The explosion of data in the ad industry is fuelling structural changes that have reshaped the advertising industry as a whole. An analogy to stock open market place where market forces demand-supply bid into the system driven by efficiencies optimisation. This stock market approach has created a supporting adtech ecosystem segmenting the supply chain between advertisers and publishers and fragmenting the market into a long supply chain of key service and data providers. The need for a data cloud has driven software companies to build bridges between offline customer data & online data. However, advertisers still need to address three key issues; Transparency- remuneration policy and agency fees for hidden services as the ANA report on agency transparency surfaced. Adblocking- challenging the quality of adverts and brand safety as advertisers need to ensure campaigns reaches their audience with a high percentage of viewers skipping ads based on the fact that it’s an ingrained behavior- so creative ads need to lead the way. Ad fraud- ad (ro)bots is an real issue, marketers want a ROI on their ad campaigns and a robot will give zero ROI and zero sales.
Independence and move away from the duopoly with header bidding has driven an in-house tech development for publishers. If header bidder is to make any serious attempt against the Google-Facebook walled garden duopoly then solutions like server-to-server processing will rely on streamlined tags and trackers. Page time loading can be critical in web pages, mainly news and entertainment as users tend to jump away slow loading pages. At the same time the ecosystem is contracting, as one in four trackers have disappeared from the open space in two years. Inventory Value protection has created private marketplaces for premium content. Publishers tend to adopt private marketplace transaction method to protect their inventory. However; 70-80% of revenues for a publisher could still come from the open market place.
In this report:
Europe, UK, France, Germany
List of tables and charts:
- Programmatic video trends
- Supply chain ad value- adtech tax
- Private marketplace vs open market
- M&A of Martec companies
- DMP reveneus
Number of Pages: 45
Number of Tables and Charts: 16
Orpheas Tapanlis is an analyst in the advertising research team, based in London. His research focuses on all media advertising in the CEE region with a particular focus on the future of television advertising.