by MD Agency
by MD Agency
Which side is darker?
All the verses are still at the early development stage on the way to becoming the main Web3 publishers.

Gaming is a vital part to enter metaverses hence we see the gaming companies making their way ahead in the meta spaces.
However, the metaverse is not meant to be a game. It’s an extension of our reality that contributes to a better world concept.

The developers of virtual lands will be seeking a balance between user retention and monetization.
There is always a choice to be made on how to drive the revenue stream to compensate for the invested efforts.

Metaverse is an exciting playground and definitely, there are various ways to make money by engaging the content creators and bridging the physical and digital worlds with NFT.
While advertising has taken a dark side during Web2, it has also been the main business model for years so no doubt it will enter the new reality as well.

In-game advertising seems to be one of the solutions at this moment but we also understand that we can’t just copy what worked before into a new space.
There is a need for a new approach to creating a fairly balanced ecosystem.

Branded content and native advertising will take a lead along with contextual targeting.
Users need to be rewarded for participating in the metaverse monetization infrastructure
Re-invention of customer experience in Web 3.0
Re-invention of customer experience in Web3.0

The shift to Web3.0 revealed an opportunity to build a new ecosystem together.
Advertising has taken a negative place in Web2 and needs to regain its reputation.

We can’t imagine our life without mobile any more and we keep adopting new devices like VR and AR.
Thus we are opening new gateways for receiving and perceiving information and creating new marketplaces.

Hence, the transformation of a customer experience drives a new approach to engage with the customers.
Advertising should become seamless while being immersive and generating a stronger purchase intent.

You don’t need your customer to buy instantly, you need them to think about your brand when they decide to purchase.
Where is everyone? Sandbox? Decentraland? Meta?
A question we need to think about with a shift to decentralization and extension of our reality.

Web2 was a time to experiment and conclude what went wrong.
Now with Web3, we are creating an ecosystem where we can transact, socialize, create, own and experience.

Are we aiming for a unified immersive experience?
Definitely! Hence, the right approach and cooperation are needed to create joint standards and integrations.

Maybe it’s a utopia but we need to aim for decentralization in a form of system’s democratization so the Web3 protocols will fairly drive value to all stakeholders.

Cheers to the new beginnings!
Web transformation curve Part 2: Rebuilding the ecosystem
Web2 seemed to be exciting but was it?
Well, it let us become close participants of the Web without having technical knowledge.

It resulted in big players like Google, Facebook, OpenX, AppNexus conquering the virtual space, as the knowledge of technologies adoption was behind.
So we went from decentralization to centralization running into famous Web2 issues such as data loss, privacy and of course, fraud.

The advertising market got oversaturated with various tech solutions that were mostly aimed at measurement and optimization of customer experience.
They are all different but in the eyes of users and businesses, they are all the same and confusing. Actually, they were an extra layer on top of the ready-to-go solutions rather than standalone technologies that would solve the transparency problem and improve the customer experience.

Web2 has become a great playground for testing and spending money.
We got dynamic, interactive, video, audio ads available in multiple environments. The era when we adopted mobile phones, created applications and connected TV to the Internet.
Fun fact, the first time TV connected to the Internet was 20 years ago when it became more popular as an advertising tool only in 2020.

In the end, advertising is all about signals, data processing and passing. The protocols have evolved during Web2 so we could integrate into the ecosystem in a more standard way.

VAST protocol firstly emerged in 2008 followed by OpenRTB in 2010. The rise of OpenRTB came only in 2016, which is another great example of the timeline between tech release and its adoption.

However, again due to the lack of knowledge, the industry became messy and full of custom solutions that didn't pursue the right values in the core.

2021: we got to the boom of blockchain, crypto and NFTs, the mind switch happened.
Some people thought that Web3 would be the Web of AI or the Web of VR. However, it is both and we seem to go back to decentralization roots.

We are on the way to building a peer-to-peer ecosystem adding transparency in connections.
It’s definitely a time to create the Internet of value, trust, security and privacy with the use of best practices.
Decentralization and creating own ecosystem are the keys along with cooperation to standardize the protocols of passing the data.
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Web transformation curve Part 1: How we got to where we are
Web1 appeared forming the information economy. The computers have been used as a power source for the Internet creating a decentralized setup. Interestingly, we had the decentralization from the beginning. What happened then?

That time the Web was read-only, having the users split into two groups: passive readers and content creators. However, the content creators were a niche group with skills that could build personal websites, pages and programs.

In 1994, the first ad was served on Hotwired. It was a static banner that initiated the evolvement of programmatic advertising.
Of course, the advertising was impersonal as it was fully managed by the website owners per agreement with certain advertisers. We had to watch what we had to watch and no one knew whether it was actually working. Again, it was a niche group having resources to push the industry forward.

Also, Yahoo was launched, and search engines started appearing from Yahoo, MSN and Google.
This is when we actually started losing control giving up the digital world to the hands of the giants. Web1 was open-source, so they easily managed to occupy the digital space, make billions and dramatically expand their service range.

A decade later, Web2 came so users could finally interact with each other, create content and build their businesses. Yet the Web became centralized and it seemed there is no turning back.

Programmatic advertising started evolving in the 2000s when the first servers were created and the ecosystem got split into full-serviced platforms like Google and standalone technologies that were enabling own ecosystem creation but mass adoption didn’t happen.

2005 Youtube was launched that indicated the rise of video advertising. It was more complex than banner ads and the technologies were still behind. We had no right tools to ensure smooth ads delivery and measurement. Hence, video is still growing until today.

Then we got the rise of social media platforms that let users connect more closely and unnoticeably in a closed network.

Frankly, advertising became a default business model in the digital world, it generated huge revenue streams that everyone wanted a piece of it.
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How much budget do you spend on Google or Facebook?
How much budget do you spend on Google or Facebook?
Have you ever received post-payment bills with some surprising amounts?

Well, then you are on the wrong boat and Meta is another giant hype that will result in the same story. We spend ad budgets, don’t know where they go and what works exactly for a brand.
However, this exact hype gave us a push towards more transparency and mindset shift.

We need to stop being addicted to the Metaverse and start being addicted to our own Verse!

Until today most of the brands have been giving their money to full-service solutions, hiring platforms specific managers and believing that they see the real data.

Decentralization and building own digital advertising ecosystem are complex but vital. We need to finally take control and start understanding where our ad spends go.

A new approach with the right technologies is the key driver for the future and this year should accelerate the change!
While new ads formats and devices are penetrating the market, advertising technology stays
Ad Exchange is an ultimate core solution that connects to the global ads marketplaces, bids on the relevant ad spaces and delivers the ads to the right audience.

Marketplaces are all-around Internet, they are the ad spaces on any video device: be it the well-known mobile & desktop or newly emerging CTV, VR/AR & Metaverses.

Customer experience is the key to creating a long-term brand engagement and has a direct impact on ROI. The quantity of channels and ads doesn’t matter but finding your niche is what will ensure success along with cost-efficiency.

The adoption of in-house Ad Exchange solutions will become more popular with the shift to transparency and the importance of building the right community around brands.

Hence, creating own ecosystem should be on the table of marketing teams already in 2022.

Is Metaverse real? What is going on?
Metaverse is definitely a new buzz word and we receive daily news about how someone bought a piece of land, created NFT or walked in the new space.

There are different opinions on what’s happening and here is what we think:
“Metaverse is not a new reality, it’s an extension to the world we live in which has been accelerated during the pandemic”

VR headsets have been out there since the 1990s but mass adoption was not happening. We primarily knew the VR for simulations and gaming even though there were already benefits to be gained somewhere else.

2021: the boom happened led by NFTs and Facebook renaming to Meta that transformed the mindset of people. The benefits started becoming more obvious, as we can finally break the borders and build our own verses with a community of like-minded people regardless of where they are.

The idea of merging the best of physical and digital worlds in one place is exciting and we need to figure out the best way of replicating our world in meta reality.

Of course, the tech giants are rushing forward to make their impact. Microsoft acquired Activision, which in the opinion of Theo Tzanidis, (digital marketing academic from West Scotland) is a part of the ripple effect from Facebook renaming to Meta.

Nevertheless, we can’t deny the fact that the world has changed and now we are busy building a foundation to discuss what happens next.

While Google, Amazon and Apple are keeping more distance, Samsung expands its presence in the virtual world by opening its store and SmartTVs that can trade NFTs.

There are more developments on the devices' side launching new exciting environments: Sony Playstation VR2, AR Disney, Rayban for Meta, Panasonic MeganeX VR glasses, Channel glasses and many more!

This means that there will be more opportunities for brands engagements from the advertising side.

People already prefer watching videos and would like to get more immersive experiences. VR/AR/MR will definitely become one of the top environments shifting the ad budget spends.
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Programmatic advertising ecosystem at a glance!
You should know what happens behind the scenes when you see a video ad on any device.

Advertisers/brands can choose different ways to connect with their audience. The most important for them is to find the right ads spaces to show their ads.

Publishers are the owners of the ads spaces that they offer for sale to the advertisers.

The advanced technologies are in place for the buy/sell processes automation doing the decision making via auction and delivering the right ads to the right audience.

Hence we can split the ecosystem in 2 parts:
Flow of ads and money - advertisers - demand side
Flow of ads slots - publishers - supply side

A modern approach involves building your own ecosystem using Ad Exchange that completely automates the auction based on real-time bidding. It ensures increased ads efficiency while adding transparency and enhancing customer experience.
Is Metaverse ready? For advertising?
The digital world is transforming and the shift to Web3 is becoming more noticeable.

It does impose some uncertainty and doubts about how the digital landscape will evolve.

Well, looking back at Web2 history, media and advertising had started integrating into the ecosystem quite soon.

Hence it’s reasonable to expect they will be within Web3 too. New content, ecosystems and brand interactions await!

What the video advertising technology should be in 2022?
Definitely, modern technologies need to pass the video format.
Real-time bidding technologies have been out there to solve the challenges of delivering ads to the right audience and ensuring ads effectiveness and cost-efficiency.

Last year made a stronger push towards transparency and brand safety. Managing consumer privacy and facing a cookie-less world challenged the brands together with technologies.

Video advertising keeps growing with the highest Y2Y ad spends. CTV is on trend more than ever, its ad spend exceeded expectations showing 97% growth only in H1 2021.

Several factors influenced this trend. Apart from switching traditional TV to CTV, we are still in the COVID phase, sitting at home and watching more TV hence advertising.

Web3 is another trend that gives an effect on transformation. So VR/AR are getting more trendy with the explosion of Metaverse, digital assets and NFTs. This defines the time for an alternative reality where we set the rules and take control creating own ecosystem.

It means that we need to reconsider the approach we are used to in digital advertising and start looking into in-house adoption of relevant technologies. That way we can manage the customer experience and build the right community.
The technology core is crucial as it has to be scalable while holding high-frequency and ensuring successful bidding and ads delivery. Competition is out there so knowing how and where your ad is shown is becoming more important.
Also, AI has more potential to contribute to the ads optimization algorithms and monitoring to reduce human errors.

With the rising ad fraud, security is crucial. While AdTech struggles to implement blockchain, the decentralization approach and cryptography came on the table having their application in building a trusted ecosystem.

The future is here and it’s time to take the situation in our own hands powered by the latest AdTech developments.
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At MD Agency we represent a new generation of AdTech and we are glad to share our vision with you!

We have been observing a shift to streaming services in the past several years. Now every consumer segment watches more video content.

Why? Well, we do perceive the content better from watching. Hence more brand awareness and actions are generated after watching a video.

On another side of the table, every year more budgets get allocated to video advertising so it shows the highest Y2Y growth compared to other advertising formats: banner, native, push notifications etc.

We watch video everywhere: laptop, mobile phone, game console and ofc the TV.

TV has been a powerful channel since the 1950s. For a long time, it was available only for the exclusive group of advertisers. It was costly and users could not interact with ads resulting in timely repeated ads that are of no interest.

Then a rise of Connected TV began, TVs connected to the Internet. They allowed the delivery of the ads based on users’ interests.

This trend came along with new technologies that use real-time bidding for matching the targeting, carrying out auctions and delivering the relevant ads to a user’s device.

VR is another trend that expands advertising capabilities. It’s still quite novel but we already see the new technology becoming an important new medium for advertising in the future. They put us (users) in the middle of the story and make ads feel highly personal.

It's critically important to follow the trends in the Digital Advertising world and that's what we do here. The time for Connected TV, AR and VR to shine has come.

At MD Agency, we create an alternative gateway to video advertising in real-time to be connected to a new world and make an impact there

Read more about the history and trends of TV from Jason Fairchild, CEO tvScientific at
Our vision and the power of video
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We are excited to announce our direct partnership with Ignium
Powered by their blockchain-based infrastructure, we launched #DigitalAssets #crowdfunding.

The digital transformation of 2021 opened up a new era! The future is here calling for a modern approach backed by robust technologies.

Digital agencies #SMEs that focus on video ad format need a holistic video advertising technology #RTB #adexchange that delivers relevant ads to all trending devices. #CTV #TV #VR #AR #gameconsole #mobile

We invite you to make an impact and help us create our own ecosystem for video advertising with a real-time bidding technology base.

Visit our community fundraising page to learn more:
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