In 2013 the revenues of digital advertising will be more than newspaper and consumer magazines combined, does this mean this is the end for printed media since their existence is based on the income of advertising? Printed media does not require bandwidth limits, or any other form of limitations on transferring content to the consumer of which they have asked for. It is notable to see that McKinsey & Company expect to see a continuing rise for the first time in years in advertising by 2016 in both newspapers and consumer magazines. This could very well mean that both companies and consumer slowly shift back to newspapers and consumer magazines due to the changes made in net neutrality. Especially for small businesses it is a good alternative since it is very expensive for them to get on that new premium highway along with those major players.
CAPITALISM
When you read the reports drawn up by ISP lobbyists to support their quest against net neutrality you will find difficult formula’s based on assumptions and how the change will beneficial for advertisers. I recommend no to take the assumptions in these reports for granted since the ISP lobbyist aren’t there for you as a marketer. Their quest is to convince as many parties as possible by telling them that the change in net neutrality is not such a bad thing in order to minimize resistance, even though while everyone can see the major impact on several segments in the internet industry. One thing is for sure and that is that it is becoming more and more expensive just like almost anything around us. Only some of the major players could capitalize on these new discriminatory business models, something that ISP lobbyist have been pushing hard. Remember when gas used to be cheap and everyone could start a gas station, now the whole world depends on gas and the market has been capitalized by major players and in every corner of the market the prices are still increasing and that is not only because the world reserves are running low. This is also what is happening to internet, we know depend on it and have nowhere else to go. It is definitely a blow to innovation, just when the world economy needs that innovation to recover from the recession. If all the major companies, like Google and Facebook, had been forced from the beginnings to pay ISP’s for data transfer they would probably never been able to get off the ground. The advertisement business wouldn’t be where it is today without websites such as Facebook, Twitter and Google. But let’s not forget about the little innovative companies who need to be able to reach wide audiences. It would definitely limit how marketing channels could evolve over time, limiting advertisers’ reach an making it increasingly difficult for marketers to adapt to changing consumer behavior.
KNOWLEDGE
This article is in no way a comprehensive review of all the possible effects of the change in rules for net neutrality to advertisers. Rather, the emphasis has been on opening the mind of advertisers in order to be ahead to inevitable changes that will have effect on the way how products are sold today. Knowledge of what is about to happen to global advertising by early adoption allows the advertiser to increase his chances of shifting successfully to a new advertising model in the near future. Along the way of writing this article I was thinking about possible rich good guys who could turn this thing around to save not only the advertising industry, but the whole internet from the change in net neutrality. Good guys like Richard Branson and Bill Gates, who owe so much to the freedom of the internet, should start a revolution by setting up a cable company and keep the internet as it right now. This way we can boycott the existing and future discriminating ISP’s. This is just probably a pipe dream that arises from the fear of change to our beloved internet. Well, one thing is for sure and that is that advertising is not going to go away, and in fact history has shown new places in which it can be embedded will continue to be found.
WRITER AT A GLANCE
NAME
Bill Jansen
DOB
June 14, 1987
PLACE OF BIRTH
Coevorden, the Netherlands
CAREER
Bill is currently of fourth year IMEM student at the Inholland University in The Hague.
6