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One of Google's grand strategy is trying to be the ultimate middleman in advertising, whatever channel it is. I wouldn't be surprised if Google print ads come o

One of Google's grand strategy is trying to be the ultimate middleman in advertising, whatever channel it is. I wouldn't be surprised if Google print ads come out. (However, Google just folded its radio operation, anyone knows why specifically? http://adwords.google.com/support/bin/answer.py?hl=en&answer=140691 http://adwords.google.com/support/bin/answer.py?hl=en&an...) From a brief look, it does seem to be a lot more convenient for advertisers. I bet many small and medium-sized businesses would start advertising on TV more because of this service. Does this spell doom for ad agencies? I'd love to hear informed opinion on this. Is there a different implication between ad agencies that target small- and medium-sized business and Fortune 100 corporations?

inerte 18y ago
I don't think so. What happens today is this: Let's say you have a business and want to advertise on TV. You approach an advertising agency, who usually deals with the whole chain. They'll write a script, hire the production company, and they'll contact the TV to know when to display the ad and how much it costs. What Google will do is just the third part. We'll probably see Google TV Ads being used by ad agencies to manage their clients TV schedules. Large companies advertising on the internet already hire an ad agency to deal with their AdWords campaigns, because they'll write the ad text/create the image/flash, and they have the market research, and they probably designed the landing page anyway. Ad agencies love Google AdWords, they'll probably love TV Ads too. It's a tool to better manage TV ads scheduling... Edit: Let's say you're a small business and want to advertise on TV. You still need to actually make the ad, and while this is doable with friends, a cam and a notebook, it's much easier to just hire a production company. Check the technical requirements for Google TV Ads, it's full of tech lingo. After recording the ad, you could take the video and manage the scheduling using AdWords, though.
- nopinsight 18y ago
  Google helps you do the first and second part too: Ad Creation Marketplace http://services.google.com/marketplace/overview/index.html http://services.google.com/marketplace/overview/index.html
indiejade 18y ago
Does this spell doom for ad agencies? My theory is that advertising agencies will eventually go the way of travel agencies. Big ad agencies will still exist, but they'll be forced to downsize as they face stiffer competition from the sort of decentralized indie distribution methods that make crowdsourcing work so efficiently and effectively. Look at what 99designs.com and crowdspring.com do for graphic designers, and apply that to the advertising industry; it would be fairly easy to set up a site that crowdsources advertising and rewards the actual producers with a larger share of the advertising company's advertising dollar budget. Perhaps a question of when more than if.

inerte 18y ago

I don't think so. What happens today is this: Let's say you have a business and want to advertise on TV. You approach an advertising agency, who usually deals with the whole chain. They'll write a script, hire the production company, and they'll contact the TV to know when to display the ad and how much it costs. What Google will do is just the third part. We'll probably see Google TV Ads being used by ad agencies to manage their clients TV schedules. Large companies advertising on the internet already hire an ad agency to deal with their AdWords campaigns, because they'll write the ad text/create the image/flash, and they have the market research, and they probably designed the landing page anyway. Ad agencies love Google AdWords, they'll probably love TV Ads too. It's a tool to better manage TV ads scheduling... Edit: Let's say you're a small business and want to advertise on TV. You still need to actually make the ad, and while this is doable with friends, a cam and a notebook, it's much easier to just hire a production company. Check the technical requirements for Google TV Ads, it's full of tech lingo. After recording the ad, you could take the video and manage the scheduling using AdWords, though.

nopinsight 18y ago
Google helps you do the first and second part too: Ad Creation Marketplace http://services.google.com/marketplace/overview/index.html http://services.google.com/marketplace/overview/index.html

indiejade 18y ago

Does this spell doom for ad agencies? My theory is that advertising agencies will eventually go the way of travel agencies. Big ad agencies will still exist, but they'll be forced to downsize as they face stiffer competition from the sort of decentralized indie distribution methods that make crowdsourcing work so efficiently and effectively. Look at what 99designs.com and crowdspring.com do for graphic designers, and apply that to the advertising industry; it would be fairly easy to set up a site that crowdsources advertising and rewards the actual producers with a larger share of the advertising company's advertising dollar budget. Perhaps a question of when more than if.