L’Oréal has signed a deal with independent advertising software platform TubeMogul. The French beauty giant will manage its US video advertising campaigns using the brand advertising software, in a departure from its agency-led strategy.
Several brands have pursued a similar strategy of late, buying media space directly, rather than relying on the traditional brand owner-media agency-media format. According to a recent survey conducted by MediaSense in association with Ipsos Connect and ISBA some 54 percent of brands expect to bring more ad tech-related functions in house by 2020.
“While many posit this is due to more marketers buying programmatically in house, we think it’s about the data. Own the DSP contract, own the data,” said Lizzie Komar, Index Exchange’s Director of Research and Analytics in an interview with Real-Time Daily.
Media agencies are having to adjust their offer accordingly, providing greater transparency to brands to keep their media spend. AKQA, for example, built out trading desk functionality for Clorox, giving the US FMCG company full transparency into data and insights.