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Study: Online Ad Prices in “Holding Pattern”

Written on
Jul 15, 2008 
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Kathleen  |
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Study: Online Ad Prices in “Holding Pattern”

arrowdown.jpgADOTAS – PubMatic has just released some bearish stats: for the third month in a row, its PubMatic AdPrice Index, online ad prices have slipped a smidge. While the decline has been nominal (less than 1%), PubMatic said that the findings lends “credibility to the argument that the slowness in the U.S. economy continues to affect online ad pricing.”

The biggest losers were vertical news and gaming sites and small Web sites – but vertical entertainment sites actually grew.

The nitty-gritty:

• On average, Web site monetization decreased by less than 1% from $0.37 in May to $.036 in June. (Pricing data reflects net publisher monetization via ad networks and excludes ad networks’ share of ad spends as well as inventory sold directly by publishers to ad agencies or advertisers).
• By size, small size Web sites had the largest drop to $0.81 in June, down from $1.13 in May.
• By vertical, News and Gaming had significant drops, sliding $0.62 and $0.20, respectively.
• Entertainment showed the only increase jumping $0.11 from $0.29 in May to $0.40 in June.

“Online advertising is in a holding pattern like many sectors of the U.S. economy,” said Rajeev Goel, cofounder and general manager of PubMatic.

The PubMatic AdPrice Index is comprised of more than 4,000 sites, 85% of which are U.S.-based.





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