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Published by PubMatic
This document briefly summarizes the panels and presentations from the Ad Revenue 2009 conference.
This document briefly summarizes the panels and presentations from the Ad Revenue 2009 conference.

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Published by: PubMatic on Oct 19, 2009
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Ad Revenue 2009
Presentations and Panel Summariesrom the Premium PublisherConerence - October 8th, NYC
 The Conerence or Premium PublishersOver 400 exectuives representing the world’s biggestonline publishers and advertising companies gatheredat New World Stages in NYC on October 8th to discusshow premium publishers can earn more advertisingrevenue rom the non-guaranteed inventory. The conerence included presenatations and panelseaturing top executives rom companies in the 2ndChannel ecocystem - or intermediaries that work withpremium publishers to increase ad revenue.Greg Stuart (let), Former CEO o the IAB hosted.
Hundreds o online advertising executives listen to a presentationPubMatic team members and attendees enjoying the cocktail hourSeveral companies had booths at Ad Revenue 2009 to show demos.PubMatic CEO, Rajeev Goel (right), welcomes attendees to the event
Ad Revenue 2009
Presentations and Panel Summaries
Opening KeynotePresenter:Amar Goel, Founder and Chairman, PubMaticAmar commented on ndings and trends in the 2nd Channel. As the 2nd Channel was the theme o the conerence, Amardened the 1st and 2nd Channels: the 1st Channel is the guaranteed inventory is what premium publishers sell directly to adver-tisers and agencies with their own direct sales orce, while the 2nd Channel is the non-guaranteed inventory that a publisher sellsthrough intermediaries like ad networks and ad exchanges. The 2nd channel is growing signicantly, according to ThinkEquity, aleading analyst in this space. They estimate that in 3 years the 2nd channel will make up 34% o publisher’s ad revenue, or ap-proximately $10B annually. This is up rom roughly 10% just a ew years back. To better understand what publishers think about the 2nd Channel, PubMatic commissioned Greg Stuart, ormer CEO o theiab, a totally publisher ocused organization, to conduct 30+ interviews with executives o premium publishers over 4 months. The most important nding was that publishers really value revenue in the 2nd Channel, more than anything. But when publish-ers thought about what drives eCPM lit, it was not clearly understood. Almost every interview had a dierent answer. And thatbrings us to the 3rd point. Publishers eel that in the 2nd channel, there is a real lack o transparency and trust. Vendors arepromising the moon, and then not delivering.Amar then talked about what is going to drive the 2nd Channel and revenue as we go orward. First o, in the 2nd Channel, wehave a shit in how media is being bought and sold. This is very dierent than traditional ad sales in the rst channel, where youare selling your audience in aggregate. In the 2nd channel it is very dynamic. Buyers in the 2nd channel are looking or the rightimpression and the right user at the right time. And all this has to happen in real-time because it changes impression to impres-sion and so much o the 2nd channel is perormance oriented. In addition, innovation will continue to be a hallmark o this space.I you look at just the last ew years entities such as ad exchanges, media buying platorms, dynamic creative, and ad revenueoptimizers have all popped up. Last, Amar mentioned that the industry is hoping or an ad price recovery as the economy comesback to lie. PubMatic, rom its own data, has seen CPMs increase 32% year over year.PubMatic sees 9 segments in the 2nd Channel, rom exchanges to ad revenue optimizers to dynamic creative. It is important thatpublishers learn about these segments and understand how they are impacting the 2nd Channel and 34% o their revenue.Panel 1: The Blurring Lines o Ad Exchanges, Ad Marketplaces, and Ad NetworksModerator:Michael Learmonth, Reporter, Digital Media & Advertising, Advertising AgePanelists:Jay Sears, EVP, Strategic Products & Business Development, Context WebPhilip Smolin, GM, Platorm Solutions, Turn Tom Sipple, VP, IAC/Dictionary.comJed Nahum, Director o Network Planning and Strategy, AdECNRob Rasko, President and COO, CPX Interactive This panel sorted out the ever-evolving and bewildering landscape o ad exchanges, ad networks, ad marketplaces, and otherdemand solutions that publishers can choose rom when considering how to monetize their 2nd channel inventory. The panelistsgenerally agreed that the lines that divide ad exchanges rom ad networks and media buying platorms are gray and companies

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