Top Stories

  • Facebook Inc.’s marketing chief, Antonio Lucio, said the company is increasing its global ad spending, possibly more than doubling in two to three years, and overhauling its creative agency roster in order to rebuild its users’ trust after a series of scandals about its privacy practices and Russia’s election meddling efforts. Facebook didn’t reveal its ad budget, but Kantar estimates the social media company spent $382 million on ads in the United States last year, up from $50 million in 2017. (The Wall Street Journal)
  • The research firm eMarketer Inc. lowered its 2019 estimate for Amazon’s share of U.S. online sales to 37.7 percent down from 50 percent, after a shareholder letter from Amazon CEO Jeff Bezos in April disclosed that the retailer derived 58 percent of its total gross merchandise sales by year from third-party sellers. That caused eMarketer to lower its estimate of Amazon’s share of U.S. online sales as it realized its earlier estimates for third-party sales through Amazon were too high, according to Cindy Liu, an eMarketer analyst. (The Information)
  • Axel Springer SE is merging the intelligence units of Business Insider and eMarketer, which eMarketer CEO Geoff Ramsey said will increase eMarketer’s global market across all verticals and cater to corporate clients. Business Insider CEO Henry Blodget, who will be in charge of the merged entity, and Ramsey, who will have more of a chief evangelist role, said the workforce is expected to grow to 400 employees in the next five years from 200. (Ad Age)

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06/17/2019
Forbes’ 2019 Women’s Summit
06/18/2019
Forbes’ 2019 Women’s Summit
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Advertising

How Adidas is using smaller-scale influencers
Seb Joseph, Digiday

What started as a low-key network of micro-influencers who promoted Adidas on dark social platforms like WhatsApp in 2015 has evolved into a collective of brand ambassadors at a global level. Still, chances are you won’t recognize the star of Adidas’ recent global ads.

Nutella names Terri & Sandy AOR, ending decade-long deal with Merkley + Partners
Katie Deighton, The Drum

Ferrero USA has named Terri & Sandy as the US creative agency of record for Nutella, an account previously held by Omnicom’s Merkley + Partners.

Inside Live Nation’s In-house Shop
Lindsay Rittenhouse, Ad Age

President of Media & Sponsorship Russell Wallach leads a global team of 400 across creative, media and strategy

WPP’s Wunderman Thompson Unveils New Leadership Team in New York Headquarters
Patrick Coffee, Adweek

Just over six months after the merger of agency networks Wunderman and J. Walter Thompson, WPP’s Wunderman Thompson has made several executive-level hires and promotions as its New York-based C-suite takes shape.

Why SeatGeek increased its influencer marketing 60% year over year
Kristina Monllos, Digiday

The ticketing company has increased its media spend on influencers year over year by 60%. The push into influencer marketing comes as the company has also upped its spend on paid social channels 96% year over year, specifically on Instagram and Snapchat.

How Amazon is using its DSP to get more high-quality inventory from publishers
Tim Peterson, Digiday

Amazon is trying to broaden buyers’ views by pulling in higher quality inventory from outside publishers, including TV networks’ connected TV inventory, for advertisers to access through Amazon’s DSP.

Media and Entertainment

Emmys: Fox, TV Academy Mull Going Host-Free
Michael Schneider, Variety

The possibility of a host-less Emmys is among the leading options being considered by Fox and the Television Academy as it preps for this year’s telecast.

Viacom CEO Bob Bakish (Barely) Addresses Possible CBS Merger: “We’ll See What Happens”
Paul Bond, The Hollywood Reporter

Viacom CEO Bob Bakish late Thursday didn’t bother refuting reports that, when the board of directors for CBS meet Friday, they’ll likely discuss the possibility of merging the two companies, both of which are controlled by Shari and Sumner Redstone.

Social Media and Technology

Facebook Settles Class Action Claiming Company Inflated Video Viewership Metrics
Eriq Gardner, The Hollywood Reporter

Facebook was alleged to have been knowingly overstating viewership by as much as 900 percent.

How This Fitness DTC Brand Is Integrating Its Online and Retail Experience
Ann-Marie Alcántara, Adweek

As Outdoor Voices expands its retail footprint, the digitally native brand is modernizing its omnichannel experience for its store associates—and customers.

Snapchat Will Present Research on Gen Z’s Creative Tendencies at Cannes
Ann-Marie Alcántara, Adweek

The company believes brands should make things with the cohort, not for them.

The Massively Popular Construction Guy Influencer Account Was Actually Created By An Ad Agency To Sell Coffee
Tanya Chen, BuzzFeed News

Despite a viral tweet claiming a dad created @justaconstructionguy to prove a point to his daughter, it is in fact a marketing stunt by a small coffee shop.

Kind Snacks and Clif Bar are fighting like your grandparents on Facebook
Jeff Beer, Fast Company

When Kind called out Clif Bar in its new ad, it sparked a long-winded social debate between the two.

PR and Marketing

Apple makes Comcast and Charter sell iPads, other devices as part of mobile deal
Alex Sherman, CNBC
Comcast and Charter agreed to sell thousands of Apple devices as part of a deal to offer the iPhone to customers for its mobile service.

Nazis Killed Her Father. Then She Fell in Love With One
Katrin Bennhold, The New York Times

Their billionaire descendants, who control Krispy Kreme, Stumptown and other brands, are grappling with the exposure of an unspeakable secret.

Manhattan’s Newest Flagship Department Stores Are Ignoring the Retail Apocalypse
Kim Bhasin, Jordyn Holman et al., Bloomberg

Shakeups of this magnitude are a rarity in a market where stores can stay open for more than 100 years, through every downturn and depression.

Does Amazon Really Pay No Taxes? Here’s the Complicated Answer
Richard Rubin, The Wall Street Journal

Yes, Amazon has paid income taxes, albeit at a low rate—and likely has been helped by deductions and incentives related to investment, research and employee compensation.

PetSmart’s Chewy gets Wall Street tails wagging with $1 billion IPO
Joshua Franklin, Reuters

Chewy Inc said on Thursday it priced its initial public offering at $22 per share, above its target, and sold more stock than originally planned, valuing the online pet products retailer at $8.77 billion.

Starbucks has a new innovation lab that developed more than 130 projects in under a year, including tech updates, Instagram-worthy drinks, and soup-making equipment
Kate Taylor, Business Insider

This week, Starbucks released a video of CEO Kevin Johnson giving a tour of the Tryer Center, the innovation lab that the company quietly opened in November on the ground floor of its Seattle headquarters.

Southwest Airlines joins American in extending 737 Max cancellations through Labor Day
Leslie Josephs, CNBC

Southwest Airlines on Thursday joined its rival American in removing the still-grounded Boeing 737 Max from its schedule through the start of September, the latest sign that the disruptions from the controversial aircraft’s grounding are hitting airlines harder than expected.

Business travellers express nerves over return of 737 Max
Patti Waldmeir and Josh Spero, Financial Times

More than 80 per cent of business travel managers are concerned about flying on the Boeing 737 Max and two-thirds think their employees might change travel plans to avoid the aircraft even after it has been deemed safe to return to the skies, according to a new poll.

Campbell promises bone broth, ‘plant-based cooking platform’ as it looks to reinvent its soup business
Lauren Hirsch, CNBC

Mark Clouse started his tenure as CEO in January after a run in the same position at Pinnacle Foods. Part of Clouse’s mandate has been to revive its soup business, which has contributed to Campbell’s weak performance.

Impossible Burger Shortages Hit White Castle and Red Robin
Deena Shanker et al., Bloomberg

Large restaurant chains Red Robin and White Castle are reporting shortages of Impossible Foods Inc.’s popular meat-free patties, even as the plant-based food producer embarks on a nationwide expansion with Burger King.

Stitch Fix Uses Netflix-Like Algorithms to Help Customers Find Their Style
Sarah McBride, Bloomberg

Removing bias is a large part of the success of Stitch Fix. For a $20 fee, the service mails out clothing to clients based on what it’s come to know about their tastes—not based on their age or ZIP code.

600 companies including Walmart, Costco and Target warn Trump on tariffs
Nathaniel Meyersohn, CNN

American retailers, manufacturers and tech companies warned President Donald Trump on Thursday that tariffs on China will damage the US economy, lead to job losses and harm millions of consumers.

Opinions, Editorials, Perspectives and Research

Stores like Sephora need a lot more than one hour of diversity training
Tansy Breshears, Vox

As a black woman, shopping for makeup can be fraught even when my shades are available.

The Mindfulness Conspiracy
Ronald Purser, The Guardian

It is sold as a force that can help us cope with the ravages of capitalism, but with its inward focus, mindful meditation may be the enemy of activism.

Morning Consult