method feels native and adaptable, capturing viewers across platforms without violating their privacy.

Samba’s play isn’t just bold; it’s almost clairvoyant. While competitors are still figuring out how to handle data privacy or maximize CTV reach, Samba’s fully equipped to handle both, setting a high bar for what advertising can and should look like in a privacy-first, context-driven future.

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Sprinkling Fairy Dust on CTV Ads: When Artificial Intelligence Meets Artificial Results

Connected TV (CTV) advertising was hyped as the marketer’s latest shiny toy—a seamless fusion of creativity and data-driven precision, all orchestrated by the ever-mystical artificial intelligence (AI).

The pitch? Hyper-targeted ads that not only know what you want but also when you want it, blending so smoothly into your favorite shows that you’d swear they were part of the plot.

The reality? It’s more like a badly scripted sitcom where the punchlines fall flat, and the guest stars are utterly forgettable.

The ACR Fiasco: When AI Can’t Read the Room

Automatic Content Recognition (ACR) was touted as the holy grail of contextual advertising. The promise was simple: AI would read the room, detect the emotional tone of your current binge-watch, and serve up an ad that’s not just relevant but contextually flawless. Imagine watching a spine-chilling episode of The Walking Dead and getting interrupted by an ad for knitting needles instead of, say, zombie repellant. Sounds absurd? That’s where ACR often lands.

Yan Liu
CEO/Co-founder at TVision

Yan Liu, CEO and Co-founder at TVision, doesn’t sugarcoat it: “AI is more about efficiency at this point, especially on some tasks you typically outsource. I think it will create more spam, MFA websites, and better creative for DR ads. AI is not good at linking multiple tasks yet. So I don’t think it can add tons to quality of execution or creative.” Most ACR systems can’t quite grasp the subtleties of human emotion. They recognize the genre but not the mood shifts that dictate what type of ad should follow. Instead of a seamless transition, advertisers end up with mismatched jingles that make viewers want to change the channel faster than you can say “ROI.”

Programmatic Buying: Precision or Pricey Guesswork?

Programmatic ad buying on CTV was supposed to be the sharpshooter’s dream—AI analyzing real-time data to hit the exact target with surgical precision. In theory, sounds like a marketer’s nirvana. In reality, it’s more like throwing darts blindfolded and hoping one lands in the right sector. Shared devices, fragmented data, and inflated CPMs (cost per thousand impressions) mean that “precision targeting” often misses the mark. You’re paying top dollar to reach your ideal demographic, only to have your ads shown to someone’s grandma binge-watching Golden Girls.

David Nyurenberg
Marketer, Advisor, Founder

David Nyurenberg, of Rain the Growth Agency, cuts through the nonsense: “AI has fundamentally changed how we approach CTV, allowing us to score each impression based on its likelihood of achieving the outcomes we need.” While this sounds revolutionary, it’s essentially just a fancy way of saying, “We’re making educated guesses with more data.” And let’s face it, even educated guesses can be wildly off when you’re dealing with the chaos of CTV.

Lara Koenig, global head of product at MiQ, summed up the issue: “Programmatic buying is at a midpoint in maturity; many systems still can’t escape the fragmentation that drives up CPMs while reducing accuracy.” Advertisers find themselves frustrated, managing layers of devices, apps, and ad exchanges, all claiming to deliver results—yet missing key targeting elements.

Lara Koenig Global Head of Product at MiQ

Shoppable Ads: Novelty Over Functionality

Shoppable ads were pitched as the future of CTV—ads so interactive that you could buy products without ever leaving your couch. Hulu and Roku have toyed with features like QR codes and product carousels, but let’s be real: navigating a purchase with a remote is about as enjoyable as trying to text with oven mitts on. Most viewers would rather swipe on their phones or click through on their laptops. Shoppable CTV ads remain more of a novelty than a mainstream solution, leaving advertisers scratching their heads and consumers frustrated.

Take Hulu’s clickable product carousels during prime-time shows, for example. The idea was brilliant on paper—blend commerce with entertainment, allowing viewers to instantly purchase the stylish jacket their favorite character just donned. In practice, though, the execution falls flat. Viewers are left fumbling with their remotes, trying to select tiny QR codes or navigate awkward drop-down menus while half-watching an intense drama.

Andrew King, GM and Product Lead at TripleLift, notes, “We’re already witnessing applications—smarter ad placements within content, more relevant programming schedules, enhanced insights atop campaign reports, even upscaled creative assets.” Yet, even with these advancements, the fundamental issue remains: the CTV interface isn’t conducive to seamless shopping.

Andrew King GM and Product at TripleLift – CTV

AI-Powered Brand Placement: The Awkward Cameo No One Asked For

AI-powered brand placement was sold as a groundbreaking tool that would seamlessly insert brands directly into the content you love—blending logos, products, and billboards into the very scenes of your favorite shows without the need for traditional ad breaks. The vision? A fully integrated brand experience where ads would feel as natural as the storyline itself. Some technologies aimed to embed branded elements post-production, letting characters casually sip from a strategically placed soda can or walk by a logo-embellished billboard, supposedly without pulling the viewer out of the narrative. Sounds futuristic, right? Well, not quite.

In reality, these placements often stick out like a bad CGI effect from a B-list movie. Instead of enhancing the content, these awkward insertions end up drawing attention to themselves, breaking immersion rather than adding to it. You might be watching a dramatic scene, but when an out-of-place product appears, it’s like getting hit over the head with a brand. Suddenly, the emotional moment between two characters is hijacked by a poorly rendered energy drink can that feels jarringly forced. Instead of seamless integration, these placements often feel like a desperate attempt to gain visibility, ironically doing more harm than good.

Jason Fairchild, CEO of TvScientific, believes real AI can revolutionize CTV but cautions against the current “magic fairy dust” use of AI by most companies. TvScientific focuses on two main areas:

Jason Fairchild
Co-Founder and CEO at tvScientific
  • Campaign Optimization: Using AI to drive advertiser-declared outcomes like ROAS, CPA, and CPI by automating campaign adjustments based on a vast array of data points.
  • Creative Optimization: Building and optimizing TV ad creatives at the element level, determining which ad variations perform best with specific audience segments.

Who’s Actually Delivering? A Few Shining Stars

Amidst the sea of overhyped AI tools, a few companies are actually making meaningful strides:

  • Comcast’s FreeWheel: Integrating AI into programmatic buying, FreeWheel optimizes ad placements by finding premium inventory that aligns with real-time viewership trends.
  • Origin’s Slingshot: Using AI to optimize ad delivery timing, Slingshot boosts viewer retention and ad effectiveness by aligning ads more closely with how people actually watch CTV.
  • KERV Interactive: Pioneering shoppable CTV ads, KERV adds interactive elements that allow viewers to explore products in real-time, though the remote-based interface remains a hurdle.
  • Vizio’s Inscape: Leveraging real-time viewing data, Inscape offers granular insights that help advertisers optimize placements based on actual viewer behavior.
  • The Trade Desk’s Koa: Analyzing millions of data points, Koa enhances campaign effectiveness and audience reach across multiple devices, providing a more accurate targeting mechanism.

The Future: Efficiency Over Revolution (For Now)

Yan Liu sums it up best: “AI is more about efficiency at this point, especially on some tasks you typically outsource.” AI in CTV is great for automating repetitive, data-heavy tasks, but it’s not yet the creative powerhouse it was touted to be. As Liu puts it, “AI will create more spam, MFA websites, and better creative for DR ads. AI is not good at linking multiple tasks yet. So I don’t think it can add tons to quality of execution or creative.”

Jason Fairchild of TvScientific argues that real AI can revolutionize CTV by optimizing campaigns and creatives in ways humans simply can’t manage. “We think about AI/ML in terms of automating vitally important components of our business, which is leveraging TV advertising to drive actual business outcomes for advertisers,” he explains. His company has developed patented technology that optimizes campaigns and creatives to achieve advertiser-declared outcomes, proving that AI can indeed be transformative when applied correctly.

Final Thoughts: The Emperor’s New Algorithms

So, where does that leave us? AI in CTV is still wearing the emperor’s new clothes—glamorous on the surface but lacking real substance underneath. While companies like Origin, KERV Interactive, Vizio’s Inscape, The Trade Desk, and FreeWheel are making genuine progress, the majority of AI applications in CTV remain more smoke and mirrors than actual game-changers. The real magic, as Jason Fairchild suggests, lies in AI’s ability to handle vast data and optimize campaigns beyond human capacity, but this potential is yet to be fully realized.

For marketers, the advice is clear: approach AI in CTV with a healthy dose of skepticism. Don’t buy into the hype without seeing real results. Focus on leveraging AI where it truly adds value—efficiency, data analytics, and strategic optimization—while keeping your expectations grounded. Until AI can seamlessly blend into the creative process and deliver on its grand promises, it’s best to view it as a powerful tool rather than the wizard behind the curtain.

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Laurel Rossi on Marketing’s Shiny Distractions, Linear TV’s Last Gasp, and Why the Industry’s All Bark and No Bite

Let’s be clear: Laurel Rossi isn’t here to join the echo chamber of ad executives talking about “disruption” while sipping their third champagne at Cannes. No, Rossi, who juggles the roles of Chief Marketing Officer and Chief Revenue Officer at Infillion, is here to strip marketing down to its bare bones—and she’s not interested in sugarcoating it. For Rossi, marketing isn’t about joining another panel to talk in circles; it’s about real impact, measurable outcomes, and finally letting go of the industry’s obsession with buzzwords that belong in 2010.

“If it’s not driving impact, what’s the point?” she quips. And she’s not just blowing smoke. Her career has taken her from high-powered roles at Omnicom to selling her own consultancy to Havas, where she ran massive teams like they were small startup labs, cutting fluff and boosting performance. Now, at Infillion, she’s doubling down on the very thing most marketers only like to flirt with: honesty.

Infillion’s IDVx: Where Interactivity Finally Means More than a Button

One of Rossi’s big plays at Infillion has been the launch of IDVx, a video solution that brings “interactivity” back from the land of gimmicky overlays and click-to-nowhere banners. “Most ‘interactive’ ads these days are about as engaging as a stale bagel,” she says with a laugh. “If all you’re giving people is a button to click, you’re missing the whole point of interactive video.”

IDVx, by contrast, is built on the foundation of TrueX’s interactive ad formats, which have been pioneering engagement since the days when most advertisers thought “interactivity” just meant a bigger logo. “With IDVx, we’re blending that TrueX creativity with MediaMath’s programmatic tech,” she explains, “so brands don’t have to pick between impact and scale.” It’s not just a bigger ad budget thrown at the problem; it’s a tool designed to make viewers actually want to engage. “We’re seeing engagement rates that finally back up what video advertising was always supposed to be about,” she says.

State of Video Marketing: “All Flash, No Substance”

Ask Rossi about the state of video marketing, and she’ll tell you it’s in an identity crisis. “Look, everyone’s obsessed with shiny creative campaigns, but most of them are just that—shiny,” she says. The problem? “Most brands are chasing awards instead of actual reach,” Rossi continues, “and they’re getting lost in the spectacle.” She’s seen enough “groundbreaking” campaigns that never actually broke through to viewers, and she’s had it with the idea that viral content alone is enough to justify a marketing budget.

“It’s like we’re in this race to make ads that are beautiful and technically dazzling but don’t even make a dent in recall or sales,” she says. With tools like IDVx, she’s betting on campaigns that don’t just win awards but keep people engaged long enough to actually buy something. “Interactivity was always supposed to mean immersion, not just a distraction. That’s what we’re bringing back.”

Linear TV: Still Alive—But Barely

Rossi has her foot firmly in the digital world, but she’s got a surprisingly soft spot for linear TV, too. Sort of. “Linear TV is like that reliable old dog who’s slower than he used to be but still great at making people feel something,” she says, “but it’s gotta be part of a bigger plan.” Rossi sees linear TV as the last bastion of broad reach, but she’s quick to add that “it can’t just be a dumping ground for leftover budget.” Instead, she argues, it’s about smart integration: pairing linear TV’s reach with digital precision to actually reach the right audience, not just the biggest one.

“It’s like we’re finally realizing that TV and digital aren’t enemies. They’re roommates that need to start sharing a lease,” she jokes. For Rossi, linear TV still has value, but it needs to play nicely with digital—and that’s something most brands still aren’t getting right.

Five No-B.S. Tips for Today’s Media Buyers

When it comes to advice, Rossi is quick and to the point. “You can only slice this thing so many ways,” she says, before rattling off her list of essentials:

  1. Not All Attention is Equal: “It’s not just about getting noticed; it’s about engaging with people who want to notice you,” she says. Rossi believes in what she calls “experiential attention”—the kind of attention where viewers actually choose to watch. “We’ve had enough of the ‘loud and annoying’ era,” she says.
  2. Embrace the Era of Always Shopping: “Forget the old ‘customer journey’—people are shopping all the time now, everywhere they look,” she says. To her, marketers need to stop thinking of awareness as some mystical phase of discovery and start thinking of it as a 24/7 reality.
  3. Put Women’s Sports on Your Radar: “If you’re not sponsoring women’s sports, you’re asleep at the wheel,” Rossi says. With sports stars like Caitlin Clark and Angel Reese making headlines, women’s sports aren’t just an add-on—they’re a growing cultural force. “You’re missing out if you’re not tapping into that.”
  4. Think Beyond the Game: For Rossi, live sports are just one piece of the puzzle. “Gen-Z doesn’t care as much about the game itself as they do about the commentary, podcasts, and the social content around it,” she says. “If you’re not part of the cultural conversation, you’re invisible.”
  5. CTV Isn’t Social Media: “Thinking CTV and social are the same is rookie stuff,” Rossi laughs. Brands that simply drop ads into TikTok or Instagram and expect sales are setting themselves up to fail. “It’s about balancing performance and awareness across platforms, not just shoving content into every feed.”

The Inclusion Café: Cannes, Rosé, and Real Talk on Diversity

This year, Rossi took a different approach at Cannes Lions with her brainchild, the Inclusion Café, a pop-up space at the festival that sparked the kinds of conversations that rarely happen on the Croisette. It wasn’t about platitudes or hollow pledges to “do better.” Instead, it was about tackling the real, uncomfortable truths head-on. “We had everyone from GLAAD to Group Black to the NAACP around the table,” she explains, “and we’re not here for anyone’s ‘nice try’ efforts.”

For Rossi, the Inclusion Café isn’t just a one-time stunt. She sees it as a blueprint for real change. “We’re not in the business of patting ourselves on the back for good intentions,” she says. The goal was to get brands past the stage of talking about inclusivity and into actually measuring and holding themselves accountable for it.

Her advice for brands stepping into the murky waters of inclusivity? “Stop obsessing over getting the language perfect,” she says bluntly. “People want to see actions, not just well-chosen words.” Rossi’s long-term vision for the Inclusion Café goes beyond corporate lip service, envisioning a future where inclusivity becomes a core element of brand identity, not just an add-on for marketing week.

The Bottom Line

Laurel Rossi isn’t here to play nice, and she’s certainly not here to keep repeating the same old industry fluff. She’s calling out lazy tactics, challenging stale strategies, and demanding more from an industry that’s long been comfortable with doing the bare minimum. Whether it’s bringing real interactivity to video ads, making linear TV work harder, or creating spaces like the Inclusion Café, Rossi’s out to hold advertising accountable. And if that makes her some kind of disruptor, so be it. “At the end of the day, if we’re not making an impact, we’re wasting everyone’s time.”

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Mark Coleman: The VC Who Tossed the Rulebook (And has a heart)

Meet Mark Coleman, a venture capitalist who doesn’t give a rip about the traditional VC playbook. Management fees? Nope. Early exits? Not his style. And don’t even think about trying to impress him with your ping-pong table or kombucha bar. Coleman is part startup whisperer, part reality check artist, and all about cutting through the nonsense.

In an industry that loves to fawn over “disruptors” who usually end up just reinventing the wheel with shinier PR, Coleman stands out. He’s been in the trenches, sold DoubleClick to Google (no big deal, right?), and now spends his days mentoring entrepreneurs—often while politely telling them to focus on real problems instead of playing Startup Bingo with buzzwords.

Let’s dive in, because this guy is not your average suit.

From the Sweaty-Palmed Trenches to Investor Zen

“So you’ve gone from the ramen-eating, sleep-deprived startup life to the chill investor vibe, sipping artisanal coffee while watching others do the panic dance,” quips Pesach Lattin, kicking off their conversation on The ADOTAT Show. Coleman smiles, the kind of smile that says, “Yeah, I’ve seen some things.”

“We all have careers and paths we follow,” he says, with the serene tone of someone who’s done the 80-hour work weeks and come out the other side alive. Now he’s co-founder of Tambora Ventures, the man behind the curtain for startups looking to make it in a world that’s more likely to chew them up and spit them out than turn them into unicorns.

And here’s where Coleman’s journey gets interesting: he’s not in it for the cliché “giving back” storyline that investors love to preach. No, he’s in it because he genuinely enjoys seeing smart people solve big problems. “I was blessed to be around really smart people,” he says, “and now I’m paying it forward.”

When Founders Drive Into Walls, Coleman Hands Them a Map (Not a Helmet)

Now, if you think Coleman’s the kind of investor who’s going to put out every fire you start, you’ve got him all wrong. He’s not running a daycare for over-caffeinated founders. “We don’t wait for an accident to happen to put a stoplight at that corner,” Coleman explains, matter-of-factly. Instead, he’s all about stepping in before the flames start—because, let’s face it, by the time a founder is putting out fires, it’s probably too late.

Does he enjoy watching his protégés faceplant? Of course not. But he’s also not here to sugarcoat things. “I try not to own the car that they’re driving,” he says, which is basically venture capitalist code for: Your failures are yours to own, but I’ll help you avoid the worst of them.

Coleman’s not a fan of the last-minute rescue. In fact, he avoids the whole knight-in-shining-armor routine. “We like to get ahead of the curve,” he says, sipping his coffee, probably while his portfolio founders are downing espresso shots and praying they hit their next funding milestone.

Ping-Pong Tables? Please. Focus on Margins, Kid.

Remember those startups that spend more time deciding what color their office beanbags should be than on, you know, building a product people actually want? Coleman sees right through that fluff. “I bring it down to basic marketing 101,” he says, reminding everyone that building a business is about solving a problem—not winning the coolest office award on TechCrunch.

And here’s where it gets good: Coleman has a way of cutting through the noise that makes you wish more VCs did the same. “They didn’t go into this to be bankers, to be raising money,” he says, sounding almost exasperated. “They came in to be builders.”

You can almost hear the collective eye-roll when he talks about founders who obsess over branding before they’ve even figured out if their product works. “It’s all about the innovation. Taking it to market. Following their KPIs in the journey,” he adds, dropping business wisdom like it’s a TED Talk no one asked for but desperately needs.

No Fees, No Nonsense: Mark Coleman’s Unorthodox VC Strategy

Here’s where Mark Coleman breaks all the rules. In an industry that practically lives off of management fees—standard issue 2% for most VCs—Coleman just says, “Nah, I’m good.”

“I don’t charge a management fee for my LPs,” he says like it’s the most natural thing in the world, as if every other venture capitalist isn’t listening and clutching their pearls. Why? Because he doesn’t believe in taking money out of the ecosystem. He’s not here to play fund manager; he’s here to actually, you know, fund innovation.

“I thought the big bet was my vision,” he explains. “Let’s all make money together.” If that sounds almost utopian in the cutthroat world of venture capital, it’s because it is. But Coleman is clearly thriving. He’s already on his third fund, with partners who buy into his karma-fueled philosophy.

“I’m a karma guy,” he says, casually tossing out a sentiment that would make most financiers shudder. “I pay things forward… and I haven’t changed it. It’s been working, so it ain’t broke, I’m not gonna fix it.”

The Broken VC World: Coleman’s Not Here for Your Nonsense

If you’ve ever wondered what a venture capitalist who actually calls out the industry’s BS sounds like, wonder no more. Coleman pulls no punches when it comes to his thoughts on the state of the VC world.

“It’s a broken sector,” he says bluntly. “Sadly, a lot of bad actors on both sides.” He’s not just talking about shady founders fudging numbers to impress investors (although there are plenty of those). He’s also calling out investors who don’t do their due diligence and end up funding nonsense.

“I’m not saying I’m the new sheriff in town,” Coleman says, clearly indicating he’s absolutely the new sheriff in town, “but I’m protecting as many people as I can.”

This isn’t idle talk. Coleman’s approach to investing is grounded in his own experience of being a founder, and he’s keenly aware that, without the private sector, innovation dies. “Without private money, there’s no innovation, no investment.”

DoubleClick and Google: The Deal That Changed Everything

When Coleman talks about selling DoubleClick to Google, it’s not with the typical breathless excitement of a founder who cashed out. No, this was a deal made with careful calculation and a bit of pragmatism.

“We were public, went private, took on a PE firm, and were making real-time decisions about what to do,” Coleman recalls. It wasn’t exactly a fairytale exit. In fact, Coleman had two buyers—Google and Microsoft—vying for DoubleClick at the time, and they had to make fast, strategic moves.

Google won the bidding war, but Coleman wasn’t convinced they’d actually keep DoubleClick’s technology. “I was positive they were going to sunset the technology,” he admits. Instead, DoubleClick’s tech became foundational to Google’s ad empire, outlasting even his expectations.

Looking back, does he regret selling to Google? Not a chance. “It was one of the best sales with a great company for an exit. I don’t think I would ever change it again.”

The Israeli Startup Scene: Frogs, Princes, and Kicking Tires

Coleman’s got a soft spot for Israeli startups, but he’s not starry-eyed about it. In fact, he’s been mentoring companies there for years, partly because of his deep personal connection—his wife is a first-generation Holocaust survivor—but also because he sees immense potential.

But Israeli founders, as much as they’re celebrated, sometimes need a little dose of reality, according to Coleman. “It’s too intense,” he says of the culture. The whole “move fast and break things” mentality might work when you’re building apps in Tel Aviv, but taking it global requires a different strategy.

“You can have a nickel for every meeting and a bucket full of change but no money,” he laughs, referencing how some Israeli founders get stuck in a meeting loop without sealing the deal. Coleman’s all about KPIs and moving the needle, not just endless pitch meetings.

The Superpower of Healing (No, Seriously)

At this point, you might be thinking, “Alright, but what does Mark Coleman actually do for fun?”

The answer? Not what you’d expect from a guy who’s reshaping venture capital. Coleman’s big hobby? Gardening. “I love gardening and landscaping,” he says, sounding almost Zen. And when asked what superpower he’d want, he doesn’t opt for something flashy like flying or mind control. Nope. Coleman wants the power of healing. “I’m all about longevity and health and quality of life.”

Not exactly what you’d expect from a venture capitalist, right? But that’s exactly the point. Coleman is not what you expect, period.

Final Thoughts: Don’t Be Evil (But Maybe Be a Little Bold)

Mark Coleman is not your average VC. He’s ditching the management fees, calling out bad actors, and treating his founders like family (without the passive-aggressive holiday dinners). And he’s doing it all without an alarm clock.

His advice to founders? Simple: “Just do good. I always loved Google’s ‘Don’t be evil.'”

In a world where venture capital often seems to be about making money fast and getting out before the market shifts, Coleman is a breath of fresh air. He’s in it for the long game. He’s in it for the people. And while the rest of the VC world might be broken, he’s quietly—perhaps even stubbornly—building something better.

You don’t have to agree with him. But it’s hard not to respect him. And in venture capital, that’s saying something.

WATCH THE FULL EPISODE HERE

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AdTech’s Great Purge: The Last Stand of the Bloat Masters

Terrence Kawaja’s “Great Ad Tech Cleanup” isn’t just a neat metaphor—it’s an industrial-strength decluttering of a sector that’s spent years accumulating more fat than muscle. For two decades, ad tech has lurched from manual insertion orders to programmatic automation, layering in more platforms, middlemen, and bloated fees with every step. DSPs, SSPs, verification layers, and data vendors all claim their “necessary” share, which Kawaja sums up as the “ad tech tax”—a nice way of saying “a whole lot of people getting paid for not a lot of value.”

According to Kawaja, we’re now witnessing the reckoning, and it’s not for the faint-hearted. Major players from Rocket Fuel to YuMe and Tremor Video have been gobbled up, unable to keep pace. What’s left? Leaner companies like The Trade Desk, who’ve stayed agile by trimming the fat and automating where others fell behind. It’s musical chairs for ad tech, and if you’re not at the table, you’re not in the game.

The Platform Era: Where Consolidation is the Name of Survival

Starting in 2023, the sector faced a grim reality. Rising interest rates and weary investors demanded cost-cutting and higher margins. Public ad tech companies collectively upped EBITDA margins by about 7%, making them irresistible for acquisitions. With IPOs effectively off the table, the motto became “get bought or get lost.” Kawaja argues this grand-scale consolidation was overdue, with each acquisition promising a streamlined future of fewer, stronger players. Forget your dreams of IPO glory; these firms are in survival mode.

It’s not just about slashing costs. The backdrop of shifting privacy regulations and the cookie apocalypse added another layer of pressure. The ad tech world has been scrambling to pivot to cookieless alternatives—clean rooms, first-party data solutions, contextual targeting, anything that looks like it belongs in a “privacy-first” world. Ironically, Google, the long-time ruler of digital ads, has turned into a “backseat driver,” delaying the end of third-party cookies repeatedly. Originally set for 2022, then 2023, and now slated for 2024, Google’s cookie phase-out has become a painfully expensive limbo, forcing companies to prepare for an uncertain, cookieless future.

In classic Kawaja style, he jokes that Google’s endless delays are a bit like Lucy pulling the football away from Charlie Brown. While tech giants have been left spinning their wheels, smaller ad tech players, many ill-prepared, face a “clean up or get out” ultimatum. 

And if Google’s hand is eventually forced in its ongoing antitrust saga, we could even see Google Ad Manager put up for sale. Just imagine that ripple effect.

Betting Big on CTV and Retail Media

Beyond privacy pressures and investor expectations, the consolidation craze also marks a strategic pivot toward growth markets like Connected TV (CTV) and retail media. CTV is the new golden child, a landscape where programmatic advertising has taken off faster than you can say “prime time.” The Trade Desk, for example, shines here, riding the wave of automated CTV solutions. Retail media, on the other hand, is more complex. Sure, everyone’s excited about it, but we haven’t seen it unlock significant new ad budgets. Instead, retail media feels like a case of robbing Peter to pay Paul, as ad dollars merely shift from one channel to another.

Outbrain’s acquisition of Teads and DoubleVerify’s purchase of SciBids demonstrate this trend toward media channels that offer direct, measurable ROI. CTV and AI are both magnets for M&A, with the hope they’ll deliver a tech-heavy ad future minus the bloat of ad tax.

AI as the New Power Play

For Kawaja, AI isn’t just another buzzword; it’s the future of ad buying. With AI-driven tools promising smarter targeting and real-time campaign optimization, legacy systems may be on their way out. DoubleVerify’s 2023 acquisition of SciBids, an AI-driven campaign optimizer, exemplifies how companies are betting big on tech that reduces human error—and middlemen. By leaning on AI, Kawaja argues that ad tech can finally cut out redundant layers that eat up budgets without adding value. In theory, AI could turn the messy programmatic landscape into a streamlined ecosystem where fewer players capture more market share.

But this vision isn’t without its caveats. AI is great in theory but complex in execution, requiring expertise and budget that not every ad tech firm can muster. It’s also no guarantee that ad tech’s problems will magically solve themselves just because some algorithms are now running the show.

Challenges Loom Large: Consolidation as a High-Stakes Gamble

The “Great Cleanup” of ad tech, as Kawaja describes it, is anything but smooth sailing. Retail media, despite the hype as ad tech’s next big thing, isn’t quite the goldmine it was billed to be. Sure, it managed to secure a whopping $122 billion in global ad spending in 2023, but the problem is, much of that budget is siphoned off from other channels rather than being new, incremental spend. In other words, retail media isn’t actually expanding the pie; it’s just rearranging the slices. While retail media continues to emerge as an important ad channel, it hasn’t yet delivered the net new growth investors were hoping for.

The sector is also starting to outgrow its “experimental” label. With the IAB’s new Retail Media Measurement Guidelines aiming to introduce some long-overdue standards, advertisers finally have a roadmap to evaluate returns more consistently. Until now, brands have been hesitant to dive in, wary of putting big bucks into a channel that hadn’t quite proven itself or offered reliable ROI metrics. Many media buyers currently rank retail media ROI as subpar compared to more established channels. It’s like trying to sell a new soda without any idea of how much fizz is in each can. Meanwhile, partnerships are flourishing, with retailers linking up with giants like Meta, Criteo, and The Trade Desk, making retail media a ripe spot for mergers and acquisitions. But without robust data to show whether these big bets pay off, retail media could turn out to be just the latest flash-in-the-pan hype.

Enter AI, the new must-have for any ad tech firm looking to remain relevant. The promise of AI-driven tools—predictive ad targeting, fraud detection, and even dynamic ad creation—is huge. AI can streamline processes and slash inefficiencies in a single, powerful swipe. But AI adoption isn’t cheap or easy. Implementing machine learning and predictive modeling tools requires skilled teams and a sizeable budget, something smaller ad tech firms may struggle to provide. DoubleVerify’s acquisition of SciBids in 2023 was one of the first moves to make AI central to programmatic buying, showing how the big players are adapting AI to gain a significant edge. But for every win, there’s a question: can smaller players keep up, or will they be left behind, facing an industry barrier so steep it becomes a form of financial Darwinism?

For Kawaja, all this consolidation and adoption of new tech is more than a strategy—it’s the only path forward. Consolidation, he believes, will finally tame the unwieldy layers in ad tech, slashing the infamous “ad tech tax” that eats into profits at every turn. Investors seem to agree, as 2023 has nearly broken records for ad tech M&A. Yet consolidation alone isn’t a guaranteed fix. The industry is left with one big question: can these fewer, bigger players deliver the efficient, streamlined ecosystem Kawaja imagines? Or will they just become the last giants standing in an increasingly niche, hyper-consolidated market?

Retail media and AI are at a critical juncture. They hold the promise of transforming ad tech’s value and efficiency, but they also carry the risk of becoming another set of costly missteps. Will this “Great Cleanup” pay off, or are we simply seeing the ad tech tax shift from one layer to another? As Kawaja’s vision unfolds, ad tech finds itself both leaner and, perhaps ironically, more complex than ever.

The Brutal Forecast: Grow Up, or Get Out

Kawaja’s blueprint for the future isn’t all sunshine and roses. Ad tech needs to grow up, slim down, and cut the fat, or it risks total implosion. He envisions an industry where high-volume, low-margin firms set the standard while the bloated, inefficient ones either merge or disappear. His LumaScape might get leaner, but it’s still clear that this cleanup won’t be easy. It’s a call to action for ad tech to face reality: The future belongs to the lean, the nimble, and the efficient.

Whether the survivors can actually transform streamlined efficiency into true innovation—or if they’ll just be the last players left on the shrinking field—remains the billion-dollar question. Kawaja’s message is as blunt as it is optimistic: Clean up your act or step aside, because the Great Ad Tech Cleanup isn’t waiting for anyone to catch up.