🌯 TikTok’s Search Ads Campaign Poses a Direct Threat to Google

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This Week
September 30, 2024
TikTok Upgrades Search Ads Campaign
Linda Kahn Defends Antitrust Case Record on 60 Minutes Interview
Yahoo DSP Integrates Into Snowflake Clean Room
TikTok’s Search Ads Campaign Poses a Direct Threat to Google
Over the last couple of years, TikTok proved its dominance in digital media on mobile, social media, and even search, but now it’s vying for the advertising crown.

Building on that momentum, TikTok is expanding its search capabilities by launching the TikTok Search Ads Campaign. The service will allow advertisers to target users through keyword-based search ads. While ads appeared in TikTok's search results before, brands now have more control over their placement.

This move taps into TikTok's growing influence on shopping behavior, giving advertisers a direct way to reach consumers actively searching for specific content. With 57% of users utilizing TikTok's search function, the platform is positioning itself as a competitor to Google, especially among younger audiences who increasingly use social apps like TikTok for their searches.

According to TikTok's research, adding Search Ads alongside In-Feed Ads leads to a 20% increase in conversions. Even users who don't initially interact with an In-Feed Ad often engage after seeing the related Search Ad. TikTok's Global Head of Monetization, David Kaufman, emphasized that the platform's search behaviors offer new opportunities for advertisers, helping them connect with motivated users.

At Programmatic IO, Blake Chandlee, President, Global Business Solutions at TikTok, reiterated these claims. "There are two key data points that triggered this for us. One is independent research, which proves that 55% of all people get their search results from social media and video,” said Chandlee.“

As Google battles the DOJ, it now has to worry about TikTok, whose search ad campaigns position it as a direct competitor to Google's ad business. SOCi's director of market insights, Damian Rollison, agrees that TikTok is stealing a page from Google's playbook.

"As was the case at the birth of Google Ads, TikTok would not be able to do this if its users were not already turning to the platform for search in huge numbers, using its massive repository of videos on every subject to find information and recommendations for needs of all kinds, including queries related to brands and products," said Rollison. “Advertisers will very likely find it appealing to be able to tap into TIkTok's highly active audience, and I'd imagine that ad spend currently allocated to older platforms like Facebook will start to shift over to TikTok.” - AB
Linda Khan Defends Her Tenure at the FTC During Her 60 Minutes Interview
The FTC has been on an antitrust and privacy-compliance crusade that shook up the ad tech industry. When FTC Chair, Linda Khan, went on 60 Minutes to discuss her tenure, she stood ten toes down on her platform and cases.

In 2024, the FTC has continued its streak with a string of notices and callouts:

FTC Accuses Social Platforms of Data Misuse. Last week, the FTC reported that various social media and streaming platforms have gathered and distributed more personal data than many users were aware of.

FTC Reasserts Hashed IDs Are Not Anonymous. As the ad tech industry grapples with privacy compliance, the FTC argued that hashed IDs are not the anonymity shield many believe them to be.

FTC Study Finds 76% of Subscription Sites Use Dark Patterns. The study analyzed 642 subscription service websites and apps, finding that nearly 76% employed at least one dark pattern, and almost 67% used more than one.

The FTC's Push for Privacy (Kochava). The U.S. government has yet to implement federal privacy regulations. Still, the FTC's aggressive stance on privacy compliance may drive legislative action. Their ongoing lawsuit against Kochava and other cases could pave the way for stronger digital privacy protections.

Despite the polarizing nature of her time as chair of the FTC, Khan believes she's fighting the good fight. When asked if her agency and the DOJ are out of control with their antitrust actions, she said, "It's important to step back and keep all of this in context. Of all the thousands of deals that are proposed every year, the FTC and DOJ collectively investigate maybe 2% or 3%."

With the presidential election coming up, there may be a changing of the guard. What will that mean for the FTC's efforts? - AB
Yahoo DSP Announces New Integration With Snowflake
Yahoo DSP has announced a new integration with Snowflake Data Clean Rooms, enabling advertisers to easily onboard their data and match it with Yahoo ConnectID. This integration enhances personalized campaign creation in a world with limited identity signals, improving targeting and overall performance.

Advertisers can now use Yahoo ConnectID, a popular first-party identity solution, within Snowflake’s data environment to achieve precise user-level targeting, ad suppression, and better campaign results, all while prioritizing consumer privacy.

With over 205 million authenticated users and widespread implementation across 55,000 publisher domains, Yahoo designed its ConnectID to withstand signal loss and support addressable environments. Snowflake’s secure Data Clean Rooms allow advertisers to combine and analyze data while keeping it private, ensuring compliance and data security.

However, there are some considerations when choosing any privacy-enhancing tech. As Myles Younger elaborated in our recent Data Clean Rooms guide, the key to success in how companies use clean rooms is to drive client value. “Advertisers want what they’ve always wanted: new ideas, insights, and clear performance measurement,” he explains. - AB
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Is TTD the New Google?
The main reason TTD is even in this position is they have had the courage to pursue what so many others have not in adtech since the inception. They are committed to breaking down the barriers between buyers and sellers of quality inventory.

As an industry the powers that be in adtech have spent too much time trying to amass as much supply as possible to package up and sell to buyers. No matter how much garbage is sneaked in.
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Anthony Katsur: Cookies Aren't Dead, Just on Life Support
Buckle up because Anthony Katsur, the guy who practically has a PhD in ad tech chaos, is back on The ADOTAT Show. They're talking cookies (the digital kind, not your grandma's), CTV being the toddler with WAY too much sugar, and Google's Privacy Sandbox—aka the industry's biggest guessing game. AI? Oh, it's not just here to stay; it’s about to make all your jobs a whole lot different (unless you're still clinging to Excel sheets... then, yeah, you’re toast).
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