According to Taboola‘s estimates, advertisers will spend approximately $70 billion on advertising on the open web in 2022.
Because the open web is, by definition, highly fragmented, it is more difficult for advertisers to access than walled gardens.
Taboola is a technology company that powers recommendations on the open web with an artificial intelligence-based algorithmic engine, which it has developed over the past 15 years.
The company has also recently expanded more directly into e-commerce, allowing its partners with digital properties the ability to use its platforms to display advertising appropriate to audiences on those partners’ websites or other digital services.
Increasingly, the technology behind digital advertising has become complex.
Technologies for more automated and efficient digital ad buying and selling have been gaining traction for several years with both ad buyers and digital properties.
In addition, according to Taboola, the ability to collect, collate and analyze intent data points using artificial intelligence and machine learning technology is a key differentiator for advertisers, digital properties and advertising intermediaries.
Taboola
Data insights can now be used to optimize digital advertising campaigns in ways that were not possible before.
This means that ad intermediaries that don’t have access to data or don’t use artificial intelligence to power their platforms may be at a disadvantage.
Online shopping has been growing steadily by 15-20% and continues to take share from offline shopping in physical stores.
This trend has been significantly accelerated by the recent pandemic, leading to significant current and future expectations for continued hyper-growth in both online shopping and ad spending by online retailers and e-commerce companies.
According to eMarketer, native ads (ads that match the look, feel and function of the media format in which they appear, such as those used by Taboola) accounted for approximately 62% of total U.S. display ad spending in 2022.
