Our recent CTRL event brought together participants from our publisher customer community to delve into the transformation of premium publishers as they shift from a third-party web to a safeguarded first-party ecosystem.
Our residency at the Everyman Borough Yards continued in October at CTRL:5, our latest publisher-only event. The session began with the buyer view, as GroupM's Carl Nawagamuwa and Clare O'Brien from ISBA talked about marketer considerations in the post-3PC landscape. Then, Dominic Carter, EVP, Publisher of The Sun, unpacked the risks and opportunities Generative AI presents for publishers.
Life after third-party cookies – how brands and buyers are planning for the new world
As we approach the deprecation of third-party cookies in Chrome next year, advertisers, industry representatives, and agencies are preparing for the transition. However, there remains a degree of uncertainty within the digital advertising landscape. Questions primarily revolve around Google's schedule for phasing out third-party cookies and the implementation of its new solution, The Privacy Sandbox.
During our CTRL event, Carl and Claire shared insights from the advertiser and buyer perspective of this post-third-party cookie world in a discussion with our COO, Danny Spears. This pivotal moment holds great potential, the three agreed, and it's the responsibility of marketers, buyers, and publishers to redefine the future of digital advertising collectively.
As Carl explained, agency groups like GroupM are proactively planning for the changing digital advertising environment, adapting to the new reality shaped by the demise of third-party cookies. Although spending dynamics have not seen significant changes, there is a noticeable shift away from the third-party cookie-dependent open marketplace toward investments in first-party data strategies. Commercial leaders are increasingly prioritising control and data security.
According to Claire, ISBA has been actively participating in various industry initiatives and studies aimed at comprehending and adapting to the evolving digital advertising landscape. One example is the ISBA Programmatic Supply Chain Transparency Study, conducted in partnership with the Association of Online Publishers (AOP) and PwC.
The fluctuating deadlines for the removal of third-party cookies from Chrome have created frustration among ISBA members. However, advertisers are now more engaged in the process. Some have taken part in meetings with the Competition and Markets Authority (CMA), sharing their perspectives, which has fostered a higher level of confidence in Google.
Many advertisers, particularly larger ones, are actively preparing for the changes by making substantial investments. Advanced advertisers have already laid out frameworks or strategies for navigating this transition, especially in sectors like finance and communications, where online transactions are common. Smaller advertisers may face challenges during this transition and could turn to walled gardens for simplicity, Claire urged publishers to bridge the gap between advertisers and media, particularly in a first-party data-driven environment.
Advertisers and agencies are gearing up for the post-cookie era, but they have limited control over the overall timeline. These factors are primarily dictated by Google's decisions and the speed at which they are able to act. The focus remains on adapting and innovating within the new landscape. According to a survey of ISBA members, around a third of advertisers have established contingency plans and are ready to act in response to the post-cookie environment, complete with a well-defined timeline.
All three agreed the role of publishers will continue to evolve, with the use of first-party data permitted through consumer consent, potentially enhanced by AI solutions.
Generative AI: A Transformative Technology?
The rise of AI-generated content in the publishing industry sparked a lively discussion between Ozone CEO Damon Reeve and Dominic Carter, EVP Publisher of The Sun. Interest in AI technology has surged over the past year, particularly following ChatGPT's launch last November. Reader engagement with the topic across Ozone’s platform in 2023 is nearly 3 times higher than the combined engagement in the previous two years.
The rapidly evolving technological landscape has brought the industry to the cusp of significant transformation. The central concern revolves around the potential blurring of lines between original journalism and AI-generated content, which could impact trust and authenticity.
Nonetheless, AI-driven content generation facilitates quicker adaptation and personalised content for consumers. Publishers must prioritise transparency and clearly distinguish AI-generated content from human-generated content.
Educating consumers and raising awareness about AI-generated content are crucial for their protection. The responsibility for educating and communicating about AI-created content rests with the broader industry, including publishers and advertisers.
Collaboration among publishers and regulators is essential to address the challenges and opportunities posed by AI-driven content. Legal frameworks and regulations must evolve to account for the unique challenges of AI-generated content, and industry standards should be established.
Securing the strength of the publishing industry in the future will require a collective effort to preserve the value and understanding of high-quality, trusted content.
