The first personal, modular and automatic interface for your computer
Giancarlo Vercellino's insight:
... that's a start-up with a brilliant idea. In the near future there will be an interesting niche for some business democratizing tools for managing user experience and tools for managing embedded intelligence (fostering mainstream simple visual programming).
It’s transform or wither in today’s business environment, with multiple transformation triggers creating strong pressure simultaneously. This state of affairs results from two factors, explains Robert T. Vanderwerf, Transformation Strategy Leader, KPMG LLP. “We are living in interesting times, with multiple transformation triggers all present at the same time, all [...]
We gave birth to venture capital in this country, and it is our fiduciary duty to make venture capital grow up to become a prosperous economic adult and perform in line with the greatest opportunity for innovation that still lies ahead.
Four Numbers That Explain Why Facebook Acquired WhatsApp WhatsApp Co-Founders Jan Koum and Brian Acton Earlier today, Facebook announced its acquisition of WhatsApp for $16 billion. It’s a spectacular...
A year after launching its cloud platform Google announced the general availability of Google Compute Engine, and added several new features and lower prices for persistent disks and popular compute instances.
The Yahoo! acquisition of Tumblr has occupied the attention of every digital media blogger and wannabe trade journalist over the past few weeks. We were subjected to endless pieces on the reasons for the deal: Social. Mobile. Millennials. Native. Porn. The list goes on. $1.1 billion dollars is a lot of money – and those journos and professional observers, who will never truly understand the mechanics of this deal, ultimately demand satisfaction.
ExchangeWire is not here to second-guess the thinking of Marissa Mayer. She is a very capable lady, and there are so many reasons why she is the CEO of Yahoo! and none of the rest of us will ever be. We will say this briefly, that this could well be a massive opportunity for RightMedia to offer programmatic ‘content sponsorship’ (or native, bah) on both Yahoo! and Tumblr properties. A comeback is potentially in the cards.
The Tumblr deal aside, the other recent big M&A action has been the Accenture acquisition of Acquity. The deal was only for $330 million dollars (three times revenue) – a ridiculous multiple given the amount of money paid for Tumblr, which did $15 million dollars in revenue last year. VCs can argue whatever crazy economic model they want, but the price paid for Tumblr seems like lunacy. What was so significant about Accenture’s acquisition was that it bought an agency.
It is just another example of how consultancy firms are encroaching on traditional agency territory. As the enterprise marketing and ad tech worlds collide, Accenture sees massive opportunity in growing its digital marketing business – but why now? What has changed to make companies like McKinsey and Accenture move into traditional agency territory?
Data-Driven Planning: Automating Core Media Buying Functions
It might not be publicly admitted by Agency Trading Desks, but the process of media buying and planning is becoming automated. The rise of programmatic buying means that increasingly buyers/planners at the coal face are actually being divorced from the execution/optimisation process. Maybe this has always been thus, given that ad networks have been doing the heavy lifting on behalf of agencies over the last ten years.
With the introduction of programmatic buying, that ad net function has either been replaced by specialist agency units (ATDs, etc.) or even by – recently-pivoted – buying platforms like AudienceScience. Let us also not forget about the enterprise players making inroads into ad tech, such as Salesforce and Oracle. The $2.5 billion dropped on an email solution provider, Exact Targeting, shows how serious Salesforce is about owning the enterprise marketing stack.
Accenture has been looking on as this part of the media buying process has undergone significant technological evolution. If the process does become even more automated, is there a chance that Accenture could go to a Google, AppNexus, MediaOcean or Turn and outsource this buying/planning function. Buys informed by data and tech would allow Accenture to sidestep an increasingly low-margin business. This is what media planning/buying has become – increasingly a race to the bottom.
So, why would Accenture move into this business? Its recent deal with BMW suggests that Accenture wants to deepen its relationship with existing clients. Owning the entire relationship (including the ‘automated’ media buying process) would allow it to upsell high-margin business, like analytics and tech integrations. Acquity was an inroad into the e-commerce consultancy business – and really one of the big groups should have bought it.
Accenture: The New-Age Agency With Tech & Data at its Foundation
We, as an industry, have been throwing around terms like ‘big data’ and ‘data-driven’ for the past three years, as if we had made some massive leap forward. This could not be further from the truth. Traditional agencies have been actively trying to build this capability into its DNA, but it is not an easy task.
It takes many years for this transition to happen. Accenture is fundamentally a tech and data company. You cannot say this is the case for the likes WPP and Publicis. These groups are led by accountants and traditional agency men/women. The change required will need to be significant – a top down approach.
When some of the top-tier finally step down, maybe agencies will need to hire a CEO/COO who truly understands tech and data at its very core. If they are to successfully compete, they will need to hire someone from IBM, Google or McKinsey who can effect a cultural change within the organisations.
Keywords column: Computing things as close to the user as possible is going to be critical to making smart devices ranging from jet engines to refrigerators responsive enough. That's where 'fog computing' poses a challenge to 'the cloud.'
Manufacturing is hard, but it's getting easier. In every stage of the manufacturing process--prototyping, small runs, large runs, marketing, fulfillment--cheap tools and service models have become available, dramatically...
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