The transition to the digital age began in the 1980s with the Internet, and it has since accelerated with the introduction of mobile devices and social networking platforms. While we accept that we now live in a digital ecosystem, many believe this transformation is only a technology change. In reality, it’s also a business change.
Businesses across the globe have seen increased competition due to digitization, resulting in updated business models that centre around a consumer’s digital wants and needs. The digital age has allowed companies to use technologies to gain insights into their customers and emerging industry trends. But as companies have been forced to update their business models to fit the digital age, many have failed to meet the industry’s standards, and entire companies have been wiped out. Meanwhile, the revenues of technology companies have increased, and many have become the new market leaders, such as the FAANG stocks.
Over the last few decades, we’ve also seen the long-standing relationship between publishers and advertisers change. Advertisers and publishers have always had a relationship, but the digital age has changed it significantly. Advertising used to refer to things like newspaper and magazine ads. A publisher would produce a newspaper, and advertisers would pay them to put their content in that week or month’s edition. Now, however, advertisers can use insights to determine the performance of an ad. This can result in a decrease in demand in the publisher ad slot market.
Advertisers have so many digital platforms to choose from, such as display channels, which provides targeting based on segmentation. In addition to worrying about the lack of demand for publisher ad slots, publishers also have to worry about new security issues.
Perhaps the most worrying security issue comes with auto redirect ads. These ads pop up when a user tries to open a publisher’s site, and they tell the user their laptop or mobile device is infected with a virus or that they have won a prize. Clicking on the pop-up ad will direct the user to a site that is not secure, and it will impact the publisher, as they will lose the opportunity to monetize each session. Auto redirect ads are done for numerous reasons: it could be a phishing attempt, but more often than not, these pop-ups lead to scams.
It’s crucial to combat redirects before they happen, and some platforms use technologies to do exactly that. For instance, these technologies block known issues before they occupy the publisher’s page. They also use machine learning to curb new threats.
The digital age has brought a lot of good, but it has also exiled specific industries, like brick and mortar retail, and brought considerable, almost extreme wealth to companies like Amazon. It has also created new security issues, such as those associated with auto-redirect ads, which can defraud agencies. The good news is that platforms are working to fight these issues, and companies that were struggling at the beginning of the digital age are starting to master it as new and easier to use technologies have emerged.