The death of TV ads; Amazon's ad problem; Frito-Lay rethinks its products

Business Insider Technology 1 month ago

stranger things

Good morning from New York's Advertising Week, where declining trust in the media, ad avoidance, and privacy concerns are high on advertisers' minds.

Here's what's kept us busy when we're not moderating and jumping in and out of sessions:

One big theme of the TV business upheaval is that the services that are replacing it are often of the ad-free variety. That leaves longtime TV advertisers in a pickle. My former colleague and ex-BI advertising editor Mike Shields argued in this analysis, his first of what I'm excited to say will be a recurring column, that old-fashioned TV ads are increasingly unwelcome in the streaming environment.

Meanwhile, senior reporter Lauren Johnson talked to a top exec at the holding company giant Omnicom about how it's getting around the rise of ad-free environments by cozying up to them.

This is a problem of TV networks and advertisers' own making, but now advertisers are finding the consumers they most covet are becoming the hardest to reach, I wrote earlier this year. 

Hulu for its part is working on a new, AI-informed format to make sure it doesn't turn off heavy users.

The ad saturation problem is even hitting Amazon's platform, which is already getting too crowded for some advertisers' taste, Lauren reported this week. 

Meanwhile, more from advertising correspondent Patrick Coffee on McDonald's' big agency change. The fast-food giant shocked the ad world when it dumped holding company giant Omnicom. These internal docs show how the holding company pitched and won the $800 million business by positioning Omnicom as unique, even though rivals were taking similar approaches.

And for fun: Patrick reported on how McDonald's rejected this idea from its former agency — and it shows the day-to-day back and forth that happens between clients and their agencies. I for one would have found a use for an all-bacon record.

McDonald's rival Burger King meanwhile is doing something right when it comes to its ad campaigns. Its CMO broke down for senior reporter Tanya Dua how the burger chain wins all those awards.

Elsewhere, traditional packaged foods makers are finding their products need to evolve as people look for healthier options. Tanya wrote about how Frito-Lay is adjusting to frequent snacking and a demand for healthier foods and personalized options.

NOW WATCH: Burger King's CMO explains why the biggest risk in marketing is not taking one

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