Advertising Display Always Faces Challenges

Display advertising performanceDisplay advertising performance is not an issue of the agency business case, it’s an issue of the product. The simple truth is people do not want to look at display ads because more often than not they are interrupting desired behavior and they are irrelevant. People only put up with them because of lack of choice. Most of us hate ads, most ads are spam or junk information for us cause it doesn’t display at the right time or in the right place. Actually most of us misunderstood it in some ways, it has silently influenced our life of buying or shopping choices.

Many analog streamed media and minimal network content selection was the foundation for the agency advertising business model as we know it. Now we have a forced viewing model when you cannot access content without first viewing or closing a superimposed ads – is that a great customer experience? Is it no wonder that soon as people had more channels they channeled surfed, and with the advent of video tapes and DVR/Tivo they started avoiding ads altogether? The simple truth is people never liked display ads because they are virtually always irrelevant and intrusive. If consumers have tools to avoid irrelevant “Push” display ads they will continue to use them.

The only way display ads will be a success is if they become relevant by delivering value (emotional/ informational) quality content when it’s desired. Until then people will continue to avail themselves of whatever tools they can to avoid being solicited when they are not interested in being solicited. The brand agency model competes with transactional engagements based on the defensibility of the value created (evidenced by certifiable performance metrics). The transactional trend is securing a greater share of the marketing dollars because it’s proving to be a better product. With transactional models consumer’s better control the terms of engagement (on demand “Pull” relevancy), and corporations can quickly measure and manage success/failure to drive desired business outcomes. Yes, the current agency business model does not support digital display, but its relative failure resides more fundamentally in issues of product quality and ease of management.

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