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	<title>Comments on: On The DoubleClick Ad Exchange: Michael Brunick, Mediabrands Worldwide, Cadreon</title>
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		<title>By: Chris Churchill</title>
		<link>http://www.adexchanger.com/agencies/doubleclick-ad-exchange-michael-brunick-mediabrands-worldwide-cadreon/#comment-1909</link>
		<dc:creator>Chris Churchill</dc:creator>
		<pubDate>Tue, 22 Sep 2009 04:42:43 +0000</pubDate>
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		<description>For two years I have been both a buy and a seller in the adXchanges. I have represented networks, agency, publisher, and advertiser and I don’t think this is going to help the underlying problem; low conversion rates for advertisers. Historically Ad eXchanges have resulted in few conversions for advertisers, thus, advertisers weren’t willing to pay much (understatement of the year). For instance (are you sitting down?), in November 2008 we daisy chained the Double Click adXchange and Adwords, which resulted in a $0.03 eCPM; and that&#039;s with the Q4 push!. We go a $16k check from Google and a $25k bill from DoubleClick (don’t forget that ad serving cost are incremental and run more than $0.03, so, this has been a losing game. Thus, premium publisher are out of the picture and the AdXchange business has been tough. 
If somehow the AdXchange connectivity to Adwords and AdSence now raises the eCPM and the AdXchange somehow starts miraculously converting for advertisers , display ads will have a new life, but that remains to be seen. As for how this scenario will affect the industry; if it works then there will be no great change - everyone will fall into their comfort zone: Agencies will buy, networks will arbitrage, publisher will distribute, and so on. TV will once again suffer the most. I hope it works, I could use a comfort zone ;)</description>
		<content:encoded><![CDATA[<p>For two years I have been both a buy and a seller in the adXchanges. I have represented networks, agency, publisher, and advertiser and I don’t think this is going to help the underlying problem; low conversion rates for advertisers. Historically Ad eXchanges have resulted in few conversions for advertisers, thus, advertisers weren’t willing to pay much (understatement of the year). For instance (are you sitting down?), in November 2008 we daisy chained the Double Click adXchange and Adwords, which resulted in a $0.03 eCPM; and that's with the Q4 push!. We go a $16k check from Google and a $25k bill from DoubleClick (don’t forget that ad serving cost are incremental and run more than $0.03, so, this has been a losing game. Thus, premium publisher are out of the picture and the AdXchange business has been tough.<br />
If somehow the AdXchange connectivity to Adwords and AdSence now raises the eCPM and the AdXchange somehow starts miraculously converting for advertisers , display ads will have a new life, but that remains to be seen. As for how this scenario will affect the industry; if it works then there will be no great change - everyone will fall into their comfort zone: Agencies will buy, networks will arbitrage, publisher will distribute, and so on. TV will once again suffer the most. I hope it works, I could use a comfort zone <img src='http://www.adexchanger.com/wp-includes/images/smilies/icon_wink.gif' alt=';)' class='wp-smiley' /> </p>
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