Delivering value to brand advertisers online

Joe Marchese at MediaPost explains why it’s so hard to get brand advertising onto websites at prices that will appeal to publishers.

…the issue with bringing branding online isn’t with the marketers and agencies, it is with the publisher side, maybe with some help from the marketers, of course ;-). Publishers can create “impressions” simply by adding ad units, but adding ad units don’t magically increase the amount of consumer attention in the world, or even on a given page. What publishers have that is of value to brand advertisers is consumer attention. In order to prove valuable to brand advertisers, publisher must find a way to share their audience’s limited attention with marketers in a FAIR exchange of value.

The question, of course, is how can online publishers increase advertising rates to make up for a reduction in impressions.

The marketer’s role in this is twofold: 1. Don’t force publishers’ hands by arguing both sides. Marketers can’t claim they value the opportunity to guarantee the delivery of a message to consumers, then when presented with such an opportunity, cite the lowest ad network CPM rate they have been quoted for negotiation purposes. 2. Build creative that is meant to be a contained brand experience/engagement. Engagements are not traffic generators. People don’t necessarily want to visit a brand’s website at the drop of a hat…

Marchese argues that publishers and ad networks need to do a better job of defining and delivering value for brand advertisers.

One Comment

  1. It could be argued that brand advertisers need to rethink their online advertising strategy.

    Brand advertising might work for mass media venues, but most of the web is made up of demographic/interest sub-groups.

    An advertiser might be better off creating a direct response ad that appeals to the group that is viewing a particular website.

    Yes, it’s more work – but I’d bet the CTR is much higher and the ROI is much higher too.

    The thing is, most brand advertisers haven’t a clue what their ROI on a campaign is, so they just try to shout louder and louder for less and less money.

    That doesn’t drive sales, does little to drive “brand awareness” (whatever that is) and slowly kills the media on which they advertise. It’s a downward spiral.

    A well targeted ad in well targeted media will produce a higher ROI, higher (deserved) CPMs and… oh, we forgot them, happier website viewers who come across ads that actually have appeal.

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