Clorox Increasing Programmatic Spend; Ad Blocking Controversy

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The Magic Of Clorox

Clorox will spend three times more on programmatic ads this year than it did last year, the Journal’s Jack Marshall reports. At that rate, about half of Clorox’s full digital budget will go to automated buying. “Programmatic media has enormous potential. … I’d say our mix today reflects our confidence in it,” said CMO Eric Reynolds. “We could imagine our investment in it increasing.” On fraud and viewability, Reynolds isn’t worried. “We are now getting comfortable with ways to make sure our ads are being viewed by humans and are viewable,” he said. “The value for us as a marketer is impressive, so it’s worth going through these challenges.” Read it.

Ad Blocking: Mountain Or Molehill?

Lacking empirical studies on the effect of ad blocking (as opposed to fraud, where marketers can actually point to money that may as well have been set on fire), the industry overreacted to a report from Adobe and PageFair claiming publishers will lose $21.8 billion this year. BuzzFeed’s Alex Kantrowitz, citing a handful of tech/economics professors, reports that number is a “gross inflation” because the flood of inventory would lower prices. The impact is still substantial, but agencies and trading desks haven’t voiced panic about a missing audience. Read on.

Nardone’s Take

EMarketer interviewed John Nardone, CEO of ad server Flashtalking and former [x+1] chief. As advertisers take programmatic in-house and publishers move to co-opt their data, Nardone says the impetus is clear. “Advertisers do not want to be held hostage to Google’s and Facebook’s data,” he said. “The only way for them to not be held hostage in their view is to create their own data assets. Since no individual company tends to have everything, they’re looking for natural partners they can band together with to create enough value and scale so as not to be so dependent on Google and Facebook.” Read on. Pair with AdExchanger’s recent Nardone Q&A.

Power In Numbers

Following intense censorship and a cyber attack linked to the Chinese government, Google abandoned China as a product hub. Now its foot is inching back through the door, reports Amir Efrati at The Information. Google is working with authorities to enable a more cohesive product (in line with its international apps, devices and browsers) that allows for censorship policies. As companies like WeChat and government-mandated fragmentation undercut Google in China, the reversal is a reminder that the authoritarian regime holds all the leverage with foreign tech players. Read the full piece (subscription required).

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