Edition #535
On digital spines, the two track internet and Stanley Tucci.
The Sunday blue blobs were flying in the group chat. Publicis acquired LiveRamp. Putting together a foundation for the agentic media future.
A quick recap, LiveRamp is an identity spine, where you can match IDs. Imagine a literal spine, and you hang your ID on one part, and it helps you connect that ID to another on the spine.
On the deal, ‘Publicis CEO Arthur Sadoun said the deal positions Publicis as a leader in “data co-creation,” helping clients “generate new, exclusive and proprietary data” to build the “smartest, most differentiated AI agents.”‘
The real underpinning here is, that it provides a baseline framework, for which you can build your own AI media product. And in doing so, you can undermine competitors, win/win. AND you can build an audience product, on par with the Googles of the world etc.
Ari summed it up well:
Start by asking what “agentic transformation” might mean in the context of Publicis. While cost savings, creative generation, and business process improvements are all top priorities for AI within agencies, I think he’s talking primarily about media activation and investment. To put words into Arthur’s mouth (I hope he doesn’t mind if I call him Arthur, or if I put words in his mouth), I think what he’s really saying is something like this:
“The acts of buying, optimizing, and measuring media are going to be accomplished better and faster by AI. Owning the pipes that connect our clients’ data to the media properties is going to make this possible.”
I think that’s the strategy. This reminds me a little of back in the 2000s when Google went on a buying spree picking up all the dark fiber available well before YouTube or most of the modern internet was even a thing.
At least, in theory.
Execution is another story, with a few pointed to their dated tech. However, with the market power that both companies have, does the level of execution really need to be as sharp as you might think? I’m not sure. But at a certain scale, your only real competition is one or two players.
The natural arising question is, what is the new stack, the collection of companies, that are building where LiveRamp would be going. This presents a new opportunity within itself. I don’t know the answer, but if or when I see a good write up, you know it’ll be in the newsletter.
Also this week Benedict Evans dropped his latest presentation, worth a dig through. Some Friday reading.
For those in the US, Happy Memorial, enjoy the long weekend.
Notable stories this week
- How brands can tap into micro-dramas.
- Google’s guide to optimizing your website for generative AI features on Google Search.
- Netflix is staffing up a ‘GenAI-Native Animation Studio’.
- Parallel launches Index.
- WebMCP will enter trials in Chrome 149.
- The rise and fall of an AI-driven ‘local news outlet’ in South Florida.
- X leans on AI and performance in a bid to win ad dollars.
- CEO of Condé Nast on TBPN.
- YouTube and Netflix are starting to sound a lot like normal tv.
- These AI agents want to handle all the annoying parts of media buying.
- Trust becomes the product: Marketers grapple with Google’s new suite of AI-powered ad agents.
- The shifting role of tv advertising.
- Spotify & UMG announce a deal to monetize fan created music.
- Google revamps its iconic Search Bar for the first time in 25 years.
- Scott Galloway had the audience. Here’s what he came for.
- AI agents are coming to Netflix to grow its $3b ad business.
- Business Insider needs to get smaller, on purpose.
- Moved that drop dead date: Omnicom accelerates LiveRamp exit after Publicis deal.
- Women’s Sports Podcasts are fueling the next media gold rush.
- Agencies are moving closer to supply, and it’s reshaping the programmatic middle layer.
- Inside The Trade Desks’s Claude-powered campaign agent.
- Mint Square and Ami partner to unlock programmatic advertising for independent agencies.
- Agencies are moving closer to supply, and it’s reshaping the programmatic middle layer.
- A new generation of ads for the AI era of Search.
- Google is bringing Meridian their open source MMM into GA 360.
- The upfront is overtaking streaming’s programmatic marketplace.
- The programmatic auction is changing in real time – here’s how.
- Skai claims first agent-native marketing OS amid AI agent rush.
- Google challenges Amazon with new native checkout.
- Lowe’s is betting on MrBeast to drive ‘lipstick effect’ sales.
- Influencer boost budgets are throwing gas on social video spending fire.
- X just capped free accounts at 50 daily posts and 200 replies.
- The Economist prepares for a two track internet: one for humans and one for AI agents.
- X is making a major creator push, launching ad product to connect brands and users.
- Can a 300,000 Influencer Network built on AI-generated content work?
- Why LinkedIn is the most underrated answer engine optimization channel.
- Publicis LiveRamp deal puts competitors on edge.
- The great digital media valuation collapse.
- The Unwinding.
Deals/M&A
- Vox Media sells podcast biz, some publishing brands to James Murdoch’s Lupa Systems. And NYTimes has James Murdoch intent on ‘thoughtful journalism’ buys half of Vox Media.
Campaign of the week
- Stanley Tucci with TJ Maxx.
Smartest commentary
- “The distinction matters. Content marketing asks “what information does our buyer need?” Publishing asks “what does our company believe that our competitors don’t?” The first produces how-to guides any competitor could publish next week. The second produces perspectives, arguments, and original data that only your company could publish, because they come from your specific experience, your specific data, and your specific point of view.” –State of Brand.
Datapoints of note
- BabyBillion reports 90% retention as repeat viewing surges in kids short-form content.
- [Galloway] Our business does about $20 million top line in podcast revenues, but that business has a multiple of probably two to three times. We just started on Substack and wanted a subscription offering. My guess is we’ll be at an ARR of about a million dollars by the end of the year. That revenue has probably a four to six multiple… We’re adding about 150 paid subscribers a week, and a lot more unpaid.
- One quarter of North American agencies have shifted to fixed free pricing.
Events
- Watch this space.
That’s it for this week.
|
|---|