It’ s difficult not to become awed by the LUMAscape, both in the growth rate and in the level of development that it represents. Consider this: in 2011, there was only 150 unique companies for the LUMAscape, in 2018 there are seven, 000. And it’ s not only a matter of vendors throwing their caps into the ring to take advantage of the flush industry; these are enterprises over the cutting edge of Big Data, AI, machine-learning and programmatic technologies.
Obviously, this innovation has been a boon in order to marketers and publishers, and yet, to some large extent, it represents just one hands clapping, with the entire LUMAscape environment focusing on marketing operations and delivery. The people who are responsible for buying media possess a great deal of technology and data available, but what about the marketing strategists, who are responsible for generating personas, marketing campaign ideation and targeting? They have nothing can beat the level of tools enjoyed by the advertising orchestration team.
Online marketing strategy is still created using old (in our own field, it’ s fair to think about them ancient) methodologies. Back in the 1955s, strategists relied on demographic information to build personas because it was each widely available and reliable. If ladies, aged 25 to 50, bought this product from this brand, then additional women with similar demographics will likely exhibit the same behavior. The gentes were beefed up with psycho-demographics, created through consumer surveys.
And to be fair, these gentes delivered good results, because there were couple of channels to reach consumers back then. In case a family-friendly vacation brand wanted to achieve every American family, it could dependably do so by purchasing a 30-second just right Mutual of Omaha’ s Outrageous Kingdom on Sunday evenings. Achieve used to trump relevance.
The world looks nothing like that nowadays. We now live in a world where there are usually infinite ways to reach a consumer, due to explosion of digital and interpersonal, and the myriad ways for people to eat content. Yet the strategy is still dominantly based on demographics and psycho-demographics.
With both sides of marketing and advertising operating in vastly different realms, a gap between strategy plus execution is inevitable. When the media-buying team receives a marketing short the first thing they need to do is translate the marketing goals. With simply segments based on generic demographic plus behavioral data, they must translate the particular personas into actual segments they could target in the complex execution environment. Not too long ago, I spoke with the mind of marketing for a large brand name. He told me his team obtained a 150-page report on their perfect “ buyer personas” that didn’ t match any syndicated target audience segments, so they had to try to “ translate” these personals into targetable segments based on their media purchasing platforms.
Is it any kind of surprise that digital campaigns — designed to reach and engage customers with ads that are groundbreaking within their creativity – fall short of requirements? The process is broken, and it is nor the strategy team’ s neither the execution team’ s problem. The problem is that the machine learning plus artificial intelligence is being applied to advertising execution but doesn’ t tackle the needs of the marketing strategist. Advertising strategists need the same level of market segmentation and insights that are available towards the marketing execution team.
Until the strategy side catches upward, the inherent power of the performance ecosystem, represented by the LUMAscape, is going to be under-utilized. It will remain the equivalent of a singke hand clapping.
Opinions expressed in this article are those from the guest author and not necessarily Marketing and advertising Land. Staff authors are outlined here .
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