Value and volume of users make it hard for advertisers to quit walled gardens

New Ideas in MarketingEssential news for marketers, summarised by YouGov
May 28, 2019, 9:37 AM UTC

This value comes at the cost of advertisers being unable to independently assess the ad platform’s performance.

Advertisers find it difficult to leave “walled gardens”, Google and Facebook, since they own “large pools” of first-party data. They remain dependant on these platforms because they provide incredible value in the form of number of users.

However, advertisers can’t independently asses Google and Facebook’s performance given their limited data-sharing with independent measurement and attribution firms to comply with GDPR. Despite this, advertisers that may have consolidated their ad tech into walled gardens choose them because other vendors have limitations of scale and innovation.

The article quotes Dave Wehner, CFO at Facebook saying that users are seeing ads on Facebook that are less relevant. Wehner states that this is a result of increasing number of people opting out of utilising context from the websites and apps they visit for ad targeting.

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