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NewFronts 2019: Trends & Insights

INSIDE THE REPORT

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Digital Content NewFronts: What They Are

& Why They Matter

Every NewFront Presentation (In Five

Words or Less)

Top Five NewFronts Trends

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5-10

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The NewFronts are a week-long, multi-billion-dollar marketplace

packed with the world’s biggest publishers, the best storytellers, and

the ad industry—all gathered to focus on the future of digital video

content. According to a recent IAB report, 2019 per-advertiser spend

on digital video is $18M, up from $14M in 2018, with nearly two-

thirds of digital budgets allocated to video. 43% of advertisers’

original digital video budgets are allocated at the NewFronts.

And one of our agencies, Digitas, started it. Digitas is the only agency

to hold a NewFront, having held its first NewFront in 2008. In 2012

Digitas co-founded the Digital Content NewFronts, igniting a US

digital video marketplace that was valued at $730M in 2008 and is

estimated to grow to over $58B by 2023 (source: eMarketer).

This report pulls from the collective insights of PMX and Digitas.

THE DIGITAL CONTENT NEWFRONTS: WHAT ARE THEY & WHY THEY MATTER

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EVERY PRESENTATION (IN FIVE WORDS OR LESS)

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TOP FIVE THEMES

UNDERPINNED BY THE IMPORTANCE OF DATA MANAGEMENT

The Power of

Podcasts;

Second Coming

of Audio

Performance

Accountability

Content > Ads

Intention More

Important Than

Attention

Premium,

Brand Safe &

Transparent

Environments

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The continued rise of branded content and influencer partnerships – along with the

resurgence of strategic product placement – was touted as a prime way to combat ad

avoidance, distrustful perceptions of ad messages, and ad-free streaming.

At this year's event, we saw a number of publishers unveil new content experiences for their

audiences. Viacom, for example, shared new Digital Studios programming with David Spade,

Marc Lamont Hill and Nickelodeon, who recently partnered with Kraft Heinz on a co-branded

Lunchables program called "Jackie & Patty's Mixed Up Challenges." BBC News introduced

new features to make content customized to users, including "object-based-media," an

interactive style of personalized, curated content based on users' interests, behaviors and

how much free time they have. Twitter also announced a WSJ partnership including original

video formats, full-day programming and livestreaming events to offer new ways to

experience content. Target Media Network rebranded as Roundel, and announced a primary

offering of leveraging Target 1st party data across Owned & Operated inventory as well as a

partner distribution network.

KEY TAKEAWAY: With the rise of content and influencer marketing, brands need to

identify and work with best-in-class partners – Publicis Media is prepared to help

marketers navigate this process through the launch of ‘PM Content Verified,’ a

comprehensive process to map and verify vendors across the ecosystem.

Content > Ads

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Consumer signals are indicators of intent, the most powerful insight a brand can have,

because intention drives action. Brands no longer have to guess what consumers want.

They’re being told thousands of times a day through millions of different signals, but the

key is knowing how to truly listen.

The New York Times for example currently shared their new targeting solutions in beta

that use machine learning to target and optimize advertising based on predictive

emotions, motivations and topics. Meredith focused on the power of understanding

consumer intent, which has been brought to life through unique audience profiles and

programming strategies. Hulu talked about their use of robust first-party data to inform

everything on their platform – whether its experience, content and advertising – all in an

effort to allow brands to tailor experiences to their target customers. They also announced

several unique ad units, including Binge Ads, which allows brands to target users who

watched three consecutive episodes in the same session with a unique message or value

exchange offering.

KEY TAKEAWAY: Marketers that adapt to the wants and needs of consumers will win

– using data to understand consumer trends and insights brands can adjust product

offering, messaging, and targeting to ultimately cater to and win customer intent

and dollars.

Intention More Important than Attention

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Nearly every publisher offered solemn promises to raise the bar for programming and their

rigorous brand safety processes while also nodding to enhancements in transparent data

and privacy practices.

Digitas' Newfront theme, "Trust Me," focused heavily on why trust matters for brands and

how they can use technology and storytelling to build (or rebuild) trust, with presentations

form prolific thought leaders including Malcolm Gladwell, bestselling author and host of

podcast Revisionist History. Ellen Digital Network stated its continued commitment to

providing a brand safe environment to partner with a variety of influencers, from digital

natives discovered by Ellen to A-list celebrity talent. The New York Times echoed the

sentiment that trust is more important than ever and unveiled “The Privacy Project”, an

initiative that brings strong investigative journalism to educate audiences on the

consequences of under-regulated access to data and technology. Meanwhile, Studio 71

acknowledged the importance of maintaining brand safety, as evidenced through their

“Context” tool which brings automated content scanning married with human review. Vice

unveiled a collaboration with Oracle’s Grapeshot technology to review every piece of Vice

content for context to ensure it’s safe to monetize.

KEY TAKEAWAY: While targeting, premium content alignment and technology give

some reassurance to brand safety, it remains an ongoing industry challenge – there

remains a need for publishers, brands and agencies to work together to find a joint

solution.

Premium, Brand Safe, and Transparent Environments

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Historically the ROI of video and content have often been underrepresented. As more dollars

shift from traditional ad formats into content in the coming years, understanding the true

quantifiable impact of that channel is a key focus for publishers in the space.

Vudu focused on scale and robust 1st party purchasing data via parent company Walmart

and their other supporting brands (Bonobos, Moosejaw, ModCloth, etc). Vudu made a splash

in announcing New Shoppable Dynamic Ads for viewers to seamlessly purchase the

products featured in an ad via Walmart, as well as a new Audience Network Extension to

supplement their advertising reach with a variety of other premium OTT partners, eventually

offering access to over 50% of households. Meanwhile, Conde Nast announced New ROI

measurement capabilities through a partnership with Nielsen. YouTube shared evolution of

its Google Preferred offerings, including a revised scoring system (called the “P-Score”) to

include higher production values and TV popularity, as well as more precise targeting

through audience guarantees and show-level exclusions.

KEY TAKEAWAY: With the continued expansion of platforms such as OTT/CTV,

Podcasts/Audio, and Live Streaming Events to maintain and grow audience

engagement a greater need for measurement exists – while partner specific solutions

are not the end all be all, they give brands an opportunity to better inform planning

and optimization.

Performance Accountability

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Podcasts breed a unique sense of trust unlike any other format. The ability to convey

tone makes it more engaging than print, the way consumers seek out the content

makes it more trustworthy than TV, and the personal connection makes it more

authentic than digital.

This year, we saw several presenters share new audio components and features,

including The New York Times who announced new storytelling experiences such as

Alexa voice skillset development and podcasts. BBC News talked about its "Project

Songbird" offering that provides users with automated audio versions of all BBC News'

online articles. And Verizon Media shared that Yahoo Finance is launching a new

podcast slate that can be accessed directly and via audio inventory across Pandora,

iHeart Radio and AdsWizz.

KEY TAKEAWAY: The resurgence of audio gives brands a opportunity to build a

unique and authentic sonic identify – done right marketers have the ability to

enhance perception, increase brand awareness, encourage customer

engagement, and maximize return on investment.

The Power of Podcasts; Second Coming of Audio

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