Simplify Media Buying through Artificial Intelligence
The layers of data and factors usually considered before an agency does their media buying are clearly cumbersome. And, that hasn’t helped many of them bringing about countless ambiguity in media trading.
This has resulted in alack of trust and suspicions between advertisers and the agencies that undertake the process for them. Are these concerned uncalled for? Are they just sheer creations of the mischievous minds of advertisers?
Reports from the field suggest otherwise. There are good reasons why there is a lack of trust which continues to grow worse till date. According to a report by C-Squared, a media outfit in London, 84 percent of advertisers believes that “Agency trading desks are threats to transparency”. Needless to say, 91 percent of agencies think otherwise.
Such two extreme opinions from partners working toward the same goal don’t look like a great idea.
Incidentally, a similar study was released late 2016 by Association of National Advertisers, USA. The study found out that rebates and other unethical kickbacks are pervasive in U.S. Media Ad-Buying Ecosystem.
What’s the way? The answer appears very simple: put in measures to improve the processes involved in media trading. But that’s a tall call considering where we are now. One way this can be achieved is, according to Carl Erik Kjaesgaard, the CEO and Co-founder of Black Seven, by incorporating Artificial Intelligence to demystify the processes involved in media trading.
Before we go further, artificial intelligence is the right and rational decisions made by machines based on given variables. In a simple way, it helps to aid decision and simplify the processes of decision making for man and this rich resource can be deployed to simplify media buying plans.
According to Carl Erik, the depth of the media industry has grown massively and media agencies are taking control where it matters most but at the expense of the advertisers. Unfortunately, the distrust is mutual. Media agencies are driven by desires to maximal returns on their jobs while seeing advertisers’ reluctance and hesitations as a hindrance to that.
On the other hand, advertisers huge distrust for the agencies on media buying makes taking their moves and bids on the face level. In fact, JPMorgan Chase recently caused a major upset when he engaged a group of auditors to audit his media agency.
It is, therefore, high time we agree on deploying relevance machines that can take over the media trading processes using data to take important decisions that are easily verifiable by both parties involved.
Media agencies are already battered from the reports that have massively indicted them and will need to come to compromise on how to deploy Artificial Intelligence to redeem their image. There are simple, direct traditional media planning processes that can guide in setting up the terms for a modern and more creative media buying decisions to be undertaken by Artificial Intelligence.
How Artificial Intelligence Works
Artificial Intelligence, like every other machine and scientifically designed process, will follow the instructions given into its operational designs to arrive at its decisions. It can also use this data to learn about marketers’ behaviours in the past and use the data generated to take future decisions.
These instructions, in form of algorithms and numbers, will be used to deploy resources to the most effective media buys that will optimise the results of your campaign. The possibility and accuracy continued to grow as it gets more data on the clients and used further for the process.
That’s a huge contract to humans’ decision that can be destabilised due to growing data needed for media buying decisions.
Benefits of Deploying AI on Media Buying
Trust and Better Advertiser-Agency Relationship
Since Artificial Intelligence will exclude human influence and personal bias from the process giving simple and direct outlines of the parameters used in taking purchase decisions and the amount involved, this will give the two parties involved a better relationship driven by trust.
This is about what the advertisers are really after – clarity and values for money expended.
Not too many things have changed as regards the processes of creating media plans but the complexity and the ambiguity of the decisions involved have skyrocketed. There are countless layers of decisions and parameters that will be used by media agencies in making media buying decisions. Sometimes, they are even lost in the stacks of data and information needed.
But Artificial Intelligence will use a number of tools like GRP, impression number, behaviours of the marketers in the market, all given in codes and algorithms, to make clear and transparent decisions for marketers. Even more, this will provide precise results and returns for the advertisers.
Ultimately, advertisers will know why and how their resources deployed for the media trading. This will even help them to take better decisions in the future.
Restore the Image of Media Agencies and Damage Control
It will also rescue and project the images of media agencies better over time. Reliability of decisions being made plus clarity of processes involved should take care of this.
The IT is transforming the different stages involved in marketing promotions and media buying needs not be stuck to the part. There is a need not only to rescue the agency’s images but to also standardise the processes involved in media buying and make all trading involved compliant with global standards.
Now, is the best time for both marketers and advertisers to get on a page and install new technologies and use their power to promote transparency and efficiency of media trading.
Adapted from Carl Erik Kjærsgaard on https://martechtoday.com/media-buying-advertising-ripe-artificial-intelligence-192387