AOL’s Platform A: React: Step In The Right Direction, But Bigger Steps Lay Ahead

As AOL (NYSE: TWX) begins combining its various ad units into a single entity called Platform A, a sampling of the ad agency execs the Time Warner company wants to reach favors the moves. But, they warn, the shift is long overdue. In addition to providing a more seamless array of services, the completion of its $275 million purchase of Tacoda this month should give AOL the ability to better monetize its inventory by enhancing its behavioral targeting. Digital agency professionals also praised AOL for putting former Tacoda CEO Curt Viebranz in charge of the new ad network as AOL EVP and president of Platform A, the new umbrella for Advertising.com, Tacoda, Lightningcast, Adtech and Third Screen Media. Some excerpts from interviews:

Jack Smith SVP, Product Strategy, 24/7 Real Media: Having gone through a brand integration of its behavioral targeting, analytics and ad serving a while back, Smith advises AOL to lower the expectations about how quickly marketers will see results from Platform A. He also expressed some skepticism regarding AOL’s ability to develop a viable sales strategy among the disparate properties. “AOL is embracing this network approach, yet, I imagine that they’re not able to sell all the inventory that they have in their current properties alone. So I’m not sure what the immediate gain is.”

Kate Clough, VP, associate media director, MRM Worldwide: Clough said her hopes that AOL would quickly leverage the technology and insights when it bought Advertising.com in 2004 were dashed. While generally satisfied with its services, the promised integration has not felt as tight as she initially expected. She now hopes the realignment under Viebranz will finally deliver on those past expectations. Clough: “A lot of people will be talking about the increased scale associated with acquiring one enormous network a few years ago, and now, adding to it with another network. But I’m very much interested in seeing how they integrate the talent from the various networks and whether the technology will mesh or stay separate.”

Peggy Mitchell-King, Aquent Consulting: “There’s been a lot of talk as to whether this realignment is a little too late. From an organizational standpoint, with new management coming in, they’re really going to have to play catch-up. Appointing Curt Viebranz as the head of Platform A means there’s hope there. He’s not coming from an environment that’s classic Time Warner-publication type background. My only other point, and this is my marketing background coming out, is that they really ought to consider rebranding AOL. They have to think about the kind of baggage they bring as they complete the shift from a company that was known for providing internet service to an online advertising network.”

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