Selling inventory to multiple advertisers Direct advertisers, ad networks and ad exchanges

Publishers can sell advertising space to different types of organisation Advertisers that buy space directly from individual web publishers Ad networks Ad exchanges Direct advertisers Sell space (inventory) on behalf of multiple websites to multiple websites Generally take a “revenue share” Examples: Google Adsense, Commission Junction, Tradedoubler Auction inventory to the highest paying advertiser / ad network Different models Examples: Right Media, Traffiq, ADSDAQ

Advertisers that buy space directly from individual web publishers

Sell space (inventory) on behalf of multiple websites to multiple websites

Generally take a “revenue share”

Examples: Google Adsense, Commission Junction, Tradedoubler

Auction inventory to the highest paying advertiser / ad network

Different models

Examples: Right Media, Traffiq, ADSDAQ

Direct advertisers are attractive buyers for publishers’ inventory, where publishers can find them Benefits Hardest to find / negotiate with Often not interested in dealing with individual publishers Time consuming Seeking websites with proven reputation Pay the best rates No middle men taking a cut Relevant ads Advertiser seeking websites with relevant audiences Disadvantages

Hardest to find / negotiate with

Often not interested in dealing with individual publishers

Time consuming

Seeking websites with proven reputation

Pay the best rates

No middle men taking a cut

Relevant ads

Advertiser seeking websites with relevant audiences

Ad networks give publishers access to a large numbers of advertisers Benefits Hard for publishers to measure “value” ad network is adding Makes it hard to compare performance of different networks Can be costly Some revenue share deals only leave publishers with a small cut of the advertising spend. Make large numbers of advertisers available to each publisher Minimize amount of work publisher needs to do to serve ads, e.g. technical work manage relationship with advertisers Disadvantages

Hard for publishers to measure “value” ad network is adding

Makes it hard to compare performance of different networks

Can be costly

Some revenue share deals only leave publishers with a small cut of the advertising spend.

Make large numbers of advertisers available to each publisher

Minimize amount of work publisher needs to do to serve ads, e.g.

technical work

manage relationship with advertisers

Ad exchanges offer publishers an exciting alternative route to sell inventory Benefits Different ad exchanges offer different models Real time auction vs prepay It can be unclear which model provides publishers with the best deals Should maximize revenue by selling inventory (advertising space) to the highest paying bidder Disadvantages

Different ad exchanges offer different models

Real time auction vs prepay

It can be unclear which model provides publishers with the best deals

Should maximize revenue by selling inventory (advertising space) to the highest paying bidder

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