Tag Archives: reports

eMarketer Reports US Native Digital Ad Spend To Top $22 Billion

In their first forecast report on native advertising spending that was recently released, eMarketer projects the spend on native digital ads in the US will exceed $22 billion in 2017 and this will represent about 53% all display ad spend.

US total display spending grew from $33 billion last year to $41.7 billion in 2017. Native digital ad spend will continue grow to over $28 billion in 2018.

Within the ~$22 billion spent on native digital ads in 2017, most of it were on social media platforms particularly on Facebook, but the non-social components are growing fast going from $3.5 billion this year to $5 billion in 2018.

eMarketer’s principal analyst, Lauren Fisher, explained to Mediapost’ Native Insider that social media channels had helped trained advertisers to adopt in-feed native ads leading to the social channels’ 84% share of native ads spending. Learning from that, publishers are starting to adopt a similar in-feed style for native ads instead of relying on only standard banner ads. This, coupled with recent partnerships between native ads platforms and DSPs (ie Nativo and The Trade Desk), should explain the forecasted fast growth in the non-social components.

In-feed native ads will be crucial to publishers as audiences shift towards smaller mobile screens to consume content by scrolling and where publishers will lose the rightrail real estate commonly reserved for banner ads. Moreover, publishers can then command a higher price as advertising clients ask for more custom sponsored content including videos that are not available on big social platforms.

Since native advertising is largely purchased on social platforms, it’s also almost entirely mobile. Native mobile display ad spending will reach $19.5 billion this year, representing a 88.3% share of total native ads, and it is still growing. However, it will only be 64.5% of all US mobile display ad spending in 2017.

eMarketer estimates 84% of all native display ad spending ($18.55 billion) will be transacted programmatically in 2017 because of social media ads, which are mostly transacted via APIs.

Interesting Reading: 4 Key Takeaways From EMarketer’s US Native Digital Display Advertising Forecast

eMarketer Reports US Native Digital Ad Spend To Top $22 Billion

 

Forrester Reports Poor Quality Ads Wasted $7.4 Billions In 2016

Forrester released a new report recently which concluded poor-quality ads cost U.S. marketers $7.4 billion last year and this cost may continue to growth to $10.9 billion by 2021 if the issue of waste is not addressed properly.

While Forrester’s actual report is only available for a fee, MediaPost posted an informative summary of the report. Some of the highlights include:

  • Programmatic media and video are the primary cause of ad fraud spending waste
  • Lack of transparency in the ad tech supply tech greatly contributed
  • Marketers are pushing for standards like for print and television but until then, such waste will remain
  • Without standards, even measuring viewability won’t be useful

 

MAGNA Predicts US Digital Ad Revenue To Reach $80 Billion In 2017

Interpublic Group’s MAGMA recently released their quarterly US Advertising Forecast report and predicted US digital advertising in 2017 will reach $80 billion in sales. This represents an almost 14% (~$10 billion in sales) growth over 2016.

On the flip side, offline ad sales  will fall by about 3% to about $103 billion in 2017, a year without significant political and olympics ads spending.

MAGNA Predicts US Digital Ad Revenue To Reach $80 Billion In 2017

Search is expected to remain the largest revenue generator, bringing in $39 billion, a 13% growth over 2016, while video and social is once again expected to post the strongest growth rates of about 28% each. MAGNA expects the social media vendors (Facebook, Snap, Twitter etc.) will continue to offer new innovative video ad formats to advertisers, including ads in live social streams, leading to social video ad sales to double again in 2017 to reach more than $4 billion, i.e. a third of total US digital video ad sales, and 20% of total social media ad sales.

Digital ad sales are expected to get close to 40% of the industry total in 2017 and are forecast to reach 50% by 2021.

In 2016, digital ad sales beat television (both national and local) ad sales for the first time with ~$70 billion versus ~$67 billion. The gap between digital and television ad sales is expected to widen in 2017 with ~$80 billion versus ~$64 billion.

You can read MAGNA’s summary report below that includes a recap of total media owners advertising revenues in 2016 or download it from their website.

MAGNA Predicts US Digital Ad Revenue To Reach $80 Billion In 2017

Pathmatics Report On Media’s Biggest Spenders In January 2017

Don’t forget, Pathmatics is hosting this month’s LA AdTech panel on “How Ad Fraud And Other Factors Are Changing The Ad Tech Ecosystem” on March 22nd, to be moderated by its CEO Gabe Gottlieb.

Due to the venue size, seating is limited. So, make sure to RSVP now.
How Fraud And Other Factors Are Changing AdTech

Meanwhile, let’s take a quick look back at who Pathmatics identified to be media’s biggest spenders in January 2017. Using their own proprietary ad spend data, Pathmatics found that CBS, while gaining the most number of impression in its industry, it was not the top spender.

1. NBC Universal Television

Total Spend
Total Impressions
Direct Spend
Direct Impressions
$6,195,300
481,174,300
$5,754,900
415,679,800

2. ESPN

Total Spend
Total Impressions
Direct Spend
Direct Impressions
$3,927,300
204,524,500
$3,916,500
201,349,100

3. CBS

Total Spend
Total Impressions
Direct Spend
Direct Impressions
$3,528,600
576,341,400
$2,107,600
78,027,800

4. HBO

Total Spend
Total Impressions
Direct Spend
Direct Impressions
$3,212,900
144,815,300
$3,037,200
114,786,100

5. Starz Entertainment

Total Spend
Total Impressions
Direct Spend
Direct Impressions
$2,751,800
123,136,800
$2,638,300
94,962,800


Source: Pathmatics US Desktop, Mobile, and Video Data, January 1st, 2017 – January 31st, 2017.

In addition to gaining the most impressions among these media buyers but ranking only third in total spend amount, CBS also pushed 211 unique ad creatives, the second most after NBC’s 437 ad creatives. Direct advertising is not important to CBS as it ranked last among these media buyers in the amount spent in that media category.

You can read more about the spend amount by these media buyers on Pathmatics’ own blog.

Please RSVP to the Pathmatics Panel on 3/22 to learn more about how ad fraud, transparency and other factors are changing the ad tech ecosystem! Space is limited.

Pathmatics Report On Media's Biggest Spenders In January 2017

The State Of Digital Ad Fraud Presentation At RampUp 2017

With so many discussions about ad fraud in online marketing and how the ad tech industry is battling it, one can be forgiven if one is not familiar with the nitty-gritty details behind online ad fraud.

Dr. Augustine Fou presented the “State of Digital Ad Fraud” at RampUp 2017, a marketing technology conference in early March. This presentation embedded below is a great way to familiar oneself with why there is online ad fraud (hint: it is very profitable), how does online ad fraud and how it harms both publishers and advertisers.

Learn more about ad fraud from Dr. Augustine Fou:
Dr. Augustine Fou is an industry-recognized thought leader in digital strategy and integrated marketing, and former Chief Digital Officer of Omnicom’s Healthcare Consultancy Group. Dr. Fou has over 20 years of management consulting experience and hands-on experience in creating and optimizing marketing across traditional and digital channels. Dr. Fou teaches digital and integrated marketing at Rutgers University and NYU.
Follow Dr. Augustine Fou on LinkedIn and Twitter. See more presentations on Slideshare.
 The State Of Ad Fraud Presentation At RampUp 2017

GroupM Reports Progress In Fighting Ad Fraud

In February, GroupM published its annual overview on the state of digital marketing and its implications for advertisers. 2017’s report titled “Interaction“, outlines what the firm sees as the key issues and trends facing digital marketers during the coming year.

One key highlight in this report is an update to their 2016 report where they discussed the integrity of the complex issues in the digital supply chain including fraud, viewability, measurement and ad avoidance. GroupM believes that the ad fraud situation has been significantly contained due to aggressive industry responses to this threat.

“It is likely that 2% of the impressions purchased by the biggest advertisers in Western markets remain non-human. Bad as this is (0% is a good number for fraud), the speed of detection and countermeasures seem to have caught and outpaced the development of new fraud strategies.” the GroupM report stated. This progress is due to “new and better detection tools, a coalition of advertisers, publishers and buyers (The Trustworthy Accountability Group TAG) to deploy those tools; and a reduction in the demand for bad supply.”

Download the GroupM 2017 Interaction report directly or click on the cover below.
GroupM 2017 Interaction Report

 

Related: Pathmatics is leading a panel discussion on March 22nd, 2017 to address how ad fraud, brand safety and other industry factors are changing the ad tech ecosystem.
How Fraud And Other Factors Are Changing AdTech

Other highlights from the GroupM 2017 report include:

  • Tools from MOAT, Integral Ad Science and DoubleVerify are well-equipped to measure and track viewability.
  • Ad block usage has peaked and is stabilizing due to growth in app usage (which is closed to adblocking technology and better advertising that can improve the consumer experience. The Coalition for Better Ads, a cross industry initiative set up in the US in September 2016 will lead initiatives for the latter.
  • Artificial Intelligence is growing its impact on the consumer experience. Devices like Amazon’s Echo and Google’s Google Home may become typical part of the everyday shopping routine.
  • Cross channel marketing will become more normalized as consumers combine their digital and analogs together.
  • The report also touches upon opportunities and challenges facing the digital media ecosystem in 2017 as well as subjects such as live video, the resurgence of audio, artificial intelligence and machine learning, AR & VR.

GroupM Reports Progress In Fighting Ad Fraud

Brand Safety And Ad Transparency In Programmatic Are Most Important Issues To Marketers

Trusted Media Brands, a multi-platform media publisher, recently released a research report that surveyed agencies and marketers on their experience with the programmatic media buying process.

This survey, which is commissioned by Advertiser Perceptions in January polled more than 300 agency and client-side marketers from the Advertiser Perceptions Omnibus Panel. The main takeaway from this report is that brand safety, along with audience data targeting and ad transparency are the most important issues to marketers in the digital media buying process.

Related: Pathmatics is leading a panel discussion on March 22nd, 2017 to address how ad fraud, brand safety and other industry factors are changing the ad tech ecosystem.
How Fraud And Other Factors Are Changing AdTech

Other key highlights from the Trusted Media Brands report include

  • Given the proliferation of and concerns regarding fake news, marketers reported that brand safety is more important (81%) than the ability to buy ads programmatically (73%).
  • But they acknowledged (71%) that it is difficult to guarantee brand safe environments while buying programmatically on the open exchange.
  • Buying decision factors that are extremely important to marketers include Audience Target Delivery, Viewability and Brand Safety.
  • In light of all these challenges, half of digital and mobile advertisers are planning to increasing their spending on audience data targeting in the next 12 months.
  • Ad transparency is also very important but more than half the respondents don’t expect programmatic transparency to get better in the short term.

You can download the full report, along with additional charts and graphs, from Trusted Media Brands directly or you can read the report below:

Please RSVP to the Pathmatics Panel on 3/22 to learn more about how ad fraud, transparency and other factors are changing the ad tech ecosystem! Space is limited.

About Trusted Media Brands, Inc.
Trusted Media Brands, Inc. is a visionary, brand-driven multiplatform media company, home to iconic brands like Taste of Home, the world’s largest circulation food media brand; Reader’s Digest; The Family Handyman, America’s leading source for DIY; a suite of highly targeted brands including Birds & Blooms, Country, Country Woman, Farm & Ranch Living and Reminisce; and digital properties which include EnrichU, the Taste Community and Haven Home Media. Trusted Media Brands reaches active consumers who genuinely connect with our blend of uplifting and enduring expertly-curated family, food, health, home improvement, finance and humor content – digitally, via social media, magazines and books, and events and experiences. Founded in 1922 by DeWitt Wallace as The Reader’s Digest Association, one of the first user-generated content publishers, Trusted Media Brands is headquartered in New York City. For more information, visit TMBI.com.

About Advertiser Perceptions
Advertiser Perceptions is the world leader in providing media company executives with the research-based advertiser insight and guidance necessary for producing superior advertiser experiences. The company specializes in determining, analyzing, communicating and applying what advertisers think — their plans, opinions and motivations.

Brand Safety In Programmatic Is Still Most Important Issue To Marketers

Pathmatics Financial Services ad spending report

Pathmatics Releases Financial Services Digital Advertising Report

LA AdTech partner company, Pathmatics, recently released a report on the digital advertising spending for the Financial Services category from the third quarter of 2016. Their report found that Financial Services companies continue to dominating digital advertising spending over other categories, with over $541 Million in Q3 2016, across all channels (desktop, mobile, and video).

Some highlights from the Q3 Top Financial Services Advertisers Report report include:

  • Desktop/display advertising accounts for 62% of the Financial Services industry total ad spend.
  • The Financial Services industry’s direct buys with publishers continue to dominate at 65% of the category’s ad spend.
  • Real Estate publishers are gaining traction with advertisers looking to reach homeowners.
  • In this industry, mobile ad spending ($24M) ranked a distant third to Desktop’s $333M and Video’s $183M in ad spending.
  • Larger brands (AmEx, Citigroup, and Geico) are starting to explore Native advertising.

Get your own copy of the full Q3 Top Financial Services Advertisers Report for a deep dive into the financial services industry’s digital ad strategy in 2016.

Pathmatics Top Financial Services Digital Advertisers Report

Pathmatics provides competitive and market intelligence in online advertising to help brands and agencies understand how their competitors are advertising, where their creative is running, what their spending is across all sorts of channels on digital (ie desktop, mobile, tablet, and video). Pathmatics works with both publishers and ad-tech companies and is backed by Bertelsmann and Upfront Ventures.