Bits and Bobs from around the industry:
- How Google got away with charging publishers more than anyone else
- The Best Advice at the IAB Connected Commerce Summit: Don’t Annoy your customer
- DOJ vs. Google: Can the digital media industry learn from the last 15 years?
- Twitch launched brand-customizable game in Fortnite
How Google got away with charging publishers more than anyone else
Google’s 20% fee on ad transactions took center stage in its antitrust trial, with the DOJ arguing that the fee highlights Google’s monopoly over online ads. Internal Google emails and testimony revealed executives were concerned about justifying the fee, which was higher than competitors’. However, they maintained it due to Google’s control over a vast advertiser base. The government is attempting to prove that Google tied its publisher ad server to its ad exchange to maintain dominance, despite the company’s defense that publishers benefited from its system. The trial continues with more testimony expected.
The Best Advice At The IAB Connected Commerce Summit: Don’t Annoy Your Customer
The IAB’s Connected Commerce Summit emphasized the importance of understanding consumers in retail media. While expanding ad budgets and improving effectiveness were key themes, many stressed that overuse of retail media could alienate shoppers. Digital out-of-home ads, or “phygital” ads, should enhance the shopping experience rather than disrupt it. IAB research highlighted a disconnect between brands and consumers, with commerce videos seen as intrusive by some shoppers despite advertisers believing them to be effective. The summit concluded that while data is crucial, marketers must rely on intuition and trust to maintain strong consumer relationships.
DOJ vs. Google: Can the digital media industry learn from the last 15 years?
As the Department of Justice prepares to close its case in the Google antitrust trial, evidence from over 30 witnesses and internal documents suggest Google has operated monopolies in ad exchanges, networks, and search. Notable disclosures include discussions by top executives, like YouTube CEO Neal Mohan, about acquiring competitors to limit competition. The case highlights how regulators failed to act on similar monopolistic practices in the past, and critics argue both publishers and advertisers played roles in Google’s dominance. Industry leaders, such as Alessandro De Zanche and Paul Bannister, emphasize learning from these past mistakes, particularly as AI technologies emerge.
Twitch Launches Brand-Customizable Game In Fortnite
Twitch, in collaboration with Amazon Ads, is launching The Glitch, a customizable Fortnite game designed to connect brands with Twitch streamers and gamers. Created by Halo co-creator Alexander Seropian’s Look North World studio, The Glitch allows brands like Domino’s and Peloton to create unique in-game experiences. Domino’s will introduce a pizza-themed health boost, while Peloton will track engagement with non-combative gameplay.
Amazon invites brands to stay in the game for at least one fiscal quarter to maximize engagement with Twitch’s core audience, primarily aged 18-34. Brand activations will also be promoted through Twitch streamers on the platform’s homepage, broadening visibility. The Glitch officially opens to the public on Friday, coinciding with Twitch’s annual convention in San Diego. Amazon Ads plans to bring more brands into the evolving experience, offering new ways for companies to engage with gamers.
