Monday 15 January 2018

‘Programmatic Is A Relatively Dumb System’: IBM Wants To Use Blockchain To Clean Up Media


The programmatic has become the norm when it comes to purchasing media, but that does not mean that it does not have flaws. But hot blockchain technologies and artificial intelligence could solve the problems.

For IBM, that is the goal. "Something we have been thinking a lot about is how Blockchain will affect the purchase of media and how much fraud and waste can be eliminated by putting blockchain in the programmatic," said IBM marketing director Michelle Peluso, who spoke with Digiday about the use of new ones. technologies. to clean up inefficiencies and waste in programmatic.

IBM has spoken publicly about investing in blockchain. How do you see your role in advertising?
Programmatic is the way the world works. It will not change, but there is a lot of inefficiency and waste. At this time, on average, of any dollar that a seller spends, only about 50 cents appear compared to those that he is trying to advertise. If I want to receive a message in front of hundreds of thousands of people, I am using programmatic algorithms and to deliver it. Where it really appears, I really do not know. And there are many tolls that appear along the way: there is a brand security toll, a brand toll. Everyone gets their 10 cents for the dollar on the road. What Blockchain can do is register each point where that ad appears effectively, so that marketers can control the process and get more working dollars in front of customers.

You are also optimistic with the AI.

AI is [transforming] and will transform our profession. We are using it to overcome programmatic performance. Programmatic is a relatively silly system, it does not learn. You're basically saying: I want to reach these audiences. What we do with AI is to see what we can do to really learn how we use programmatic, what channels work best and see how much more we should bet. Then, it is the notion of learning and improving.

Is brand safety a concern for you?

The reality is that none of us can say with certainty that anywhere in the world we are safe. See what has just happened with YouTube. They are working to fix it, but even Facebook and Google have said there is not much they can do about it. I mean, it's difficult. It is not black and white We are investing a lot of money in it and resorting to channels in which we have concerns. We have had good conversations with YouTube teams.

Will it reduce your spending on YouTube?

We do not comment on the details about that because we are all long-term relationships, but suffice it to say that it is a subject on which we are very focused. For their credit, and Facebook is another, they have really woken up, and are becoming more active about what they can do.

Facebook has changed its algorithms to favor the content of users on publishers. Do you think that the measure could improve the safety of the brand on the platform?
The new Facebook ad could go a step further by helping, but the responsibility rests with the publishers to keep the brands safe. Publishers should continue to improve their game. It is the need for transparency, clarity and construction of tools and capabilities to keep brands safe. It's critic.