Even in a downturn, new technologies can create opportunity

We are proud to present this week’s 77Lab guest blogger, Paul Turner. Paul works on International Sales for Right Media, the world’s largest online advertising Exchange. As part of this role, Paul has worked with prospects and Exchange members in the UK, Italy, Netherlands, Ireland, Russia, Poland, India, Israel, Australia, Mexico, Argentina and Brazil. The job involves working with current Exchange users to help develop compelling monetisation strategies and to improve knowledge of performance marketing. When he’s not talking about the benefits of using an Exchange, Paul relaxes by watching his favourite football team lose!

Recession. Downturn. Redundancies. It’s fair to say that the news couldn’t be more depressing – frankly it can make you want to give it all up and live in cave for a year or two! But I prefer to take a more positive view. From an online advertising perspective I honestly believe that the opportunities presented by new technologies couldn’t be greater. Working in the Ad Exchange space I get to see first hand how open, efficient technologies can be used to not only reduce friction in existing business models but also to create (and sustain) new models entirely.

Let’s be clear – fundamentally changing a business model to align more closely with market trends isn’t something that happens everyday. But the world of online advertising shifts so rapidly that those who merely attempt to maintain the status quo are already ‘behind the line’. So often we see businesses whose model is entrenched in ‘the old way’ – in online that could be as far back as 10 years or as recent as last week.

Technology enables us all to change and adapt – eventually the momentum and weight of change forces us to sit up and take notice but it’s those companies who see the trends early and remodel accordingly who will find themselves positioned at the head of the game.

In our market, specifically the trading of display inventory on Advertising Exchanges, this ‘change’ manifests itself in a number of ways. More and more we’re seeing Agencies and Publishers wanting to build Networks, whilst the traditional Networks are increasingly differentiating through a combination of data and bespoke technology. Whereas before the barriers to entry were too high or the inefficiencies too great, the new open technologies of today have created a level playing field where intelligence, data, market knowledge and technical expertise wins out.

The days of winning because you’re the biggest, oldest, most established haven’t died out entirely but increasingly more nimble, technology enabled competitors are gaining market share where before they wouldn’t even have made it through the front door.

It’s still early days and many of the companies who have already made the shift remain ‘under the radar’. However, as the market inevitably evolves it is these companies who are well placed to capitalize, often at the expense of traditional, more well established players. A positive approach in this time of great negativity could be the difference between future success or failure.

This entry was posted on Monday, June 15th, 2009 at 4:41 pm and is filed under Other Marketing. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

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