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Speaker 1: Welcome to tech Stuff, a production from my Heart Radio.

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Speaker 1: Pay there and welcome to tech Stuff. I'm your host,

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Speaker 1: Jonathan Strickland. I'm an executive producer with our Heart Radio

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Speaker 1: and I love all things tech and it is time

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Speaker 1: for another classic episode. This episode originally published on October

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Speaker 1: two thousand thirteen. The world was such a different place

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Speaker 1: back then. This episode is called Ads on the Go,

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Speaker 1: where we talk about everyone's favorite topic advertising. But as

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Speaker 1: it turns out, it's important stuff and sometimes there are

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Speaker 1: ways to do it well where it's actually helpful, and

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Speaker 1: sometimes there are ways to do it really, really badly

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Speaker 1: where it's intrusive or worse. So let's listen to this

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Speaker 1: classic episode and i'll talk to you guys again in

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Speaker 1: a bit. Any company that has a web presence and

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Speaker 1: they are alone a company that is that is a

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Speaker 1: web presence period. Yeah, they're all concerned about this because

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Speaker 1: they want to make sure that they're continuing to serve

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Speaker 1: up and experience. There's a good experience for the people

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Speaker 1: who are using the web on whatever device they happen

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Speaker 1: to be on, and furthermore, something that can actually make

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Speaker 1: the money. Yeah, And as it turns out, this whole

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Speaker 1: mobile Uh, this move to mobile browsing is really disruptive

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Speaker 1: as far as that goes. But it's the it's it's

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Speaker 1: a pretty big industry of UM. As of August, according

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Speaker 1: to an insight company called e Marketer, the mobile advertising

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Speaker 1: global market is set to be UH worth over sixteen

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Speaker 1: billion dollars this year. That's a lot of money UM,

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Speaker 1: which is a growth and I imagine that we'll see

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Speaker 1: that number even go even higher because you're seeing when

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Speaker 1: you start looking at sales figures for things like tablets

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Speaker 1: and smartphones, there through the roof. And it's across the globe.

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Speaker 1: Although I will say, and we'll get into the US,

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Speaker 1: different parts of the globe value different platforms. Some are

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Speaker 1: very tablet crazy and some are like no, I want

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Speaker 1: my smartphone right absolutely, But but the marketers also saying

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Speaker 1: that the desktop ad market UM is set to peak

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Speaker 1: at around thirty five billion and be on a decline

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Speaker 1: after that. Yeah. And part of the reason for that

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Speaker 1: is that we're seeing more and more people move away

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Speaker 1: from those traditional desktop and laptop platforms. UH. And we're

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Speaker 1: also seeing because we're seeing this move toward mobile, that

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Speaker 1: itself is in part devaluing advertising on those traditional platforms, right,

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Speaker 1: So if everyone is moving to something else, then you

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Speaker 1: can't sell your your website that's designed for a desktop

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Speaker 1: as a an ideal place where you for advertisers to

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Speaker 1: put ads, because if no one's using a desktop of

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Speaker 1: you that website, then no one's getting that content right.

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Speaker 1: And when whenever you have that split, you're going to

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Speaker 1: have some people who are who are very happy with

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Speaker 1: their experience and some people who are not, just because

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Speaker 1: of the way that the page was designed. As I'm

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Speaker 1: sure everyone listening to this has has had the experience

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Speaker 1: of in the past. Right. There's even some discussion and

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Speaker 1: some debate about the value of, say a specific app

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Speaker 1: for a web content creator versus a mobile browser. So

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Speaker 1: there are websites out there that have apps. How stuff

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Speaker 1: works has an app, and then they also have a

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Speaker 1: presence on the web and actual website. And there are

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Speaker 1: some people who who say that they much prefer the

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Speaker 1: experience of going through a mobile website than using an app,

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Speaker 1: even if that app has been optimized to to really

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Speaker 1: feature whatever the content is of that website, Because I

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Speaker 1: guess partial part of it is that when you're in

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Speaker 1: a web browser, you have a lot more freedom to

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Speaker 1: go from one place to another, and that may not

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Speaker 1: be within the confines of whatever website you're visiting, whereas

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Speaker 1: if you're going through an app, that's pretty much what

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Speaker 1: you're seeing, right. So so okay, so some of those

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Speaker 1: more traditional method that's that that we're thinking are going

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Speaker 1: to peak in the next couple of years. Right. So,

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Speaker 1: of course, the one that we all know because these

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Speaker 1: date back to the very earliest days of web pages,

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Speaker 1: are banner ads, right. Those are the things that will

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Speaker 1: that you'll see along the top or sometimes along the

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Speaker 1: side of a web page that you're viewing. Right, Yeah,

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Speaker 1: some people, some people will go so far as to

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Speaker 1: differentiate banner ads from whatever appears in the side but sidebar,

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Speaker 1: but it's essentially the same thing. This is something that

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Speaker 1: is part of the frame of the website you're looking at.

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Speaker 1: So you're all familiar with this, I know, So I don't.

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Speaker 1: I'm not going to go into great detailble it is

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Speaker 1: because assuming that you're listening to a podcast, I'm pretty

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Speaker 1: sure you've visited a web page has had a banner

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Speaker 1: ad on it. So uh, that's one version another course,

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Speaker 1: or the dreaded pop ups and pop unders. These are

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Speaker 1: the ads that will either generate a window on top

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Speaker 1: of or beneath your web browsers. So if it's on

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Speaker 1: top of your web browser, you start interrupts your viewing experience.

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Speaker 1: If it's underneath, you'll see it when you finally close

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Speaker 1: your your page. Yeah, when you close your page or

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Speaker 1: you close your browser and suddenly you see like eighteen

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Speaker 1: different windows there, and you think, whoa, something starts making

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Speaker 1: noise that you're not looking at. Man, Hey, Lauren, let

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Speaker 1: me ask you is your favorite kind of add My

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Speaker 1: favorite kind of ad, You know, the one that immediately

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Speaker 1: starts to AutoPlay video with sound. That's my favorite. How

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Speaker 1: did you know? Yeah? It's also great when you're doing

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Speaker 1: research at work and then suddenly you've got like, you know,

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Speaker 1: despicable mean minions screaming at the top of their lungs.

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Speaker 1: But then and you're like, well that those didn't plan

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Speaker 1: on treating everyone to that professionalism. Or if you're or

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Speaker 1: if you're like me and you think I'm going to

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Speaker 1: click on this link and walk away to get coffee

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Speaker 1: because it's gonna take all on this page to load,

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Speaker 1: and then you come back and there's a guess going

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Speaker 1: on at your desk and all the writers and editors

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Speaker 1: of how stuff work hate you even more than they

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Speaker 1: did already anyway. So besides pop ups and pop unders,

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Speaker 1: you also have floating ads. These are the ones that

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Speaker 1: actually float over the text. They may even move as

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Speaker 1: you know, and block your view of it. And sometimes

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Speaker 1: there's not even a way of closing it. You just

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Speaker 1: have to wait and it goes away. And uh, expanding

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Speaker 1: ads these are the ones where if your cursor goes

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Speaker 1: over it, it suddenly expands to fill up and sometimes

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Speaker 1: we'll then start playing music video. Yeah, that can also happen,

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Speaker 1: but it'll it'll cover most of the web content that

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Speaker 1: you were going to visit. Then there of course ads

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Speaker 1: that are are not as line text ads which are

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Speaker 1: a little bit sneakier. Those those are the things that

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Speaker 1: you might have seen like a double underline and article

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Speaker 1: that you were reading that should you happen to click

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Speaker 1: on it, it might take it. It will take you

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Speaker 1: to some whoever is actually purchased the ad, and usually

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Speaker 1: it's something that directly relates to whatether the term is.

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Speaker 1: So for example, if I were to write a blog

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Speaker 1: post and I'm mentioning a particular type of camera, there

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Speaker 1: might be a double underlined version of the camera's name,

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Speaker 1: and if you clicked on it, it might take you

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Speaker 1: to say Amazon dot com or some other retail site

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Speaker 1: where you can purchase the camera. So I mean that's

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Speaker 1: what it's usually considered a slightly less obtrusive, but it

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Speaker 1: can also be sneaky or misleading or just you know,

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Speaker 1: it might be one of those things where you're really

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Speaker 1: you've trained your mind in that Wikipedia approach where everything

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Speaker 1: that's a link will just take you to a different

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Speaker 1: article and you're expecting an article and you get information

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Speaker 1: all rather than advertorial and you never know, you know, uh.

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Speaker 1: And then there are there's also search engine marketing. That's

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Speaker 1: where you end up paying a search engine to feature

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Speaker 1: your product on a results page that relates back to

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Speaker 1: whatever that product is. Those those will be like a

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Speaker 1: Google sponsored ads that pop up along the like usually

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Speaker 1: the first two at the top and then maybe a

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Speaker 1: few along a sidebar. Right. So it's generally are related

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Speaker 1: to your search and and can be really very helpful

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Speaker 1: depending on on the the algorithms that Google is using

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Speaker 1: for that particular ad. But um, but yeah, it has

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Speaker 1: has been found to to create some confusion in some

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Speaker 1: populations of Internet goers as to whether those are really

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Speaker 1: the best search result or something that is sponsored. Some

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Speaker 1: people apparently don't read the fine print right now, there

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Speaker 1: are different ways that these ads are actually making money. Yeah,

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Speaker 1: so we're going to take you into the inside. Come

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Speaker 1: along with us. Of course, if you've listened to texta

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Speaker 1: for a while, you've heard that Chris and I did

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Speaker 1: an episode about um web advertising ages ago, and you

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Speaker 1: probably have heard these terms from that as well. But

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Speaker 1: it's certainly important in our discussion about mobile advertising. So

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Speaker 1: one of the very common forms of compensation is the CPM,

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Speaker 1: which is cost per mill which is not cost per million,

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Speaker 1: but rather cost per thousand. And we're talking about impressions

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Speaker 1: here or views. So it's every single time that page

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Speaker 1: that has that add on it has been loaded into

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Speaker 1: a browser, whether that's someone who has loaded it and

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Speaker 1: then hit refresh a billion times or if it's a

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Speaker 1: billion people who looked at that page once. So it's

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Speaker 1: counting up every time that page is loaded, because every

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Speaker 1: time that page is loaded, that ad has been displayed,

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Speaker 1: and so that's a certain amount of money for every

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Speaker 1: in displays of the page and therefore the ad, right

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Speaker 1: and then that amount of money has changed dramatically over

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Speaker 1: the history of online advertising. There was a time where

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Speaker 1: if you had a really heavily traffic site, you could

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Speaker 1: demand a pretty high price for that. You know, we're talking.

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Speaker 1: You know, you might think thirty or forty dollars for

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Speaker 1: every thousand views isn't much, but if you get million

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Speaker 1: a million views per day, that really starts to add up.

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Speaker 1: But then, you know, you have we talked about devaluing,

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Speaker 1: you start to see that that amount go down even

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Speaker 1: for the most heavily traffic sites because a lot of

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Speaker 1: traffic starts to come in through mobile. And we'll talk

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Speaker 1: about why that's a problem in a little bit. Right.

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Speaker 1: So after that, you've got CPC, which has cost per click. Yeah,

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Speaker 1: now this is actually people who don't just see an ad,

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Speaker 1: but actively click on that ad to go through and

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Speaker 1: look at whatever the site is that that sponsors that

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Speaker 1: add So in this case, it doesn't matter how many

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Speaker 1: people view it. What matters is how many people click it.

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Speaker 1: And you could argue that this is not entire really

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Speaker 1: up to the content creator, because the content creator is

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Speaker 1: just creating stuff that they want people to to look at.

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Speaker 1: The advertiser would have to create an ad that was

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Speaker 1: enticing enough to get people to click, or tricky enough

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Speaker 1: so that people click on it by accident. Although I

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Speaker 1: think most people would argue that that's not very effective,

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Speaker 1: not really to the benefit of all involved. Right, you know,

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Speaker 1: it all depends on who's doing the marketing to Right.

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Speaker 1: If it's a third party marketing department that is creating

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Speaker 1: these ads and all they are concerned with is throwing

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Speaker 1: as much traffic to the to the advertiser as possible,

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Speaker 1: then they might not really care if it's truly effective

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Speaker 1: in getting people to convert. Where we talk about conversion

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Speaker 1: numbers to convert over into buying something, what's the whole

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Speaker 1: third one? That third one is cp A that's cost

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Speaker 1: per action, and that is going a step further than

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Speaker 1: cost per click. It's when someone has has clicked through

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Speaker 1: to a site and actually does whatever the advertiser wanted

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Speaker 1: them to do, like purchase a product or or in

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Speaker 1: er a free trial. So if you've listened, yeah, you've

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Speaker 1: listened to us talk about our sponsors. We have several

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Speaker 1: sponsors where they use this approach. So if our listeners

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Speaker 1: go and they sign up for these things, then that

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Speaker 1: means that the sponsor will end up paying whatever the

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Speaker 1: agree amount is. So, in other words, go and sign

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Speaker 1: up for those things, guys, because that's awesome for us.

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Speaker 1: Um also, I mean, our sponsors are great, so that

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Speaker 1: helps too. So let's talk about the mobile ad problem. Now.

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Speaker 1: The problem is that a lot of these these traditional

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Speaker 1: ads that we talked about, the banner ads and the

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Speaker 1: pop ups, pop unders, the text ads are a lot

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Speaker 1: harder to navigate or to see in a mobile platform,

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Speaker 1: particularly when you're talking about something like a smartphone where

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Speaker 1: the landscape of viewable area is really tiny, right right,

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Speaker 1: and people are moving through at a pretty rapid rate

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Speaker 1: of reading speed, maybe paying a little bit less attention. Yeah.

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Speaker 1: Or it may even be that in order to view

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Speaker 1: whatever the content is of the website, they re size

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Speaker 1: it so that they're only so that the text or

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Speaker 1: whatever it is they're looking at actually readable, therefore blocking

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Speaker 1: out the section of the page that had the ad. Yeah. Yeah,

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Speaker 1: that stuff might not even appear on the screen. Share.

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Speaker 1: There's also a lot of programming bugs in which I mean,

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Speaker 1: you know, we've got so many um so many mobile

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Speaker 1: devices and carriers and os is that at a certain

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Speaker 1: point it gets difficult for a single you know, web

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Speaker 1: developer to create a website that looks good on everything. Yeah,

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Speaker 1: a lot of these websites also have mobile versions of

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Speaker 1: them that are optimized for the mobile viewing experience, which

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Speaker 1: often means that they leave the ads off because there's

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Speaker 1: just no space for them. It ends up making the

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Speaker 1: content look all squished, and that's a terrible experience for

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Speaker 1: the user, which means that the user is less likely

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Speaker 1: to go to that website. So that means that in

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Speaker 1: order to monetize the website, we have to start looking

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Speaker 1: at different ways to to to have kind of ads

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Speaker 1: or sponsorships or whatever, because the traditional ways just aren't

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Speaker 1: They aren't designed with that platform in mind. Right, And

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Speaker 1: this is certainly not a new problem or a new

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Speaker 1: set of problems. As of two seven, mobile was becoming

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Speaker 1: a priority among media and marketing executives. Um, I mean

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Speaker 1: that was before the iPhone guys. Yeah, um, you know,

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Speaker 1: as of two thousand six, Nielsen had started tracking cell

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Speaker 1: phone use across media, right right, Yeah, I remember that

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Speaker 1: I could browse with my old had a Nokia phone

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Speaker 1: that hey Microsoft buying them now, but I had I

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Speaker 1: had an old Nokia phone that or Nokia phone that

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Speaker 1: that could browse websites and you would just get in

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Speaker 1: these little by texts and you'd have to you know,

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Speaker 1: you wouldn't get any graphics at all, It's just text. Uh.

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Speaker 1: I rapidly decided that was not an ideal experience for me. Yeah,

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Speaker 1: I believe I had a Samsung like a like a

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Speaker 1: flip flip phone that allows you to do the same

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Speaker 1: sort of thing a motor lay anyway, not important. It

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Speaker 1: wasn't until I got a smartphone that I really started

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Speaker 1: to use it to do things like browse the web. Yeah. So,

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Speaker 1: um so some some of the trends that are going

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Speaker 1: on right now, Yeah, let's talk about them. So I

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Speaker 1: got a lot of this information from Adobe. Now, Adobe

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Speaker 1: does a big Digital index report every now and then.

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Speaker 1: It's semi regular, is how I've seen it described. And

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Speaker 1: part of it is the State of Mobile Benchmark study.

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Speaker 1: And so these were some things that they found in

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Speaker 1: their study. They found that tablets drive more web traffic

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Speaker 1: than smartphones and may actually be a PC replacement when

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Speaker 1: it comes to web consumption. Now it's not that way.

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Speaker 1: It's not like they've completely replaced PCs already, but that

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Speaker 1: it looks like tablets are poised to take the place

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Speaker 1: of PCs when it comes to just browsing the web

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Speaker 1: and consuming content for those for those basic functions that

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Speaker 1: are you know, and anything more simple than you know,

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Speaker 1: complex photo editing or video editing like that. So in general,

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Speaker 1: people visit se more web pages per visit on a

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Speaker 1: tablet than they do with a smartphone. So, you know,

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Speaker 1: that just means that every time you get online with

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Speaker 1: a tablet, then you're you're in general, you tend to

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Speaker 1: be looking at more web pages than you would be

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Speaker 1: if you were using a smartphone at the time. Now,

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Speaker 1: it may turn out that people use smartphones more frequently

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Speaker 1: than tablets, and so maybe those numbers are a little misleading,

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Speaker 1: because if you're using a smartphone a lot throughout the day,

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Speaker 1: you may actually visit more web pages accumulatively then you

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Speaker 1: would in one visit with the tablet. And and there

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Speaker 1: are more smartphones out there in the wild than there

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Speaker 1: are tablets. There's absolutely true, there are far more smartphones

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Speaker 1: than tablets in the wild, although according to Adobe, tablets

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Speaker 1: are still driving more traffic um They said that people

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Speaker 1: who use tablets to browse shops are three times more

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Speaker 1: likely to buy something than someone on a smartphone. But

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Speaker 1: it's probably important now to look at some actual numbers

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Speaker 1: because because you said there, like, wow, if I was

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Speaker 1: if I'm using a tablet, I'm three times more likely

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Speaker 1: to buy something than if I were looking at the

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Speaker 1: same content on a smartphone. Hold on their big guy,

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Speaker 1: So far, this is where we start talking about conversion,

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Speaker 1: converting someone from browsing to buying. That's and that's that action.

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Speaker 1: That's that that's that cost per action kind of right

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Speaker 1: that we were talking about earlier. Yeah, this is this

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Speaker 1: is where we go from hey, that's a pretty pair

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Speaker 1: of shoes to hey, I own those shoes now. So

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Speaker 1: if you're using a smartphone, it said that there was

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Speaker 1: a point seven percent conversion rate, meaning that point seven

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Speaker 1: percent of the people shopping on a smartphone would buy

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Speaker 1: stuff on a particular on a typical visit. And so

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Speaker 1: three times that for for tablets, that would make it

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Speaker 1: two point two percent. Yeah, so when we're talking three times,

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Speaker 1: we're talking from less than one percent to just over

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Speaker 1: two percent. It's not it's not like some overwhelming number.

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Speaker 1: But also for PCs, not that impressive. Actually, it's only

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Speaker 1: three point three percent for PCs so again this is

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Speaker 1: and so this is not actually a method that is

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Speaker 1: working on on a particularly calculable level across the field. Yeah,

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Speaker 1: and if you look at if you look at just

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Speaker 1: the mass number of purchases, it ends up being huge numbers. Right,

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Speaker 1: we're talking billions of dollars. But when you're talking when

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Speaker 1: you're looking at all of traffic that is going to

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Speaker 1: these sites, it's a tiny little percentage. Now, if you

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Speaker 1: were to compare that to say, a person who walks

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Speaker 1: into an mortar store and how likely they are to

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Speaker 1: actually walk out with a purchase, I'm sure the numbers

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Speaker 1: are are pathetic. However, way more people can come to

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Speaker 1: your website than can come to a typical breaking mortar store. Yeah,

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Speaker 1: you know, it's just the physical limitations there means that

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Speaker 1: it's a totally different set of numbers. So even though

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Speaker 1: it's a small percentage, it may still be a large

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Speaker 1: number of people. Sure, that's still I don't know that.

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Speaker 1: Nonetheless as to me that that possibly a better system

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Speaker 1: could be found. Oh sure, if we can get to

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Speaker 1: a point where we are compelled to buy, you know

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Speaker 1: that we are punished if we do not buy, and

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Speaker 1: that world is coming, I said too much. All right,

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Speaker 1: So the leading operating system in the United States mobile

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Speaker 1: operating system, I should say in the United States is

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Speaker 1: here's a big shock. Yeah, people love their Apple products. Sheep.

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Speaker 1: I'm just kidding. I'm just kidding. My wife. My wife

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Speaker 1: uses uh an iPad and an iPhone. She loves it.

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Speaker 1: I actually really think that iOS devices are amazing. I

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Speaker 1: just happen to be an Android user. So while I

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Speaker 1: make the joke, I am not one of those people

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Speaker 1: who's like Android good, iOS bad, which is which is

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Speaker 1: good because because I might we might have to fight. Yeah,

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Speaker 1: and I don't want to do that because she's scrappy, y'all.

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Speaker 1: I am elbows like knives. Um. But yeah, and that's

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Speaker 1: despite the fact that there are more Android devices overall

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Speaker 1: available in the market. Oh yeah, sure, by far, I

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Speaker 1: mean considering that the iPhone is one device. Yeah, you

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Speaker 1: can buy an older iPhone, but it's still one line

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Speaker 1: of products, whereas Android comes in all shapes, sizes, flavors,

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Speaker 1: and problems. Uh. There's this whole fracturing of the market

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Speaker 1: thing that we could talk about, but that's a different podcast. Uh,

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Speaker 1: tablet versus smartphone use is not study across the globe.

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Speaker 1: I mentioned that earlier that there are some places in

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Speaker 1: the world where people prefer to browse on tablets and

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Speaker 1: others where they prefer smartphones. So for example, in the UK,

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Speaker 1: about people use tablets, so that's the majority there. But

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Speaker 1: in China, it's like nine of the people in China

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Speaker 1: are using smartphones to browse the web. So so it's

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Speaker 1: also hard to create a strategy, a mobile strategy that

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Speaker 1: is going to affect the entire globe. First of all,

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Speaker 1: being able to do business around the world is problematic too.

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Speaker 1: That that's sure, sure, And then that's why companies like

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Speaker 1: I think that right now, Google owns more than half

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Speaker 1: of the share in the mobile digital ad market across

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Speaker 1: the globe. Google. When you think about Google, and we've

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Speaker 1: said this before, to Google is not really a search company.

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Speaker 1: Google is an online advertising company, right and and they've

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Speaker 1: incorporated YouTube into that, and they've incorporated they've incorporated everything

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Speaker 1: like tracking, GPS tracking, I mean, there's based upon what

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Speaker 1: region you're in. Now, a lot of this is opt in,

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Speaker 1: so you're not forced to do it yet the compulsions

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Speaker 1: coming people just telling you now, but no, you're not

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Speaker 1: forced to do it. But if you do it, then

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Speaker 1: you up getting what we call targeted ads. Right. They're

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Speaker 1: targeted to you based upon your behaviors, based upon where

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Speaker 1: you're from, if if there are more demographic things known

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Speaker 1: about you, like your gender and your age, that can

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Speaker 1: go into targeted advertising, which I understand for some people

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Speaker 1: it's really kind of a creepy idea, this idea that

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Speaker 1: the advertisers know more about a lot of privacy issues

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Speaker 1: wrapped up in this now personally, and this is this

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Speaker 1: is just personally literally, like just as it applies to me,

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Speaker 1: I don't apply this to anyone else. I love targeted advertising,

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Speaker 1: and the reason why I love it is because I'm

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Speaker 1: seeing ads that are really much more relevant to my

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Speaker 1: interests and I learned about things I never would have

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Speaker 1: known about otherwise, and I love to to be able

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Speaker 1: to do that kind of shopping. But I would not

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Speaker 1: say that everyone wants to have that exact same experience.

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Speaker 1: And there are people who have had very disruptive things

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Speaker 1: happened to them because advertisers were able to figure out

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Speaker 1: certain life situations and send the messages the unsolicited. Right,

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Speaker 1: there's that one horse story of that target girl who

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Speaker 1: is living with her parents and target based on her

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Speaker 1: purchasing behavior, sent her a congratulations you're having a baby jacket,

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Speaker 1: and then her father got all upset targets saying how

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Speaker 1: dare you send this to her, and then send another

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Speaker 1: lawyer's target saying I'm sorry, I did not realize my

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Speaker 1: daughter was pregnant, and boy, yeah, so they're There are

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Speaker 1: definitely ways that this this tool can go wrong, all right,

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Speaker 1: you know, it can be pretty awkward and pretty invasive.

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Speaker 1: At the same time, I do have to say that, yes,

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Speaker 1: I agree with you, Jonathan, and I personally am am

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Speaker 1: happier when, for example, I've just gone through a terrifyingly

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Speaker 1: bad breakup and Facebook is not sending me engagement ring ads.

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Speaker 1: That's a that's a great day for me. Yeah, yeah,

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Speaker 1: personally I could see that. Okay, that's fair. Uh. The

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Speaker 1: last point I have under the trends, this one I

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Speaker 1: recommend we all take with a huge grain of salt.

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Speaker 1: And the reason is that, like you said Lauren at

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Speaker 1: the top of the show, some of the sources we

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Speaker 1: have for the information are from companies that have vested

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Speaker 1: interest in online advertising, basically all of them, to which

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Speaker 1: which makes things a little bit sticky, right because I mean,

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Speaker 1: they might be saying, hey, you know, you shouldn't get

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Speaker 1: out of desktop advertising because it's going to come back

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Speaker 1: in a big way. And it turns out the reason

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Speaker 1: why they say this because they have this whole advertising

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Speaker 1: strategy that they want to sell you. But in this case,

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Speaker 1: there's a company called host Gator which is vested in

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Speaker 1: mobile advertising. So again let's let's take the end to consideration.

431
00:22:23,000 --> 00:22:26,120
Speaker 1: But they they say that they figure that mobile will

432
00:22:26,160 --> 00:22:30,600
Speaker 1: overtake fixed internet access by fourteen. So we're recording this,

433
00:22:31,480 --> 00:22:34,879
Speaker 1: which means next year we would see mobile browsing overtake

434
00:22:35,119 --> 00:22:37,840
Speaker 1: Internet browsing, or at least mobile access to the Internet

435
00:22:37,880 --> 00:22:41,879
Speaker 1: overtake fixed access. Now, while that is coming from a

436
00:22:41,880 --> 00:22:46,359
Speaker 1: company that is offering up mobile advertising strategies, it's also

437
00:22:46,400 --> 00:22:48,920
Speaker 1: one of those things that I find easy to believe

438
00:22:49,160 --> 00:22:52,080
Speaker 1: just based upon the trends we've been seeing so far. Now,

439
00:22:52,119 --> 00:22:54,359
Speaker 1: maybe it means that it's not really twenty four teen,

440
00:22:54,400 --> 00:22:56,119
Speaker 1: Maybe it will be a few more years down the

441
00:22:56,160 --> 00:22:59,240
Speaker 1: road before we actually see this happen. But I think

442
00:22:59,280 --> 00:23:02,240
Speaker 1: it is happening right, And you know, whether whether it

443
00:23:02,359 --> 00:23:06,600
Speaker 1: overtakes it or not, it's it's clearly a a functioning

444
00:23:06,840 --> 00:23:11,120
Speaker 1: revenue source um or. Facebook reported that as of Q two,

445
00:23:11,160 --> 00:23:17,640
Speaker 1: of mobile ads made up of its revenue. Yeah, and

446
00:23:17,680 --> 00:23:19,520
Speaker 1: in fact, that was one of those things that when

447
00:23:19,560 --> 00:23:21,800
Speaker 1: Facebook was having its I p O there was a

448
00:23:21,840 --> 00:23:23,639
Speaker 1: little bit of a shake up because Facebook at that

449
00:23:23,680 --> 00:23:25,639
Speaker 1: point had not really figured out how it was going

450
00:23:25,720 --> 00:23:28,880
Speaker 1: to handle the mobile ads part of its of its

451
00:23:28,880 --> 00:23:33,280
Speaker 1: revenue stream. And so they discovered that their um their

452
00:23:33,480 --> 00:23:37,440
Speaker 1: their revenues for one quarter that year were lower than

453
00:23:37,480 --> 00:23:40,440
Speaker 1: what had they had projected. And it was partially because

454
00:23:40,600 --> 00:23:43,480
Speaker 1: everyone was starting to I say everyone, So many people

455
00:23:43,480 --> 00:23:46,639
Speaker 1: were starting to use the Facebook mobile app or or

456
00:23:46,680 --> 00:23:50,160
Speaker 1: just to access Facebook on mobile platform, which again gives

457
00:23:50,200 --> 00:23:54,120
Speaker 1: you a totally different experience than than on a desktop.

458
00:23:54,920 --> 00:23:57,080
Speaker 1: It made it made a lot of investors lose faith

459
00:23:57,119 --> 00:23:59,080
Speaker 1: in them. And in fact, this, this news, this Q

460
00:23:59,240 --> 00:24:03,440
Speaker 1: two news um was basically what preempted the rebound and

461
00:24:03,480 --> 00:24:07,280
Speaker 1: Facebook staff this summer. It shows how powerful mobile really is.

462
00:24:07,880 --> 00:24:10,000
Speaker 1: We have a little bit more to say about ads

463
00:24:10,000 --> 00:24:19,880
Speaker 1: on the go, but first let's take a quick break. Okay,

464
00:24:20,000 --> 00:24:24,119
Speaker 1: so let's talk about some of the challenges about mobile advertising.

465
00:24:24,160 --> 00:24:26,120
Speaker 1: We've touched on some of them already, but we'll we'll

466
00:24:26,240 --> 00:24:28,880
Speaker 1: kind of have to pull them all into this gigantic

467
00:24:29,400 --> 00:24:34,919
Speaker 1: cloud of how do we do this right? So, the

468
00:24:35,000 --> 00:24:38,320
Speaker 1: type of content you consume might depend upon the device

469
00:24:38,359 --> 00:24:41,400
Speaker 1: you're using, because some devices use certain make certain type

470
00:24:41,400 --> 00:24:44,880
Speaker 1: of content easier to access or to consume. For example,

471
00:24:44,920 --> 00:24:47,359
Speaker 1: if a website is in flash, probably you're not looking

472
00:24:47,400 --> 00:24:50,640
Speaker 1: at that on an iOS device anyway. You know, Android

473
00:24:50,640 --> 00:24:54,640
Speaker 1: for a while supported Flash for a while. Um, yeah,

474
00:24:54,720 --> 00:24:57,680
Speaker 1: so you that that's a good example exactly when. I

475
00:24:57,680 --> 00:24:59,480
Speaker 1: don't know about you, Lauren, I don't know how how

476
00:24:59,520 --> 00:25:02,600
Speaker 1: frequently you you will occasion go out to eat at

477
00:25:02,640 --> 00:25:05,000
Speaker 1: some place where you're not really familiar with the menu.

478
00:25:05,080 --> 00:25:06,920
Speaker 1: But if you've ever had the experience where you click

479
00:25:06,920 --> 00:25:08,639
Speaker 1: on the menu thing and then you realize that the

480
00:25:08,640 --> 00:25:11,199
Speaker 1: menu was programmed in flash, you probably have had some

481
00:25:11,320 --> 00:25:14,160
Speaker 1: choice words. I have I have cursed the heavens multiple

482
00:25:14,200 --> 00:25:18,879
Speaker 1: times based on that. Yes, when occurred grasp of hanger,

483
00:25:19,280 --> 00:25:23,040
Speaker 1: which is the combination of being hungry and angry at

484
00:25:23,080 --> 00:25:26,560
Speaker 1: the same time. Lauren and I both suffer from this.

485
00:25:26,760 --> 00:25:28,320
Speaker 1: So you do not want to be in a room

486
00:25:28,359 --> 00:25:30,480
Speaker 1: with us when neither of us have had a snack. Yeah,

487
00:25:30,560 --> 00:25:32,240
Speaker 1: both both of us are are a tiny bit on

488
00:25:32,280 --> 00:25:36,280
Speaker 1: the hypoglycemic end and also have very particular dietary restrictions. Right,

489
00:25:36,359 --> 00:25:39,720
Speaker 1: it makes us really entertaining. The longer our podcast, the

490
00:25:39,760 --> 00:25:42,359
Speaker 1: longer our podcast goes, the more likely we are to

491
00:25:42,400 --> 00:25:44,760
Speaker 1: come to blows, not because we don't like each other,

492
00:25:44,800 --> 00:25:49,359
Speaker 1: but because we're angry. Well, I go into fits of

493
00:25:49,800 --> 00:25:53,200
Speaker 1: rage when I try and access something like a menu

494
00:25:53,359 --> 00:25:55,960
Speaker 1: on on a mobile device. And that's a perfect example

495
00:25:56,000 --> 00:25:58,880
Speaker 1: of how companies have to really take that into account

496
00:25:58,880 --> 00:26:03,600
Speaker 1: when they're designing their their mobile websites or their mobile applications.

497
00:26:03,960 --> 00:26:06,399
Speaker 1: They need to make sure that they are catering to

498
00:26:06,760 --> 00:26:10,760
Speaker 1: a platform that has its own set of advantages and disadvantages,

499
00:26:10,800 --> 00:26:14,160
Speaker 1: things that can and cannot do um. And then there's

500
00:26:14,240 --> 00:26:17,639
Speaker 1: also the concept of content grazing, which makes it even

501
00:26:17,720 --> 00:26:20,960
Speaker 1: more complicated, and that is that is the concept that

502
00:26:21,119 --> 00:26:24,000
Speaker 1: UM that most people when they're on their mobile devices

503
00:26:24,040 --> 00:26:27,920
Speaker 1: are doing multiple other things at the same time, maybe

504
00:26:27,960 --> 00:26:31,400
Speaker 1: watching TV, maybe on their tablet, maybe also checking their

505
00:26:31,400 --> 00:26:35,199
Speaker 1: smartphones simultaneous. Yeah, they might have. Usually it's too at

506
00:26:35,280 --> 00:26:38,679
Speaker 1: least two screens, probably more than two screens for some

507
00:26:38,760 --> 00:26:43,600
Speaker 1: of us, where we are consuming things on multiple platforms

508
00:26:43,640 --> 00:26:45,280
Speaker 1: all at the same time, all of which have their

509
00:26:45,320 --> 00:26:47,840
Speaker 1: own advantages and disadvantages, like I just said, so that

510
00:26:47,880 --> 00:26:49,679
Speaker 1: may or may not be related. You know that. I

511
00:26:49,680 --> 00:26:51,960
Speaker 1: think the hope like that, if you're watching television is

512
00:26:52,000 --> 00:26:54,200
Speaker 1: that you're going to be on your tablet looking up

513
00:26:54,200 --> 00:26:58,320
Speaker 1: extraneous information about that television program. Yeah, but that's not

514
00:26:58,440 --> 00:27:01,720
Speaker 1: necessarily the case, because let me tell you, I have

515
00:27:01,960 --> 00:27:07,720
Speaker 1: frequently watched uh Netflix on my Xbox three sixty. There's

516
00:27:07,720 --> 00:27:09,840
Speaker 1: gonna be a lot of name dropping here because I

517
00:27:09,840 --> 00:27:13,280
Speaker 1: want to just point out how insane I am. So

518
00:27:13,520 --> 00:27:16,199
Speaker 1: I've got my television on, I've got my Xbox sixty on.

519
00:27:16,200 --> 00:27:18,320
Speaker 1: I'm watching Netflix for that, So that's one thing I've

520
00:27:18,320 --> 00:27:20,679
Speaker 1: got going on. Meanwhile, I've got my laptop up and

521
00:27:20,680 --> 00:27:22,639
Speaker 1: I'm in Google Docs so that I can type in

522
00:27:22,760 --> 00:27:25,040
Speaker 1: snarky comments about whatever it is I'm watching, because I'm

523
00:27:25,040 --> 00:27:27,400
Speaker 1: probably doing this for another show I do. So. Then

524
00:27:27,680 --> 00:27:30,360
Speaker 1: I've also got my smartphone there where I'm getting all

525
00:27:30,400 --> 00:27:33,000
Speaker 1: of my status updates from various things because I don't

526
00:27:33,000 --> 00:27:34,920
Speaker 1: want to have too many tabs open on my laptop.

527
00:27:35,000 --> 00:27:38,040
Speaker 1: That slows things down for all the snark. So already

528
00:27:38,040 --> 00:27:42,280
Speaker 1: I've got three screens going. I have a problem, and

529
00:27:42,320 --> 00:27:45,680
Speaker 1: I'm not alone. It turns out the problem right, and

530
00:27:45,680 --> 00:27:48,360
Speaker 1: and and and people say all kinds of different reasons

531
00:27:48,400 --> 00:27:50,560
Speaker 1: for doing this, and and it might be it might

532
00:27:50,560 --> 00:27:53,520
Speaker 1: be that where you just don't want to put down

533
00:27:53,600 --> 00:27:55,920
Speaker 1: all of your feeds, where you have the slight addiction

534
00:27:56,040 --> 00:27:58,640
Speaker 1: to all of the information coming in. Are very kind

535
00:27:58,680 --> 00:28:01,840
Speaker 1: to say slight, yes, but that is that is one.

536
00:28:01,920 --> 00:28:03,840
Speaker 1: There's one where it's just I just want something on

537
00:28:03,920 --> 00:28:05,879
Speaker 1: the background. I just I can't have it be quiet.

538
00:28:05,920 --> 00:28:07,479
Speaker 1: I just have to have something on in the background

539
00:28:07,480 --> 00:28:09,000
Speaker 1: while I'm doing this other thing. And it's not that

540
00:28:09,040 --> 00:28:11,040
Speaker 1: I'm paying any attention to that, but I have to

541
00:28:11,040 --> 00:28:13,880
Speaker 1: have it on right or even that, you know, during

542
00:28:13,920 --> 00:28:16,920
Speaker 1: commercial breaks or if something is if you're having load

543
00:28:17,040 --> 00:28:20,600
Speaker 1: screen issues or something like that, your board exactly that

544
00:28:20,680 --> 00:28:22,960
Speaker 1: your board, and rather than be bored, you want to

545
00:28:22,960 --> 00:28:25,400
Speaker 1: switch your attention to something else to keep you entertained

546
00:28:25,400 --> 00:28:27,199
Speaker 1: what you're waiting for the boring thing to stop. I

547
00:28:27,200 --> 00:28:30,200
Speaker 1: am so guilty of that. That is really that's the

548
00:28:30,240 --> 00:28:32,840
Speaker 1: thing that I'm working on. But yeah, I fall into

549
00:28:32,880 --> 00:28:35,040
Speaker 1: that same sort of category. And We're not alone. There

550
00:28:35,080 --> 00:28:37,640
Speaker 1: are a lot of people, and of course everyone seems

551
00:28:37,680 --> 00:28:40,720
Speaker 1: to think that they are the ideal multitasker, even though

552
00:28:40,760 --> 00:28:44,600
Speaker 1: studies have shown repeatedly that the vast majority portion of

553
00:28:44,600 --> 00:28:47,600
Speaker 1: the population is actually good at multitask like one or

554
00:28:47,600 --> 00:28:51,360
Speaker 1: two percent of the entire population. Right, everyone else is

555
00:28:51,480 --> 00:28:55,160
Speaker 1: lying to themselves, me included, right, right, everyone else. Your

556
00:28:55,240 --> 00:28:57,840
Speaker 1: performance on every individual task you are trying to do

557
00:28:57,880 --> 00:29:02,680
Speaker 1: simultaneously declines for a few people, the supertaskers. This is

558
00:29:02,720 --> 00:29:05,480
Speaker 1: not the case. But if you are wondering if you're

559
00:29:05,480 --> 00:29:08,160
Speaker 1: a supertasker, you're not. I mean, I'm just safe to

560
00:29:08,200 --> 00:29:12,360
Speaker 1: say that statistically speaking. Nope. All right, So, um, there's

561
00:29:12,400 --> 00:29:15,840
Speaker 1: also the idea that we had before about these these

562
00:29:15,840 --> 00:29:19,120
Speaker 1: different screen landscapes, the fact that that websites are laid

563
00:29:19,160 --> 00:29:21,560
Speaker 1: out in a different way depending upon what kind of

564
00:29:21,640 --> 00:29:24,680
Speaker 1: device you're looking at. You know, if you're using a smartphone,

565
00:29:25,040 --> 00:29:26,719
Speaker 1: you're going to get a certain layout. If you get

566
00:29:26,720 --> 00:29:29,600
Speaker 1: a tablet's a different layout. That might be similar to

567
00:29:29,640 --> 00:29:32,080
Speaker 1: the layout you might get from a laptop or desktop,

568
00:29:32,120 --> 00:29:34,400
Speaker 1: but it's still a little different. It's not you know

569
00:29:34,480 --> 00:29:37,880
Speaker 1: that each one is trying to be optimized for the experience,

570
00:29:37,920 --> 00:29:41,720
Speaker 1: because one size does not at all, Like you can't

571
00:29:41,760 --> 00:29:44,240
Speaker 1: have one design of a website and expect that to

572
00:29:44,280 --> 00:29:47,560
Speaker 1: work across all devices. I mean there's a lot of

573
00:29:47,600 --> 00:29:49,920
Speaker 1: variety out there, right especially right Yes, and like like

574
00:29:49,960 --> 00:29:52,600
Speaker 1: we're saying earlier, there are so many different screen sizes

575
00:29:52,600 --> 00:29:56,080
Speaker 1: when you get into Android devices in particular that um

576
00:29:56,160 --> 00:29:58,840
Speaker 1: that it's yeah yeah, so so okay. So so you're

577
00:29:58,840 --> 00:30:01,080
Speaker 1: working with a whole bunch of different device all of

578
00:30:01,080 --> 00:30:06,000
Speaker 1: which are carried by many different wireless operators, working working

579
00:30:06,080 --> 00:30:11,840
Speaker 1: upon many different operating systems from many different locations. Um. So,

580
00:30:11,840 --> 00:30:15,200
Speaker 1: so location based stuff has to be very particular. Um,

581
00:30:15,880 --> 00:30:19,040
Speaker 1: the the the advertisers creating this content may not actually

582
00:30:19,080 --> 00:30:21,760
Speaker 1: be personally using the mobile platforms that they're working with,

583
00:30:21,840 --> 00:30:24,560
Speaker 1: and therefore might not be familiar enough with them to

584
00:30:24,720 --> 00:30:27,320
Speaker 1: really have insight into what will and will work for

585
00:30:27,320 --> 00:30:31,360
Speaker 1: for people. Um And and furthermore, um, you know, this

586
00:30:31,440 --> 00:30:36,200
Speaker 1: is all a new, new issue new as of two thousands,

587
00:30:36,240 --> 00:30:38,600
Speaker 1: I would say, I would say it's still very much

588
00:30:38,640 --> 00:30:42,520
Speaker 1: an emerging technology. I mean it's by now, I think

589
00:30:42,560 --> 00:30:44,959
Speaker 1: from a consumer standpoint, we're looking at and saying this

590
00:30:45,040 --> 00:30:47,520
Speaker 1: is a fairly mature technology. At this point. We're seeing

591
00:30:47,520 --> 00:30:51,040
Speaker 1: we're seeing refinements, but not giant leaps and evolution from

592
00:30:51,040 --> 00:30:53,719
Speaker 1: a consumer standpoint, But on the back end of it,

593
00:30:53,840 --> 00:30:57,400
Speaker 1: the actual creation and delivery of content, it's still like,

594
00:30:57,600 --> 00:31:01,200
Speaker 1: you know, corporations don't move at the speed of consumer merse. Alright,

595
00:31:01,240 --> 00:31:04,120
Speaker 1: So we've covered the fact that mobile advertising is hard.

596
00:31:04,200 --> 00:31:08,280
Speaker 1: You uh, Let's talk about some of the strategies that

597
00:31:08,440 --> 00:31:12,400
Speaker 1: have been applied to mobile advertising. We mentioned one targeted ads,

598
00:31:12,440 --> 00:31:16,800
Speaker 1: specifically targeting your not just your behaviors like what your

599
00:31:16,960 --> 00:31:20,760
Speaker 1: your past browsing habits are, but also your location. If

600
00:31:20,760 --> 00:31:23,000
Speaker 1: you do enable that, Like I said, for most systems,

601
00:31:23,000 --> 00:31:27,280
Speaker 1: it's an opt in situation, so you're not being tracked

602
00:31:27,840 --> 00:31:29,720
Speaker 1: to do it right or you know, in some cases

603
00:31:29,760 --> 00:31:33,719
Speaker 1: it might be an opt out like default on right.

604
00:31:33,760 --> 00:31:36,640
Speaker 1: I much prefer opt in obviously to opt out, just

605
00:31:36,720 --> 00:31:40,920
Speaker 1: because it gives the consumer much more transparent control of

606
00:31:40,960 --> 00:31:43,600
Speaker 1: what is going on with their data. But yes, you

607
00:31:43,680 --> 00:31:47,160
Speaker 1: in those cases, you will have the ability to reach

608
00:31:47,240 --> 00:31:51,080
Speaker 1: people and give them ads that are at least have

609
00:31:51,160 --> 00:31:53,440
Speaker 1: a probability of being more relevant to them than just

610
00:31:53,640 --> 00:31:57,360
Speaker 1: and you know, an ad from a database of sponsors.

611
00:31:58,880 --> 00:32:02,840
Speaker 1: Also video, it's a big, big deal with mobile advertising

612
00:32:02,880 --> 00:32:06,320
Speaker 1: and mobile platforms because since people aren't necessarily paying, you know,

613
00:32:06,360 --> 00:32:10,120
Speaker 1: they're they're not necessarily reading really in depth articles about

614
00:32:10,120 --> 00:32:12,240
Speaker 1: stuff on their mobile platforms. They might be watching a

615
00:32:12,280 --> 00:32:14,960
Speaker 1: quick video or listening to something. Yeah, there's a lot

616
00:32:15,080 --> 00:32:18,840
Speaker 1: more of video consumption on mobile platforms. Uh. And you know,

617
00:32:18,920 --> 00:32:22,680
Speaker 1: I remember a few years ago when the the cellular

618
00:32:22,720 --> 00:32:25,800
Speaker 1: speeds weren't really good enough to give a very good

619
00:32:26,240 --> 00:32:29,800
Speaker 1: experience for video, and I was thinking like that, this

620
00:32:29,960 --> 00:32:31,840
Speaker 1: is never going to take off. But of course, once

621
00:32:31,840 --> 00:32:34,600
Speaker 1: those speeds got better, and once the processors got better

622
00:32:34,600 --> 00:32:36,800
Speaker 1: and the battery life got better on these devices, it

623
00:32:36,840 --> 00:32:41,160
Speaker 1: became a viable uh thing, a viable feature. And so

624
00:32:41,280 --> 00:32:45,080
Speaker 1: a lot of web content creators are making a slow

625
00:32:45,160 --> 00:32:48,239
Speaker 1: move from traditional web content that you might think of

626
00:32:48,280 --> 00:32:50,800
Speaker 1: as a uh, you know, a database of articles, and

627
00:32:50,840 --> 00:32:54,640
Speaker 1: start to create more video content. Uh. And that's in

628
00:32:54,720 --> 00:32:57,640
Speaker 1: part because that's the kind of content that people are

629
00:32:57,800 --> 00:33:00,280
Speaker 1: seeking out. It's the it's easy to consume in these

630
00:33:00,320 --> 00:33:06,720
Speaker 1: mobile platforms. And it doesn't mean that the content quality changes,

631
00:33:06,920 --> 00:33:11,480
Speaker 1: it just the actual delivery of it changes. So you

632
00:33:11,760 --> 00:33:16,600
Speaker 1: then have a move to start inserting video ads into things.

633
00:33:16,680 --> 00:33:19,040
Speaker 1: But even that gets a little tough. I mean, depending

634
00:33:19,120 --> 00:33:22,800
Speaker 1: upon what you're using as a way of delivering video

635
00:33:22,880 --> 00:33:26,400
Speaker 1: to your consumer. For example, if you're using YouTube, YouTube

636
00:33:26,520 --> 00:33:30,960
Speaker 1: allows people to serve ads against their content, and if

637
00:33:31,000 --> 00:33:33,840
Speaker 1: you do that, then you get a certain percentage of

638
00:33:33,880 --> 00:33:37,520
Speaker 1: the ad revenue and Google gets the rest right. And

639
00:33:37,560 --> 00:33:40,479
Speaker 1: it's not an insignificant amount that Google gets, No, Google,

640
00:33:40,520 --> 00:33:43,120
Speaker 1: Google gets a significant amount of that, you know, depending

641
00:33:43,200 --> 00:33:45,600
Speaker 1: upon I don't know if all the agreements are the

642
00:33:45,600 --> 00:33:48,680
Speaker 1: same across all content creators. I imagine that there are

643
00:33:48,720 --> 00:33:51,600
Speaker 1: different ones, but at any rate, Google does take a

644
00:33:51,600 --> 00:33:54,480
Speaker 1: cut of that. And on top of that, Google also

645
00:33:54,520 --> 00:33:58,080
Speaker 1: has an algorithm where you can sometimes skip an AD.

646
00:33:58,120 --> 00:34:00,800
Speaker 1: If you've ever watched a YouTube video in five seconds,

647
00:34:01,800 --> 00:34:05,920
Speaker 1: So skipping that ad, I suspect impacts how much money

648
00:34:06,040 --> 00:34:09,240
Speaker 1: the the person who has that content will receive because

649
00:34:09,280 --> 00:34:11,680
Speaker 1: you've you've just allowed the user to skip it. Why

650
00:34:11,719 --> 00:34:14,520
Speaker 1: does Google do this, Well, it's for user experience, you know.

651
00:34:14,600 --> 00:34:17,319
Speaker 1: They It's it's this idea that by doing this, you

652
00:34:17,440 --> 00:34:21,840
Speaker 1: keep user satisfaction up. And uh, the algorithm is designed

653
00:34:21,880 --> 00:34:24,799
Speaker 1: so that there are certain times when you are not

654
00:34:24,880 --> 00:34:26,600
Speaker 1: going to be allowed to skip an AD. And it

655
00:34:26,640 --> 00:34:31,080
Speaker 1: doesn't necessarily mean that that particular AD is different from another,

656
00:34:31,160 --> 00:34:34,440
Speaker 1: It's just that the algorithm has lined it up that way. Um,

657
00:34:34,520 --> 00:34:36,399
Speaker 1: there are other ties where I guess there are ad

658
00:34:36,400 --> 00:34:38,719
Speaker 1: deals where no matter what, you're never able to skip it,

659
00:34:38,760 --> 00:34:42,240
Speaker 1: because I've I've seen some ads that didn't it didn't

660
00:34:42,239 --> 00:34:44,160
Speaker 1: matter why video I was watching, that ad was going

661
00:34:44,200 --> 00:34:47,040
Speaker 1: to play all the way through every time. Um, So

662
00:34:47,280 --> 00:34:50,840
Speaker 1: these deals are complicated. There's no one size fits all approach,

663
00:34:51,000 --> 00:34:54,799
Speaker 1: even with YouTube, and that's just one delivery system. Now

664
00:34:54,800 --> 00:34:56,600
Speaker 1: there are other ones that are out there on the web,

665
00:34:56,640 --> 00:34:59,560
Speaker 1: but YouTube is just one of those that's incredibly well known.

666
00:35:00,320 --> 00:35:03,640
Speaker 1: Right on top of that, you have social platform ads.

667
00:35:03,680 --> 00:35:06,480
Speaker 1: So this is using stuff like Twitter and Facebook to

668
00:35:06,960 --> 00:35:11,120
Speaker 1: kind of advertise, so you know, sponsored tweets where you'll

669
00:35:11,239 --> 00:35:13,719
Speaker 1: look at your Twitter feed and you're like, I'm not

670
00:35:13,800 --> 00:35:16,279
Speaker 1: following Burger King, Yeah, why am I seeing this? And

671
00:35:16,320 --> 00:35:19,000
Speaker 1: it's because it's a promoted tweet that that the company

672
00:35:19,000 --> 00:35:21,440
Speaker 1: in this case Burger King has paid so that you

673
00:35:21,480 --> 00:35:24,360
Speaker 1: will know that their latest version of the Whopper is

674
00:35:24,400 --> 00:35:28,160
Speaker 1: available or whatever, and so you'll you know, you'll see

675
00:35:28,160 --> 00:35:32,480
Speaker 1: that because it's been promoted into Twitter. Um. That's one way.

676
00:35:32,560 --> 00:35:35,359
Speaker 1: Another is a course on platforms like Facebook where you'll

677
00:35:35,400 --> 00:35:37,719
Speaker 1: see those ads that are maybe along the right rail

678
00:35:37,840 --> 00:35:41,280
Speaker 1: or occasionally you'll see sponsored inline. Yeah, you'll see sponsored

679
00:35:41,280 --> 00:35:44,440
Speaker 1: stuff pop up in your feed, and again that stuff

680
00:35:44,480 --> 00:35:47,000
Speaker 1: that companies have paid for and and in this case

681
00:35:47,680 --> 00:35:50,759
Speaker 1: that also tends to be run through some algorithms, so

682
00:35:50,800 --> 00:35:55,280
Speaker 1: that the ads that you see, Lauren are probably different

683
00:35:55,320 --> 00:35:58,440
Speaker 1: from the ads that I see. Before we finish up

684
00:35:58,440 --> 00:36:00,680
Speaker 1: with ads on the go, it's time for or well

685
00:36:01,239 --> 00:36:11,640
Speaker 1: an ad, let's take a quick break. I imagine that

686
00:36:11,680 --> 00:36:16,560
Speaker 1: you get fewer ads for my aforementioned example, engagement rings

687
00:36:16,560 --> 00:36:19,400
Speaker 1: than I do because I'm female and therefore I'm clearly

688
00:36:19,440 --> 00:36:23,320
Speaker 1: interested in receiving a diamond from somebody. And I'm married,

689
00:36:23,480 --> 00:36:25,840
Speaker 1: so if I start shopping for engagement rings, I'm going

690
00:36:25,880 --> 00:36:30,480
Speaker 1: to have some serious questions to answer. Also, yeah, it's

691
00:36:30,520 --> 00:36:33,640
Speaker 1: also based upon your browsing habits. I know this because

692
00:36:33,640 --> 00:36:37,440
Speaker 1: I was recently looking at a costume piece. I was

693
00:36:37,480 --> 00:36:40,759
Speaker 1: looking for a specific costume piece, and I went to

694
00:36:40,880 --> 00:36:44,799
Speaker 1: several different websites looking for this variations on this costume piece,

695
00:36:44,840 --> 00:36:46,839
Speaker 1: and then I went up back over to Facebook and

696
00:36:46,920 --> 00:36:49,720
Speaker 1: lo and behold, one of the things I was looking

697
00:36:49,719 --> 00:36:51,920
Speaker 1: for was right there in the right rail with the

698
00:36:51,960 --> 00:36:55,359
Speaker 1: other ads. So it was going beyond just my uh

699
00:36:55,680 --> 00:36:58,240
Speaker 1: my experience on Facebook. It was looking at my browsing

700
00:36:58,280 --> 00:37:04,920
Speaker 1: history fun times. So um. It does then filter the

701
00:37:05,040 --> 00:37:07,400
Speaker 1: various ads that you could get and goes with the

702
00:37:07,400 --> 00:37:09,839
Speaker 1: ones that you are most likely to find relevant based

703
00:37:09,880 --> 00:37:12,440
Speaker 1: upon your behaviors and what you've liked in the past.

704
00:37:12,960 --> 00:37:16,279
Speaker 1: And it may very well be that perhaps that that

705
00:37:16,480 --> 00:37:19,359
Speaker 1: ad I saw isn't related to my browsing history. Maybe

706
00:37:19,440 --> 00:37:22,200
Speaker 1: I liked something in the past that brought it up.

707
00:37:22,239 --> 00:37:24,719
Speaker 1: That's quite possible because it was just a coincidence that

708
00:37:24,760 --> 00:37:26,920
Speaker 1: you that you noticed because your brain had been on

709
00:37:26,960 --> 00:37:29,880
Speaker 1: that exactly exactly. It could very well be a coincidence.

710
00:37:29,920 --> 00:37:33,600
Speaker 1: I'm not totally on the this is the cause and

711
00:37:33,640 --> 00:37:38,799
Speaker 1: this is the effect bandwagon. I'm just so um. But

712
00:37:38,840 --> 00:37:42,120
Speaker 1: then there's also the suggestion that content creators have to

713
00:37:42,120 --> 00:37:44,120
Speaker 1: find ways to make the stuff they generate easy to

714
00:37:44,160 --> 00:37:47,000
Speaker 1: consume on mobile devices, and it has to be engaging

715
00:37:47,000 --> 00:37:50,000
Speaker 1: and optimized, and then that means that it needs to

716
00:37:50,120 --> 00:37:53,160
Speaker 1: be snack sized, kind of like we were saying with

717
00:37:53,200 --> 00:37:56,360
Speaker 1: more content moving to video. This this is this is similar.

718
00:37:56,400 --> 00:37:57,960
Speaker 1: This say is you know, if you do have an article,

719
00:37:58,000 --> 00:38:01,480
Speaker 1: have it something that someone can consume easily and quickly

720
00:38:01,760 --> 00:38:04,480
Speaker 1: while they're on a mobile tablet, mobile platform, it might

721
00:38:04,520 --> 00:38:07,239
Speaker 1: be a paragraph as opposed to an article. It might

722
00:38:07,480 --> 00:38:10,560
Speaker 1: you know, you'll see a lot of things like images,

723
00:38:10,600 --> 00:38:15,120
Speaker 1: slide shows, You'll see um, you know, quick quick things.

724
00:38:15,200 --> 00:38:17,520
Speaker 1: Because the idea is that no one wants to sit

725
00:38:18,080 --> 00:38:21,160
Speaker 1: and read an in depth article on a mobile platform,

726
00:38:21,280 --> 00:38:23,200
Speaker 1: or at least that that's not what the majority wants

727
00:38:23,239 --> 00:38:24,759
Speaker 1: to do. Because as soon as I say that, I'm

728
00:38:24,760 --> 00:38:26,520
Speaker 1: going to get a lot of people writing and saying

729
00:38:26,560 --> 00:38:29,399
Speaker 1: I love reading along articles on my mobile device. I'm

730
00:38:29,440 --> 00:38:31,399
Speaker 1: one of them. I write the train all the time,

731
00:38:31,480 --> 00:38:34,600
Speaker 1: so I'll read. I read books on my phone sometimes,

732
00:38:34,880 --> 00:38:38,040
Speaker 1: but I'll also read you know, really long pieces written

733
00:38:38,040 --> 00:38:43,560
Speaker 1: in various uh publications, So I'm outside the norm. They're

734
00:38:43,960 --> 00:38:48,120
Speaker 1: like I am, with lots of things. I can't help it. Uh.

735
00:38:48,160 --> 00:38:51,319
Speaker 1: And then also there's the chance of seeing more sponsored

736
00:38:51,440 --> 00:38:54,239
Speaker 1: content on mobile platforms. So in this case, you might

737
00:38:54,320 --> 00:38:57,560
Speaker 1: see a site or an article brought to you by

738
00:38:57,680 --> 00:39:00,360
Speaker 1: something if I fill in the blank, yeah, espe Actually,

739
00:39:00,360 --> 00:39:03,239
Speaker 1: if it's something that's related to whatever the content of

740
00:39:03,280 --> 00:39:06,439
Speaker 1: that like if it's a blog that's about a specific thing,

741
00:39:07,200 --> 00:39:10,640
Speaker 1: like a specific subculture or specific like it's you know,

742
00:39:10,640 --> 00:39:13,520
Speaker 1: a movie commentary or whatever. You could imagine that that

743
00:39:13,560 --> 00:39:16,760
Speaker 1: would be sponsored by a company that's related to that subject.

744
00:39:17,360 --> 00:39:21,200
Speaker 1: And um, I mean obviously that also means that you

745
00:39:22,040 --> 00:39:27,080
Speaker 1: have examples of editorial content and then there's advertorial content

746
00:39:27,120 --> 00:39:29,920
Speaker 1: where it's kind of that mixed between advertisement and editorial,

747
00:39:30,360 --> 00:39:33,480
Speaker 1: and then there's just ads. It does mean that there's

748
00:39:33,719 --> 00:39:35,520
Speaker 1: there's a lot more navigation needed on the part of

749
00:39:35,560 --> 00:39:39,279
Speaker 1: the user if they're if they're out for something specific. Sure,

750
00:39:39,360 --> 00:39:41,440
Speaker 1: that's that's actually a huge problem for me while I'm

751
00:39:41,440 --> 00:39:44,319
Speaker 1: while I'm researching especially topics like this that, um that

752
00:39:44,480 --> 00:39:49,560
Speaker 1: it's hard to tell sometimes whether articles from from some

753
00:39:49,680 --> 00:39:54,120
Speaker 1: of these marketing companies, yeah, are are just advertising around

754
00:39:54,160 --> 00:39:58,279
Speaker 1: services or if they're making a valid point, right, I

755
00:39:58,640 --> 00:40:00,600
Speaker 1: think that it's hard to say what the future will

756
00:40:00,640 --> 00:40:02,960
Speaker 1: be of this kind of thing. Um, I mean, obviously

757
00:40:03,040 --> 00:40:05,279
Speaker 1: mobile is going to play a huge part, so we

758
00:40:05,680 --> 00:40:08,360
Speaker 1: know that the question is, you know, people are trying

759
00:40:08,360 --> 00:40:13,040
Speaker 1: to innovate new ways of putting ad content into into

760
00:40:13,040 --> 00:40:16,560
Speaker 1: our our browsing experiences that is going to be um

761
00:40:16,880 --> 00:40:20,640
Speaker 1: less disruptive and and more natural and and just work

762
00:40:20,640 --> 00:40:23,560
Speaker 1: out better for everybody. You know. It's certainly nobody wants

763
00:40:23,600 --> 00:40:25,959
Speaker 1: the user to have a bad experience. That's not going

764
00:40:26,000 --> 00:40:28,799
Speaker 1: to make someone more likely to buy a product. But

765
00:40:28,800 --> 00:40:31,759
Speaker 1: at the same time, if there's not this support, then

766
00:40:31,800 --> 00:40:33,719
Speaker 1: the people who are creating the content have to find

767
00:40:33,760 --> 00:40:37,000
Speaker 1: other ways of making money because, you know, while there's

768
00:40:37,000 --> 00:40:39,480
Speaker 1: going to be some content created for free on the

769
00:40:39,520 --> 00:40:42,800
Speaker 1: Internet by people who are just very passionate about whatever

770
00:40:42,840 --> 00:40:45,560
Speaker 1: it is they're doing, the reality is if you want

771
00:40:45,600 --> 00:40:47,400
Speaker 1: to make a living at it, then someone has to

772
00:40:47,440 --> 00:40:51,160
Speaker 1: pay somewhere. Because we're not we haven't reached a point

773
00:40:51,160 --> 00:40:55,280
Speaker 1: where I can release a podcast in return for a sandwich.

774
00:40:57,160 --> 00:40:59,480
Speaker 1: I don't. I shouldn't say that because next thing I know,

775
00:41:00,040 --> 00:41:02,359
Speaker 1: I could be brought in for my annual review would say,

776
00:41:02,360 --> 00:41:06,879
Speaker 1: so here, you want to be paid in sandwiches? Um?

777
00:41:06,920 --> 00:41:09,040
Speaker 1: I think. I think that's how money works. In fact,

778
00:41:09,080 --> 00:41:11,719
Speaker 1: you can buy as many sandwiches as you want. Can

779
00:41:11,760 --> 00:41:14,640
Speaker 1: I buy other things besides sandwiches? I suppose you could.

780
00:41:14,680 --> 00:41:18,880
Speaker 1: I'm sold on this money idea. UM. There. For example,

781
00:41:18,920 --> 00:41:21,239
Speaker 1: while I was doing research for this podcast, I ran

782
00:41:21,280 --> 00:41:25,680
Speaker 1: across a study done by a CEO of a app

783
00:41:25,719 --> 00:41:28,600
Speaker 1: called pocket Change, and pocket Change is an apple lets

784
00:41:28,600 --> 00:41:33,000
Speaker 1: you earn points for activity on other apps. So wow,

785
00:41:33,040 --> 00:41:36,279
Speaker 1: it's a meta app. Yeah yeah, um so, so you know,

786
00:41:36,360 --> 00:41:39,600
Speaker 1: you'll you'll go and you know, for for the number

787
00:41:39,640 --> 00:41:43,040
Speaker 1: of pages that you browse, are the number of candies

788
00:41:43,120 --> 00:41:45,520
Speaker 1: that you crush? I don't know what that is, you know,

789
00:41:45,600 --> 00:41:48,160
Speaker 1: et cetera. Um, you you'll earn points that you can

790
00:41:48,200 --> 00:41:51,320
Speaker 1: exchange for rewards and and so it's a it's another

791
00:41:51,360 --> 00:41:54,720
Speaker 1: form of advertising. And um so in this way, what

792
00:41:54,719 --> 00:41:58,440
Speaker 1: what this app is doing is encouraging your engagement with

793
00:41:58,560 --> 00:42:02,359
Speaker 1: other apps and other services, and in return, you get

794
00:42:02,400 --> 00:42:04,560
Speaker 1: rewarded for it, similar to the way that you earned

795
00:42:04,680 --> 00:42:09,239
Speaker 1: might reward points on a credit card. That's ingenious. That

796
00:42:09,440 --> 00:42:12,760
Speaker 1: is incredible, I honestly when I was doing my research,

797
00:42:12,800 --> 00:42:17,560
Speaker 1: and that's such a simple, elegant way of encouraging people

798
00:42:17,560 --> 00:42:21,279
Speaker 1: to consumeth do what you want to do, and right like,

799
00:42:21,320 --> 00:42:23,480
Speaker 1: here are the things that's going to help you earn points,

800
00:42:24,080 --> 00:42:26,680
Speaker 1: and you know, and hopefully along the way, you are

801
00:42:26,719 --> 00:42:30,960
Speaker 1: going to enjoy whatever that particular content is. Obviously some

802
00:42:31,000 --> 00:42:33,680
Speaker 1: people would just be playing just to accumulate points, but

803
00:42:33,920 --> 00:42:36,360
Speaker 1: the hope is, of course that they're doing going beyond

804
00:42:36,400 --> 00:42:38,560
Speaker 1: that and they're actually consuming what it is that people

805
00:42:38,560 --> 00:42:42,000
Speaker 1: are creating right right. Microsoft has started doing a vaguely

806
00:42:42,040 --> 00:42:44,160
Speaker 1: similar thing with some of their Microsoft Points. You can

807
00:42:44,200 --> 00:42:48,000
Speaker 1: you can earn points by by playing games or by

808
00:42:48,040 --> 00:42:50,520
Speaker 1: downloading new games, and um, and I'm not sure what

809
00:42:50,600 --> 00:42:54,120
Speaker 1: you can exchange those points for right now exactly because

810
00:42:54,120 --> 00:42:56,719
Speaker 1: I've earned a grand total of zero of them. But

811
00:42:57,120 --> 00:43:01,840
Speaker 1: Lauren's an overachiever, and and you know that's not mobile.

812
00:43:01,840 --> 00:43:03,880
Speaker 1: But but I think that this is that kind of

813
00:43:03,920 --> 00:43:07,479
Speaker 1: gamification is something that people are starting to think about doing.

814
00:43:07,800 --> 00:43:10,880
Speaker 1: I can see that. Yeah, so there are some creative

815
00:43:10,920 --> 00:43:14,239
Speaker 1: ways that people are exploring to try and and and

816
00:43:14,280 --> 00:43:19,120
Speaker 1: generate money using the mobile platform experience. Because again, the

817
00:43:19,120 --> 00:43:22,480
Speaker 1: the traditional one we've talked about is becoming less relevant

818
00:43:22,560 --> 00:43:25,440
Speaker 1: over time. It's not like it's irrelevant now, it's not.

819
00:43:26,040 --> 00:43:30,200
Speaker 1: It's just it's just slowly declining or it maybe maybe

820
00:43:30,200 --> 00:43:32,360
Speaker 1: declines even the wrong word, but starting to plateau, and

821
00:43:32,360 --> 00:43:35,160
Speaker 1: then it looks like it's going to decline. So the

822
00:43:35,200 --> 00:43:37,640
Speaker 1: writings on the wall really people have to find other

823
00:43:37,719 --> 00:43:41,360
Speaker 1: ways of making this work or else entire companies could

824
00:43:41,480 --> 00:43:46,040
Speaker 1: end up having to either restructure drastically or even go

825
00:43:46,120 --> 00:43:51,319
Speaker 1: away because they cannot do business. Yeah. So, um, you know,

826
00:43:51,400 --> 00:43:54,279
Speaker 1: and and you know it's it's It'll be interesting to

827
00:43:54,280 --> 00:43:57,239
Speaker 1: see how it plays out. I'm sure that solutions will

828
00:43:57,280 --> 00:44:01,840
Speaker 1: be proposed, implemented, discarded, and refined. We're gonna see it.

829
00:44:01,840 --> 00:44:04,799
Speaker 1: It's never going to be a super clean process that

830
00:44:04,880 --> 00:44:07,480
Speaker 1: you can point from the beginning to the end and

831
00:44:07,520 --> 00:44:09,960
Speaker 1: say and here's the story. It's gonna be complex and

832
00:44:10,000 --> 00:44:13,319
Speaker 1: messy because that's kind of how humans are. But I

833
00:44:13,400 --> 00:44:17,440
Speaker 1: do think that we will crack this somehow where it's

834
00:44:17,480 --> 00:44:19,480
Speaker 1: going to be the kind of experience where no one

835
00:44:19,600 --> 00:44:22,040
Speaker 1: is going to be feeling like it was, you know,

836
00:44:22,280 --> 00:44:25,080
Speaker 1: like like you're being punished for browsing the web. That

837
00:44:25,200 --> 00:44:28,920
Speaker 1: that obviously would be the wrong message to show, because

838
00:44:29,360 --> 00:44:32,000
Speaker 1: like you said, Lauren, I'm not likely to buy something

839
00:44:32,080 --> 00:44:35,359
Speaker 1: if I'm irritated at my experience. But if it's an

840
00:44:35,360 --> 00:44:40,040
Speaker 1: experience that is entertaining, it's compelling, I'm feeling rewarded, then

841
00:44:40,400 --> 00:44:44,399
Speaker 1: I'm much more likely to buy something or to look

842
00:44:44,440 --> 00:44:49,520
Speaker 1: at a particular vendor services. So it's just making that work.

843
00:44:50,000 --> 00:44:52,120
Speaker 1: You know, it sounds like a simple idea, but making

844
00:44:52,120 --> 00:44:56,440
Speaker 1: it work in practice is a complex process. Well excited

845
00:44:56,480 --> 00:44:58,359
Speaker 1: to see where it goes me too, because you know,

846
00:44:58,560 --> 00:45:01,440
Speaker 1: I lax my smartphone, and I lacks my tablets and

847
00:45:01,440 --> 00:45:04,680
Speaker 1: I lacks my laptops. Also like having a job. That's

848
00:45:04,760 --> 00:45:08,040
Speaker 1: also good. Yes, considering that the way we work is

849
00:45:08,160 --> 00:45:11,520
Speaker 1: very much dependent upon this. Uh yeah, it's it's important

850
00:45:11,520 --> 00:45:14,120
Speaker 1: to us on a personal level. There's no getting around that.

851
00:45:14,320 --> 00:45:18,239
Speaker 1: And no, we love it. So please help us, help

852
00:45:18,280 --> 00:45:22,000
Speaker 1: us solve this. And that wraps up this classic episode

853
00:45:22,040 --> 00:45:25,080
Speaker 1: of tech Stuff. I hope you guys enjoyed that. Listen

854
00:45:25,160 --> 00:45:28,680
Speaker 1: to an oldie, but a goodie. It is amazing for

855
00:45:28,719 --> 00:45:31,759
Speaker 1: me to think about something from seven years ago and

856
00:45:31,760 --> 00:45:35,279
Speaker 1: then realize that that's only about halfway through the run

857
00:45:35,320 --> 00:45:38,120
Speaker 1: of tech Stuff. But we're gonna keep on going through

858
00:45:38,239 --> 00:45:41,200
Speaker 1: and also giving you new episodes of tech Stuff on

859
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Speaker 1: that subject. If you have a suggestion for an episode,

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Speaker 1: send it to me via Twitter. The handle is text

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Speaker 1: stuff H s W and I'll talk to you again

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Speaker 1: really soon. Tex Stuff is an I Heart Radio production.

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Speaker 1: For more podcasts from Heart Radio, visit the I Heart

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Speaker 1: Radio app, Apple Podcasts, or wherever you listen to your

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Speaker 1: favorite shows. H