Home Agencies Analyst: Trading Desks In Pole Position As Programmatic Grabs One-Fifth Of Non-Search Spend

Analyst: Trading Desks In Pole Position As Programmatic Grabs One-Fifth Of Non-Search Spend

SHARE:

pivotal-brian“Trading desks, which include WPP’s Xaxis, Publicis’ Audience on Demand, Omnicom’s Accuen and Interpublic’s Cadreon, probably deployed $2 billion of online spending in the US last year, up from around $1bn in 2012 and may spend up to $3bn in 2013. This represents a substantial change in the context of a market which saw $18 billion in non-search spending during 2012.”

“…The marginal cost of buying incremental impressions is substantially less than it is with the legacy process. Overall, we think that whereas RFP-based buys might consume 10% of spending for agency fees, trading desks might consume closer to 2-5%. In the context of how large marketers make decisions, these fee differences are no small matter.”

-Brian Wieser, Pivotal Research analyst, in a report this morning.

Must Read

The Trade Desk’s Revenue Growth Stalls As Big Brands Tighten Their Belts

“Our revenue growth is below our expectations and below the standard we hold ourselves to,” The Trade Desk CEO Jeff Green told investors.

Comic: Measuremints

Nielsen Is Acquiring DoubleVerify For $2.15 Billion

On Thursday, Nielsen entered into a definitive agreement to acquire DoubleVerify in an all cash transaction valued at approximately $2.15 billion.

WBD Hopes To Buoy Linear TV Long Enough For Streaming To Find Its Way

Warner Bros. Discovery cited softer ad sales growth and the continued decline of linear TV as its reasons for missing investor expectations in Q2. Unsurprisingly, streaming ads are the biggest bright spot on WBD’s earnings report card.

Privacy! Commerce! Connected TV! Read all about it. Subscribe to AdExchanger Newsletters
Comic: The Mobile Freight Train

AppLovin Asks For Patience As It Grows Its Ecommerce And Consumer Ads Business

“We’re deemed a new bucket, so a testing category,” AppLovin CEO told investors regarding its nascent consumer and ecommerce ads business. “And to graduate up takes time. This stuff compounds over quarters and years.”

Magnite Doesn’t Want To Be A DSP. It Just Wants To Own The Decisioning Layer

On Wednesday, Magnite CEO Michael Barrett painted a picture of a company that’s edging into the buy side by adding more DSP-style capabilities for planning and activation.

For Cuisinart, AI-Generated Ads Are As Handy As A Kitchen Blender

Cuisinart’s marketing team has been eager to take advantage of generative AI-based creative.