Lévy Attributes Slow Q3 To Failed Omnicom Merger And Razorfish Losses

By

publicisPublicis Groupe reported a meager 1% organic growth rate for 2014’s Q3 on Thursday, with the displeased CEO Maurice Lévy blaming key account losses at Razorfish and lingering “distraction” on the failed Omnicom fusion. Publicis’ revenue in Q3 grew 4% YoY to reach $2.21 billion.

“We have been too much focused on [the merger] and not enough on short term issues and growth,” Lévy told investors during the call, “and we are paying the price for that.” Despite Lévy’s assertions, Omnicom Group reported organic growth of 6% in its Q3 and made little mention of the fiasco with Publicis.

Certainly key account losses at digital agency Razorfish – as well as clients like Blackberry trimming back their advertising budgets – had a more tangible negative effect on Publicis. 

Consequently, Publicis restructured the agency as Razorfish Global to include assets from Nurun and Rosetta.

In a statement, Lévy said the company is nearing the end of a negative growth cycle and expressed confidence in Publicis’ vitality. Strong growth in digital is one indicator of an impending uptick, said Lévy, and digital now accounts for 42% of Publicis’ revenue and is growing by more than 9%. He anticipated new client wins, such as Samsung, will also help bring about a better financial forecast by year’s end, he added.

Read the rest of this entry »


Email This Post Email This Post

Nielsen Reiterates Commitment To Digital During Q3 Earnings

By

NielsenQ32014We live in a world of media fragmentation, said Nielsen CEO Mitch Barnes during the company’s Q3 earnings call. And Nielsen, which reported Q3 revenue of $1.6 billion, a YoY increase of 13.3% (excluding its recent acquisitions of consumer research company Arbitron and market research firm Harris Interactive), wants to help measure it.

Net profits, however, continued their slump from last quarter, falling $91 million from $134 million year-over-year.

“The video landscape is evolving and that creates a growth opportunity for us,” Barnes said. “Fragmentation continues to increase and behavior is shifting as consumers take more control over when and how they choose to view content – and as they do, we see it’s not a zero sum game.”

That’s because, despite flatlining consumption of traditional television, digital video viewing shows no signs of slowing down. According to Adobe’s most recent video benchmark report, online TV viewing shot up 388% year-over-year.

“Choice leads to more, and this is true across every demographic,” Barnes said. “Nielsen is positioned to measure all of that viewing, both traditional TV and digital video.”

All in all, it’s proving to be a busy year for Nielsen. The company introduced mobile measurement functionality for its Online Campaign Ratings (OCR) offering in July, mobile measurement for TV in September and, finally, the beta version of Digital Content Ratings (DCR) in partnership with Adobe, which launched just this past Tuesday.

Read the rest of this entry »


Email This Post Email This Post

Hearst Magazines Deepens Relationship With Acxiom And Moves To Cloud

By

Hearst AxciomHearst Magazines plans to remove its marketing data from silos and bring it to the cloud using Acxiom.

Hearst hopes this move helps it bring together siloed customer information. Finding the overlap between Hearst newspaper and magazine subscribers, for example, is a manual process under the current system.

“If a customer engages with us in one channel, we can bring that into another channel. We can do direct mail with email follow-up, or take the fact that you’re a digital subscriber and bring that in,” explained Charlie Swift, VP of strategy and marketing operations at Hearst.

“That same database, used traditionally for offline, becomes far more accessible for online advertising,” said Atanas Popov, senior managing director of media for Acxiom, which has partnerships with Facebook, Twitter and Amazon, among others, allowing its clients to target subscribers beyond traditional channels like email and direct mail.

Hearst will also be able to combine offline and online data with greater ease thanks to the cloud infrastructure. Open APIs offer opportunities for personalization. Read the rest of this entry »


Email This Post Email This Post

Teradata’s Integrated Marketing Cloud: Not Totally Integrated, But Still A Strong Performer

By

TeradataIntegratedMarketingCloudWhat do you think of when you hear the words “marketing cloud?” Most likely, your mind conjures up Adobe, Salesforce, Oracle. Maybe even IBM.

Then there’s Teradata.

As noted in the first Forrester Wave evaluating enterprise marketing software suites (aka marketing clouds) released Tuesday, Teradata is more often recognized for its data warehousing solutions.

Over the years, Teradata acquired a handful of companies to build its Integrated Marketing Cloud, including campaign management from Aprimo and email marketing from the German company eCircle.

It more recently bought digital creative agency Ozone Online and several social media monitoring services from Argyle Social with an eye on enabling “personalized messaging and centralized data in one place across platforms,” said Darryl McDonald, president of Teradata Marketing Applications, speaking on stage at the company’s 2014 Partners conference in Nashville this week.

“The goal,” he said, “is to bring together marketing strategy with the process automation and applications” required to integrate customer data and online activity for better return on investment. “That’s what the Teradata Integrated Marketing Cloud is all about.”

Of course, that’s what every marketing cloud ostensibly is all about. 

So, how is Teradata marketing cloud different and, more to the point, what’s in there, exactly?

Read the rest of this entry »


Email This Post Email This Post

Mazola Oil Cooks Up Native Campaigns, Video On Womensforum.com

By

MazolaWomensLike other vertical content networks, Womensforum.com cornered a niche early – women’s health, beauty and entertainment – and cultivated an audience that today totals nearly 40 million unique monthly visitors.

The publisher has worked with household brands ranging from Sweet’NLow to Mazola Cooking Oil to “craft customized programs” that resonate with its female-based audience.

In the process, Womensforum has ramped up its video and native offerings. Although programmatic “may play a part in execution,” Mark Kaufman, CEO of Womensforum said the publisher’s immediate priority is packaging its inventory in creative ways for marketers.

Kaufman and Mike Shehorn, brand manager for Mazola, spoke with AdExchanger about the evolution of native content and where programmatic fits in when advertising on Womensforum.com.

AdExchanger: Womensforum.com has a growing video production unit called Studio444. Why is video production a priority?

MARK KAUFMAN: Video is only one piece of the puzzle. The video content itself has to be supported by distribution and that’s where our base of (close to) 40 million unique viewers comes in. They’re not only coming to our site to consume videos but we also distribute them out through our community of bloggers, social media, etc. Text is not gone. We have some native sponsorships and articles that help get Mazola Oil's message out in addition to video.

Read the rest of this entry »


Email This Post Email This Post

Come Together: How The Advertising And Software Industries Are Converging

By

louismoynihan“Data-Driven Thinking" is written by members of the media community and contains fresh ideas on the digital revolution in media.

Today’s column is written by Louis Moynihan, vice president of business development at Demandbase.

If you have been in ad tech a decade or two, you’re probably sensing a major sea change.

Online advertising used to be the immature sibling disrespecting traditional logic as it quickly created new processes and revenue models. Less than a decade ago, Adobe was simply a creative software maker, Google did text-based search ads and Oracle was all about ERP.

Online advertising eventually grew up and bypassed many of the traditional channels, creating a whole new set of players. And now Adobe has integrated software with creative, analytics, advertising, data management and marketing automation. Google is the ad standard in display, mobile, video, programmatic supply and demand. Meanwhile, Oracle has ingested so many large software acquisitions that we need a new definition for ERP in 2015.

The ad tech industry should pay attention to how the large software makers are positioning themselves and the acquisitions they are making – not just the ad tech acquisitions. The largest global software companies have invited ad tech to the adult table and the stakes couldn’t be higher.

Read the rest of this entry »


Email This Post Email This Post

Sorrell Troubled By Transparency Debate; Mayer's Mobile Confidence

By

sorrellconfusionHere's today's AdExchanger.com news round-up... Want it by email? Sign-up here.

Sorrell 'Puzzled' By Media Margin Pushback

Speaking at ad:tech London, WPP CEO Sir Martin Sorrell said he’s troubled by the debate around transparency and programmatic. Regarding his position on the media sold through WPP’s programmatic arm, Xaxis, Sorrel said, “We decided to do this on an opt-in basis. We ripped up 2,500 media contracts. We explained to clients what was happening and told them they could opt in.” He continued, “Some of them chose not to, largely because of the transparency issue, which I’m a little bit puzzled by because nobody knows what happens when you double click with Google or use Facebook. People don’t know how they work. Algorithms change, and people don’t know how they change.” Sorrell said WPP’s margins are 15 or 16% of revenues, compared to Facebook and Google’s margins in the 40-50% range. Read on via The Drum.

Read the rest of this entry »


Email This Post Email This Post

Facebook Reorgs PMD Program, Adding Agencies And More Partner Categories

By

bye-bye-badgesFacebook is unraveling its preferred marketing developer (PMD) program, its platform for organizing and referring key partners to prospective advertisers. In its place will be a new classification system, called simply Facebook Marketing Partners (FMP, for the acronym-addicted), with no badges but with a list of nine "specialties" – including ad tech, content marketing, and data providers – designed to highlight specific competencies.

Among the most significant changes: Facebook will dump its strategic marketing partner (sPMD) designation, at one time a recognition of all-around mastery of Facebook's toolset for marketers, as well as an unspoken "pat on the back" for vendors driving significant spend to the Facebook platform.

But over time the sPMD badge became an "opaque signal," in Facebook's words. It came to signify that a partner is "good," without answering "what at?" Companies currently basking in the sPMD spotlight will be relocated to other specialty buckets.

"We felt like the 'S' had served a tremendous purpose for a while," said Blake Chandlee, VP global partnerships at Facebook. "The message was, these people are good at what they do. We could add a whole bunch of people, but then it destroys the original intent, which was to help clients understand who can help them with specific needs."

In the end, getting to "specific needs" required a system of nine specializations. They are: Read the rest of this entry »


Email This Post Email This Post

Q3: IPG Says Marketers Fear Programmatic’s Black Box

By

IPGInterpublic Group (IPG) reported Q3 revenue of $1.84 billion, an 8.3% increase YoY and an organic increase of 6.3%.

IPG Chairman and CEO Michael Roth attributed the solid quarter to strategic digital developments and to the competitiveness of its agencies. IPG’s media agencies are housed in its Mediabrands entity and include Initiative, BPN, ID Media and Orion Holdings.

Roth provided only a rough estimate on the holding company’s programmatic investments, saying it’s about 7% of overall media spend globally and about 10% in the US.

“We continue to believe one of the biggest issues of programmatic buying is the issue of distrust by the clients, because they don’t really understand what’s going into this ‘black box,’” said Roth, adding some clients, though not a huge amount, are taking their practices in-house.

“We’re going to have to watch this very carefully,” he said. “But if we’re doing our job right in terms of delivering on an efficient basis and delivering the returns through our trading, then there shouldn’t be any need for clients to take it internally.”

Roth didn’t see any novelty in this decision, saying IPG has often witnessed clients take their marketing disciplines in-house and that it doesn’t tend to work well, especially for smaller clients unable to field the talent, technology and resources.

Read the rest of this entry »


Email This Post Email This Post

Could LinkedIn Steal Salesforce.com’s CRM Share?

By

CRMLILinkedIn has plans to make marketing leads “more quantifiable, and attributable” across the Web and through a company’s own sales channels, and in a year’s time will enable a much deeper view of conversions.

“If you have a tool that can import all of your prospects to a LinkedIn tool, why wouldn’t you want to market to individuals and prospects rather than rely on proxies?” said Penry Price, VP of global sales and marketing solutions at LinkedIn, speaking Tuesday at GroupM’s What’s Next conference in New York City.

Following LinkedIn's launch last quarter of an all-new SaaS platform Sales Navigator for enterprise (previously, sales prospecting was more of a feature-function) and acquisition of B2B marketing platform Bizo, it started to look like LinkedIn could usurp the dominant claim Salesforce.com has over the contact record and SFA.

Although LinkedIn integrates with the ubiquitous CRM system, Salesforce.com, could LinkedIn itself become a CRM database of record? After all, the company has access to a business user audience of 300 million-plus. In an interview with AdExchanger, Price acknowledged LinkedIn wants to do a “better job of lead generation than anywhere else online.”

And at the GroupM conference, he referenced  messaging tools coming down the pike designed to do just that by enabling marketers to “sequentially deliver relevant creative as someone moves through the funnel, and understand [the nature of a] conversion through CRM matches.”

Read the rest of this entry »


Email This Post Email This Post