Google is unlikely to displace agencies — and probably has little incentive to go that route — but its wide-ranging ambitions could mean it encroaches on agency turf. Witness Google’s recent deal with Heineken to use its many digital platforms to achieve “brand-building reach and the ability to carefully target their audience.”
That sounds a lot like the work of a digital agency, but Google’s forte is not, nor will it ever be, the kind of expertise necessary to create, manage and optimize digital campaigns for a major brand. Brands will probably never use a single source as agency and ad exchange, but they do want to partner with Google on the elements of digital advertising where it holds an immeasurable competitive advantage. Google has unrivaled access to search and behavioral data.
More in Media
Digiday+ Research: Dow Jones, Business Insider and other publishers on AI-driven search
This report explores how publishers are navigating search as AI reshapes how people access information and how publishers monetize content.
In Graphic Detail: AI licensing deals, protection measures aren’t slowing web scraping
AI bots are increasingly mining publisher content, with new data showing publishers are losing the traffic battle even as demand grows.
In Graphic Detail: The scale of the challenge facing publishers, politicians eager to damage Google’s adland dominance
Last year was a blowout ad revenue year for Google, despite challenges from several quarters.