More good news for the ad market; Preparing for generative AI now

Plus: Sizing up Netflix’s, YouTube’s, and Amazon’s streaming viewing and advertising [Insider Intelligence]( [Emarketer Daily]([Emarketer Daily]( Charts. News. Analysis OCTOBER 26, 2023 | By Sara Lebow, Arielle Feger, and Becky Schilling Learn strategies to create standout content that engages hard-to-reach customers in our upcoming webinar, “The Marketer’s Dilemma: Navigating the Shifting Landscape of Brand and Demand.” [Sign up for free here](. Was this email forwarded to you? Sign up [here](. TOP STORY [How marketers can prepare for generative AI now: Upskill, personalize, and localize]( “The misconception in my mind is that you can ignore [generative AI],” Vincent Yates, chief data scientist of consulting firm Credera, said at Advertising Week New York 2023. Generative AI use is growing rapidly, and even those ignoring it may be using it in the workplace before they realize. Of the 100.1 million people in the US who will use generative AI next year, 64.7% will use it at work, according to our forecast. That means marketers need to upskill fast in order to stay ahead of the AI curve. [Keep reading]( NEWS AND VIEWS [US ad market posts third consecutive gain in September]( Our view: Growth was just 0.1% over September 2022. That marginal gain isn’t amazing, but after months of consecutive losses throughout the first half of this year, any gains are a good sign. [Meta revenues surged 23% in Q3, aided by ad market rebound]( Our view: Meta’s “year of efficiency” is paying off. Positive results from Google, Microsoft, Spotify, and now Meta show that the ad market is rebounding. We’ll be keeping an eye out for Amazon results later today. [Amazon launches Sponsored TV to bring smaller brands into streaming]( Our view: Sponsored TV has no minimum spending levels or upfront commitment, which means smaller brands can advertise on places like Freevee and Twitch. The launch comes after a recent announcement of plans to show ads on Amazon Prime Video. ANALYSIS [Sizing up Netflix’s, YouTube’s, and Amazon’s streaming viewing and advertising]( Streaming services operate under various business models, so comparing them isn’t exactly apples to apples. A streaming service that underindexes on advertising may be doing so intentionally because it relies most on subscription fees to fund content production and it doesn’t want to increase churn by opening up the advertising firehose too widely. Meanwhile, other services are free and serve ads to all viewers. Notable issues affecting streaming usage and revenue comparisons include advertising loads, prices, and sign-up rates. Netflix’s time spent exceeds its ad revenues the most. Netflix accounts for more than one-fifth of total streaming time spent, but because it has so few viewers on its new ad plans, it will represent just 2.5% of US connected TV ad revenues in 2023. This indicates that, due to its massive user base, Netflix has the most potential to expand ad revenues. [Keep reading]( THINGS TO KNOW 📈 [Ad rates for Twitter/X plunge while TikTok’s skyrocket]( 🗺️ [Google Maps is becoming more like Search—thanks to AI]( 🎛️ [Google Ads testing new overview dashboard for advertisers]( 👄 [Google launches AR beauty ads for lip and eye products]( 🍎 [Apple TV+, Apple Arcade, and Apple News+ get price increases]( PODCAST [Behind the Numbers: The Daily]( How Netflix’s bets on ads, sports, and live experiences will pay off. Tune in on [Apple Podcasts](, [Spotify](, or wherever you listen to podcasts. [Follow us on Instagram.]( “Behind the Numbers” is made possible by Intuit Mailchimp. [Listen in]( THE BIG QUESTION TikTok live: Which of the following artists are performing in TikTok’s first live global music event? A) Cardi B B) Niall Horan C) Charlie Puth D) All of the above [Get the answer]( Email sent to: {EMAIL} If you cannot view the HTML newsletter, [please read it in your browser here](. [Become a Premium Subscriber]( | [Advertise with us]( [Manage your email preferences]( | [Unsubscribe]( | [Terms of Use]( | [Privacy Policy]( ©2023 Insider Intelligence, One Liberty Plaza 9th Floor, New York, NY 10006 [LiveIntent Logo]( [AdChoices Logo](