The PubMatic Blog

AdRevenue 09: October 8th, NYC

Friday, March 27th, 2009

It seems like our AdRevenue 08 conference wasn’t too long ago, but we’re already gearing up for AdRevenue 09, happening 10/08/09.  This time we’re moving the conference from San Francisco to NYC.  AdRevenue 08 was oversubscribed by 50%, and despite the tough economic conditions we expect to have a full house this year as well.

The focus will be slightly different from last year’s. We’re still focused on strategies to increase revenue publishers make from their unsold inventory, but we’re also zooming out slightly to put the entire online display advertising ecosystem into perspective for clients and agencies, media buying platforms, ad networks and exchanges, publisher optimizers, data exchanges, and of course large publishers themselves.

Many things have changed in this space during the past year. The fundamentals for how online display advertising is bought and sold are rapidly evolving.  There has been a steady rise of new segments and players within this ecosystem, advertisers are increasingly demanding more transparency, and many companies are finding that the very core of the businesses they’ve built over decades are changing in a matter of a couple of years.

AdRevenue 09 is going to take an eye opening approach to demonstrating how this digital ecosystem isn’t unlike ecosystems in nature,” the segments in this ecosystem are all intertwined on some level and when one segment has radical changes, it will have an effect that will be felt by all of us in this space, for good or for bad.  And those are the scenarios we aim to explore at this event.  I’ve never seen anything done like this, so I’m personally as excited to learn as I hope the attendees are.

The specific topics need to be extremely timely, and as such we haven’t finalized them yet.  Thought leaders are welcome to submit content ideas via the AdRevenue 09 site, which we’ve soft launched specifically for that purpose.  We’re also creating an advisory board of some the brightest minds in the industry to help select the content, but it will be in line with the aforementioned theme.

We’ll be adding a lot more content to the site and announcing participants, as we get closer to the event.  In the meantime, save the date.  This conference has no intention of trying to be everything to everybody; instead it will be acutely relevant to those that are a part of this particular ecosystem.

PubMatic Enters Into the Next Stage of Growth With Funding & Launch of Premier

Monday, March 16th, 2009

PubMatic Premier, our ad solution designed specifically for large media companies, was officially launched today.  We’re very excited about the launch, and while today marks the “official” launch, we’ve actually deployed Premier to dozens of our largest publishers over the last several months. What makes PubMatic Premier different is that it is a full service solution with dedicated team members that take the time to understand the needs of publishers they work with.

The launch also marks the beginning of the next stage of growth for PubMatic.  Since our inception we’ve worked with over 5,500 large and medium publishers, and by working with so many publishers over the past three years, we’ve been able to develop and improve exclusive technologies that simply can’t be matched elsewhere.  Now with PubMatic Premier, we’ve added dedicated publisher account teams on top the most advanced revenue generating technology in the industry.

Additionally, Advanced Ad Quality Control, a major component of PubMatic Premier, will help to ensure that a publisher’s brand is protected by not allowing ads on their website that don’t meet their approval.

More details on PubMatic Premier features can be found here.

We also announced today our Series B funding, which has already allowed us to:

* Build a robust team of industry veterans that will be dedicated to working with large publishers to meet their needs

*Expand our offices to New York and Europe

*Continue heavy development of technology that increases revenue with pinpoint precision

As mentioned in previous posts, 2009 is truly a breakout year for PubMatic and for our publishers as they build out and improve their second channel for monetizing online ads by implementing a strong ad network strategy. We’ve got more detailed news to deliver soon on the three bullet points above, in addition to plenty of other exciting announcements and releases in the next few months, so stay tuned.

Announcing the PubMatic Real-Time Monetization API for Increased Efficiency and Effectiveness

Wednesday, February 25th, 2009

Efficiency is more than a feel-good buzzword.  Lack of efficiency has been the cause of problems ranging from slowing the shift of dollars from traditional media into online media to fragmentation of advertising demand across hundreds or thousands of players in the industry.  At the same time, advertising effectiveness has been hampered by a lack of visibility into targetable, actionable data about every ad impression.  After all, every ad impression is unique and represents a unique value to advertisers.

Today, we’ve crossed a major milestone towards helping ad networks and publishers improve efficiency and effectiveness with the official launch of our real-time monetization API (application programming interface).  The API will enable ad networks to connect instantly to transparent publisher inventory and perhaps more importantly, it gives them greater control over the pricing and timing of their campaigns.  Ad networks can target based on standard and advanced parameters.  Publishers enjoy seamless access to a new set of buyers for their ad inventory.  The end result is better monetization for publishers (higher ad rates) and improved control for ad networks and their clients.

The official launch of our API comes after a successful closed beta period involving multiple ad network partners and millions of ad impressions per day.  The benefits for ad networks and publishers are clear -

Benefits for Ad Networks:

  • Increased Reach: Access to over 125 million unique users and thousands of websites
  • Improved Targeting: Ad networks can leverage expanded targeting options including geography, frequency, user re-targeting, ad tag type, and much more
  • Campaign Control: Ad networks have total control over pricing and timing for campaigns

Benefits for Publishers:

  • Increased Monetization: Allowing more ad networks to instantly access publisher inventory increases publisher ad rates and sell through rates
  • Increased Visibility: Dozens of new ad networks can get instant and transparent access to publisher inventory
  • Better User Experience: More premium campaigns and better targeting result in users seeing higher quality and more relevant advertising
  • Zero Integration: PubMatic publishers have instant access to premium campaigns and ad networks via the API, with zero integration effort

We’re very excited to bring our real-time API to you.  This is just the start of many new innovation announcements we’ll have in 2009, so stay tuned.  If you’re a publisher or ad network, and want to learn more, you know where to find us.

We’re Taking Our AdFlex Campaign Fulfillment Service International

Thursday, February 12th, 2009

In September of last year, we launched AdFlex, the first entirely transparent campaign fulfillment service designed to provide ad networks with on-demand publisher inventory.  Since that time, we’ve connected dozens of ad networks to hundreds of publishers in order to fulfill high CPM campaigns, and we’ve increased revenue for both along the way.  Now we’re expanding AdFlex to offer AdFlex International.

We’ve seen that as much as 30-40% of a typical U.S. publisher’s traffic is international, so introducing AdFlex International is a natural extension of our service that will help both our ad network partners and publisher partners alike.

With AdFlex International, ad networks can target qualified international inventory based on specific targeting requirements including geography, frequency, or user re-targeting.  There are no long-term contracts required to give ad networks the flexibility to access highly transparent inventory, and ad networks can use AdFlex International for repeated and single campaigns.

Since ad networks are leveraging certified inventory provided by online publishers using PubMatic’s ad optimization platform, our publishers are also able to see significant lifts in their revenue by participating in premium-priced AdFlex campaigns.

We’ve worked with some great partners on AdFlex International before rolling it out, and they’ve seen the same level of success as ad networks that have been using AdFlex for months.  So we look forward to the opportunity to continue helping our partners better monetize international traffic.

AdRevenue 08 Was a Hit

Friday, November 21st, 2008

We’d like to thank everyone that came out to the AdRevenue 08 conference last Friday. We followed a simple strategy: keep AdRevenue 08 interesting by fostering conversation around important issues that most other conferences are simply not addressing in detail, and bring in the brightest and most outspoken panelists to keep it entertaining. It worked. Check out the first panel of the day, The Real Difference Between Ad Networks, Ad Exchanges, and Ad Optimizers.

  • Moderated by Chris Moore, Partner at Redpoint Ventures and featuring:
  • Anand Subramanian, CEO, ContextWeb
  • Dave Zinman, Vice President, Display Network, Yahoo! Inc.
  • Jeff Green, COO, AdECN
  • Matthew Boyd, SVP, Western Sales, ValueClick Media
  • Michael Rubenstein, Director, Ad Exchange, Google, Inc.
  • Rajeev Goel, Co-Founder and President, PubMatic

Although PubMatic developed the conference and topics, it was everyone that participated in it that made it such a success. Special thanks go out to: The Attendees: We were humbled by the large turnout and the level of engagement from the audience. Many attendees traveled a long way to attend the event, some from as far away as Europe and New Zealand!

Our Keynote speaker, Barry Parr from Forrester Research: Barry gave an opening keynote on the state of digital advertising that was both incredibly timely and informative; it was also unique since it came from an analyst’s perspective. We had a sizeable number of people asking to get a copy of that keynote.

Our Moderators: Chirs Moore of RedPoint Ventures, Ravi Belani at DFJ, Adam Gerber of Quantcast, and Brian Morrissey of AdWeek who came all the way from NYC . Each an expert in their own right, they kept the flow of the conference going and the audience engaged by asking provocative questions to the panelists.

Our Panelists: We managed to get Microsoft and Yahoo! to sit next to each other!

Our Sponsors: Eric McAlpine and the BlackStone Group, Kevin Lin and Justin.tv, Allen Stern, the mastermind behind Center Networks, Justin Smith at Inside Facebook, Myles Weissleder of SF NewTech, Joey, Surge, and the entire GigaOm crew, Karen Hartline at Mashable, and our good friend Mike Nolet who always writes in-depth and informative posts on his blog, Mike on Ads.

Eventbrite: Jack Mardack over at Eventrbrite made managing this event a breeze and helped promote it. I think Jack answered all of my emails within 10 minutes – we were impressed.

And last, but not least, the entire PubMatic team who has been working on this event since last summer… they did a fantastic job and I appreciate their dedication to improving our company, helping our clients, and maintaining our position as thought leaders in the industry.

Why Many Publishers Need to Rethink Their Ad Revenue Strategy

Monday, August 18th, 2008

The Interactive Advertising Bureau and Bain Consulting recently issued a report on the implications of the growth of ad networks for publishers and publisher’s ad revenues.  The report is interesting because it’s one of the first reports developed by professional consultants that examines how publishers are managing their unsold ad inventory, the extent to which ad networks are helping them, and the issues that publishers face as a result.

Some of the more interesting key findings with respect to ad pricing:
*30% of Internet ad spend, or $9B per year, is display inventory (as opposed to search, email advertising, classifieds, etc.)
*Of that $9B, 10% by impression volume is sold directly to ad agencies or advertisers, and 90% is sold through networks
*Also of that $9B, 70% by revenue volume is sold directly, and 30% is sold through ad networks
*Network eCPMs are about 1/15th of direct sold eCPMs

Some of the more interesting qualitative key finds are:
*Use of ad networks increased dramatically, from 5% of sold inventory in 2006 to 30% in 2007
*Publishers are struggling with limited staff resources and tools to optimize CPMs and inventory yield, as well as data on ad network volumes and pricing
*Publishers who actively manage and use multiple networks report higher average ad network CPMs
*Publishers should develop and closely manage relationships with multiple secondary channels – including horizontal ad networks, vertical networks and other “specialty” networks

The team at PubMatic recognizes these challenges and has been working on them for several years – that’s why thousands of publishers use us to generate 30-70% revenue lift from our technology.

There is a big gap in pricing between ad inventory that is sold directly by a publisher’s sales force vs inventory that is sold via ad networks.  A reason for the difference in pricing is that when a sales person is actively selling inventory, they can do a much better job of representing the value of the inventory to a buyer – who the audience is, what the inventory is about, the quality of the brand behind the inventory, etc.  PubMatic uses advanced contextual, geographic, and increasingly demographic targeting data to represent the value of a publisher’s inventory in ways that publisher’s typically can’t.

Of course, managing multiple ad networks is tough for a publisher; publishers have to login to multiple interfaces to get revenue data, constantly update their ad servers based on new ad network pricing data, and find and establish new ad network relationships.  Moreover, the optimal ad network to fulfill a given impression can vary in real time based on the geography of the user, the topic of the page that the user is on, or ad network default rates.  PubMatic has partnered with dozens of ad networks to help publishers optimize every impression in real time, while at the same time establishing new direct relationships between publishers and ad networks.

Publishers need new levels of efficiency, control, and transparency for their unsold ad inventory in order to maximize their revenue.  Contact us if you want to learn more about how we can help you.

You can view full report online here.