Interesting viewpoints: Tim Vanderhook, CEO of Specific Media on RTB (real time bidding:
My belief is that while RTB will continue to exist and do well given the amount of control it has given the buying community, its inherent inability to deliver monetization opportunities to publishers leaves the door open for a new solution to come to market.
via Specific Media Evolves: CEO Tim Vanderhook Looks At Company Strategy And Industry Trends.
I’ve written about Yahoo here and here. Missteps like this are hard to diagnose. I suspect the canary in the coal mine is always losses within the sales organization, leading to disruption. At that point, it’s hard to distinguish whether you’re dealing with a sales issue vs. a product issue. Sounds like Bartz is holding on to the belief that it’s the former and not the latter.
When Yahoo does not manage to sell the available space on its premium pages at a guaranteed high price, it channels the space as Class 2 display into the ad exchanges, where it is sold at much lower rates. In the second quarter, a significant portion of its Class 1 display space in the United States market failed to sell.
via Yahoo Wins Over Users, but Not Advertisers – NYTimes.com.
Some good ad exchange links from the past week:
The big problem with ad exchanges is an abundance of garbage ad inventory that nobody ever actually sees. (DIGIDAY:DAILY – The Ad Exchange Quality Issue)
Adoption of real-time bidding through exchanges is creating challenges for rich media ad firms and advertisers. (Ad Exchanges Present Hurdles for Rich Media Firms | ClickZ)
Mike On Ads » Blog Archive » Top 5 Media Startup Mistakes.
1. Payment terms
2. Porn ads
4. No focus on sales
5. Too much focus on tech
The future of media buying is destined to be more algorithmic, which in turn will make executing these buys less specialized and more expected. One industry analyst suggested the trading desks will see their margins compress as more clients ask questions. What today is 12-15-percent margins will end up following the pattern of search management to arrive back at the 1-2 percent range.
via DIGIDAY:DAILY – The Trouble With Trading Desks.
Google plans to introduce a suite of new features in the coming months that will give advertisers smarter tools aimed at retargeting dynamic ads to potential and existing customers.
via MediaPost Publications Google To Unveil Re-Marketing Tools, Improve Personalization 05/02/2011.
Old news alert-
Google beta tests allowing Ad Exchange buyers to run in-stream video ads on YouTube using real-time bidding technology.
The scale of this is huge so I’m curious to see how it plays out.
And you if you have a few minutes to spare, go check out the A Few Good DSP video. It’s great especially if you’re a fan of A Few Good Men.
This is relevant if you like comparing financial exchanges to online ad exchanges:
Repeat after me: a clearing requirement and an exchange-trading requirement are NOT the same thing.
via Derivatives: What’s a clearinghouse? | The Economist.
To ensure a successful program that enables our clients to really excel, we have developed an on-site internship program for a period of three to six months to grow and develop the skills of a successful media trader. The skills required of a media trader marry the instincts of a marketer with the expertise of a Wall Street trader. They must identify their audience, understand the technology, interpret and utilize data, and then apply new knowledge and insight gained to each campaign. While developing this skill set takes time, we have found that an on-site internship program provides the time and resources necessary to nurture successful media traders.
via Memo to Agencies: Change is Good!.