Next in Media – Episode Summary: "The Open Web is Under Attack"

Podcast Information:

• Title: Next in Media
• Host: Mike Shields
• Description: Exploring the transformative changes in media, marketing, and advertising driven by technology and data, featuring conversations with leading industry figures.
• Episode: The Open Web is Under Attack
• Release Date: April 22, 2025

Introduction

In this compelling episode of Next in Media, host Mike Shields engages in an in-depth conversation with Mark McCollum, the Chief Innovation Officer at Raptive. Raptive stands as a significant player in the open web landscape, supporting over 6,000 small to midsize web publishers. The discussion centers around the existential threats facing the open web, primarily driven by Google's evolving search algorithms and the rise of AI-powered search tools.

Understanding Raptive and Its Mission

Mark McCollum begins by elucidating Raptive's role in the media ecosystem. Raptive is a unique media company dedicated to empowering content creators who produce for the open web. With a network encompassing approximately 6,000 creators, Raptive aids them in monetizing their content, expanding their audiences, growing email newsletters, and crafting compelling stories. McCollum highlights the company's impressive reach of around 225 million monthly unique visitors, positioning Raptive as a top-tier network in categories such as food, family, and lifestyle.

Mark McCollum [02:12]: "We are top 10 on comscore. We're number one on big categories like food, family, lifestyle and yeah, that's us."

Raptive primarily collaborates with publishers who were traditionally known as bloggers, though many are increasingly diversifying into video content. The company supports a wide range of creators, from those generating 50,000 monthly page views to others earning millions, emphasizing that most within their network make a living through their online endeavors.

The Impact of Google's Search Updates

The conversation shifts to the crux of the episode: the challenges posed by Google's search algorithm changes, specifically the “helpful content updates.” McCollum explains that Google has intensified its efforts to prioritize content that is most relevant and useful to users, frequently updating its algorithms to achieve this goal.

Mark McCollum [07:27]: "They are promoting content that's coming from publishers that have more scale and higher, therefore in many cases stronger reputation. And what that means is there are others who lose out on that who are kind of smaller content creators, including many in the Raptive network."

As a result, smaller and midsize publishers are experiencing a significant decline in search traffic, with estimates suggesting a potential loss of up to 25%. This shift favors larger, more established publishers, thereby exacerbating the fragmentation problem within the Connected TV (CTV) landscape.

AI-Powered Search: A Double-Edged Sword

Mike Shields probes deeper into the ramifications of AI-driven search models. McCollum articulates that Google's move towards AI mode signifies a transition from traditional search to "answer engineering," where responses are generated directly within the search platform, reducing the necessity for users to visit external websites.

Mark McCollum [10:00]: "Google's shifting its model from being a search engine to being an answer engineering and is endeavoring to provide answers to search queries directly in Google and thereby limiting the need for users to click out to the open web."

This approach poses two major issues:

1. Copyright Infringement: Google's AI repurposes and restates copyrighted content without compensating the original creators.
2. Traffic Reduction: Publishers lose significant portions of their search traffic, threatening their sustainability.

Moreover, even when publishers' content does appear in AI-generated responses, the lack of proper attribution and occasional inaccuracies diminish the effectiveness of driving traffic back to the original sites.

Publishing Community's Response and Legislative Hurdles

Shields inquires about the publishing industry's potential responses to these challenges, including legal actions and lobbying efforts. McCollum acknowledges the varietal approaches, noting that while some major players like The New York Times have sued entities like OpenAI, Raptive has not engaged in similar legal battles.

Mark McCollum [17:36]: "We don't have a lot of optimism that in the current administration, with the current priorities that a legislative solution."

McCollum expresses skepticism about the immediate prospects of legislative remedies, highlighting the sluggish and complex nature of governmental processes. He also underscores the necessity for collective action among publishers to fortify their position against such dominant tech platforms.

Advertising in a Shifting Landscape

Despite the challenges in traffic, Raptive reports robust demand from advertisers. McCollum reveals that Q1 marked the strongest quarter ever for Raptive, with advertisers showing heightened interest in associating with authentic creators and lifestyle content.

Mark McCollum [22:02]: "Advertisers really like being associated with authentic creators and the lifestyle content that tends to be associated with them in the Raptive network."

This dichotomy—facing reduced traffic yet increasing advertising investment—stems from the high-quality, engaged audiences that Raptive's network offers. McCollum points out that traffic from sources other than Google, such as direct entries, Pinterest, and email newsletters, often yields better performance metrics for advertisers.

Leveraging AI for Enhanced Advertising Solutions

To counterbalance the diminishing search traffic, Raptive is harnessing AI to innovate its advertising offerings. The introduction of Raptive Intelligence and Mindshare Targeting enables the analysis of millions of content pieces to generate detailed audience profiles based on tone, mindset, and context. This sophisticated targeting mechanism allows advertisers to effectively reach specific audience segments, enhancing the value proposition for brands.

Mark McCollum [25:00]: "We can combine that with data from all of our visits and page views and where we're getting engagement time on site ad impressions to build like really rich audience profiles that then creates mindset Personas that we can use with our advertisers in their targeting."

By employing AI-driven insights, Raptive ensures that advertisers can target the right people at the right time, fostering a symbiotic relationship where creators, advertisers, and the platform itself benefit.

Adapting to Privacy Changes and Alternative Identifiers

Shields brings up the ongoing turmoil surrounding cookies and privacy regulations. McCollum explains that Raptive proactively invested in their own identity solution, thereby reducing dependency on third-party cookies and Google's Privacy Sandbox initiatives.

Mark McCollum [26:44]: "We build our own identity solution that we think is best in class and only available for Raptive creators. And that has, has really broken our dependency on whether or not Google's going to do anything with, with the third party cookies."

This strategic move ensures that Raptive can maintain robust data capabilities, crucial for effective targeting and monetization in a privacy-conscious digital landscape.

Supporting Creators Through Diversification

The discussion concludes with McCollum emphasizing the importance of audience diversification for creators. Raptive assists publishers in expanding their presence across various platforms such as YouTube, Pinterest, and email newsletters, recognizing that multi-platform engagement is vital for sustained growth and resilience against algorithmic shifts.

Mark McCollum [27:43]: "They already are. Yeah. And we're helping them do that. So it's part of our business strategy to help them grow their audience on any platform because that all ultimately drives back to their overall monetization."

By fostering a diverse online presence, Raptive helps its creators mitigate the risks associated with reliance on any single traffic source, thereby ensuring long-term viability.

Conclusion

Mark McCollum's insights paint a sobering picture of the current state of the open web, grappling with the dual challenges of dominating search algorithms and the disruptive potential of AI-driven search models. However, Raptive's proactive strategies—ranging from AI-enhanced advertising solutions to robust identity management and multi-platform support—demonstrate a resilient approach to navigating these turbulent times. For creators and publishers, the episode underscores the imperative of adaptability and innovation to thrive in an ever-evolving digital ecosystem.

Notable Quotes:

• Mark McCollum [07:27]: "We want to be promoting website links that are most helpful to the users based on their intent and their search as well as the content on the website."
• Mark McCollum [10:00]: "Google's shifting its model from being a search engine to being an answer engineering..."
• Mark McCollum [22:02]: "Advertisers really like being associated with authentic creators and the lifestyle content..."
• Mark McCollum [26:44]: "We build our own identity solution that we think is best in class..."

Relevant Resources:

• Raptive's Official Website: raptive.com
• One Audience Alliance by Elemental TV: elementaltv.com/1audiencealliance

For more insights and updates on the evolving media landscape, subscribe to Next in Media and stay tuned for future episodes.