Political Digital: Why Google, Facebook, Twitter Rule

Political campaigns are forecast to spend over $1 billion on digital advertising this election cycle, and they have more online, social and mobile options than ever before. But so far, just three platforms are set to claim most of the political digital ad spend--Google, Facebook and Twitter--reports AdExchanger, a digital marketing trade publication. Political campaigns tend to end up with Google or Facebook even if they buy via a political ad network or independent media/technology seller, the report notes. One reason is that political ad buying involves long-term planning and reserved buys of short duration, which is very different from the iterative testing and optimization that independent agencies are used to handling for brand advertisers. The leading digital platforms also have benefited this election from the disruptive impact of "earned media," the free coverage that GOP presidential hopeful Donald Trump used in trouncing the Rubio and Bush campaigns despite their big paid-media spends. Paid-media effectiveness doubts have sent political operatives looking for safe bets--and that benefits proven digital media incumbents. The Digital Big 3 have further honed their edge by aggressively hiring political insiders with Democratic or Republican connections in building their account teams. The AdExchanger article cites recent VP of policy hires such as a GOP congresswoman for Google, a George W. Bush aide for Facebook, and a senior Democratic aide for Twitter. Plus, Facebook and Google have developed new tools specifically tailored to politicos. Facebook offers targeting of "political influencers" who actively consume and share political news on the platform, and, new for 2016, voter file matching. Meanwhile, Google has introduced a beta tool just for presidential candidates, Posts, which gives them some control over which content is displayed in a search of their name. For more, read http://adexchanger.com/politics/three-big-web-companies-are-dominating-political-ad-budgets/

Sanders Is Surprise Leader in Ad Agency Spending

Presidential hopefuls are spending millions on TV ads, direct mail, digital ads, social media and data analytics. But the agency big spender may surprise you: Old Towne Media is the agency that has scored the most campaign cash--thanks to the Democrat's anti-establishment candidate Bernie Sanders. In fact, according to a mid-February analysis by Advertising Age magazine, the Sanders campaign has been more generous with agencies than his rivals, spending $10.6 million with Olde Towne Media, an agency focused on TV ads; $5.6 million with Revolution Messaging, a digital consulting and advertising agency; and $2.9 million with Tigereye Promotions for campaign paraphernalia and merchandising. Sanders' agency spending beat rival Hillary Clinton's outlay; her top three agency investments have been $8.7 million with TV-focused media agency GMMB, $1.8 million to Bully Pulpit Interactive for digital, and $1.05 million for direct marketing with Chapman Cubine Adams & Hussey. Bernie also whips GOP party outsider Ted Cruz's agency investment. Cruz sent $3.2 million to Cambridge Analytica, a data analytics and digital media firm; $2 million to Campaign Solutions, a digital agency; and $1.9 million to The Lukens Co., a direct marketing firm. Marco Rubio, the latest GOP establishment hope, has only one agency scoring over a million dollars: Smart Media Group, a media agency, scooped up $8.6 million from the Rubio campaign. However, the Ad Age story isn't including spending by PACs, target of Sanders' ire. Plus, GOP front-runner Donald Trump, who has coasted on "earned media" coverage and finally aired a TV ad in January, isn't included in the article. Still, looking at primary vote forecasts, it's a good bet many of these agencies will soon lose their political gravy train. For more on candidates' agency spending, read http://adage.com/article/campaign-trail/towne-media-topped-election-agency-spending-2015/302680/