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Ad pricing

Articles and advice about advertising pricing issues (e.g., CPM vs. CPA vs. sponsorship, trends in price rates, advice for gaining leverage, etc.)

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PubMatic Launches Real Time Ad Price Prediction Tool

A tool called Ad Price Prediction - released by online ad revenue optimization service PubMatic - could help publishers predict the cost of an ad unit in real time. The predictions (pdf) are based on real time API pricing and machined algorithms. The tool has apparently already created a 70% increase on ad inventory for ten major publishers who participated in a beta trial of the unit,  [...]

Global Ad Forecast 'Finally Stops Tumbling'

Worldwide ad spend in measured media is expected to drop 5.5% to $417 billion in 2009 but will experience a mild recovery in 2010 with a decline of only 1.4%, or $411 billion, according to (pdf) the latest 70-country forecast report from GroupM.   [...]

Mixpo Offers Low Risk Online Video Ad Trials

Local broadcasters and cable operators who want to try out online video but don't have the budget can now try their hand at online advertising using online video advertising company Mixpo’s services to test their video platform with very little risk involved, writes Bizreport. Mixpo aspires to help local broadcasters and cable operators create and deliver a  [...]

Marketers Struggle to Realize Global Reach

The top 50 US websites are getting more traffic from abroad than from within their own borders, yet few are willing or prepared to tap into that market, AdAge reports. Traditionally, US marketers haven't had much interest in foreign audiences. But today there are more online and media players with an international reach, including Facebook, News Corp.'s MySpace, and Viacom, with its MTV and V  [...]

How To: Strengthen Your Pay-Per-Click Chops

Effective PPC management demands persistence, creativity, and discipline. The following steps should help strengthen your campaigns and help to determine and meet your ROI goals (via NVI Solutions). 1. Keywords Regularly adding new keywords to your ad groups will help you capitalize on new or missed traffic. Use  [...]

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PageGage Takes Content-Crunching Legwork Out of Display Ad ROI

This week FatTail launches the PageGage RAFT (reach and frequency tool), whose aim is to enable online publishers to squeeze more profit out of their display ad inventory. RAFT automatically combines ad contract data and site content by buying search traffic at a low rate and guiding that traffic to the pages most in need of an impressions boost, according to MediaPost. A client dashboard provides page  [...]

Digg Users Determine Ad Rates by Relevance

Social news giant Digg announced a new ad platform called Digg Ads, which will let users control what ads appear on the website by voting up or "burying" ads, much the way they can "bury" stories. Digg has struggled to generate a positive cash flow, and the company is seeking ways to bring ad revenue up: from hiring a top Yahoo sales chief, to   [...]

OpenX Scores $10 Mil in Series C

OpenX has reported raising another $10 million in Series C funding, bringing the total investment in the open-source ad server to more than $30.8 million. Many investors from previous rounds pitched in again, including Accel Partners, Index Venture, Mangrove Capital, First Round Capital, and digital media head of News Corp Jon Miller, who is also chairman of Open  [...]

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IAB's Click Measurement Guidelines Filter Frauds

The Interactive Advertising Bureau (IAB) has released its Click Measurement Guidelines, the parameters with which publishers and advertisers can uniformly sell and buy cost-per-click advertising. In addition to helping identify and discard fraudulent clicks, the Guidelines: Define the life-cycle of a "click," and the standard by which clicks should be measured and counted. Provide agnostic terms to streamline the  [...]

Ad Spend Slides Steeply, down 9.2% in Q4: TNS

4Q08 saw US ad spend fall steeply, down 9.2% from the year-earlier period, according to TNS Media Intelligence (via MediaBuyerPlanner). That's twice the 4.1% drop for the year as a whole. TNS said spend shall continue to fall steeply in 2009. Total spending for the year was $141.7 billion. Auto advertisers sliced spending by 15% to $2.3 billion last year, while the country's largest adve  [...]

Online Video Advertising Makes Good in Challenging Clime

Interactive ad agencies are confident that the video advertising category will continue to perform, despite a challenging economy and an increased focus on performance advertising, according to a survey by BrightRoll. The survey is part of BrightRoll's Q1 2009 Video Advertising Report (pdf). Brightroll polled nearly  [...]

GOOG to Serve 'Premium' News, Unbidden, to Users

At a Hollywood party last week, CEO Eric Schmidt of Google revealed the search giant's intentions to provide a "solution" to the collapsing newsprint industry. "Schmidt is distinctly aware of the newsprint meltdown going on in an information world dominated by his company, and that [the Google News] system only works as long as there is someone to report the news that his system delivers to readers," wrote The Wrap's Sharon Waxman, after sp  [...]

ADSDAQ to Provide Real-Time Impression-Based Bidding Service

ContextWeb -- which runs the ADSDAQ Ad Exchange -- has launched a real-time impression-based bidding platform whose API enables clients to purchase media from the ADSDAQ in real-time. The offering is targeted to digital ad agencies and ad networks. "With ADSDAQ’s Real Time API buyers can marry their own proprietary client data with impression attributes available from the exchange to m  [...]

Bandwidth-Thirsty Developing World Poses Threat to Web's Bottom Line

Photo-sharing sites, social networks, and video distributors (e.g., Flickr, Facebook, YouTube) are booming in developing nations like Turkey, India, and Brazil - but struggling to turn a profit from online advertising alone. Internet entrepreneurs have always operated under the ideals of uniting everyone in a single online "village" by providing free services to   [...]

Millennial Media Releases Mobile Ad Scorecard

Millennial Media has created a Scorecard for Mobile Advertising Reach and Targeting (SMART), a snapshot of monthly mobile advertising campaign data. After registering for the scorecard, brand advertisers are privy to key metrics observed through the mobile ad network’s campaign and network traffic, such as targeting and handset information. As the scorecard is advertiser-focused rather than publisher-focused, it   [...]

Zenith Optimedia Sees -6.9% Worldwide Ad Growth

New amended forecasts from Zenith Optimedia now predict (pdf) that global ad spend will decline 6.9% over the course of 2009. This represents a downward revision from late 2008 numbers tha  [...]

Carat Projects US Ad Spend to Tumble 9.8% in ‘09

Carat revised its global advertising spend predictions downward. The Aegis media buying agency network is now saying that global ad spending will slip 5.8%, down from its previous prediction of 4.8% growth (forecast last August). Ad spend in the U.S. will be down a dismal 9.8%, from a previously forecast 3.1% rise, according to Carat (via MediaBuyerPlanner).The UK will be down more than 7%  [...]

comScore Scrutinizes Faulty Online Ad Operations

Recent research by comScore indicates that just a fraction of campaign impressions reach their intended audience with the desired frequency, reports ClickZ. Out of eight US brand campaigns with budgets between $400,000 and $2 million, not one reached more than 20% of their target with a frequency of four impressions or less. And even those with over 4 impressions failed to hit the 40% mark for on-target delivery, comScore found.   [...]

Online Ad Spend to Shrink for First Time Since '01

US online ad spend in the first-quarter of 2009 will shrink year-over-year for the first time since the dot-com bubble burst in 2001, according to a recent forecast from IDC (via NetworkWorld and MarketingCharts). In preliminary results,   [...]

Yahoo Reduces Minimum Bids On Inactive Keywords

In a bid to boost revenue on its pay-per-click service, Yahoo's management sent messages to advertisers, informing them that minimum bid amounts on certain keywords have been lowered. (Previous bid floors were pegged at $0.10.) The measure is directed toward inactive keywords, rather than active ones,   [...]

Amazon Explores PPC Model on Product Pages

Amazon.com debuted an affiliate advertising feature called Product Ads on Amazon, which enables e-commerce sites to promote their own wares on Amazon's product pages. Ads can consist of both a price and product image. "Amazon will display your ads in highly targeted placements," -- including positions beside the shopping cart button, according to the program description.   [...]

European Ad Spend on Positive Growth Trajectory

Forrester Research estimates that growth in European online ad spend will slow to 10% in '09, down from 30% annual growth in '07. The "European Online Advertising Through 2013" report is somewhat more optimistic than forecasts from other firms, including E-Consultancy, Enders Analysis and GroupM, which projected growth in the market under 10%, reports MarketingCharts.   [...]

Three of Four Execs Replace In-Person Events with Virtual

Three-fourths (76%) of corporate executives say they currently use, or plan to use, virtual events to replace physical ones in 2009. Most predict a steep decline for in-person trade shows, conventions and training seminars, according to a survey by ON24, Inc. (  [...]

Click Fraud Hits 17.1% in Q4, Highest in 2 Years

Click Forensics reports click fraud rates hit 17.1% in 4Q08, versus 16.6% in the same period in 2007. According to CEO Tom Cuthbert, three components contributed to the rise: more dollars filtering into pay-per-click (PPC); increased competition in the click firm industry; and rises in cybercrime and botnet activity resulting from the poor economy. The average click fraud rate for PPC ads across major sites like AdSense and Yahoo Publisher Netwo  [...]

YHOO Takes Q4 Loss of $303M; Bartz Keeps Eye on Silver Lining

In her first earning call for Yahoo, just-inaugurated CEO Carol Bartz touted the company's "wonderful energy" and vowed to directly address any viability issues Yahoo faces. She also denied any intention to sell Yahoo or any of its services, and did not indicate plans to reopen acquisition talks with Microsoft. "I would just make a plea that this is a fantastic Internet property and really doesn't deserve everybody trying to pick it and pull it apart," she is   [...]

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