Friday, April 07, 2017

Google's cost of offensive ad placement? $1 billion

In recent years, as advertisers are increasingly investing in online ads, Google and Facebook have stumbled upon a big problem: How do they ensure that these ads don’t appear next to offensive content?

For advertisers, this can be a big PR issue and for Google, the cost of poor placements on YouTube is significant; it’s estimated that this issue will cost Google $1 billion in sales this year. Advertisers are looking for solutions and are putting more and more pressure on Google. While options for filtering inappropriate content exist, Google has not yet enabled third parties to do so. That said, if ad placement continues to be a sticking point for advertisers, as is likely, it is hard to imagine that Google will be willing to continue to take a top-line hit.

No comments: