Earlier quoted context omitted.
I worked in ad tech for a number of years, so maybe I can address this one. Ads that are annotated with tracking/targeting capabilities are in fact substantially more valuable. There's the obvious aspect (targeted ads in general) but there's also the ability to measure whether your ads are actually working. Analytics requires tracking too. This is an oversimplification, but let's say you're buying ads at 10 cents per…
there's also the ability to measure whether your ads are actually working. This is not unique to online advertising. It's possible to tell is ads are working in paper/radio/television, as well. Companies have been doing it for literally hundreds of years. The only value online ad tracking adds is near real-time feedback, and granularity. Which is useless to 99% of companies, since the process of making large ad buyin…
> Want to advertise your movie to movie fans? Put ads on a movie fan web site. Want to attract car buyers in Bedrock City? Put your ads on a Bedrock City web site. Want to increase sales of Slurm Cola to American man 18-25? Put Slurm Cola ads on content of interest to American males 18-25.
And then some company decides that there is an arbitrage opportunity in inferring who the 18-25 year old males are and selling you the ability to target them on cheaper websites and on undifferentiated inventory. In order to get access to that inventory, publishers are paid part of the difference. Voila, programmatic advertising.
> This is not unique to online advertising. It's possible to tell is ads are working in paper/radio/television, as well. Companies have been doing it for literally hundreds of years.
That's not true. That's certainly not what pretty much any big brand marketing department thinks. It's notoriously hard to tell whether any specific strategy is working if you do a lot of advertising. Which is why the extra granularity is considered valuable, regardless of their ability to infer conclusions from it.
> The benefits of online ad targeting have been perverted from a nice add-on to something that is absolutely necessary because it helps fuel the paychecks of the advertising middlemen.
That's certainly a factor, but they're not all idiots. Some of it actually does work in theory and in principle, and dismissing that is underestimating the beast you are fighting.