The future of online advertising, like the NASDAQ !
November 12, 2007 at 4:41 pm | In Advertising, Marketing 2.0 | Leave a CommentTags: Adbrite, adify, ads click, Advertising, Marketing 2.0, Quigo, rightmedia, Turn, Wunderloop
Like on the NASDAQ, or on a stock market, online advertising will trade on electronic markets in all available formats, from mobile to video, including sponsored links. Marketplaces are getting their “investments” ready to take the best places on a market estimated at over B100$ in 2009.
Today, Adbrite, Rightmedia, Ads-Click, Quigo, Adify, Turn, Wunderloop are getting ready to conquer these markets, whose progressions are huge.
Who will defy GoogleClick?
Google is behind in this field, stuck in the opaque Adwords and Adsense model which dates back to 2002. The online advertising giant has just bought Doubleclick, just as the company has announced the near release of an Ad exchanges technology. The sign of a fundamental strategic swerve for the search engine which aims to become a universal marketplace.
Another sign of the times, Yahoo wants to stay in touch by investing in Rightmedia, while in parallel launching Panama, a platform inherited from Overture.
Ad Exchanges
November 12, 2007 at 4:34 pm | In Advertising | Leave a CommentTags: adify, adsense, Advertising, adwords, doubleclick, google, rightmedia
Before and after the announcement on the possible acquisition of Doubleclick by Google, many articles talked about “Ad exchanges”:
What are Ad exchanges?
It is a network where advertisers and publishers are put in direct relationship via auctions on spaces or keywords. Like on eBay, buyers and sellers can see the best prices.
Example: a publisher supplied by the Adsense advertisement flux cannot decide on the price of keywords or spaces on his site. With Ads-click, it’s possible; a vertical portal will be able to set a higher CPC price depending on his audience which is more qualified. Today, Google and the other ad networks ignore these parameters.
The logic of the Ad exchanges concept is a network entirely managed by all the sector’s actors, publishers, advertisers and SEM companies unlike the current networks such as Google, Yahoo or Miva who are controlled by their owners. It is therefore a transparent network which is being built around the world’s oldest values, supply and demand, thereby creating the future’s marketplaces.
Mark Kingdon, CEO of Organic, Inc.’s interview on the subject by Om
Extract:
Om: If you look beyond today, how does this acqusition help Google? Does this buy them time, as the advertising industry tries and figure out its future models?
Mark: Advertisers buy what they know and they innovate on the edge so Google is expanding its relationships and market coverage. Everything that’s happening on the edge is having a gut-wrenching impact on the big middle. Think about YouTube and its impact on big media. Business models are slow to change when billions of dollars are at stake.
Om: Both Google and DoubleClick are moving ahead and setting up ad-exchanges. Are they a key component to this deal?
Mark: TBD. It sounds like an obvious direction for Google to take. Add in real- or near-real time optimization across different digital media and you have a mouth-watering concept. Everything from commodities to collectibles are sold on exchanges so why not ads? Here’s why: there is a big business built on the buying and selling of ad space. It comfortable, familiar and very profitable for the participants.
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