“IAB strongly supports initiatives to protect children online. As a parent, I share the concerns of other parents regarding our children’s safety. However, it’s important to recognize the vital role that online education, communication, and entertainment play in the lives of children—much of which is provided for free thanks to advertising. While these bipartisan bills propose some reasonable updates to current regulations, they also present challenges that could hinder access to high-quality content, particularly for children. We are concerned about the potential for conflicting state laws, subjective knowledge standards that could increase liability for general audience websites and apps, and restrictions on the use of internal data that helps service providers improve customer experiences. Additionally, IAB is particularly worried about provisions that may limit free speech, effectively placing government oversight on platform content decisions. As the legislative process continues, we remain committed to working with lawmakers to refine these bills and ensure they achieve their intended goals without unintended consequences.”

About IAB
The Interactive Advertising Bureau empowers the media and marketing industries to thrive in the digital economy. Its membership comprises more than 700 leading media companies, brands, agencies, and the technology firms responsible for selling, delivering, and optimizing digital ad marketing campaigns. The trade group fields critical research on interactive advertising, while also educating brands, agencies, and the wider business community on the importance of digital marketing. In affiliation with the IAB Tech Lab, IAB develops technical standards and solutions. IAB is committed to professional development and elevating the knowledge, skills, expertise, and diversity of the workforce across the industry. Through the work of its public policy office in Washington, D.C., the trade association advocates for its members and promotes the value of the interactive advertising industry to legislators and policymakers. Founded in 1996, IAB is headquartered in New York City.

IAB Media Contacts
Kate Tumino / Brittany Tibaldi
212-896-1252 / 347-487-6794
ktumino@kcsa.com/btibaldi@kcsa.com

The post IAB Seeks Improvements to Children’s Online Safety Bills appeared first on IAB.

New York – July 16, 2024 – Today, IAB released the second half of its “2024 IAB Digital Video Ad Spend & Strategy Report,” revealing insights into the buy-side’s selection criteria for investing in digital video channels, platforms, and media properties as well as issues with measurement and how those are being mitigated.

“The industry has bought, transacted, and measured against reach since the beginning of time,” said Cintia Gabilan, Vice President, Media Center, IAB. “But now business outcomes are the most important metrics to assess success, with reach and frequency coming in second. However, measurement is not yet where it needs to be. Two-thirds of buyers cite issues across nine key areas of measurement.”

The report, available here, was released at the IAB Video Leadership Summit (VLS), the annual agenda-setting event where senior leaders across the converging TV and digital video space gather to discuss the industry landscape.

Key insights from part two of the report include:

Three-Quarters of CTV Buying Is Now Programmatic
Within that, activation is roughly equal among the real-time bidding (RTB) / open exchanges (36%), private marketplaces (PMP) / preferred deals / programmatic guaranteed (34%), and ad networks (30%).

Buyers Are Spending More Across All Video Channels and Content Types
Part one of the report, released earlier this year, revealed that the three major digital video channels will see increased spend in 2024. Part two reveals that buyers are investing across all video content types, from short-form to long-form to creator and immersive. Short-form (69%) and vertical-format (68%) account for the largest share of buyers.

Performance Advertising Needs Better Measurement
Business outcomes like sales, store/site visits, and leads are now the most important KPI for buyers, across all channels — social video (64%), online video (58%), and connected TV / CTV (54%).

Yet two in three buyers cite measurement issues. In particular, small advertisers aiming for niche audiences rather than broad reach are significantly more likely to report issues with viewability, standardized targets, currency, and obtaining sell-side data. Streaming networks hoping to further tap the “long tail” will need to boost buyer confidence.

Alternative Measurement Currencies Are Now Widely Used
The report found that the industry is continuing to evolve beyond strictly panel-based, gross rating points (GRP) ratings. 89% of advertisers are transacting, testing, or having discussions with alternative currency measurement vendors. Buyers value multi-screen attribution (45%) and real-time reporting (43%), and 28% of buyers are already transacting on alternative currencies.

“As the saying goes, ‘with great power comes great responsibility’,” said David Cohen, CEO, IAB. “With the continued impressive growth of digital video comes demands for better measurement, viewability, standardized data, and placement transparency. The video ecosystem must fully commit to innovation, especially in measurement.”

To create the report, IAB partnered with Guideline, which leveraged ad billing data, other market estimates, and an IAB-commissioned Advertiser Perceptions quantitative survey of TV/digital video ad spend decision-makers to generate these results.

The full “2024 IAB Digital Video Ad Spend & Strategy Report” is available here.

About IAB
The Interactive Advertising Bureau empowers the media and marketing industries to thrive in the digital economy. Its membership comprises more than 700 leading media companies, brands, agencies, and the technology firms responsible for selling, delivering, and optimizing digital ad marketing campaigns. The trade group fields critical research on interactive advertising, while also educating brands, agencies, and the wider business community on the importance of digital marketing. In affiliation with the IAB Tech Lab, IAB develops technical standards and solutions. IAB is committed to professional development and elevating the knowledge, skills, expertise, and diversity of the workforce across the industry. Through the work of its public policy office in Washington, D.C., the trade association advocates for its members and promotes the value of the interactive advertising industry to legislators and policymakers. Founded in 1996, IAB is headquartered in New York City.

IAB Media Contacts
Brittany Tibaldi / Michael Vaughan
347-487-6794 / 813-210-1706
btibaldi@kcsa.com/mvaughan@kcsa.com

The post Business Outcomes Are Now the Top Buyer KPI, According to Part Two of the IAB Digital Video Ad Spend and Strategy Report appeared first on IAB.

IAB’s EVP for Public Policy, Lartease Tiffith, highlighted several issues with the proposed APRA, particularly its approach to targeted advertising and small business exemptions. “The APRA’s classification of ordinary browsing history as sensitive data demanding opt-in consent could severely impact the availability of free online content and services,” Tiffith explained. IAB research underscores that most consumers appreciate free content and are in favor of transparency rather than restrictive measures.

The letter also points out the impracticality of the exemption criteria for small businesses, which could hinder their growth and sustainability due to unrealistic revenue and data processing limits.

Regarding KOSA, IAB supports the initiative to safeguard children online but warns that the legislation as it stands could significantly stifle the growth of digital advertising, crucial for supporting free or low-cost services accessible to children. IAB advises reconsidering the ‘constructive knowledge standard’ which imposes excessive burdens on businesses to verify user ages.

IAB also stresses the importance of a single, uniform federal privacy law. “Without clear federal preemption, businesses and consumers across states will face a confusing patchwork of regulations,” Tiffith noted, urging Congress to ensure that national standards override state laws, providing consistency across the board.

“IAB remains committed to working with the Committee and all stakeholders to refine these proposals, ensuring that they support innovation and growth while protecting consumer privacy and children’s online safety.”

About IAB
The Interactive Advertising Bureau empowers the media and marketing industries to thrive in the digital economy. Its membership comprises more than 700 leading media companies, brands, agencies, and the technology firms responsible for selling, delivering, and optimizing digital ad marketing campaigns. The trade group fields critical research on interactive advertising, while also educating brands, agencies, and the wider business community on the importance of digital marketing. In affiliation with the IAB Tech Lab, IAB develops technical standards and solutions. IAB is committed to professional development and elevating the knowledge, skills, expertise, and diversity of the workforce across the industry. Through the work of its public policy office in Washington, D.C., the trade association advocates for its members and promotes the value of the interactive advertising industry to legislators and policymakers. Founded in 1996, IAB is headquartered in New York City.

IAB Media Contacts
Kate Tumino / Brittany Tibaldi
212-896-1252 / 347-487-6794
ktumino@kcsa.com/btibaldi@kcsa.com

The post IAB Expresses Concerns Over Proposed Online Privacy and Children’s Safety Legislations appeared first on IAB.

New York – May 9, 2024 – After consecutive years of healthy double-digit growth, podcast ad revenues grew at a slower pace in 2023 posting a modest revenue increase of 5% to $1.9 billion, according to IAB’s “U.S. Podcast Advertising Revenue Study: 2023 Revenue & 2024-2026 Growth Projections.”

This was due in large part to a challenging advertising climate that particularly affected mid-tier companies, resulting in losses that tempered the sector’s overall growth trajectory.

The eighth annual IAB U.S. Podcast Advertising Revenue Study, prepared for IAB by PricewaterhouseCoopers LLP (“PwC”), quantifies annual podcast advertising revenues generated over the past year, analyzes revenue share by ad category and content genre, and forecasts future revenues through 2026.

“While a few of the largest podcast companies maintained double-digit growth, mid-tier companies hit a speed bump,” said Chris Bruderle, VP, Industry Insights & Content Strategy, IAB. “But revenue is already bouncing back.”

Podcasting is projected to return to double-digit growth (12%), with revenues of over $2B this year. It is on track to reach nearly $2.6B by 2026. Publishers will fuel growth through various initiatives, including measurement, programmatic, live events, more aggressive show promotion, and the continued development of video podcasts.

Comedy and Sports are Top Performers

Likely aided by shows from notable comedic personalities, comedy’s revenue share grew by four points in the past two years and is now among the most-listened-to podcast genres (overtaking news and sports) and gained nearly 300 new advertisers in Q4 2023 alone.

Sports is the second most popular content genre for the second straight year, down slightly from 2022 (15%) to 13%.

“Between comedy and sports, consumers are using podcasts to be entertained and delighted – which provides a sanctuary from other serious headlines playing out across the nation and the world”, said David Cohen, CEO, IAB. “It’s where the greatest engagement and subsequent ad dollars are.”

CPG and Retail Brands Boost Revenue

CPG and retail brands revenue was up 4% and 5% respectively since 2022. Advertisers are shifting to digital platforms like podcasting that enable more direct connections with consumers.

Diversity Remains a Unique Strength

The wide variety of subjects podcasting addresses and the unique rapport between podcasters and their listeners continue to make the medium uniquely attractive for advertisers who need to reach niche audiences.

More than a quarter of podcasting revenues were in the “other” category, such as government, non-profit, pets, home, and more. These individual categories are often small but are so highly targeted that they are very appealing to advertisers who need to reach a niche audience affordably.

“Podcasts deliver at scale, can pinpoint niche audiences, and have the power to build authentic connections with consumers,” continued Cohen. “And as audience measurement in podcasting becomes more aligned with other digital channels, there’s more growth ahead.”

The full IAB U.S. Podcast Advertising Study can be downloaded here.

Methodology
A quantitative, online survey was sent to leading podcast industry professionals in February to understand 2022 podcast advertising revenues, revenues by industry category and content genre, as well as forecast revenue growth for the next 3 years. As in prior years, this coincided with a podcast advertising market-sizing to deliver an estimate of the market in the United States, inclusive of non-survey participating companies.

About PwC
As business, accounting, and tax advisors to many of the world’s industry leading technology, media, and telecommunications (TMT) companies, PwC (www.pwc.com/us/tmt) has an insider’s view of trends and developments driving the industry. With approximately 1,200 practitioners serving TMT clients in the United States, PwC is committed to providing clients with industry experience and resources. In recent years, our work in TMT has included helping our clients to develop strategies to leverage digital technology, identifying new sources of financing, and marketplace positioning in industries characterized by consolidation and transformation. Our experience reaches across many geographies and segments, including broadband, wireless, film, television, music, publishing, advertising, gaming, sports, theme parks, computers and networking, software and technology services. With thousands of practitioners around the world, we’re always close at hand to provide deep industry knowledge and resources.

About IAB
The Interactive Advertising Bureau empowers the media and marketing industries to thrive in the digital economy. Its membership comprises more than 700 leading media companies, brands, agencies, and the technology firms responsible for selling, delivering, and optimizing digital ad marketing campaigns. The trade group fields critical research on interactive advertising, while also educating brands, agencies, and the wider business community on the importance of digital marketing. In affiliation with the IAB Tech Lab, IAB develops technical standards and solutions. IAB is committed to professional development and elevating the knowledge, skills, expertise, and diversity of the workforce across the industry. Through the work of its public policy office in Washington, D.C., the trade association advocates for its members and promotes the value of the interactive advertising industry to legislators and policymakers. Founded in 1996, IAB is headquartered in New York City.

IAB Media Contacts
Brittany Tibaldi / Michael Vaughan
347-487-6794 / 813-210-1706
btibaldi@kcsa.com/mvaughan@kcsa.com

The post Podcast Revenue Growth Slowed in 2023, Will Return to Double-Digit Growth in 2024, According to IAB’s U.S. Podcast Advertising Study appeared first on IAB.

New York – April 25, 2024 – Total digital video advertising spend, including Connected TV (CTV), social video, and online video (OLV), is projected to grow 16% in 2024 — nearly 80% faster than total media overall*.

In total, digital video ad revenues are expected to reach $63B in 2024, according to IAB’s “2024 Digital Video Ad Spend & Strategy Report”.

In the last four years, the share of ad spend has shifted by nearly 20 percentage points from linear TV to digital video, which is now 52% of the total market share.

Social Video is the Strongest Video Growth Category; CTV Projects Double-Digit Ad Spend Growth

Social video is on track toward its second year of 20% year-over-year (YoY) growth, and is projected to rise to $23.4 billion.

​​CTV exceeded $20 billion for the first time in 2023, and is expected to grow by 12% to $22.7 billion in 2024, 32% faster than total media overall. While dollars flowing into CTV primarily come from reallocations – particularly linear TV and other traditional media —31% of increased spend comes from overall expansion of advertising budgets.

“Among the largest ad spenders, CTV (69%) and social video (70%) are considered ‘must buys’ because of their ability to deliver both scale for branding at the top of the funnel and performance outcomes at the bottom of the funnel,” said Chris Bruderle, VP, Industry Insights & Content Strategy, IAB.

CPG and Retail Will Be The Fastest Growing Contributors To 2024 Digital Video Growth

For the first time ever, this year’s report includes category-level ad spend projections. CPG and Retail will post double-digital ad spend growth YoY, at 20% and 30% respectively, while also generating the largest total ad spend. CPG brands are leveraging CTV’s increased scale, ability to connect with consumers directly, and streaming companies’ partnerships with retail media networks. Auto, financial, restaurants, B-to-B, travel, and wellness are all up more than 20%, though on a smaller base. Most categories overall project double-digit growth vs. 2023.

“Advertisers go where consumers are, and today that means digital video,” said David Cohen, CEO, IAB. “The challenge ahead is this: in a crowded landscape, who can deliver the best viewing experience, with the best content choices and the most innovative advertising options? That competition is ultimately good for consumers and good for the industry.”

To create the report, IAB partnered with Guideline (which leveraged ad billing data) as well as data from an IAB-commissioned Advertiser Perceptions quantitative survey of TV/digital video spend decision-makers, and other market estimates.

The “2024 Digital Video Ad Spend & Strategy Report” is available here. Part 2 of the report, which will be released on July 15th during the IAB Media Center’s Video Leadership Summit, will dive deeper to provide insights into strategies driving activation and measurement.

*Per Magna, Spring 2024 (+8.7%) and IAB (+9.5%)

About IAB
The Interactive Advertising Bureau empowers the media and marketing industries to thrive in the digital economy. Its membership comprises more than 700 leading media companies, brands, agencies, and the technology firms responsible for selling, delivering, and optimizing digital ad marketing campaigns. The trade group fields critical research on interactive advertising, while also educating brands, agencies, and the wider business community on the importance of digital marketing. In affiliation with the IAB Tech Lab, IAB develops technical standards and solutions. IAB is committed to professional development and elevating the knowledge, skills, expertise, and diversity of the workforce across the industry. Through the work of its public policy office in Washington, D.C., the trade association advocates for its members and promotes the value of the interactive advertising industry to legislators and policymakers. Founded in 1996, IAB is headquartered in New York City.

IAB Media Contacts
Brittany Tibaldi / Michael Vaughan
347-487-6794 / 813-210-1706
btibaldi@kcsa.com/mvaughan@kcsa.com

The post Digital Video Ad Spend Growing Nearly 80% Faster than Media Overall, According to IAB Video Ad Spend and Strategy Report appeared first on IAB.

“We thank Judge Carol Fox Foelak for hearing the evidence that the new rules would cost businesses a lot more than the FTC estimates. In fact, the judge found that the FTC failed to properly analyze the potential effects of more fine print and one-size-fits-all mandates for different platforms and devices, which would ruin consumers’ online experience,” said IAB’s Executive Vice President for Public Policy Lartease Tiffith, who argued against the changes in several public hearings.

“The FTC’s proposed changes may also violate business owners’ free speech rights, preventing them from offering customers better deals, and would discourage people from subscribing to valuable products and services in the first place,” he added.

The judge noted discrepancies in the FTC’s economic calculations, finding that its estimates of labor and other costs point to a total compliance burden of significantly higher than $100 million, the threshold at which the agency must perform a more thorough review of its proposal.

“It’s clear the FTC overstepped its boundaries and underestimated the costs of these changes to popular services,” said Tiffith. “IAB will continue to work with our partners and the agency to produce a better outcome for businesses and consumers.”

About IAB
The Interactive Advertising Bureau empowers the media and marketing industries to thrive in the digital economy. Its membership comprises more than 700 leading media companies, brands, agencies, and the technology firms responsible for selling, delivering, and optimizing digital ad marketing campaigns. The trade group fields critical research on interactive advertising, while also educating brands, agencies, and the wider business community on the importance of digital marketing. In affiliation with the IAB Tech Lab, IAB develops technical standards and solutions. IAB is committed to professional development and elevating the knowledge, skills, expertise, and diversity of the workforce across the industry. Through the work of its public policy office in Washington, D.C., the trade association advocates for its members and promotes the value of the interactive advertising industry to legislators and policymakers. Founded in 1996, IAB is headquartered in New York City.

IAB Media Contacts
Kate Tumino / Brittany Tibaldi
212-896-1252 / 347-487-6794
ktumino@kcsa.com/ btibaldi@kcsa.com

The post IAB Wins Victory at FTC for Businesses and Consumers appeared first on IAB.

New York – April 24, 2024 – As anticipation builds for the 2024 IAB NewFronts, the pinnacle event in the streaming video marketplace, IAB, the leading trade body for the digital advertising industry, unveils key appointments to bolster its leadership team.

Cintia Gabilan, a seasoned professional who’s held senior roles at Amazon, Meta, and Unilever, steps into the position of Vice President at the IAB Media Center. Joining her is Arlene Mu, former Chief Privacy Officer and Assistant General Counsel at Lowe’s, who will assume the position of Assistant General Counsel at IAB. Adding to the roster, industry veteran Nadine Karp McHugh, is appointed as the new IAB Executive in Residence. Karp McHugh’s illustrious career, including stints at Goldman Sachs, SeeHer, Colgate, Ogilvy, Mindshare, and L’Oréal, brings invaluable brand marketing and agency insights to IAB.

Gabilan will lead one of IAB’s most critical areas of focus as Vice President of its Media Center, right in time for the 2024 IAB NewFronts (April 29 – May 2) and the 2024 IAB Podcast Upfront (May 9). In this role, she is charged with leading IAB members into the future of media and will report to Pam Zucker, SVP, Chief Strategy Officer.

“The Media Center is part of the heart and soul of IAB, working with hundreds of publishers and marketplace participants to ensure a bright and vibrant future for the streaming video and audio ecosystem” said David Cohen, CEO, IAB. “Some of the most meaningful IAB marketplaces, like the IAB NewFronts and IAB Podcast Upfront, are led by the IAB Media Center, and Cintia will undoubtedly bring a fresh perspective to the market. With experience working on the brand, agency, and media sides of our ecosystem, Cintia will quickly become an important fixture in the IAB community.”

Most recently, Gabilan spearheaded major initiatives as Global Head of Executive, Analyst, and Trade Relations Marketing at Amazon Ads. There, she led transformative strategies, including Customer Advisory Boards and Competitive Intelligence programs. Before this, Gabilan honed her expertise during her tenure at Meta (Facebook), spanning nearly a decade.

Gabilan also held leadership roles within renowned global ad agencies such as Wunderman Thompson and dentsu, as well as at CPG giant Unilever.

Arlene Mu joins IAB as Assistant General Counsel. Mu’s arrival coincides with a critical moment for the industry, as data privacy legislation continues to sweep the nation and shape digital advertising.

“Amidst escalating data privacy obligations and the need for collaboration in the industry to better protect consumers, Arlene’s addition to IAB couldn’t be more timely,” said Michael Hahn, EVP & General Counsel, IAB. “With her extensive experience in retail and the growth of retail media networks, Arlene brings a unique perspective. As we navigate the complexities of promoting responsible data practices in digital advertising, her legal counsel and understanding of privacy will be invaluable. Arlene’s insights will play a crucial role in our efforts toward creating a safer and compliant digital environment for consumers and IAB members.”

Mu comes to IAB from Lowe’s Companies Inc., where she held the position of Assistant General Counsel and Chief Privacy Officer. Her responsibilities included guiding the company through the complexities of privacy regulations, particularly in the context of marketing and the burgeoning field of retail media. During her tenure, she played a critical role in driving Lowe’s key digital marketing initiatives and retail media network establishment, contributing to the company’s growth and compliance strategies amidst the notable 16.3% year-over-year increase in advertising revenues in the retail media sector, which reached $43.7 billion in 2023.

Now, at IAB, Mu will collaborate closely with Michael Hahn on crucial industry legal projects, including the IAB Multi-State Privacy Agreement (MSPA), the Privacy Implementation and Accountability Task Force (PIAT), and the Clean Rooms Privacy Working Group. Her in-depth understanding of privacy regulations and hands-on experience in retail media will be invaluable as she continues to drive legal initiatives that shape the future of digital advertising, leading up to IAB’s Connected Commerce Summit on September 17-18, 2024.

Additionally, IAB welcomes Nadine Karp McHugh – a renowned leader boasting extensive experience in both brand marketing and agency leadership – as its Executive in Residence.

Throughout her career, Karp McHugh has occupied prominent positions in marketing and media across various sectors. Notably, she recently served as Managing Director, Global Media at Goldman Sachs. Before this, she held key positions at industry-leading brands such as L’Oréal and Colgate-Palmolive. Her journey has included significant contributions across WPP agencies, including leading Unilever’s U.S. business and serving as Chief Client Officer at MindShare New York. Karp McHugh’s commitment to diversity, equity, and inclusion led her to the role of President of SeeHer, a nonprofit designed to drive accurate portrayals of all women and girls within marketing and media. A distinguished TedX speaker known for her impactful presence in marketing and media, Karp McHugh has received numerous accolades, such as Ad Age’s Women to Watch and Media Maven awards.

“Nadine is an incredible addition to our team, bringing years of brand experience and a unique perspective,” said Sheryl Goldstein, EVP, Chief Industry Growth Officer, IAB. “With a focus on DEI, leadership, and creativity, Nadine will undoubtedly serve as a valuable resource for our members providing strategic direction for brand engagement.”

“In welcoming Cintia Gabilan and Arlene Mu to its executive ranks, alongside Nadine Karp McHugh, IAB solidifies its commitment to driving innovation, diversity, and responsible practices across the digital industry,” says Cohen. “With their combined leadership, IAB stands poised to meet the challenges and opportunities shaping the digital advertising ecosystem head-on, ensuring collaboration, progress and collective growth.”

About IAB
The Interactive Advertising Bureau empowers the media and marketing industries to thrive in the digital economy. Its membership comprises more than 700 leading media companies, brands, agencies, and the technology firms responsible for selling, delivering, and optimizing digital ad marketing campaigns. The trade group fields critical research on interactive advertising, while also educating brands, agencies, and the wider business community on the importance of digital marketing. In affiliation with the IAB Tech Lab, IAB develops technical standards and solutions. IAB is committed to professional development and elevating the knowledge, skills, expertise, and diversity of the workforce across the industry. Through the work of its public policy office in Washington, D.C., the trade association advocates for its members and promotes the value of the interactive advertising industry to legislators and policymakers. Founded in 1996, IAB is headquartered in New York City.

IAB Media Contacts
Brittany Tibaldi / Michael Vaughan
347-487-6794 / 813-210-1706
btibaldi@kcsa.com/mvaughan@kcsa.com

The post IAB Appoints Industry Leaders to Critical Roles Ahead of 2024 NewFronts appeared first on IAB.

Members of Congress addressed the American Privacy Rights Act, Children’s Online Privacy Protection Act 2.0, Kids Online Safety Act, and other bills to regulate digital advertising, online media platforms and content, and the internet. “Like legislators, we want to foster a healthy online environment for kids, where they can continue to access beneficial, age-appropriate content. We also want to make sure bills to protect all Americans’ data privacy also protect the benefits of the ad-supported internet, including millions of jobs across the country and a large share of U.S. economic growth,” said IAB’s Executive Vice President for Public Policy Lartease Tiffith in a statement accompanying his letter to Congress.

“The Internet is built on the continuous exchanges of data between devices and servers. Without these data exchanges, the Internet and its social, cultural, economic, and personal benefits would not exist,” he writes in his letter. According to IAB, without changes, data privacy legislation in Congress could amount to hundreds of billions of dollars in lost revenue and compliance costs for businesses of every size, as well as increased costs for small businesses and consumers, unable to afford higher advertising prices or new paywalls and subscriptions for previously free, ad-supported products and services.

Specifically, vague language, exemptions, and carve-outs in the American Privacy Rights Act could encourage a patchwork of state laws, fines at multiple levels of government, and a barrage of lawsuits. Exceeding restrictions in many state laws, the bill would ban anonymous browsing and video viewing history helping media publishers, including small website publishers, to better serve audiences and earn income. Language in the proposed Kids Online Safety Act could force businesses to treat every online visitor as a child, creating impediments to access for general audiences. As an extreme example, the Banning Surveillance Advertising Act, another subject of today’s hearing, could effectively eliminate the commercial internet.

“We appreciate Congress’ hard work and intent to protect Americans’ and especially children’s privacy,” said Tiffith. “But we should also remember that the internet and digital advertising have been a democratizing force, allowing more people to communicate, create, and advocate for issues important to them. Small businesses can compete nationally or even globally. IAB research shows consumers understand the value of data exchange and personalized advertising. Our country has been a technology leader, because we have allowed innovation to flourish. IAB is urging Congress to add more balance to legislation that could have some very negative unintended consequences.”

About IAB
The Interactive Advertising Bureau empowers the media and marketing industries to thrive in the digital economy. Its membership comprises more than 700 leading media companies, brands, agencies, and the technology firms responsible for selling, delivering, and optimizing digital ad marketing campaigns. The trade group fields critical research on interactive advertising, while also educating brands, agencies, and the wider business community on the importance of digital marketing. In affiliation with the IAB Tech Lab, IAB develops technical standards and solutions. IAB is committed to professional development and elevating the knowledge, skills, expertise, and diversity of the workforce across the industry. Through the work of its public policy office in Washington, D.C., the trade association advocates for its members and promotes the value of the interactive advertising industry to legislators and policymakers. Founded in 1996, IAB is headquartered in New York City.

IAB Media Contacts
Kate Tumino / Brittany Tibaldi
212-896-1252 / 347-487-6794
ktumino@kcsa.com/ btibaldi@kcsa.com

The post IAB Raises Concerns About New National Data Privacy Proposal appeared first on IAB.

Creator Economy Helps Spark Social Media Rebound

New York – April 16, 2024 – Internet advertising revenues reached a record-high of $225 billion, increasing by 7.3% year-over-year overall (YoY) between 2022 and 2023, according to the newly released “IAB Internet Advertising Revenue Report: Full Year 2023,” conducted by PwC. The report found that Q4 saw the highest growth rate of 12.3% from the year prior (4.4%), with revenues rising to $64.5 billion.

“Despite inflation fears, interest rates at record highs, and continuing global unrest, the U.S. digital advertising industry continued its growth trajectory in 2023,” said David Cohen, CEO, IAB. “With significant industry transformation unfolding right before our eyes, we believe that those channels with a portfolio of privacy by design solutions will continue to outpace the market. For 2023, the winners were retail media, CTV, and audio which saw the highest growth.”

Growth Channels
Retail Media revenues showed 16.3% YoY growth in advertising revenues, reaching $43.7 billion in 2023. Key e-commerce players are all expanding their retail media platforms to enable future growth.

Video advertising revenue experienced double digit (10.6%) YoY growth, rising to $52.1 billion in 2023. Forty-two percent of this revenue was generated from CTV (Connected TV) and OTT (over the top/streaming). While growth was less than last year, the combination of CTV/OTT media is expected to be the fastest growing media channel in 2024, especially as the ad-supported tiers of major streaming services continue to capture a growing share of consumer attention.

Audio advertising also saw a robust expansion, growing 18.9% to reach $7 billion. It is still the fastest growing channel, albeit at a slower pace than last year.

After a slowdown in 2022, social media advertising revenues have rebounded with 8.7% YoY growth in 2023, increasing to $64.9 billion in 2023. This can in part be attributed to the continued proliferation of social media and creator marketing growth across multiple platforms and new social media forms. Revenues in the second half of 2023 accounted for $4.1 of the $5.1 billion total increase over 2022.

While advertising revenues for search ($88.8 billion) and display ($66.1 billion) remain high, both show relatively modest annual growth rates, with search at 5.2% and display at 4% YoY growth respectively.

Outlook for 2024: Privacy Regulation, Innovation, and Generative AI
The trends identified in last year’s report made an impact in 2023 and will continue to grow stronger in 2024:

• Privacy-preserving advertising practices should not be viewed as a temporary trend, but as a permanent change. The industry’s adaptability and innovation will be crucial in thriving within the privacy-by-design ecosystem.
• Social media platforms are pursuing innovations that merge social commerce, reality tech, and influencer marketing to drive higher engagement and conversions.
• Generative AI is optimizing various advertising elements through insight-driven idea generation, personalized content, and real-time optimization. Leading companies are aggressively adopting AI to replace the lost signals that power personalization and measurement, like Google’s Performance Max and Meta’s Advantage+. The challenge now for advertisers and publishers is to find and hire the right talent to thrive in a fast-paced future.

Advertising is undergoing a rapid transformation, driven by channels that offer addressable audiences at scale and personalized messaging in privacy-compliant ways. These channels, equipped with large first-party data sets, sophisticated contextual models, and native measurement capabilities, have gained a competitive edge in the industry.

“Looking ahead, while there are no shortage of challenges, there are also strong opportunities in sports streaming, creator-based marketing, retail media networks, and beyond,” said Jack Koch, Senior Vice President, Research and Insights, IAB. “2023 is proof that the industry can stay resilient in the face of change.”

You can view the full report, “IAB Internet Advertising Revenue Report: Full Year 2023” here. Experts from IAB, PwC, and MAGNA Global will discuss key findings and trends from the report during a webinar today, April 16th, at 2pm ET. Register here.

Methodology
Commissioned by the IAB and conducted by PwC Advisory Services LLC (“PwC”) on an ongoing basis, with results released quarterly, the “IAB Internet Advertising Revenue Report” was initiated by the Interactive Advertising Bureau (IAB) in 1996. This report uses data and information reported directly to PwC from companies selling advertising on the internet as well as publicly available corporate data. The results reported are considered to be a reasonable measurement of internet/online/mobile advertising revenues because much of the data is compiled directly from information supplied by companies selling advertising online. The report includes data reflecting desktop and mobile online advertising revenues from websites, commercial online services, ad networks and exchanges, mobile devices, and email providers, as well as other companies selling online advertising. The report is conducted independently by PwC, including research by their in-house market research team, on behalf of the IAB. PwC does not audit the information and provides no opinion or other form of assurance with respect to the information. Only aggregate results are published and individual company information is held in strict confidence with PwC. Further details regarding scope and methodology are provided in the appendix of this report.

About IAB
The Interactive Advertising Bureau empowers the media and marketing industries to thrive in the digital economy. Its membership comprises more than 700 leading media companies, brands, agencies, and the technology firms responsible for selling, delivering, and optimizing digital ad marketing campaigns. The trade group fields critical research on interactive advertising, while also educating brands, agencies, and the wider business community on the importance of digital marketing. In affiliation with the IAB Tech Lab, IAB develops technical standards and solutions. IAB is committed to professional development and elevating the knowledge, skills, expertise, and diversity of the workforce across the industry. Through the work of its public policy office in Washington, D.C., the trade association advocates for its members and promotes the value of the interactive advertising industry to legislators and policymakers. Founded in 1996, IAB is headquartered in New York City.

IAB Media Contacts
Brittany Tibaldi / Michael Vaughan
347-487-6794 / 813-210-1706
btibaldi@kcsa.com/mvaughan@kcsa.com

The post 2023 U.S. Digital Advertising Industry Hits New Record, According to IAB’s Annual Internet Advertising Revenue Report appeared first on IAB.

As the leading marketplace for streaming audio, IAB Podcast Upfront will explore key trends like the growth of niche audiences, diversity in podcasting, and podcasting’s global expansion. Top podcast networks and audio publishers will share insights on the medium’s acceleration and showcase its capabilities in driving return on investment (ROI).

IAB Podcast Upfront will be hosted by two leading voices in the podcast community, Jenna Kutcher, New York Times Bestselling Author and Host of “The Goal Digger” Podcast, and Rachel Rodgers Entrepreneur, Investor, and Founder of Hello Seven. Both hosts’ podcasts can be found on the YAP Media Network.

“With captivating programming and a passionate listener base, podcasting has cemented itself as a driving force in the marketplace, engaging over 135 million Americans each month,” said David Cohen, Chief Executive Officer, IAB. “There’s no better time for brands to stake their claim in both streaming audio and podcasting to help define the next era of growth.”

Additionally, IAB will release its eighth annual IAB U.S. Podcast Advertising Revenue study, prepared for IAB by PricewaterhouseCoopers LLP (“PwC”), that quantifies the annual podcast advertising revenues generated over the past year and shows how podcast ad revenue has more than doubled since 2020.

“Reflecting on nearly two decades of its evolution, podcasting stands as a dynamic medium, and IAB has been at the forefront bringing buyers and publishers together, fostering confidence and amplifying investment,” said Matt Shapo, Director, Digital Audio and Video, IAB. “At this year’s IAB Podcast Upfront, we can expect presenters to highlight the latest monetization opportunities, technological advancements for brand-safety and suitability, and showcase exciting new content.”

*All times are in EST; Speakers and timing are subject to change; For up-to-the-minute agenda, refer to the website.

About IAB
The Interactive Advertising Bureau empowers the media and marketing industries to thrive in the digital economy. Its membership comprises more than 700 leading media companies, brands, agencies, and the technology firms responsible for selling, delivering, and optimizing digital ad marketing campaigns. The trade group fields critical research on interactive advertising, while also educating brands, agencies, and the wider business community on the importance of digital marketing. In affiliation with the IAB Tech Lab, IAB develops technical standards and solutions. IAB is committed to professional development and elevating the knowledge, skills, expertise, and diversity of the workforce across the industry. Through the work of its public policy office in Washington, D.C., the trade association advocates for its members and promotes the value of the interactive advertising industry to legislators and policymakers. Founded in 1996, IAB is headquartered in New York City.

IAB Media Contacts
Brittany Tibaldi / Michael Vaughan
347-487-6794 / 813-210-1706
btibaldi@kcsa.com / mvaughan@kcsa.com

The post 2024 IAB Podcast Upfront: Demonstrating the Power of Podcast Advertising and Captivating Audiences appeared first on IAB.