As new technologies are embraced, often the older stalwarts of the industry are resistant to change. This has been seen in the advertising industry, where ad agencies who traditionally buy large amounts of ad space are now coming together with the online giants to get the most out of their online campaigns.
The NY Times puts together an interesting article that examines some of the new partnerships that are appearing with the marketing giants of yore and the modern super companies. Both Google and Microsoft are attending an annual advertising industry night in France.
Analysts are suggesting that these moves have come about from the economic climate, combined with individual’s increased Internet usage. With consumers having less money to spend, they are more cautious with their research and purchasing, looking for the bargain online.
The issue comes with making money from the digital medium. The Internet has been built on the premise of free exchange of information, which means that companies have always had to look for additional methods to make money out of consumers.
Many ideas have come and gone, with varying levels of success. The one constant at the moment is paid per click advertising on the search engines, which have had a large level of success for both sides of the equation, with 98% of Google’s revenue coming from the ad space on their search results. Other money raising adventures such as interrupted browsing (like TV ads) didn’t prove as successful.
The questions being raised by consumers surely would include whether this meeting is for the good of the consumers, or whether the corporations will be the only ones to gain a benefit.