International: Advertisers disappointed in the merger that wasn’t
Advertising clients appeared disappointed that Yahoo and Microsoft couldn't make a merger work. But it wasn't because they won't have the chance to do business with Microhoo; rather, they were letdown that a stronger challenger to Google wasn't created.
Advertising clients appeared disappointed that Yahoo and Microsoft couldn't make a merger work. But it wasn't because they won't have the chance to do business with Microhoo; rather, they were letdown that a stronger challenger to Google wasn't created.
"We're all a bit disappointed really," said Laura McFarlane, managing partner-chief strategy officer at WPP's Beyond Interaction. "It's the search piece that concerns us."
Challening the top dog
Added Adam Kasper, senior VP-director of digital media at Havas' MediaContacts: "I'm not a big fan of big mergers like this in the media world because they tend to limit advertisers options and create less competition but this is probably somewhat of an exception." But, he noted, in this case it was two weaker competitors trying to be a more viable challenger to the top dog.
"It's all about Google," he said, rather than some sort of magic ad recipe that would have been created by merging the Yahoo and Microsoft businesses.
Indeed, as big as Microsoft's bid was (initially $31 a share, later raised to $33 before Microsoft withdrew its offer), it always seemed less about the two companies involved and more about the juggernaut they would challenge -- or try to challenge, at least. But even after news of the takeover talks broke, it was impossible to ignore that, combined, Yahoo's and Microsoft's search share would still only be half of Google's.
The irony now is that even as the deal has died (or is lying dormant, as many believe), Yahoo could outsource part of its search monetization to the leader down the road in Mountain View, Calif.
The Department of Justice is already looking into a two-week test in which Yahoo outsourced a small portion of its search traffic to Google to monetize, but the companies have discussed further search collaboration. And while Yahoo's stock price fell today, the drop was not even close to the sub-$20, pre-takeover-bid level. One reason? Wall Street speculates that a Yahoo-Google search deal could create a big cash infusion.
Not thrilled
Advertisers, however, are not so high on that potential scenario. Rob Norman, CEO of Group M Interaction, warned against such a partnership on his blog.
"As for Yahoo's options, there are many but a Google transaction cannot be not one of them," he wrote, comparing the scenario to one in which Chevron and Exxon Mobil combined distribution and retailing -- but only in certain locations and without formally merging their companies. He asks: "Monopoly or not?"
"I hope they don't do it," said Curt Hecht, exec VP-chief digital officer at GM Planworks and Starcom MediaVest Group, referring a search outsourcing deal. "One, because of competition, but also because of the way search works, because it's a global channel and because of the way it scales. It's very important to the future."
He suggests that no entity has really taken command of search globally, and that portals are in the best position to do that. If he were Yahoo's Jerry Yang? "I wouldn't give that up," he said.
There are still options on the table for both Yahoo and Microsoft. One is that the two return to the bargaining table. Another is a potential acquisition of Time Warner's AOL unit. And News Corp. has appeared willing to put its MySpace property in play as well.
Can Yahoo really go it alone?
While some clients praised Yahoo's strategy and seemed interested in its innovations, such as its soon-to-launch Amp ad-serving platform and its 2007 purchase of Right Media Exchange, many remain skeptical over Yahoo's ability to execute such grand plans, in part, not only because of its past history but also because its unclear whether it will have the resources on its own to do so. Microsoft would have given it more resources. Additionally, its service has languished in recent weeks.
Microsoft, on the other hand, is generally weaker in the content and experiences area and would have benefited from some of Yahoo's properties, such as Flickr and MyYahoo. It could bolster its consumer applications and offerings through a series of smaller acquisitions, and there are plenty of content opportunities in the market including properties such as AOL or even, potentially, bidding for the struggling CNET.
Both companies will struggle from general shifts in consumer internet behavior, said Ms. McFarlane. While portals in general are still an "important gateway, but as things become increasingly un-tethered we want the kind of information that portals are delivering to us syndicated out and distributed to wherever we are at," she said. The notion of destination is becoming less important.
Guaranteed to irk Ballmer
Of course all of that probably pales in comparison to the one thing that's sure to irk Microsoft chief Steve Ballmer the most: that Google may end up being the big winner in this whole ordeal.
"We believe that Google may benefit from the disarray of its two largest competitors, as Microsoft has withdrawn its bid for Yahoo," wrote Goldman Sachs Analyst James Mitchell. "Any search affiliate choosing a partner at this time may bias toward Google as the safe choice in an uncertain world, helping Google retain its network leadership" while slowing the growing and most expensive part of Google's business -- traffic acquisition costs, or the payments Google pays out to its affiliates for the opportunity to monetize their search traffic.
Source: AdAge.com
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E4M Our strategy is to target younger audiences through Sports: Rajiv Dubey, Dabur
The Head of Media at Dabur India spoke exclusively to exchange4media on the World Cup, associating with Indian Idol, the company’s digital spending and much more
With quirky campaigns, memes and moment marketing, timed with the ongoing World Cup and particularly the India-Pakistan matches, Dabur India has got considerable consumer attention for its popular brands – Red Paste, Cool King Hair Oil, Chyawanprash, Dabur Vita and the recently launched Bae Fresh Gel toothpaste.
The 140-year-old company is going big on key sporting events, World Television Premiere (WTP) movies and reality shows. It is now gearing up to become the title sponsor of popular talent show ‘Indian Idol’ on Sony TV for the first time, shared Rajiv Dubey, who leads the media strategy at Dabur.
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ShareSwapan Seth's new book 'COOL' is out
The book is a reflection of the author's 'eclectic taste across categories'
Advertising professional and art collector Swapan Seth has announced the launch of his new book COOL. The book is described as "a ready reckoner to the hip and the happening, of the known and the very unknown."
The book is a reflection of the author's "eclectic taste across categories: from boltholes to exotic hideaways."
COOL has been published by Simon & Schuster India and is available on Amazon.
Seth is an ad veteran with a long and illustrious career in the industry. He became the youngest-ever Creative Director at Clarion at age 24. He was VP at 26 at Trikaya Grey. Two years later, he started his agency Equus.
He writes for publications such as The Economic Times, Hindustan Times and India Today. This is his second book and he has previously published THIS IS ALL I HAVE TO SAY.
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Disney Star signs 9 sponsors for Asia Cup PAK
Charged by Thums Up, Nerolac Paint+, Amazon Pay, Jindal Panther, My11Circle, MRF, Samsung Galaxy Z Flip5, Wild Stone and Thums Up come on board
e4m Staff Disney Star has signed nine broadcast and digital streaming sponsors for the upcoming Asia Cup.
Charged by Thums Up, Nerolac Paint+, Amazon Pay, Jindal Panther, My11Circle, MRF, Samsung Galaxy Z Flip5, Wild Stone and Thums Up have come on board for the upcoming tournament.
As reported earlier by exchange4media, Disney Star has sought Rs 26 crore for the co-presenting sponsorship on TV and Rs 30 crore for Disney+ Hotstar.
According to industry sources, the associate sponsorship on Star Sports has been priced at Rs 19.66 crore, whereas for the ‘powered by’ sponsorship on Disney+ Hotstar, the broadcaster is seeking Rs 18 crore.
As per the information available with exchange4media, Disney+ Hotstar has three sponsorship tiers-- co-presenting (Rs 30 crore), powered by (Rs 18 crore) and associate sponsorship (Rs 12 crore). The broadcaster is offering an estimated reach of 120-140 million for co-presenting sponsors, 90-100 million for powered by and 60-70 million for associate sponsorship.
A spot buy for 10 seconds has been priced at Rs 25 lakh for the India vs Pakistan matches, while for the non-India matches, the ad rate for 10 second is Rs 2.3 lakh. The India matches plus the final for ODIs has been priced at Rs 17 lakh per 10 seconds.
Asia Cup is scheduled to be held from 30 August, 2023, to September 17, 2023.
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Sorted 360 wins creative & social media mandate of Reliance Mall
The agency will manage offline and online campaigns for Reliance Mall
Sorted 360, an integrated creative and social media agency, has won the mandate to providing brand solutions for Reliance Malls across India.
“Sorted 360 is set to enhance Reliance Malls' market presence with their unparalleled creative prowess and strategic thinking,” read a press release.
“Sorted 360's commitment to pushing the boundaries of creative communication aligns perfectly with Reliance Malls' ethos. With a pan-India presence spanning across 19 cities and growing, Reliance Malls has consistently captivated customers by offering an array of Reliance brands and third-party fashion & lifestyle brands. The mall has established an unparalleled connection with its patrons through superior quality, a remarkable value proposition, and an unmatched shopping experience,” it read further.
"We are thrilled to welcome Sorted 360 as our trusted partner in advancing our brand presence across the nation," said the Head of Marketing at Relaice Malls. "Their proven expertise in retail, shopping center management, and innovative creative strategies make them the perfect fit for our vision."
"Partnering with Reliance Malls is a testament to our commitment to shaping extraordinary brand experiences," remarked Prerana Anatharam, Co-founder of Sorted 360. "We are excited to leverage our strategic and creative acumen to further elevate Reliance Malls as the epitome of convenience, choice, and excellence."
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KlugKlug onboards Hemang Mehta as Country Manager for Indias
Mehta was most recently Head of Agency Relationships at Network 18 Media & Investments
KlugKlug has appointed Hemang Mehta as its Country Manager for India.
Mehta will play a pivotal role in driving KlugKlug's growth and expansion within the Indian market and be responsible for Sales & GTM Strategy
Prior to that, he has also represented organisations like Exponential (now VDX.tv), India Today Digital and Rediff.com. His expertise spans various domains including digital media sales, mobile marketing, media planning, and buying, social media marketing, and more.
Hemang Mehta expressed his enthusiasm about joining KlugKlug, saying, "I am thrilled to be a part of KlugKlug, a forward-thinking platform that is reshaping the influencer marketing landscape. As much as I look forward to collaborating with the exuberant team at KlugKlug, I am super excited to interact with the brands to deliver powerful data-backed Influencer solutions that will guarantee business outcomes."
Commenting on the appointment, Kalyan Kumar, Co-Founder and CEO of KlugKlug, stated, "We are excited to welcome Hemang Mehta to our team as the Country Manager for India. His extensive experience in digital media sales and marketing will be instrumental in driving our efforts to provide influencer marketing solutions to our clients. We believe Hemang's leadership will be key in scaling our operations and expanding our reach within the Indian market."
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