Ad Exchange News Links for Wednesday, February 18

Ad Exchanges in the NewsRecent ad exchange-related news… these articles point to the growing importance of performance display advertising. The display ad is definitely not dead.

The Wall Street Journal’s Martin Peers looks at the weak demand in internet advertising and harps on social media being partly the cause of over-supply of inventory.

Nick Gonzalez takes Peers comments further on He suggests that publishers need to add value to their inventory and takes a swing at RightMedia Exchange.

SVP Michael Walrath of RightMedia/Yahoo APT Platform fame was quoted in a Wall Street Journal article regarding the importance of ad targeting and their Smart Ads behavioral targeting product. Walrath says, “budgets may be reduced, but the expectations of driving business aren’t being reduced.”

A BusinessWeek article looks at the interest in CPC advertising vs. CPM. BW’s Jeffrey Rayport writes, “Yes, the Web is effective for brand building, but in dwelling relentlessly on display advertising and CPM pricing, we’re losing focus on the Internet’s real power as a medium for direct marketing and eliciting a response.” In a roundabout way, he cites Pubmatic’s AdPrice Index as a move to CPC, and even CPA, pricing.

Cory Treffeletti of Catalyst SF delivers some link bait on MediaPost in a piece about display advertising called, “The Primary Problem With Online Display Is Audience Value.”

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1 Comment

  1. CPC and CPM are becoming less attractive to advertisers. You’re now getting a massive move towards CPA or “value-added” display campaigns where some CPM is factored into cost.

    Advertisers are cash-straped and want results. CPA is very attractive, but ultimately adds very little to their brand.

    A strong campaign that enocurages brand interaction backed up with top strategic and optimised buying will ultimately work better.

    Good piece by Business Week.