Google Predicts More Social, and Profitable, Display Ads

12 Oct

Google might be late to the display advertising game, but it wants Madison Avenue to know that it will be ahead of the game in the future. At the Interactive Advertising Bureau’s Mixx conference in New York on Tuesday, Google made seven predictions for display advertising that the company thinks will happen by 2015.

Neal Mohan, the vice president for product management responsible for Google’s display advertising products, and Barry Salzman, managing director of media and platforms for the Americas at Google, who runs display ad sales, envisioned a Web where the ads are more social, mobile and real-time — and a lot more profitable.

1. Google announced two new kinds of video ads for YouTube and predicted that half of display ads would include cost-per-view videos that viewers choose to watch. On YouTube, people will be able to skip video ads they don’t like after five seconds (and the advertiser won’t pay for those views) or choose which of three ads to watch.

2. Half of the audience will be viewing ads in real-time, Google predicted. That means changing elements of ads on the fly based on things like location, the viewer’s interests and the weather. Google demonstrated technology from Teracent, an advertising company it acquired, that changes a car ad depending on whether the viewer is in a sunny or rainy place, is a woman or a man, and prefers shopping or sports. The technology would allow “millions of possible permutations,” Mr. Salzman said.

3. Google has been talking for a while about mobile being a priority and predicted that cellphone screens would be the No. 1 screen for viewing the Web by 2015. In display advertising, that means using phones to bridge the gap between a magazine ad and an online ad. An app called Google Goggles already lets people take photos of things like a landmark to search for them on Google. Eventually, people will be able to take a cellphone photo of a print automobile ad, for instance, and see the car in 3-D, zoom in and visit the company’s Web site.

Find more here: http://mediadecoder.blogs.nytimes.com/2010/09/28/google-predicts-more-social-and-profitable-display-ads/

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