Advertising Technology Innovation
Management of advertisements on digital platforms is becoming efficient and seamless with the perpetual advancement in ad technology. Advertising technology brings in different types of digital tools and solutions to promote a product or service to specific individuals or target audience groups. Whether it is planning for the placement of digital banner ads, supporting the back-end systems, or providing analytics reports, ad tech brings in the perfect campaign management solutions. Thus, in the Internet era that we are living in, ad tech helps marketers to communicate with their prospective buyers in the most effective way.
Innovation is not new when we talk about technology. Research and development continue to happen in the background to make the technology robust enough to help marketers live up to the communication standards that keeps increasing day-by-day. Google and Facebook stand as the best examples of companies in the world who come up with ground-breaking ad technology to take their business forward.
Famous Search Engine
Google that rules about 70% of the world market has become what it is today much because of its ad tech. What made its search engine highly productive is its AdWords that was launched at the start of the 21st century. Over the years, AdWords has helped brands improve their sales by putting up the most appropriate advertisements on the search engine results page. In 2015, the company revealed that 90% of its revenue came through its ad technology.
A good amount of the earnings is ploughed back in the development of new advertising solutions by Google to ensure continuance of its business. The search giant stands as the most pertinent example showing how advertising technology fuels innovation. “Moonshots”, internet powered by balloons, research related to disease prevention, and robots are innovations that do not contribute to Google’s core business. Yet, the unprecedented developments in these fields are brought in by the dollars earned by Google through its ad technology.
Another company that has shown a similar trend is the social media giant – Facebook. Facebook facilitates social networking, but a look at the bigger picture will help us realize that a major chunk of its revenue comes from the advertising space and the campaign management software solutions that it provides to various brands on its platform. In 2015, about 95% of Facebook’s proceeds came in from advertising. It has become, what experts are calling, the powerhouse that has set its foot on the way to influencing the social media world through its ad technologies.
Just like Google, Facebook has also indulged in exploring various avenues such as chat apps, artificial intelligence, virtual reality, live video streaming by channelizing; thanks to the revenue generated through advertising. ‘Oculus Rift’ is yet another example showing how Facebook is indirectly capitalizing on its ad tech to diversify its business.
Advertisements on the digital platforms at times are considered annoying, irrelevant, and invasive. However, one cannot shy away from the fact that ad tech provides a helping hand to organizations, fueling innovation in one or the other way.