Home Ad Exchange News LG Says It Won’t Charge Buyers If Their Ads Don’t Perform; BOK Is Back?

LG Says It Won’t Charge Buyers If Their Ads Don’t Perform; BOK Is Back?

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Let’s See, LG

Smart TV manufacturer LG is on board with the outcomes-based buying trend, but with a twist – advertisers that don’t hit performance goals don’t have to pay.

On Wednesday, LG Ads Solutions launched Guaranteed Outcomes, which promises brands they’ll only pay when their CTV or native campaigns hit certain KPIs. LG is guaranteeing metrics, including frequency, reach and video completion rates across CTV and LG TVs for programmatic web, mobile and retargeting campaigns.

But who gets to attribute these metrics?

Well, LG Ads Solutions announced a deal last month with iSpot.tv, a cross-screen measurement provider with licensed data from over 50 million TVs. iSpot is one of several third-party measurement companies that will verify campaign KPIs running on LG smart TVs.

Guaranteed outcomes has been the missing puzzle piece for CTV, Keith Camoosa, Dentsu’s chief addressability officer, tells Digiday.

LG Ads Solutions says conversion metrics like tune-in, site visits and physical visits will become available in the coming months.

“We are only in the first quarter,” LG Ads President Serge Matta tells AdExchanger. “So we have a long way to go.”

BOK In Business

Brian O’Kelley, AppNexus founder and programmatic pioneer, is back in the ad game with a slightly different take on supply-chain dynamics. 

O’Kelley, known to many as “BOK,” launched a startup called Scope3 on Wednesday with a mission to reduce digital advertising’s carbon footprint, Insider reports. Scope 3 emissions are created by an organization’s third parties or services – so, not your electricity bills, but what your agencies and vendors account for. Ad tech knows a thing or two about agencies and vendors.

Scope3 is a public-benefit corporation, which means it’s a for-profit with a purpose-driven mission, as opposed to having an obligation to act only in the financial interest of shareholders. But it’s also a money-making venture – and potentially quite lucrative as companies increasingly factor sustainability, diversity and inclusion metrics into vendor decisions. 

Scope3 will crunch server, cloud and network bandwidth for ad tech companies into a score that can be licensed as a way to rate electricity and carbon costs by vendor or campaign.

“If you think about how concentrated advertising is, it wouldn’t surprise me if the top 50 advertisers have more emissions from advertising than they do from travel,” O’Kelley tells Insider.

This isn’t BOK’s first venture since selling AppNexus to AT&T. In 2019, he launched a startup called Waybridge (née CMDTY) that applies data and tech to supply-chain and logistics management. O’Kelley handed the Waybridge reins to his co-founder Scott Evans, so he could focus full time on Scope3.

BOPIS, BORIS … ROPIS?

Brick-and-mortar store sales are still expected to account for 72% of commerce in 2024, according to Forrester’s October report. But that won’t stop the shopping experience from becoming more digitized.

Trends like “buy online, pick up in store” (BOPIS) and “buy online, return in store” (BORIS) are joined by the latest acronym: “reserve online, pick up in store” (ROPIS), Axios reports. The world’s most lazily named triplets.  

Because it’s so much easier to buy something online than it is to return it, and since returns are more common for online orders (you didn’t get to try the pants on before buying them, after all), one in three consumers surveyed by Forrester said they avoid online shopping altogether.

Digitized retail doesn’t stop at acronyms, though. Stores are literally emulating ecommerce as closely as they can, with smart price tags and interactive signage replete with QR codes that consumers can use to purchase without talking to a single person.

But Wait, There’s More!

Snap introduces AR shopping lenses powered by product catalog data. [Adweek]

Simpli.fi acquires performance marketing company CoreMedia Systems. [release]

The UK is struggling to hire key regulators to oversee internet firms. [Bloomberg]

The Association of National Advertisers calls on the Federal Trade Commission to deny a petition to ban or limit “surveillance advertising.” [release]

Cloud tech companies Snowflake and Databricks are partnership-based – but also growing into tough rivals. [The Information] 

Why online creators are mad at Apple. [NYT]

You’re Hired!

Keith Bowen is named president for Altice news and advertising as Cheddar founder Jon Steinberg is set to depart. [MediaPost]

INFINITI USA promotes Shelley Pratt to director of marketing communications and media. [release]

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