Google goes on the offensive with new digital ad formats

There is a sea change happening, and the latest news coming out of Google is that advertisers will now gain bucket load of extra digital real estate.

According to Bloomberg, Google will be adding new promotional formats to online search, YouTube and its increasingly popular Discover service.

The internet giant’s Alphabet Inc. dominates online advertising, making $116 billion USD in sales last year.

The company will soon be offering targeted ads for retail products on Gmail, Google Images, the YouTube mobile app and its voice-based digital assistant too.

A new service to start serving ads on its personalized news feed, a revamped version of search called ‘Discover’.

Apparently, 800 million people used Discover each month, according to figures released in September last year from Google.

Google is also planning to redesign its shopping service to keep pace with Amazon. The new website will display personalized results and offer digital shopping carts too.

In an interview with Oliver Heckmann, the company’s vice president, he said Google will ultimately launch a standalone shopping app that will show up on YouTube too.

Revenue streams will be reimagined as the company offers YouTube viewers an avenue to buy products while watching a video clip.

There is speculation that the company could possibly earn a commission on sales and then enter into a revenue sharing scheme with YouTube influencers.

Heckmann says that the company is still figuring out how to make this business model work.

After 20 years of evolving technology, shifting market trends, and adapting to changing consumer behaviour, the media landscape has nearly reached saturation.

We’ve optimised to the fullest, providing advertisers with abundant choices across technology, platforms, data-driven marketing, CTV, OTT, DOOH, influencer marketing, retail, etc.

Media specialists have diversified, but with more options comes the challenge of maintaining income growth. The industry is expanding, but revenue isn’t keeping pace.

Now, we’re at a TURNING POINT: time to explore and harness new sustainable revenue streams. While GroupM forecasts a 7.8% global ad revenue growth in 2024, challenges like antitrust regulation, AI and copyright issues, and platform bans persist.  

Collaboration is key: partnerships that thrive on synergy, shared values, and aligned goals are becoming increasingly essential.

Hence, the Malaysian Media Conference, in its 20th year, has assembled the partners and players under one roof on October 25 for a day of learning, sharing, and exploring.

 

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