In March, I attended the FIPP Digital Innovators’ Summit in Berlin and left with the realization that advertising-related problems in Europe are the same ones we’re facing in America: media fragmentation, a failing business model, fraud, and the emergence of social platforms that distribute our content for free and control the ad spend. This led to a decline in ad dollars for virtually all content creators. The myth perpetuated by the platforms was if you build a social presence-, the audience—and business model—will come. It turns out the only business you built was theirs.
The roots of this situation go back years. It’s taken us 25 years to understand it. Consumers need to pay for content. And that’s not what Google and Facebook want. They alone account for more than 60% of all digital ad dollars spent. But now, at events like the Digital Innovators’ Summit, we’re seeing signs of new approaches.
I spoke with FIPP CEO James Hewes about the media and advertising environment. Here’s a transcript of that conversation, edited for length and clarity by Ads&Ideas Editor Tony Silber.Read More