3 ms·
> each middleman (usually) adds some kind of value This is the argument that gets made, but very rarely is it true. From Neumann et al in 2019 [1] "When inve
by crowcroft 1y ago
> each middleman (usually) adds some kind of value
This is the argument that gets made, but very rarely is it true.
From Neumann et al in 2019 [1]
"When investigating gender (being male) and age (three different tiers: 18-24, 25-34 and 35-44 years) individually, we find that digital audiences for gender are on average less often correct than random guessing (accuracy of 42.3%)."
If the accuracy of targeting is worse than random guessing on average then it's value is less $0.00. Advertisers would reach more of their target audience by simply buying more media instead of spending money on 'targeting' even after you discount wastage to $0.00 in 'value'.
I agree with everything you're saying about programmatic *in theory*, but I would argue that in practice the whole system is just broken.
[1] https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3203131 https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3203131
- PaulHoule 1y agoI have tried to sell ads and never been able to fill all my inventory and often the rates are poor and the ads brand destroying. If you are The New York Times it is different but a site that makes $1000 /mo in ads can’t afford an ads salesperson and in the big scheme of things that is royalty.
- shortrounddev2 1y agoHave you tried prebid? It lets you send your bid requests to as many exchanges as you want so you can advertise your inventory to as many DSPs as possible
- PaulHoule 1y agoWhen I talk about "sell" I mean sell directly with a human touch. Like the way a newspaper or a network of radio stations has actual salespeople that sell ads.
- Nemo_bis 1y agoIt sounds like a service some company should step up to provide! Make the job of those salespeople easier. Instead of selling "clicks" and "impressions", just sell the damn banner ad. The advertiser sets their budget and target audience, a few suggestions of websites where to run a banner for (x) days show up, the advertiser picks some of them. On the other side same story and the website picks which ads they want to run. Many other models are possible. I wonder why we don't have such competitors. Ah right, because Google abused its monopoly position. :-)