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eBay Testing Online Exchange for TV Ads

Written on

Aug 4, 2006 

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Sarah Novotny  |

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eBay Testing Online Exchange for TV Ads

According to an Adweek report, eBay is powering an e-Media Exchange to supplement the annual upfront marketplace for TV advertisers. The online auction-style exchange allows users to buy and sell TV ads, though logistics and ground rules have yet to be refined.

The electronic platform, framework, and technology will be supplied and managed by eBay, while www.admarketpilot.com will allow marketers, media companies, and agencies to participate. Currently, a dozen marketers have signed onto the Exchange, including Lexus and Wal-Mart, while Brown-Forman, Home Depot, Intel, Hewlett-Packard, and Microsoft are also rumored to be participants.

According to Ann Bybee, corporate manager of advertising and product strategy at Lexus, a steering committee will be meeting in September at eBay’s headquarters to discuss to discuss the operational details, allowing the system to go live early next year.

“There is a lot of new technology that we should be looking at,” Bybee said. “We have had a process in place for many years, and we need to see if there is a better way to do it, to achieve better efficiencies.”

In the existing process, companies buy about 75% of their ads at the annual upfront market and spend the remaining 25% of their budgets on the scatter market, for which the e-Media Exchange provides an alternative.

The Association of National Advertisers and the American Association of Advertising Agencies have endorsed the project. Agency participants include Interpublic Group’s Magna Global, Omnicom Group’s PHD, Aegis Group’s Carat, and Publicis Groupe’s ZenithOptimedia.

Tags: auction-based_advertising and eBay

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