GenAI is changing the way content is presented

plus expert interview on cookies in advertising

Author

Saeedreza Abbaspour
May 01, 2024

GenAI is changing the way content is presented + Expert interview on cookies in advertising

Find out in this week’s issue of Media Tech Report. Plus:

  • CMA Raises Concerns Over Google’s Privacy Sandbox

  • Focus Shifts to Alternative ID Models Amid Cookie Deprecation Delays

  • DeepSee introduces “Publisher Research Portal” to help advertisers evaluate publishers

  • New AI website builders from WIX, Webflow, and Web.com  

  • beehiiv secures $33M, adds feature

  • Webflow and WordPress VIP move toward Experience Platforms

  • Media Operation of the Week: 404 Media.

Let’s get into it.

Imagine trying to sell dog food on a forum dedicated to cat lovers; it wouldn’t be very effective, right? Sponsy’s founder Michele Patrassi used this example to explain targeting in simple terms. It shows how important targeting the right audience can be if you don’t want to waste your advertising budget—or your client’s since we are dealing with ad buyers and adtech companies.

I have been asking different experts in advertising and publishing about their take on the end of 3rd party cookies. This week, I will share Michele’s insights.

To be effective, ads need to be shown to a relevant audience. A better match leads to more sales, which brings a higher ROI. Cookies are what allow such targeting on the broader web. These small pieces of data living on the user browser is what enables media to show relevant ads to their audience.

He also gave me one of the most straightforward descriptions of the problem at the heart of cookie deprecation for both publishers and advertisers.

With third-party cookies, publishers have a broadly tested suite of tools to show advertisers relevant ads. Define where the ad will show, turn on the tool, and ads will be served in a targeted manner thanks to the information stored in the cookies.

If these cookies are removed, ads cannot be properly targeted. To stay relevant in the advertising space, publishers now need to invest in tech that allows them to collect and own data about the preference and behaviour of their users. In this scenario, data is literally owned by the publisher; that’s why the name is first-party data. Publishers are, of course, concerned. The digital advertising ecosystem is changing. Some will be able to invest and ride the wave, others will fail. 

But what about advertisers? There will definitely be a mindset shift in the way they work. On the other hand, after embracing the change, they’ll be the long-term winners here. The market will adapt and evolve, offering advertisers tools bringing higher ROI than the ones we currently have.

The expert then delves into the shift away from third-party cookies, explaining how Google’s Privacy Sandbox and other initiatives are driving the digital advertising ecosystem towards first-party data. This transition presents both challenges and opportunities for publishers and advertisers alike. For publishers, it means they need to develop technologies to collect and manage their own data about users’ preferences and behaviors, which might prove difficult and costly for some, potentially reshaping the competitive landscape.

For advertisers, this shift signals a need to rethink how they approach targeting, moving from reliance on third-party cookies to exploring new ways of working with first-party data. While this may require a mindset shift and an adaptation period, it also opens the door to new tools and strategies that could provide better targeting and a higher ROI.

Alternative ID models are getting attention despite delay in deprecation

As the phasing out of third-party cookies faces repeated delays, attention is shifting towards alternative ID attribution models. These models, including identifiers like ID5 and UID2, are increasingly tested in environments where cookies are absent, such as Safari and Firefox browsers. This shift highlights the industry’s need to adapt and refine targeting strategies in a changing digital advertising landscape​​.

UK’s CMA on Google’s Privacy Sandbox and its fallout 

The UK’s Competition and Markets Authority (CMA) has expressed concerns about Google’s Privacy Sandbox, especially how it might impact competition. The CMA report outlines problems with Google’s agenda that can give it an unfair advantage and keep it the top ads seller.

DeepSee launches publisher research portal to help advertisers

DeepSee is launching a new Publisher Research Portal that will help advertisers evaluate how much a publisher is worth by reporting new KPIs. The usual KPI for decision-making has always been website traffic, which can be misleading. This product will give advertisers an insight into each publisher’s ad load, the presence of pirated content, and traffic pattern stability. 

beehiiv gets $33M funding to grow and increase product capabilities

beehiiv has raised $33 million to expand its capabilities and enhance its newsletter publishing platform. The successful funding is an obvious endorsement of beehiiv’s potential for more innovation and growth. I believe beehiiv will continue its recent push toward becoming a full-on CMS by creating new features and improving its new website builder (there is a product update about that below).  

GenAI is Powering New Website Builders

The landscape of website creation is evolving, with AI tools leading the charge. Web.com lets entrepreneurs test drive its AI-powered website builder at no cost, giving them a chance to see their site come to life before committing. WIX has a feature that builds a website from just a user’s prompt, making the setup process straightforward. These tools are about making the web more accessible, especially for those without a deep tech background.

On the content management side, Kontent.AI has introduced Mission Control, a dashboard that offers teams insights into content performance, helping streamline strategies. Beehiiv has also updated its website builder, adding flexible pricing tiers for newsletters, giving publishers more control over how they charge for content. These updates are changing how content creators and marketers manage and monetize their online presence, making it easier to navigate and profit from the digital world.

New WIX website builder lets you create a website with a prompt, but the results are not that different 

WIX now lets users generate websites with a simple prompt. WIX’s new AI website builder simplifies the website creation process, making it easier for users to get started on their online presence without needing extensive technical knowledge​​.

Web.com’s AI-powered website builder

Web.com is offering a free trial of its AI-powered website builder, aimed at giving users a hands-on experience with the platform’s features, including AI-generated templates and content. This trial is free, so check it out if you want to see it in action.

Webflow is adding AI-powered personalization features – this doesn’t solve the CMS’s real problems

Webflow is adding new AI-powered personalization tools, moving closer to a complete Website Experience Platform. That is why it has acquired Intellimize, using its technology to create better user personalization and engagement. At my company, we have worked with Webflow, and it has more important problems that won’t be balanced by a new feature. The most critical pain point for Webflow users is its shallow customizability and proprietary structure, which makes migration a hassle. 

CMS and Newsletter Product Updates

beehiiv’s website builder lets you add custom pricing tiers to your newsletter

beehiiv has updated its website builder, allowing you to set custom pricing tiers for your newsletter. This feature gives publishers more control over how they charge subscribers, adapting to different audience needs and preferences​​.

WordPress plugin patched to remove dangerous vulnerabilities that let hackers create admin accounts on websites

A recent update to the “WordPress Automatic” plugin has fixed a serious security flaw that would have let hackers create admin accounts on any sites that used this very common plugin. This patch addresses the vulnerability, enhancing the security of all sites using this plugin​​.

Kontent.AI’s Mission Control is a new product that gives you more insight with a sleek design

Kontent.AI has released Mission Control, an AI dashboard that gives you better oversight and control over your whole content operations. This tool provides workflow analysis, content progress and status overview, and team performance tracking to improve content management and delivery processes​​.

Recharge has a new subscriber maintenance tool called Retain, but is it better than its name?

Recharge has introduced Retain, a new product that will help publishers improve subscriber retention through features such as rewards, failed payment recovery, and cancellation prevention. These tools are designed to enhance the subscriber journey, offering businesses more ways to maintain customer relationships​​.

WordPress VIP’s API Mesh makes it easier to connect different widgets in a “composable” frontend

WordPress VIP has launched API Mesh, a feature that streamlines the integration of various widgets and data sources for building web interfaces. This tool helps users set up their sites more quickly by making it easy to connect different parts of their digital presence​​.

Yelp Assistant is the unoriginal name of Yelp’s new AI product

Yelp has introduced a new feature called Yelp Assistant, an AI-driven tool aimed at enhancing how users interact with service providers. This tool uses conversational AI to help users more efficiently find and connect with local businesses​​.

Rio is an AI-powered “news anchor” that curates and narrates news – perfect if you’re busy

Rio is an AI news anchor on your phone, summarizing and narrating news stories you ask for. It’s perfect for users who want to get updated fast, providing a way to get news on the topics you care about​​.

Media Operation of the Week: 404 Media

404 Media has been at the center of attention for a while now, and that is definitely because of its spirit of old-school investigative journalism powered by AI. 404 Media publishes stories that you simply can’t get anywhere else, going deeper into weirder parts of the Internet to get the real story. 

There is a reason for that – 404 Media was started by a team of experienced journalists and tech experts. They have created a platform that gives priority to investigative journalism and engages readers with AI-driven, complex stories. This unique approach is what helped the company grow beyond expectations and turn profitable in a matter of months.