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Category: News

Samsung lays off employees after an internal audit

In Spring 2019, Samsung Electronics Co, a South Korean tech giant, audited its American marketing department for any internal policies violations concerning dealings with business partners and following that laid off a number of employees. While routine audits is a common practice, they have been on the rise recently due to extremely topical transparency issues. As you might remember, in 2016 the Association of National Advertisers (ANA) revealed a study by K2 Intelligence on behind-the-scene rebates and media buying processes in the US, that dropped like a bomb in the marketing industry community setting in motion the FBI investigation and dramatic changes. According to ANA’s “Trust Report” the trust between clients and agencies has declined by 28% over the last three years. To deal with this problem some major advertisers established in-house marketing teams that would act in the best of their interests, that’s exactly what Procter&Gamble did and managed to save $750 mln on advertising in 2018. ANA also founded a Trust Consortium that should set new standards for the industry and achieve necessary level of transparency in digital media supply chain. Among spheres that were audited as a part of this internal probe are dealings between marketing department… Read more »

Increase your Marketing Mix Transparency

Transparency has been a burning issue since the 2016 scandal, but the industry is changing to solve any emerging challenges. Here you will learn what major factors contribute to this problem and how to address them effectively. In an April 2019 article, Forbes covers the issue of transparency and executive level visibility of marketing spend and offers advice on how to solve this problem. Since large companies worldwide invest more than $1 trillion annually into an increasing mix of marketing assets, media and technology, this money should be spent wisely and to the best advantage of the company. But you may be surprised at the fact that most CEOs and financial executives have too little visibility into this marketing spend, most of them don’t know how efficient the investments into sponsorship programs, digital media and technology are. It happens because finance and marketing departments currently don’t cooperate at the necessary level to improve tracking, classification and accounting for marketing spending. This lack of cooperation prevents companies from accurately measuring the efficiency of such investments. As a result CMOs are under pressure from their CEOs and have to spend additional billions of dollars to prove the value of marketing. Even though it’s necessary… Read more »

Advertising trends in India 2019

  The Federation of Indian Chambers of Commerce and Industry (FICCI) together with Ernst & Young published a 300-page report on current state and future prospects of Indian Media and Entertainment sectors. This article is an overview of trends concerning advertising. India is a large and fast growing market, in 2014 it surpassed the United States, the EU, and China in terms of real GDP growth and has been steadily maintaining such level ever since. When it comes to media market, it’s a very diverse and the fastest growing sector of Indian economy that attracts a lot of investors. And the most effective sphere of M&E that provides major part of the revenue is advertising, which is expected to grow even more in the upcoming years. If we compare the Indian ad spend in terms of percentage of GDP to that of other large economies, we’ll see that India spends about twice less money on advertising than Japan or China, so there is room for a considerable growth. On the whole, there is a clear shift towards digital channels, which now account for 21% of all ad spends in India. And the figure will go up when more safety measures… Read more »

Three Steps to Transform Marketing Agencies

According to a global consulting firm PwC, most marketing agencies all over the world are using a no longer effective business model and should start making significant changes to catch up with their clients’ needs. They should take a much more integrated approach to all their operations. This article is an overview of the current situation in the industry and four models that can be implemented to create a next-generation marketing agency. Each strategy carries certain risks and requires to overcome some obstacles, but advantages far outweigh the disadvantages and provide new opportunities. Over the last decades, most large agencies have taken over numerous smaller ones in spheres like digital, media planning and buying, branding, and creative services. Despite being financially accountable to their holding company, these subsidiaries act independently and even compete with each other. There is nothing wrong with competition, as it sure helps to drive progress and generate the best ideas, but today marketing agencies have enough outside rivals to compete with as it is, for example platforms like Facebook and Adobe or in-house agencies established by some companies. Procter&Gambe created its own marketing department and managed to save $750 million on advertising and production costs in… Read more »

Pioneers Conference 2018

Pioneers 2018 is a large-scale conference that took place in May 2018 in Vienna and gathered investors and representatives of modern start-ups. AdoptoMedia Company was among 550 most notable startups from around the world invited to participate in the conference. What distinguishes Pioneers 2018 from other similar projects is the fact that it selects startups developing "technologies of the future." At the same time both newly-founded startups and those in further stages of development are welcome to participate. In 2018, Pioneers Conference was held in a unique historical place — the 500-year old Winter Home of the Habsburg Dynasty. "This is the place where the past meets the future" – said Oliver Csendes, the CEO of Pioneers. The venue chosen for the conference imposed significant restrictions on the number of participants, which contributed to the high quality of the event. AdoptoMedia CEO, Aleksey Kuznetsov, represented the company at the conference in Vienna. The company is developing systems aimed at optimization of advertising budgets. The CEO’s speech was dedicated to AdoptoMedia’s main product — CheckMedia Solution, namely its features and benefits. CheckMedia Solution allows to easily distribute budgets between different ad channels, calculate customer’s optimal media spend and estimate ROMI(return on… Read more »

Technology HUB 2018

In May 2018, Milan hosted an event dedicated to innovative technologies — Technology HUB 2018. This innovative products trade show creates a favorable environment for establishing commercial relations with top IT and development experts. AdoptoMedia CEO, Aleksey Kuznetsov, took part in Technology HUB 2018 where he presented the company’s technological product — CheckMedia Solutions. Aleksey, could you please tell us more about your company and the product you presented on the trade show? Our company develops solutions to effectively plan advertising campaigns and optimize media budgets. The company’s unique product, CheckMedia Solutions, which was presented at the Technology HUB 2018, enables effective allocation of your ad budget across various media channels and helps to create and analyze media plans. Due to the fact that CheckMedia Solutions consists of different independent modules most of which can be deployed separately, the product is flexible and suitable for many customers. Which companies might benefit from CheckMedia Solutions? Large companies across Western and Eastern Europe, Latin America and the Middle East with annual media budget of more than $1 million, using more than 3 various advertising channels in their media campaigns. How exactly were you involved in the event? Why did you choose this… Read more »

McKinsey Revolutionary Media Mix Optimization

OMR Festival 2019 took place in Hamburg on 12th and 13th of May 2019. This event brought together international stars of the digital marketing, promising new players and absolute experts to provide a thorough analysis of relevant marketing trends. Top speakers included the representatives of giants like Adobe, Google, Facebook & co. A global management consulting firm McKinsey & Company also presented their inspiring innovations concerning “Marketing Operating Model”. They propose omnichannel person based optimization that has already proved effective and will save $15mln on marketing for Optus – the second largest telecommunications company in Australia.   To fully understand how this new generation solution changes the industry we should start with the current standing; and the biggest challenge we are facing today is that many marketers still struggle with MROI measurement and in 60% of cases are unable to estimate either long-term or short-term marketing impact. Various approaches available today help to answer the MROI question, but none is flawless. A/B testing is a simple technique that allows to see incremental impact by comparing two groups, test and control ones. It helps to identify more successful media tactics and improve performance, but it cannot deal with a more complex… Read more »

Three Pillars of Procter&Gamble Ad Revolution

The debate about the transparency issues in the advertising industry has been gaining momentum recently, and it all started with Jon Mandel’s 2015 speech at the Association of National Advertisers’ (ANA) annual media conference. The following year, an independent research was conducted by K2 Intelligence LLC (“K2”) which showed that numerous non-transparent business practices, such as rebates and problematic principal transactions, had been taking place on a regular basis across the whole media spectrum. Numerous evidence suggested that some advertising agencies had taken advantage of their position failing to act in the best interests of the advertisers. The incident took an unprecedented turn in 2018 when the FBI had to intervene and ask the ANA and its members for cooperation. At this point, there is nothing conclusive yet, no accusations or charges have been put forward, but the FBI assumes there may be numerous potential financial fraud victims and wants them to assist in such a massive investigation, which might reveal offences far more serious than financial fraud like conspiracy and even racketeering. Such a scandal couldn’t go by unnoticed and very naturally caused some revolutionary changes in advertising industry, so companies started to take action. One of the world’s… Read more »

Visiting StartUp Day

StartUp Day is a major Baltic business event that unites the business community and the start-ups. Here, experts from various fields and emerging entrepreneurs can discuss business at its different stages. Visiting miscellaneous seminars, talks and workshops included in the event's primary line-up allows young businesspeople to gain inspiration and experience from the strongest and most established companies. Investments, smart production, cutting-edge technology are all major topics discussed at StartUp Day. AdoptoMedia did not just take part in StartUp Day but ranked in top 10 best projects of the Baltic region. At the event's final section, the company CEO Alexey Kuznetcov talked to international experts and investors from Finland and Estonia about AdoptoMedia's flagship product: CheckMedia Solution, a software suite for allocating budgets among different advertising channels. CheckMedia Solution can calculate an optimum marketing budget depending on the client company's goals or financial capacity, as well as the current economic situation. The talk briefly touched on  AdoptoMedia's existing achievements, major clients, technology in-use and the upcoming plans. "2017 was all about preparing for expanding internationally, handling all that pertains to intellectual property, localizing the product and forming partnerships with representatives from Italy, Germany and Israel. Entering those markets will allow the company to increase capitalization… Read more »

Visiting Content Israel

Content Israel is a conference aimed at researching content marketing technologies. Among its participants are international and local agencies, start-ups and major brands. The conference discusses various content marketing strategies, hosts workshops based around case study results and provides a venue for the best speakers from international companies such as SodaStream, The Guardian, Cisco, 3m and Linkedin, among others. Content Israel itself encourages participants from different countries, such as the US, Israel, the UK and others, to share in the experience and gain knowledge needed to expand their businesses.  AdoptoMedia was also represented at Content Israel in the fall of 2017. AdoptoMedia is an international start-up company with branches in Israel and Estonia. The company's primary area of expertise is advertising budget optimization based on various technologies that include attribution and econometric modeling. At the Content Israel round table, AdoptoMedia executives discussed with other participants the matters of content influencing overall advertising efficiency, and in particular, the impact of creative materials. The abovementioned econometric modeling approach employed by AdoptoMedia, allows for baseline use of creatives as an efficiency-impacting factor. The influence of creatives is evaluated using specific metrics, focus groups and neuro kit-based research being the most popular. Focus groups are best applied when a creative approach is… Read more »