Manchester

11

Feb

2011

When it was announced that Specific Media had hired Daniel Stephenson, the former head of digital marketing for the COI, it was suggested his role would involve developing better strategic business and marketing relationships with the firm’s key clients. However, some suggested this could mean the group was creating a platform for direct sales.

Last year, there were two industry terms that seemed to be just about everywhere - DSPs (Demand Side Platforms) and ad exchanges. While versions of both had been around for some time, Google’s acquisition of Invite in Q4 really brought them to people’s attention, suggesting something was happening in the market and that others should follow suit.

MEC Opinion: As more and more DSPs have been set up, publishers have realised putting their inventories into an ad exchange can result in a bidding platform that offers a better yield. So, with ad networks no longer the sole channel for publishers to make money and publishers seeing better returns with exchanges, more could head towards DSPs. If ad network quality begins to slip and there is a superior option elsewhere, budgets could well be moved to the better performing channels.

If ad networks come to a client with a cheap deal to go direct, it might be wise to ask if the quality is actually there to support taking it. While there are ad networks which offer proprietary targeting and behavioural technology - which is still a good enough proposition to consider - it may just be these valuable options that stick around. Advertisers and clients should remember agencies provide an essential point of contact with the skills to negotiate the most effective offers and avoid inefficiency.