Advertisers Allured by Private Marketplaces

Written on
Apr 4, 2011 
Gavin Dunaway  |

privateADOTAS - Brands, are you really ready for RTB, or are you just saying that so you sound cool? In a recent PubMatic survey of 640 online ad executives (71% on the buy side, 29% on the sell), 62% of advertisers reported using RTB in their digital ad campaigns.

The drag? Only 20% of publishers have opened up inventory for RTB.

However, pubs will be interested to hear that 74% of advertisers would increase their RTB budgets if they could buy directly from premium publishers through private marketplaces (which sounds a bit naughty…) that leveraged the technology. For example, Admeld has been setting up and operating private ad exchanges for the likes of The Weather Channel, IDG and a supergroup of print-based pubs.

“Advertisers and agencies were very clear about wanting the ability to buy RTB campaigns directly from premium publishers because they get a guaranteed brand safe environment with the targeting sophistication of RTB,” said Rajeev Goel, cofounder and CEO of PubMatic. “Private Marketplaces are changing the way that display advertising is purchased – the precision targeting of RTB coupled with the transparency of direct publisher sales will significantly increase the size of the display advertising market.”

In general, 97% of advertisers will employ audience targeting in their 2011 digital campaigns, while 47% said half their online ad budgets were going toward audience-targeted campaigns.

Gavin Dunaway is Editor, U.S. at AdMonsters, a leading trade publication, event producer and service provider for the online advertising industry. Previously, he had been Senior Editor of Adotas, where he arrived after years of ping-ponging around various industry publications. This Washington, D.C. native and George Mason University graduate also enjoys playing electric guitar so loud that the walls shake.

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