Another reason why programmatic ads are a bad idea

It’s estimated that programmatic advertising will account for 80 percent of all digital display advertising in 2017 .Yet,, recent headlines and pronouncements by leading brand marketers highlight the significant limitations and potential pitfalls of programmatic.. Among other issues, this technology–driven ad buying process has resulted in notable,, image–sensitive ads for brands appearing within or alongside offensive rich media content, fake news,, as well as non–contextual and inappropriate online channels.

Nearly half of all consumers indicate they would rethink purchasing from brands or would boycott products if they encountered brand ads alongside digital content that offends them.

With trust more critical than ever, respondents made it clear that they will no longer give their brands a pass for even inadvertent display of ads near objectionable digital and video content.

A recent report also found that social media platforms are still not trusted content spaces . Despite listing social media as the source of the second-highest volume of ad messages they receive—behind only television—consumers ranked social media last among their five most trusted channels. They ranked friends, TV, search engines and newspapers as more trusted sources.

CMOs and brand advertisers are increasingly concerned about various aspects of digital and programmatic advertising, including concerns about their ads showing up next to offensive content.

The CMO Council research asked consumers about their response to the experience of finding brand ads in proximity to objectionable content or fake news sites—and their warning to advertisers was brutal. Some 37 percent of consumers said it would change the way they think of a brand when making a decision to buy. Another 11 percent said they would flat-out not do business with that brand. Another 9 percent said they would become vocal critics of the brand.

Another consumer response is the increased use of ad blockers. In another alarming finding for digital marketers, more than 50 percent of respondents said they either already had or planned to install some form of ad-blocking software to their mobile devices or PC browsers.

Other key insights from the CMO Council survey include:

  • A surprising 86 percent of consumers are either extremely concerned, very concerned or moderately worried about how easily they are directed or redirected to hateful or offensive content.

  • The most annoying digital advertising formats, even when appearing on trusted media channels, were intrusive pop-up ads (22 percent) and auto-playing video ads (17 percent).

 

  • Attention to digital advertising overall was notably low, with only 14 percent always engaged and 58 percent saying they pay attention only when ads either interest them or are really interesting.

  • Just over 40 percent of consumers have already installed ad-blocking software on their devices while another 14 percent said they planned to add these features.

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