At this year’s Converge at Cannes, held during the prestigious Cannes Lions Festival, industry leaders gathered to discuss the future of digital publishing in an era of AI and evolving data privacy regulations. A standout panel featuring Debra Fleenor, Founder and President of Adapex, and Jake Abraham, Chief Commercial Officer at Audigent, offered valuable insights into how publishers are adapting to these changes.
Moderated by Sara Jerde, Managing Editor at Digiday, the session explored the implications of Google’s delayed third-party cookie deprecation, the rise of first-party data, and the potential of generative AI in publishing.
The Cookieless Present
Despite Google’s recent delay in phasing out third-party cookies, both panelists emphasized that publishers are already feeling the impact of a cookieless environment. Fleenor stated, “The cookieless future is here. Publishers have been skinned alive over the past three years because they have seen their revenues drop.”
Abraham added that publishers are “really scared” because they’ve relied heavily on Google search as the “front door to their audiences.” With this changing landscape, publishers are grappling with how to maintain traffic and ad revenue.
First-Party Data and Scale
The panelists stressed the importance of first-party data in this new era. Fleenor emphasized the need for publishers to “build a more personal user experience” and leverage first-party data effectively. However, she also highlighted the challenge of scale, noting, “If third-party is already hard to scale, imagine first-party, it gets really difficult.”
Abraham echoed this sentiment, explaining that his company, Audigent, focuses on “taking all of the wonderful things that publishers do and knowing how to leverage that in the advertising ecosystem at scale.”
The Role of AI in Publishing
The discussion then turned to the potential of generative AI in publishing. Both panelists agreed that AI should be seen as a tool to enhance human capabilities rather than replace them. Abraham stated, “AI will replace tasks, but it will not replace people.”
Fleenor emphasized the need for transparency and ethical use of AI in publishing. She noted, “We have to use AI ethically. I don’t know who’s going to come up with those [guidelines], we’re going to have to self-govern.”
The panelists also discussed how AI could potentially help with content creation and personalization. Abraham suggested that publishers could “allow editorial teams to really lean into it and allow personalization for the users” while maintaining transparency about how AI is being used.
Challenges and Consolidation
The panel didn’t shy away from discussing the challenges facing the publishing industry. Abraham predicted further consolidation in the sector, stating, “I think a lot of these publishers are going away… You’re going to have some really like small niche players, unfortunately, that don’t find or don’t figure out how to monetize their niche properly are going to go away.”
Fleenor added that publishers need to focus on creating meaningful user experiences and exploring new revenue streams. “You have an audience. What can you do for your audience that’s meaningful for them and brings money to you?” she asked.
The Future of News and Advertising
The discussion also touched on the challenges facing news publishers, particularly in light of the upcoming U.S. election cycle. Abraham highlighted the need for advertisers to be more deliberate in supporting news content, noting that many marketers may not realize they’re not monetizing news due to keyword blocks and other technical factors.
Fleenor expressed hope that these changes might lead to “more quality and less volume” in digital content, moving away from the current “spray and pray” approach to digital advertising.
Looking Ahead
As the panel concluded, both speakers shared their hopes for how generative AI might be used by publishers in the coming year. Fleenor predicted that “tools are going to surface that are more meaningful and more real and not just theoretical.”
Abraham suggested that publishers might use AI to allow for greater personalization and transparency in content creation while emphasizing the importance of maintaining human oversight.
Key Takeaways for Publishers:
- Focus on developing first-party data strategies to create more personalized user experiences.
- Explore partnerships that can help achieve scale in data and advertising operations.
- Approach generative AI as a tool to enhance, not replace, human creativity and editorial judgment.
- Be transparent about the use of AI in content creation and curation.
- Consider new revenue streams and ways to monetize niche audiences.
- Prepare for potential industry consolidation by focusing on unique value propositions.
As the publishing industry continues to navigate these challenges, the key to success lies in balancing technological innovation with quality content creation and meaningful user experiences. The future of digital publishing, as envisioned at Cannes, is one where data, AI, and human creativity work in harmony to create value for both readers and advertisers.
