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BREAKING DOWN GOOGLE’S WALLED GARDEN A perspective on the importance of independence in advertising technology. A mid perhaps the most enlightened period in advertising’s history, Google has turned to an antiquated practice to secure their financial future and posi- tion of influence - they’re building walls. But unlike the stone and mortar walls of past empires, Google’s regime is protected by imple- menting procedures and software that strictly control the data they let into their platform, and more importantly, the data they let out. In order to secure a vacuum tight seal, Google has been in an arms race since purchasing DoubleClick in 2007 to consolidate and develop their closed advertising platform. The potential result of this land grab? An isolated advertising ecosystem that is not reliant on any third-party partnerships. Why is Google Trending Towards Consolidation? NEXT PAGE >

Googles Walled Garden [advertising theory]

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Page 1: Googles Walled Garden [advertising theory]

BREAKING DOWN

GOOGLE’SWALLED GARDEN

A perspective on the importance of independence in advertising technology.

Amid perhaps the most enlightened period in advertising’s history, Google has turned to an antiquated practice to secure their financial future and posi-

tion of influence - they’re building walls.

But unlike the stone and mortar walls of past empires, Google’s regime is protected by imple-menting procedures and software that strictly control the data they let into their platform, and more importantly, the data they let out.

In order to secure a vacuum tight seal, Google has been in an arms race since purchasing DoubleClick in 2007 to consolidate and develop their closed advertising platform. The potential result of this land grab? An isolated advertising ecosystem that is not reliant on any third-party partnerships.

Why is Google Trending Towards Consolidation?

NEXT PAGE >

Page 2: Googles Walled Garden [advertising theory]

Is Google Trying to Curtail True Cross-Channel Advertising?

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Truth is Found In Design

We at TubeMogul think talk is cheap – we’re doers. So instead of just saying the well is poisoned, we thought we’d illustrate what Google’s walled garden really looks like.

From here on, the decision is yours. Be strong-armed into inventory, data and pricing that may or may not be in your company’s best interest. Or be free, independent and control your own destiny.

TubeMogul > Breaking Down Google’s Walled Garden

Cross-Channel advertising is undoubtedly the holy grail for marketers. The ability to reach prospects and customers on any channel and device with the right messaging at the right time, is the end game of ad tech. But in order for this idealistic future to come to fruition, data must be abundant and accessible.

Google’s walled garden complicates true cross-channel advertising by limiting access to important inventory sources and compart-mentalizing data. Open ecosystems were built with the dream of fluid cross-channel campaigns that share data and launch the industry forward. The two philosophies could not be more opposed.

Page 3: Googles Walled Garden [advertising theory]

Google’s Walled Garden

1. Advertisers are limited in the 1st party data they can port into the walled garden and use to target audiences.

2. Google owns all of the technology in their closed platform and limits 3rd party targeting and verification partners ability to monitor things like on-target audience data and fraudulent traffic.

3. Google limits access to inventory sources like social networks and private inventory making cross-channel campaigns, retargeting, and frequency capping outside of their networks extremely difficult.

4. In addition to software fees paid by advertisers, Google makes a hefty percentage on each impression served within their ad networks.

5. Google owns a large percentage of their own inventory and charges premiums for content that may or may not be impactful for your ideal audience.

6. Google limits and in some cases restricts the use of 3rd party ad servers.

7. Google limits advertisers’ visibility into campaign site and performance data and tailors outgoing data porting so advertisers have limited insights into what exactly is producing results whether, good or bad.

3TubeMogul > Breaking Down Google’s Walled Garden

Page 4: Googles Walled Garden [advertising theory]

1. TubeMogul allows advertisers to purchase and/or import private inventory within the platform.

2. TubeMogul fully integrates with advertiser’s DMPs to make leveraging 1st party data for audience targeting easy

3. TubeMogul never makes money from publishers that run inventory through the platform. We’re strictly buy-side.

4. TubeMogul gives advertisers the option to target audiences using 3rd party data from within the platform.

5. TubeMogul seamlessly integrates with hundreds of inventory partners ranging from SSPs and social media platforms, to linear TV networks.

6. TubeMogul allows the use of third party ad servers.

7. TubeMogul gives advertisers the option of using 3rd party verifi-cation partners to measure things like audience and fraud data.

8. TubeMogul collects and shares all audience data with advertisers DMPs so proprietary data and insights continue to improve and can be leveraged for future campaigns.

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TubeMogul’s Open Ecosystem

TubeMogul > Breaking Down Google’s Walled Garden

Advertiser Systems 3rd Party Partners TubeMogul Software

Page 5: Googles Walled Garden [advertising theory]

Ad ExchangeAn ad exchange is a technology platform that facilitates the buying and selling of media advertising inventory from multiple ad networks. Prices for the inventory are determined through bidding.

Ad NetworkA company that connects websites with advertising to sell, then aggregates that inventory for advertisers to buy, usually via programmatic exchanges.

Ad ServerA company whose technology relays an ad buy to a website and reports on how it performed.

Affiliate NetworkAn affiliate network is an intermediary between affiliates (publishers) and mer-chants (or business purpose websites) in the context of an affiliate marketing program.

First-Party DataData directly collected by a brand – typically through e-commerce sites and company websites – about the actions their users take while on that site.

DataFacts and statistics collected together for reference or analysis.

DMPData Management Platform; a “data ware-house” used to house and manage cookie IDs and to generate audience segments, which are then used to target specific users with online ads.

Glossary

DSPDemand-Side Platform; software used to purchase advertising in an automated fashion, allowing advertisers to buy im-pressions across a range of publisher sites through ad exchanges. TubeMogul is a Demand-Side Platform.

Media AgencyA company that advises advertisers on which media to procure and when in order to reach any given target audience.

SSPSupply-Side Platform; software used to sell advertising in an automated fashion; most often used by online publishers to help them sell display, video and mobile ads and to maximize the prices of their impressions.

Third-Party Ad ServerIndependent outsourced companies that specialize in managing, maintaining, serving, tracking, and analyzing the results of on-line ad campaigns.

Trading DeskTeams within advertising agencies that execute online media buying as a managed service.

Walled GardenA closed platform, walled garden or closed ecosystem is a software system where the carrier or service provider has control over applications, content, and media, and restricts convenient access to non-approved applications or content.

©TubeMogul, Inc. 20165TubeMogul > Breaking Down Google’s Walled Garden

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