The end of advertising as we know it, By Saul J. Berman, Bill Battino, Louisa Shipnuck and Andreas Neus, IBM Institute for Business Value study, 2007.

The next 5 years will hold more change for the advertising industry than the previous 50 did. Increasingly empowered consumers, more self-reliant advertisers and ever-evolving technologies are redefining how advertising is sold, created, consumed and tracked. Our research points to four evolving future scenarios – and the catalysts that will be driving them.

Traditional advertising players – broadcasters, distributors and advertising agencies – may get squeezed unless they can successfully implement consumer, business model and business design innovation.

Introduction:

“We will see ‘neutral’ evaluation of all media formats. There is no primary role for linear TV any more.” – Managing Director, advertiser, Europe

The trends toward creative populism, personalized measurements, interactivity, open inventory platforms and greater consumer control will generate more change over the next 5 years than the advertising industry has experienced in the last 50. This means that many of the skills and capabilities that were the mainstay of success in the past will need refinement, transformation or even outright replacement.

Based on an IBM global survey of more than 2,400 consumers1 and feedback from 80 advertising executives worldwide collected in conjunction with Bonn University’s Center for Evaluation and Methods....

Download The end of advertising as we know it

PDF format, 302kb, 28pages.

Imagine an advertising world where… spending on interactive, one-to-one advertising formats surpasses traditional, one-to-many advertising vehicles, and a significant share of ad space is sold through auctions and exchanges. Advertisers know who viewed and acted on an ad, and pay based on real impact rather than estimated “impressions.” Consumers self-select which ads they watch and share preferred ads with peers. User-generated advertising is as prevalent (and appealing) as agency-created spots.

Visit The end of advertising as we know it, the report official website

IBM Global Business Services, through the IBM Institute for Business Value, develops fact-based strategic insights for senior executives around critical public and private sector issues. This executive brief is based on an in-depth study by the Institute’s research team. It is part of an ongoing commitment by IBM Global Business Services to provide analysis and viewpoints that help companies realize business value. You may contact the authors or send an e-mail to iibv@us.ibm.com for more information.

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