The Wall Street Journal recently reported that venture capitalists see greater value in marketing technology (or MarTech) than advertising technology (or AdTech), simplifying the difference down to a matter of billing structure. AdTech tends to follow a “media-based” business model, whereas MarTech relies on “subscription-based” model.
Media buys might have bigger peaks, but they are also more ephemeral. Subscriptions are predictable, reliable revenue. For venture capitalists, it’s a no brainer. But for digital marketers, the differences between AdTech and MarTech go far deeper than billing structure. They’re rooted in and limited by the data points at their core.
This video delves into those differences, and their influence over how this technology has evolved, to determine whether “MadTech” is really the future or destined to be the next “Kimye.”
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