Tag Archives: digiday

Do viewable impressions actually present a bigger opportunity than threat?

Forest FireViewability, probably second the ‘native’, has been the hot topic in ad tech for at least a year. The issue, on its face, is a simple one: Advertisers want to only pay for online ads that at least have a chance, that is to say are in the viewable area of a device or browser, of being seen by the user. Once again we are hoisted (held accountable to) our petard (crowing about how we are the most measurable media). Obviously magazine advertisers are charged whether someone looks at the page or not — or even half the page for less than a second.

However, in the US alone this year ComScore predicts over 4 trillion online display ads will be served. Xaxis stated that it last year it paid more than $750M for more than 3 trillion ads. Woah. That’s a lot of ads and, if my math is right, it comes out to a CPM of $0.25. Not very impressive for the most measurable, fastest growing, and arguably most watched medium in history. Maybe it’s because advertisers already know that somewhere between 25% and 40% of those ads are never going to be seen by anyone. Now, granted, even at the higher end of that estimation, the adjusted price is still only $0.42 CPM. Now, if tomorrow all publishers were somehow magically able to remove all unviewed ads and advertisers began to pay only for ads that were ‘viewed’ would the advertisers agree to a 67% increase in rates for the pleasure? I guess the market would decide but I’m inclined to suggest that no. They would not.

However, there’s an opportunity for premium publishers here to clear out a lot of dead brush, refocus on the ad units on their pages, and not make the same mistakes as we enter the curvy bit of the hockey stick growth period for mobile. It definitely seems like creating a bit of scarcity in this market would be a good thing. Whether it’s fewer, bigger display ads, innovative mobile formats that aren’t just shoehorn solutions of display ads, or clever native units, I think there is the chance to retool how premium sites operate. This is, in my mind at least, a huge win for everyone in the ecosystem (except maybe display ad serving companies who make money on every ad served).

There’s a bigger, better post in here that needs to be written and I’ll give it the attention it deserves some day soon. However, I think that for now editors, ad sales teams, creatives, agencies, tech companies, and brands need to embrace the need for this clearing out and see it as the opportunity that it is. Like a huge forest fire, it’s scary to watch and sometimes seems like it’s going to destroy everything it touches, but ultimately it’s a net positive and indeed necessary for further growth.

From Digiday:

The biggest adjustment for publishers in the viewability era is the reality that they’ll be serving fewer impressions via the same pages, which in turn means they’ll be making less money per page … which is why many publishers are still wary of the short-term effects of viewability’s widespread adoption.

But viewability can also work in publishers’ favour, at least in theory. If there are fewer, more valuable viewable ads, publishers can pump up the CPMs on their viewable inventory to compensate for the hit they take on their overall impressions.

via Publishers grapple with viewability’s biggest issues | Digiday.

5 takeaways from the Digiday Publishing Summit in Barcelona | Digiday

W BCNEarlier this week I was lucky enough to attend and speak at Digiday’s inaugural European event, the Digital Publisher Forum. The event was a valuable snapshot of the state of the European online ad market in the summer of 2014. Lots of consistent messaging: Native; Programmatic; Mobile; Eroding Publisher Power; ‘Tech Tax’ and other topics that are on everyone’s lips at the moment.

The team was kind enough to prepare a tidy summary of the key themes and takeaways.

I presented on the state and future of Programmatic Trading, with an eye toward risks and opportunities for publishers. One stat I cited was the lack of understanding from CMOs about this type of advertising planning and delivery:

Just 23 percent of CMOs understand programmatic advertising enough to use it in campaigns, according to a Wall Street Journal report. Still, Audra Martin, vp of advertising at the Economist Group, gave a compelling case study. When deployed well, programmatic can allow for premium efficiency at scale.

5 things we learned at the Digiday Publishing Summit in Barcelona | Digiday.

5 signs programmatic advertising is taking off | Digiday

Well this is encouraging. I’m presenting at Digiday’s European Publisher Summit tomorrow on the future directions of Programmatic ad trading. This piece, which they ran on May 14th and only now popped up in one of my feeds, certainly backs up a lot of key points. That’s reassuring.

The only point in this piece that I don’t particularly dwell on in my presentation is the (social) platform aspect. Mainly because it’s an area I don’t know too much about. Except how to annoy people in the UK with with pictures of Barcelona whilst here for a conference.

The main points the author, Taylor Davidon, a venture capitalist with the agency-backed KBS+ Ventures, calls out are:

  • Marketers are getting smarter about programmatic.
  • Programmatic works, therefore it will get more dollars.
  • Native is going programmatic
  • Platforms have embraced programmatic.
  • Programmatic is going far beyond the banner.

“The real challenge around programmatic is not around using the pipes to send more banners,” he said. “Instead, it’s about marrying new formats with content, targeting and data to create a different model for ad deployment that’s native to the experience.” — Taylor Davidon

The one aspect of programmatic that he doesn’t call out that I pay close attention to is the use of and continued availability of increasingly rich and deep data. It think data + mobile will be the oxygen and fuel that will help the programmatic fire burn brightly in the next 12 -18 months.

5 signs programmatic advertising is taking off | Digiday.

Tweaking, updating, and revising my deck for Digiday DPS Barcelona

DigidayThe presentation I gave to kick off the AOP workshop yesterday will be overhauled for my session in Barcelona on June 3. It was a happy accident that I was asked to give two presentations on the state and future of programmatic ad trading within 10 days of each other.

There’s some additional research I’d like to add, a bit more EU rather than UK focus, and some new data that’s come out after the recent spate of programmatic conferences.

Once it’s all done, I’ll pop it up on here for people to view and see. It’s become crystal clear to while pulling this together that the following statements are all probably true:

  1. Mobile is coming faster than you think and the keys to the revenue kingdom there are programmatic and data driven
  2. The cookie is quickly dying as an ad targeting tool
  3. Native will find a home in programmatic in the next 12 months, if not sooner
  4. A tiny fraction of revenue and an even smaller fraction of deals will be done in the ‘traditional’ direct sales-to-sales manner come 12 months from now. Like less than 25% overall.

Without a doubt the next 12 months will see hockeystick growth in the programmatic space and it’ll touch all aspects of online media trading.