Next in Media - Episode Summary: "Some AI Real Talk with Jellyfish"

Release Date: February 27, 2025

Introduction

In this episode of Next in Media, host Mike Shields engages in a profound discussion with Jeff Mansoft, a partner at Jellyfish, a prominent global digital marketing agency under the BrandTech Group umbrella. The conversation delves into the transformative impact of Artificial Intelligence (AI) on the media, marketing, and advertising industries. Jeff shares insights on balancing performance-driven advertising with brand building, the resurgence of Marketing Mix Modeling (MMM), and the evolving landscape of media consumption, particularly the shift from linear TV to Connected TV (CTV).

About Jellyfish and Jeff Mansoft

Jeff Mansoft introduces himself and provides an overview of Jellyfish's role in the digital marketing ecosystem. He emphasizes Jellyfish's global presence, spanning 50 countries with a workforce of 1,800 professionals. Jeff highlights Jellyfish's unique capability to address substantial marketing challenges by offering bespoke solutions tailored to diverse client needs without the constraints typical of holding companies.

Notable Quote:

"Our superpower at Jellyfish is that we are big enough to take on meaty challenges and small enough to be nimble, tailoring the right offering for the right client in any country." (01:36)

The Shift from Performance-Driven to Balanced Advertising

A significant portion of the discussion revolves around the industry's historical oscillation between brand-focused and performance-driven advertising. Jeff posits that while data and the rise of retail media have propelled a heavy emphasis on performance metrics, there's a discernible swing back towards valuing brand building more holistically.

Key Points:

• Historical Context: The pendulum between brand and demand strategies has been swinging for over a century, intensified by digital advancements.
• Data Transparency: Enhanced transparency in data capabilities has redefined what is achievable in deterministic versus probabilistic data modeling.
• Retail Media Influence: Giants like Amazon, Google, and Meta have integrated brand and performance metrics, recognizing their pivotal role in capturing consumer attention and driving sales.

Notable Quote:

"We see every RFP we've received for media and creative over the last year centers on how to handle brand to demand, reintegrating it, and proving its value to numbers-focused CMOs." (07:20)

Resurgence of Marketing Mix Modeling (MMM)

Jeff discusses the renewed interest in MMM, attributing its renaissance to advancements in AI that have addressed previous limitations such as slow processing times and lack of granularity. Jellyfish's proprietary technology, "Now Next Soon," integrates traditional MMM principles with AI to deliver faster, more detailed insights.

Key Points:

• AI Integration: AI enhances MMM by enabling real-time data processing and finer granularity in analyzing marketing channels.
• Competitive Edge: Jellyfish combines existing third-party models like Google Meridian with their unique analytical frameworks to offer a comprehensive solution.
• Balancing Act: The challenge lies in allocating marketing dollars effectively across platforms while leveraging AI-driven optimizations within each platform.

Notable Quote:

"With AI, everything can be so much smarter and faster, allowing us to handle channels and campaigns with a level of detail that wasn't possible before." (08:44)

AI-Driven Ad Models and Tools

A focal point of the conversation is Jellyfish's approach to AI-driven advertising tools. Jeff elaborates on their acquisition of Pencil, an AI-based platform designed for ad format creation and performance forecasting. This tool enables marketers to generate and test ad variations efficiently, significantly reducing development time and costs while improving performance metrics.

Key Points:

• Pencil's Capabilities: Integrates with major Large Language Models (LLMs) and directly links to marketers' ad accounts for predictive performance analysis.
• Efficiency Gains: Users can develop ads 66% faster, at 53% lower costs, and achieve nearly 44% better performance metrics.
• Future Expansion: Plans to incorporate video content creation, expanding beyond display and static images.

Notable Quote:

"With Pencil, ads are being developed 66% faster, 53% cheaper, and nearly 44% better in performance metrics across 235,000 ads we've run." (15:42)

Balancing Platform Optimization with MMM

The interplay between platform-driven AI tools like Google's Performance Max (PMax) and MMM is examined. Jeff argues that while platform tools offer significant optimization capabilities, they should complement rather than replace MMM, ensuring a balanced approach that leverages both granular platform data and overarching marketing strategies.

Key Points:

• Continuous Improvement: Platform tools are evolving rapidly, necessitating ongoing evaluation and adaptation by marketers.
• Human Oversight: Despite AI advancements, maintaining human oversight is crucial for understanding and interpreting AI-driven decisions.
• Integrated Strategy: Combining MMM with platform-specific optimizations ensures comprehensive marketing effectiveness.

Notable Quote:

"Maintaining the human in the tech loop is essential to understand and explain AI-driven outcomes to clients and stakeholders." (11:36)

Automation and Scaling with AI

Jeff emphasizes the role of AI in automating monotonous tasks, enabling marketers to manage a larger number of accounts without a proportional increase in manpower. This shift not only enhances efficiency but also allows marketing professionals to focus on strategic initiatives rather than routine operations.

Key Points:

• Workflow Optimization: AI automates repetitive tasks, reducing errors and accelerating campaign launch times.
• Scalability: Marketers can scale their operations, handling more accounts with the same workforce by leveraging AI-driven tools.
• Adaptability: Agencies must evaluate internal processes to identify areas where AI can offer the most significant impact.

Notable Quote:

"Instead of a media mid-level person working on two accounts, they can work on 15 accounts because the monotonous parts of their job are AI-fied." (19:29)

Brand Safety in the Modern Era

Despite ongoing political and social shifts, brand safety remains a paramount concern for marketers. Jeff asserts that brand safety is highly individualized and continues to hold significant importance, ensuring that a brand's reputation is meticulously managed across all platforms.

Key Points:

• Personalized Approach: Brand safety strategies are tailored to each brand's unique risk assessments and comfort levels.
• Continuous Vigilance: Regular audits and assessments help maintain alignment with brand values and prevent reputational risks.
• Client Prioritization: While some clients may prioritize cost over brand safety, the majority maintain rigorous standards to protect their brand integrity.

Notable Quote:

"Brand safety is hyper-personalized and customized to every brand, ensuring that where a brand presents itself is of prime value." (23:04)

Emerging Trends and Future Outlook

In closing, Jeff highlights two significant trends shaping the future of media and advertising:

1. Connected TV (CTV) Supplanting Linear TV:

   • Market Adoption: CTV is increasingly replacing traditional linear TV, especially for live events like sports and award shows.
   • Client Acceptance: Jellyfish has successfully pitched CTV-based solutions to clients, evidencing a shift in marketer confidence and adoption.

2. AI's Expanding Role in Management:

   • Automation of High-Stakes Management: AI is poised to revolutionize the management of vast advertising budgets, enhancing trust and transparency.
   • Strategic Focus: AI-driven efficiencies will allow marketers to allocate more time and resources to brand storytelling and strategic planning.

Notable Quote:

"The real opportunity is that CTV is going to decimate linear for real this time, and AI is going to speed up and make managing billions easier." (24:24)

Conclusion

The episode concludes with an optimistic outlook on the integration of AI in media and advertising. Jeff Mansoft underscores the importance of embracing technological advancements to enhance efficiency, maintain brand integrity, and navigate the ever-evolving media landscape. As AI continues to reshape the industry, firms like Jellyfish are at the forefront, pioneering innovative solutions that balance performance metrics with enduring brand value.

Final Quote:

"The more that we can trust performance to do its thing and spend time to make brand work, the more exciting the future becomes." (26:13)

Key Takeaways

• AI as a Catalyst: AI is transforming media advertising by enabling faster, more efficient campaign management and execution.
• Balancing Act: Successful marketing strategies will harmonize performance-driven tactics with robust brand-building efforts.
• Evolving Media Consumption: The shift from linear TV to CTV represents a significant change in how brands reach and engage audiences.
• Human Oversight Remains Crucial: Despite AI's capabilities, human expertise is essential for strategic decision-making and maintaining brand integrity.
• Future-Proofing: Staying abreast of technological advancements and integrating them thoughtfully will be key for agencies aiming to stay competitive.

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