Will blockchain keep its promises?

The Blockchain’s potential for transparency, speed of delivery, targeted advertising is a market changing promise. DMEXCO 18 speaker, Christof Baron, responsible for Media in Sanofi’s Consumer Healthcare Division (previously CEO of Mindshare) believes that it is important to differentiate between what is theoretical and what can be practically implemented now.

Blockchain has a speed problem in programmatic advertising Christof does not see an immediate future for blockchain in programmatic advertising. He says:

“With Blockchain technology, the user would have to wait for the ad to load, rather like the old Internet when bandwidth was too slow. The immense number of transactions required for real-time bidding, cannot be managed at the required speed using blockchain. Depending on the technology used, up to fifteen transactions are handled per second, while bitcoin technology can only be used for up to seven. It is not just a question of speed, but of volume. The results will not meet IAB standards, in which the response times in realtime bidding should be less than 100 milliseconds. Blockchain technology just doesn’t perform well enough for this application. I am very sceptical as to whether it will play a relevant role in this area in the coming years, given the current state of technical development.”

Transparency in post transaction analysis of purchase and delivery is a more realistic proposition for Blockchain.

Will Blockchain kill the agency? The technology could make advertising agencies redundant. Christof does not however see a threat:

“Technology could cut out agencies but we still need human technical service. Advertisers could take the processes in-house. However, this would require huge investments in personnel and technology and is less flexible to the speed the of technological innovation in the market. It may not be worthwhile, even for global players. Procter & Gamble, for example, spent several years investing in its own programmatic solution but then decided to work with outside technology partners.”

Win a blockchain inspired artwork, worth 20 000 Euro at DMEXCO The artist Albrecht Behmel, with works of art in hanging in the Empire State Building, painted his vision of the #DMEXCO motto ‘Take C.A.R.E’ in four original paintings, each of which is certified with a Blockchain certificate. Hence, all future owners and places in which the art will hang can be recorded. With a successful Instagram Post, one of these originals, worth 20 000 Euro each could belong to you.

Head to DMEXCO, Conference and Expo in Cologne, Germany on September 12 & 13 for two days of networking and learning from major decision-makers in the digital economy, marketing and innovation. Over 1000 Exhibitors and 550 speakers will be there to inspire and keep you on the ball with the latest trends.

Full agenda is now online!