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Reed Smith Ad Bites #8: Price, Ad Quality, and Unlocking “20% Found Value”

Reed Smith formed part of the core team drafting the seminal ANA Programmatic Media Supply Chain study. Our RS Ad Bites breaks down each of the findings and delivers a key consideration when thinking about a marketer’s contractual relationship with its agency or vendor partner with respect to programmatic buying to protect your bottom line.

Below is the eighth in our series. The full report can be found at ana.net.

Price, Ad Quality, and Unlocking “20% Found Value”

Marketers should aim to evaluate the efficacy of their programmatic advertising efforts to pinpoint inefficiencies, unlock untapped value, and enhance decision-making based on both the cost of ad inventory and the quality of advertising placements. Although the study did not find a direct correlation between pricing and quality in display and video advertising, it suggests that the predominant focus on cost reduction may overshadow considerations of inventory quality. The findings do indicate that by measuring and valuing inventory based on quality, advertisers could potentially boost ad spend productivity by approximately 20%. This not only benefits marketers directly but also holds promise for fostering industry-wide improvements, such as incentivizing publishers to offer higher-quality inventory. 

Access to log-level data empowers marketers to evaluate the effectiveness of their ad spend and optimize their strategies according to their specific objectives. 

The recommended playbook is:

  1. Obtain access to log-level data from DSPs, ad verification providers, and SSPs either internally or through a third-party provider.
  2. Define and implement myTrueImpression to quantify the value of ad spend practices.
  3. Set objectives and develop strategies for securing inventory that aligns with your preferences. 
Access to log-level data empowers marketers to evaluate the effectiveness of their ad spend and optimize their strategies according to their specific objectives.

Tags

ana, entertainment & media