Since the commercialization of the Internet started in the 1990s, digital advertising has gone through 30 years of development, from Netscape, Yahoo, and Google in the United States to the four major portals in China. From the media’s point of view, the Internet gave birth to the early commercialization model of digital advertising, that is, free for the majority of users and fees for advertisers. This major scientific and technological invention of the 20th century quickly reached the general public and started the process of digitization of human society.
At present, what core technological advantages do digital advertisers prefer to obtain customers in which regions and corresponding data? To this end, many brand advertisers will not only deploy domestic digital advertising, but also plan the delivery forms in various regions of the world.
Emerging power of digital advertising
Today’s digital advertising environment is changing every day. For example, in social media marketing, in just a few years, the platform has been constantly changing, the interface has been continuously enriched, and the pace of commercialization has been accelerating. People are just getting acquainted with a few platforms, and suddenly they find that there are endless changes in the future: photo social, instant social, private social, social reading and so on. These changes are just one branch of the digital advertising space, in addition to video, mobile, e-commerce and many other fields are also changing every day.
If you look closely, you will find that there are no more than two factors driving the changes in digital advertising: one is technological progress, and the other is changes in consumer behavior patterns, which are very consistent with the view that the only constant is change. Therefore, under the influence of the new wave of going overseas, how to use new technologies to open up new commercial space outside the screen will be the bottleneck for key breakthroughs in advertising in different regions of the world.
Founded in 2013 and headquartered in Silicon Valley, Moloco is an advertising platform that focuses on machine learning algorithms. They brought together top talent from Google, Amazon, and Twitter to build a core competency—machine learning. “The word automation has been mentioned for a long time, and different companies may be studying it.” Morden Chen, sales director of Moloco Greater China and Southeast Asia, answered the reporter’s question in the sharing meeting on March 16, 2022: ” It was only when Moloco saw the opaque, unfair and inefficient things that the entire digital marketing market experienced in the stage of brutal growth, and tapped the opportunity. Based on this, machine learning algorithms can also be applied in addition to advertising. Going to Moloco RMP, the retail media platform, will drive advertising revenue for online retailers, so that merchants on its platform can sell goods faster and more efficiently.”
Morden Chen has accumulated rich experience in the field of mobile Internet advertising technology (AdTech). Before joining Moloco in 2020, he served as the head of international commercialization of Ali UC and the head of global advertising of Cheetah Mobile. In his view, machine learning cannot escape algorithms and data, so algorithms trained on a larger amount of data need to be adjusted before being applied to commercial data. The application of machine learning is a positive cycle process, which needs to be adjusted continuously according to the effect of machine learning.
”The whole industry attaches great importance to machine learning, but we attach great importance to it. In the future, Moloco hopes that the entire industry can use a very transparent and efficient delivery method to achieve the growth of the mobile terminal. We also hope that based on our service capabilities, we can help Chinese companies going overseas. One-stop marketing overseas.” Morden Chen said.
How to balance the focus of technology
Based on the core capabilities of machine learning, Moloco has applied it in products such as Moloco Cloud DSP (cloud marketing platform) and Moloco Retail Media Platform (retail media platform). Moloco Cloud DSP is a demand-side platform, which means that Party A purchases traffic through it to reach target users. Moloco Retail Media Platform will directly hit the pain points of retail media, use scientific algorithms to do advertising business, and attract traffic to self-operated merchants or third-party merchants on the site.
Moloco Cloud DSP can provide different optimization models according to the key indicators that customers value, such as CPI, CPA, ROAS, etc., to ensure that the core indicators can be achieved. In addition, Moloco also has human support. Their account managers and data scientists will continuously help customers to observe, manage solutions, and provide all-round support like a butler service. Moloco Retail Media Platform uses the first-hand data authorized by Party A to show consumers the right advertisements at the right time to achieve multi-win, customers can get more returns in advertising business, and sellers can sell products as soon as possible.
”Moloco’s business in China is to help customers go overseas, that is, domestic advertisers can find us for international user acquisition, that is, the needs of internationalization and going overseas. In this context, we actually want to achieve coverage in two aspects: One is the so-called industry aspect, and the other is the so-called marketing objective aspect.” Morden Chen emphasized in introducing Moloco China’s business: “We hope to cover the needs of not only the effect category, but also the integration of advertisers’ products and effects. Do it well. A different aspect this year is pan-entertainment, which includes web articles, novels, comics, and games in detail. It also has an entertaining atmosphere. These represent to a certain extent that Chinese developers use their own understanding to operate. To allow users around the world to use, play and like it, we believe that this big track will not change in the future, and it will continue to occur and grow.”
To this end, the data provided by Moloco, in addition to ensuring that it meets the needs of customers, must also be kept from crossing the line. For an advertisement, it is like a professional walking a tightrope. It must not only have technical protection, but also make good use of the long pole in the hand to stabilize the center of gravity. Therefore, Moloco’s machine learning liberates manpower to a certain extent, such as uploading, downloading or A/B testing. After removing the complicated and streamlined processes, human brainpower is still needed to solve subsequent problems. “We value user privacy and compliance, but we also hope to use technology to solve problems in the market.”