Our Disruptive Concepts

 

 

 

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Important note from the Author: This document was initially prepared with a focus video advertising (that appears ahead of user downloaded mobile and online video content- HOWEVER it is clear that the principles used with the CASPAD concept can be applied to any scenario where content is monetized by showing a digital video ad to a user. This includes for instance the market for Online/Mobile Games and Connected TV and Streaming. Therefore please read this document bearing this new information in mind.

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Extract from Non-Confidential Concept Overview of CASPAD

 

1.What is CASPAD ?

 

CASPAD is a highly disruptive concept. It offers a less intrusive, more user- friendly method by which digital video advertising is presented to device users. These users  are searching for/downloading  video content via PC or mobile phone, Connected TV or other devices.  For simplicity, the current focus of CASPAD is on 'Pre-roll' video ads that precede downloaded video content- this is not to suggest that other formats of ads cannot be incorporated in the future. This all leading to big benefits for all parties in the advertising value chain serving that user base. 

 

 

2.The problem with Video Ads:

 

For device users

 

Currently, device users (potential buyers)  are not impressed.  A survey conducted on 1,015 adults by ORC international revealed that 90% of people tend to skip pre-roll video ads that appear ahead of online video content and try to avoid sources where those ads are unskippable. (source  article wave.video/blog/pre-roll-ads/).

What's more..ALL types and formats of video ads,  tend to perform poorly. According to IPG, 65% of people skip video ads, at the first chance they get. It is also clear some users do it out of habit..not just because they want to skip a particular ad. Up to 76% disclosed that they tend to skip ads out of habit.  (source  article ). wave.video/blog/pre-roll-ads/

 

Device users often own state of the art phone/PC technology/communications systems to help run their lives; yet when they want to relax, take a break perhaps download a funny video shared by a friend.. they must first have an ad pushed into the device screen. That's not respecting the user as a content viewer 'first' its treating the user as a commodity to make someone money. The downside of that is users are more and more savvy and will resent the unwanted intrusion into their time and space- no wonder they skip.

 

 

For Ad platform providers

Companies providing the actual Ad platforms.. such as Google/Youtube/Facebook and many others..are themselves caught up in the failings/limitations of the current MO. Currently there is no real differentiation in the way users on one platform or another interact with ads shown to them. That is a potential opportunity just waiting to be capitalised upon.   

 

Many of these companies offer their 'ad-sick' users/viewers the choice of going 'Ad Free' with the service in question, yet they will charge the user/viewer for the privilege. Its an attempt to show they 'hear' the users disquiet about ads..and then offer a solution. This is because ultimately.. the user/viewer's engagement is central to everything these companies do. Yet the 'solution' benefits no one in the process, certainly not the advertisers and users;or themselves ironically.

 

For Advertisers

 

It can be challenging and costly to create appealing and persuasive video ads/ ad campaigns.. which may often require the involvement of advertising agencies;only to have the viewer 'skip' as soon as possible, in order to get to the content he or she downloaded?  So where is the return on that investment? 

Add to that the increased prevalence of 'Ad- blockers' and how the fact the online/mobile advertising industry is under pressure to find more user friendly solutions for advertisers and their potential customers.

 

For Content providers and Publishers

 

Depending on the platform..the publisher/ content provider stands to make far less (in terms of ad revenues) if most viewers/users skip ads attached at the start of the video content itself.  

 

 

More about CASPAD

 

 

 

For so long, users have been treated largely as a commodity to be exploited by advertisers.  Since everyone is seemingly connected all the time, on a variety of different devices as they access multiple providers, channels and platforms. Unfortunately for the user, this is because there is a price to be paid for this Consumption Utopia:Ads.

 

Whether driven by greed, opportunism or just plain assumption, the fact that the user is seen as being available to have an advertising message pushed at them is simply reality.

 

Yet, why not look at the users differently? Many users would likely give more in terms of their attention and response to an ad message, if they were given more respect in terms of how they were engaged by the provider/advertiser.  

 

Add to this recent and planned changes to user privacy regulations,  especially dropping the use of Third Party cookies, means that the ever hungry advertisers are looking for cost-effective ways to reach their audiences across multiple channels; ideally of course they are looking to do this with the right message at the right time. Further, obviously audience Retention is essential for any advertiser to ensure ROAS (Return On Ad Spend) is maximised. 

 

Our concept, CASPAD is specifically designed to increase the time users spend viewing digital ads served to them. We should point out that this is not all ads..but ads that are served via the CASPAD system.

 

 

User Focused

 

Our UX Adtech concept, CASPAD is focused on the user, and as a result ensures that the user enjoys greater control in terms of how they engage with digital video advertising, while at the same time..solving some of the key issues being faced by advertisers. Whether this is digital video advertising served over mobile, online, or connected TV and Streaming.

 

Putting the User Experience (UX) at the central point of our concept does nothing to detract from the benefits potentially to be enjoyed by the advertisers. Yes advertisers will see users differently, but we are beyond the point that should have already happened anyway.

 

Due to the way in which users are incentivised many will choose to become CASPAD enabled. By doing this a user in effect raises 'the value' of his or her online presence as far as how they will be served or reached with video ads.

 

On registration a user will also have the option to give their consent for their data to be used for the purpose of personalisation of ads; or instead simply become CASPAD enabled but without giving consent to data use. In this second scenario, despite the obvious limitation of not being able to personalize ads, a significant improvement in conversion statistics is still likely to be enjoyed as a result of digital video ads served to the CASPAD enabled user base.

 

So by focusing on the users' needs: CASPAD improves the quality of a users' experience whether online, mobile or via connected TV or Streaming. This it does whilst also allowing advertisers to enjoy improved conversions and ROI as standard, or still further improved if users consent to data use.

 

Concept - general outline 

 

 

CASPAD is a Disruptive Advertising concept born out of a realization that todays' increasingly savvy user has been largely ignored, or at least taken advantage of in terms of how they are served with Digital Video advertising. This applies to all video advertising attached to content served via mobile, TV, or other online channels- including streaming or gaming.

 

No matter the device, channel, application or content,  there is of course always a user involved. Therefore improving the experience of the user or UX, whist they interact or view the content- can increase the users view of a brand, or channel itself. Our concept is centered around this reality. It restores more control to the user in respect of their experience; whilst at the same time increasing the value for all providers in the chain, not least of which being the advertisers themselves.

 

Yet CASPAD is much more than just a better way of doing what was being done before. This concept offers to open up a wealth of new possibilities, to create additional value and revenue streams. 

 

Many users will also have consented to allow use of their data for segmentation ad personalisation purposes; something of great value to advertisers with the tightening of user privacy regulations. Our concept could offer much in terms of supporting the development of any First Party data strategy.

 

Advertising platforms and Video Media channels providing their customers access to CASPAD users are likely to see an increase in revenues. 

 

CASPAD disrupts the Digital Video Advertising market and to a degree other connected markets, at a time when UX (User Experience) considerations are helping providers, and brands differentiate themselves in an increasingly competitive space. 

 

Times are changing, fast. Users expect more from the brands they interact with while connected. This starts with advertisers understanding that the users' view of the brand, starts with the experience surrounding how that brand is presented to them. CASPAD offers much in this respect.

As a result it offers advertisers, publishers, ad platforms and many other related organizations, access to a more accepting audience. This at a time when the Industry as a whole is facing mounting headwinds from user disquiet.

 

 

 

Further, the Concept is also likely to generate First- party data, as users sign up to experience video ad delivery that clearly demonstrates to them that the quality of their online experience is still important. This realization on the part of the users is likely to increase the brand loyalty and image of the advertisers involved. This is not least because CASPAD offers advertisers and publishers the ability to differentiate themselves from the many others in the market; who are less worried about the negative impact digital video ads have had, and continue to have on users. 

 

 

Why are we showcasing our concept?

 

 

We are showcasing our first concept, CASPAD with the goal of finding an Industry partner with the resources and expertise needed to take the Concept forward into a full solution. This would be a solution/s the partner would own outright- in return for a nominal share of ongoing revenues created by or through use of the solution/s.

 

This is of course, all be dependent on if the Concept proves to be viable in its own right, and also viable from the point of view of the potential partner organization.

 

To be clear- the reason we are looking for a partner for help to potentially take the concept forward, is that we are primarily ideas people; and have only a limited knowledge of the technical intracies of the Digital Advertising Industry. The fact however that we have created a whole website around the Concept shows that we are serious in our ambitions.

 

So we are prepared to offer the concept concerned to a partner, under certain conditions. The partner would have the resources necessary to develop and monetize any potential solution and future solutions, stemming from the Concept going forward. This however, whilst a noble goal.. is easier said than done of course.

 

Therefore, as a first step in this process..we invite interest from any potentially interested partner to take a look at the Confidential Concept Overview pdf (protected under NDA  [Non-Disclosure Agreement]) and share initial thoughts on what we have come up with. We would of course also welcome any high-level feedback or thoughts the partner had in terms of how they saw the Concept could potentially relate to their business or existing services portfolio. 

 

 

It is our hope in this process that we can attract a partner who can not only see what we see in the concept - but that through their Industry knowledge can help explore the full potential that may exist. A partner that can also  help confirm viabilty, design, develop and commercialize as appropriate.

 

 

 

Great expectations

 

 

Yes. However,  we are not naive enough to think that the path we are on is without major challenges. Nonetheless we have a vision and we also see a market and Industry that is starting to change.  This change is largely being driven by the impact of user dissatisfaction with the digital advertising marketplace and how that market is being used by advertisers to reach them. 

 

 

Yet we are in no rush.  On the terms we are proposing we are fairly sure that we will find a partner to help us drive CASPAD forward if of course it is destined to move forward.The demand for UX Adtech solutions and Advertising solutions that help restore user trust continues to increase and we are looking for a partner who sees the potential value of our CASPAD Concept in this regard.

 

If digital video advertising is to be effective in terms of ROAS (Return on Advertising Spend) or other KPIs (Key Performance Indicators) advertisers and brands need to improve the way in which they engage with users. There is just too much competition for their attention. In this respect, our CASPAD concept creates opportunities for advertisers to further differentiate themselves and their offerings.

 

This is especially true considering the growing importance of First-Party Data and its value in real terms to advertisers. In addition to its main functions, our CASPAD concept also specifically addresses this need for  advertisers and publishers to focus more than ever, on building on their First Party data strategy.  

 

Creating opportunities for advertisers to further differentiate themselves and their offerings.  At UX ADNET we understand the potential value in Digital Video Adtech solutions that through their design, inherently  respect and value the online experience of a device user...before even serving them a Digital Video Ad.Digital Video Advertising is unlikely to be going anywhere soon. Bearing that in mind, whilst considering the current user disquiet, and also the tightening regulations regarding privacy, targeting and Third Party Cookies for instance- and the situation is clearly far from ideal. We see that it is even more important to re-engage with the users, but from a position better aligned with their needs.

 

There is a disconnect between the user and the advertisers  in terms of needs and expectations. These are chiefly and most importantly the needs of the User. Remember the user is accessing the chosen content for a reason, that reason does not involve advertisers, especially since advertisers negatively affect the quality of a users' experience. 

Yes, device users want to engage with digital content but not at any cost; preferring brands and advertisers that acknowledge and respect this. 

 

 

The Market Is Slowly Changing

 

 

User disquiet over certain aspects of digital advertising is nothing new; It is however on the increase.  Organizations such as the Interactive Advertising Bureau, (IAB),  which provides guidelines, and set the industry standards essential for governance are growing in importance. There are other organizations concerned with raising the quality of a device users' experience with digital advertising; perhaps the Coalition For Better Ads is the most prominent of these. 

 

There is good reason as to why of course, since the entire digitally connected World is made up of device users.. consuming content collectively on a vast scale. As such they are of great importance and value to advertisers, and also publishers and others able to share in the monetized ecosystem that has evolved. 

 

Areas of the Industry are changing in an attempt to regain the trust of consumers.  As a result there are now a growing number of organizations, providing UX Adtech Solutions or services that aim to offer users a better experience in relation to digitally connected advertising. So the Industry is changing, because it is being forced to change largely because of the negative effect it is having on the quality of a devices users' digitally connected experience. This and the fact that users are taking steps to protect themselves from the disruptive effects of ads- steps which directly affect an advertisers ability to reach them as a potential consumer.

 

Users can continue to be seen as just a universe of viewers and potential customers..to be marketed at because as everyone should know the price for consuming digital content is Ads..right? and since they are online, mobile or connected via other means they are largely seen perhaps as fair game. Yet that is neither a sustainable or indeed realistic position.When there is so much competition in every area of commerce these days, companies are continually looking for new ways to differentiate themselves and attract more customers to their value proposition.

 

We are concerned with the whole idea that device users are seen as being taken for granted in terms of always 'being there', in effect to advertisers who are trying to convert the very same people into customers. Or of course publishers looking to maximize opportunities to monetize at an optimum level.

 

The Opportunity 

 

 

Most companies differentiate themselves to potential customers, through marketing messaging and advertising. But imagine how much more effective that messaging and advertising would be, if the device user had first bought into the fact that the company concerned, had already positively differentiated themselves from the competition?

 

So therein lies the opportunity; at least for those recognising Digital Video Ads do nothing to add to the users online or mobile experience, yet nonetheless are now ubiquitous. 

 

CASPAD will allow brands and marketers to reach new digitally connected customers on a more equitable basis. Creating opportunities for advertisers to further differentiate themselves and their offerings.  At UX ADNET we understand the potential value in Digital Video Adtech solutions that through their design, inherently  respect and value the online experience of a device user- before even serving them a Digital Video Ad.