Hi! Welcome to the Insider Advertising daily for October 23. I’m Lauren Johnson, a senior advertising reporter at Business Insider. Subscribe here to get this newsletter in your inbox every weekday. Send me feedback or tips at [email protected]
Today’s news: Quibi’s investors want their money back, Facebook’s Carolyn Everson talks about the recent advertiser boycott, and GroupM global CEO Christian Juhl makes the case for a new ad model.
A Quibi investor says the startup should have tried to ‘fight more’ but that he’ll be happy if he can get 50% of his investment back
- Ashley Rodriguez spoke with Anis Uzzaman, whose firm Pegasus Tech Ventures is an investor in Quibi, which said that it will shut down this week. He said that he wishes Quibi would have stuck it out for longer: “I would have wanted them fight more rather than giving up so quickly.”
- “This was a company where Hollywood met Silicon Valley,” Uzzaman said. “Now I realise how important it is to have startup experience.”
- Quibi has said it will return $US350 million in capital to shareholders, or about 20% of the funding it raised, but that it’s also trying to sell its content and tech in the hopes of giving back more.
‘I don’t care who takes credit’: Facebook’s head of ad sales describes lessons the company learned from the summer ad boycott
- Tanya Dua reports that Facebook’s VP of global marketing solutions Carolyn Everson said the advertiser boycott against the company made it her “most difficult summer” professionally.
- “Given the vast reach of 3 billion people â€¦[Facebook] was under a very critical microscope, as we should be,” Everson said while speaking at the Association of National Advertisers’ Masters of Marketing conference yesterday.
- Everson said Facebook had already been tackling hate and misinformation but that the boycott ramped up its efforts with initiatives such as the Global Alliance for Responsible Media (GARM), an industry effort to set common standards for digital safety.
The global CEO of GroupM: Brands need to put more media dollars toward making a positive social and environmental impact and less on funding hate speech
- Christian Juhl, the global CEO of ad-buying firm GroupM, writes in an opinion piece that the “brand safety” protocols that advertising agencies have set up are expensive and do little to help their image.
- He says advertisers should pivot and place a premium that focuses on media’s social and environmental impacts, which means factoring in carbon footprints, diversity, and new tools to empower other marketers.
- “We need to evolve our valuation and measurement so they place a premium not just on reach, viewability, and effectiveness, but on social and environmental impact,” he writes. “We need to be willing to pay more for clicks that help boost a stable society, not just our quarterly reports.”
More stories we’re reading:
- Jared Kushner floating launch of a new Trump-branded media outlet, GOP sources say. It’s another sign of a looming 2020 defeat. (Business Insider)
- Netflix staffers who helped design a new curriculum for emerging Black talent share their advice for getting a start in the tech industry (Business Insider)
- Shonda Rhimes said she left ABC after an exec told her she was asking for too much (Business Insider)
- This is how 16 tech companies have reacted to the QAnon conspiracy theory on their platform (Business Insider)
- Gen-Z influencers are charging the most money for sponsored Instagram content of any age group, according to a survey of 4,850 creators (Business Insider)
- YouTube is so flooded with political ads it can’t place them all (Bloomberg)
- E-commerce marketing tech firm Rokt raises $US80 million(Wall Street Journal)
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