ANNUAL REPORT 2017 IAB ANNUAL REPORT 2017 dynamic creative powerhouses apply their storytelling expertise to build marketers’ brands. Similarly, the 2017 IAB Leadership Dialogues were a first-ever Building 21st Century Brands: series of discussions with transformative leaders in business, politics, economics, and technology to gain The Race to the New Economy insights from and debate critical industry, political, and economic issues with each other. A cross-screen economy requires new standards and ife in America in 2017 was lived inside a series a time. These direct brands—as well as the incumbents guidelines to grow the marketplace, and IAB and the of paradoxes, all of them balanced on one side that join their club—are the growth engine of the new L IAB Tech Lab introduced the completely revamped by the ongoing economic boom, characterized by brand economy. IAB Standard Ad Unit Portfolio, featuring dynamic a bull market now in its 10th year. We had political more than 14,800 digital media professionals Adapting to this new landscape is not optional either: ads that allow for flexible creative on a multitude turmoil … and economic boom. Populist revolt … have advanced through the IAB Certification Two-thirds of consumers now expect direct brand of screen sizes and resolution capabilities and that and economic boom. Immigration mania … and Programs and Professional Development initiatives. connectivity. puts user experience front and center. Another major economic boom. Media disruption … and economic accelerator for growth is a trustworthy supply chain. An emerging economy and fast-changing media boom. Retail apocalypse … and economic boom. THE WORLD HAS SHIFTED FROM AN A major initiative for the Tech Lab in this area was INDIRECT BRAND ECONOMY TO A landscape also requires an active eye on policy, and In the digital media and marketing industries, we DIRECT BRAND ECONOMY. the introduction of the Authorized Digital Sellers IAB continues to be a strong force for advocacy breathed the paradox every day. 2017 was both A new world? Indeed. Clear sailing? No way. program, ads.txt, which has fast gained attention as on behalf of our members at the federal, state, and our most productive year since IAB’s founding, and Consider the disruptions that could disrupt the an essential tool in fighting ad fraud. global level to help educate industry and regulators perhaps the most disruptive. Spending on digital disruptors: in support of policy affecting consumer privacy, data From cross-platform measurement to attribution advertising reached an all-time high of $40.1 billion security, supply chain safety, advertising taxation, • Ill-considered, badly written, seat-of-the-pants modeling, the IAB Mobile Marketing Center of in the first six months of 2017, an increase of 22 and other major regulatory and legislative issues. government regulations in the U.S. and Europe Excellence, in conjunction with IAB Tech Lab, is percent over 2016 (IAB Internet Advertising Revenue threaten to gut the new direct brand industry. focused on developing guidelines and creating Finally, digital advertising is responsible for over Report, December 2017). But it was also the year that digital and cross-media audience measurement 10 million jobs in the U.S.—but filling those jobs Russian bots, “fake news,” and the other maladies • A flawed, porous digital media supply chain metrics that will allow the industry to plan, buy, remains a challenge. The IAB Education Foundation IAB has been warning about (and correcting for a continues to endanger both brand safety and and sell advertising across all platforms and media is working hard to deliver a diverse talent pool that decade) moved from the trade magazines to the front consumer safety, prompting politicians as well seamlessly. IAB has also made great strides in reflects the audiences we serve by addingqualified pages and their digital equivalents. as normal human beings toward their cynicism about digital channels. convening the industry’s top video executives and diverse talent to the industry’s employment It’s easy to get distracted by the headlines and the advertising companies to define the agenda for pipeline through its iDiverse initiative. • Having struggled to keep up with the pace relentless assault of novelty, and thus lose sight the future of video at the invitation-only Video of media disruption and its impact on their As we look ahead to 2018 and beyond, IAB is of the bigger transformations roiling underneath. Leadership Summit, under direction from the IAB advertising, brands are now straining to keep uniquely positioned to help our members succeed In the consumer economy, we are in the midst Digital Video Center of Excellence. up with the ways the same digital technologies in the new direct economy. of an epochal shift from a century-old “indirect are disrupting the production, distribution, and Data is now at the center of the direct brand brand economy” to a “direct brand economy.” I look forward to an ambitious agenda for our fulfillment of their consumer goods and services. economy, and to drive the data agenda for the Brands characterized by their direct connections to members in 2018 as we devote ourselves to helping digital media, marketing, and advertising industry, consumers and the insightful manipulation of their To help brands, publishers, agencies, platforms, our member companies and our industry prosper in this year the IAB Data Center of Excellence and the flexible supply chains are disrupting the business and technology providers better understand the the direct brand economy. Data and Marketing Association (DMA) released models of market-leading brands that in some cases emerging direct brand economy, IAB introduced the first-evermarket sizing benchmarks for data- Sincerely, have led their categories for decades. While Casper, several new offerings in 2017 to make it easier for related investment, showing that U.S. companies Dollar Shave Club, Glossier, Uber, and Warby our members and stakeholders to navigate their will have spent more than $10 billion on third- Parker are well recognized for their successes, tucked way to the new world. party audience data in 2017 for advertising and away next to them are hundreds of others, in every In the fall, IAB hosted the IAB Content Studio marketing efforts. category, using the same capabilities to shift share Randall Rothenberg Showcase, a first-of-its-kind marketplace for growth to their corner, one fraction of a share point at IAB members have asked for more training programs Chief Executive Officer publishers’ content studios, to showcase how these for growing the talent pool and by the end of 2017 Interactive Advertising Bureau BUILDING 21ST CENTURY BRANDS 1 2 ANNUAL REPORT 2017 The world has shifted from an indirect brand economy to a direct brand economy THE INDIRECT BRAND ECONOMY, 1879 – 2010 THE DIRECT BRAND ECONOMY, 2010 – FULFILLMENT C STACK R A C ET L R U L M L A RN C S E O T P N R M R T CONSUMER PRODUCTION DE I O E PA R LE C R e YM F E S C U D S STACK OM E E I N L L S NV M T F I I EN E IL V N T R G L O C A M E G R E T R Y P E E Y LS M L W N A N A A T I T A R IO N F Y E T G A O S T A G A N R IC I M G S E M R A IC G S M B K T N N S I O E A C IS S I F U T N A G A CONSUMER P O ER T O H P L E R O PUBLISHER A S S PRODUCT W E SERVICES N I IDENTITY S U ANALY TICS B N DATA O I PROGRAMMATIC T I T STORY TELLING S I N RETAILING U E MEASUREMENT Q M C E A G ADVERTISING Y N RETAILER T A R N O AG ENCY A A I C P T M C G O BRAND D / N R E A I N 3 S T S & G I M D A N R S T 2N R A O G E O R P LY E N S T T E IN D R A Y M I T N N R A M A N E G E A N O D P A L IV IN FINANCE L R P L T IO P IA A K E T R T E I N E T D G A E M B N I N R Z S T U I G A I SOURCING O A IZ Y N T M C R A IN G I G T G PT IA E IO O MANUFACTURING W L TI N E M N BRAND B E G DATA S S D LOGISTICS E IT IA O E STACK DISTRIBUTION ATTENTION INTEGRATION STACK INDIRECT TO DIRECT ECONOMY (DTC BRANDS) 3 4 ANNUAL REPORT 2017 Table of Contents Building Marketplaces ................................................ 6 Asserting Global Political Influence .................................. 8 Convening Thought Leaders .........................................10 ............................................. 6 Advancing Brand Safety 12 Modernizing the User Experience ..................................14 Captivating Mobile Consumers .....................................16 Enabling Brand Media Innovation ..................................18 18 Advancing Video Everywhere ..................................... 20 Making Measurement That Matters ................................ 24 Demystifying Data .................................................. 26 Defining New Standards, Software, and Services ................ 28 30 Championing Diversity & Inclusion ................................. 30 Accelerating Career Growth ....................................... 32 MARKE AL TIN IT G IG & D IA FOUNDATIO MED NS CERTIFICATION Our Members ....................................................... 34 2017 Committees & Councils....................................... 36 32 C E N R O T I I T F I A C M S E D N I O A I T F A ...................................................