Yahoo Shuttering Its SSP Is Evidence That Ad Exchanges Are Becoming Interchangeable
Yahoo pulling the plug on its SSP demonstrates how difficult it’s become for supply-side platforms to prove their value in a commoditized marketplace.
Yahoo pulling the plug on its SSP demonstrates how difficult it’s become for supply-side platforms to prove their value in a commoditized marketplace.
Whereas brands and DSPs are whittling down the number of supply paths they use to purchase ad inventory, publishers are financially incentivized to work with as many partners as possible. But there are changes afoot that could alter the economics for publishers.
Sustainability was a hot topic for the advertising industry in 2022. The momentum will only grow in 2023, though decarbonization remains a multiyear journey.
In 2022, SPO solutions largely revolved around creating direct connections to so-called premium publishers. But machine learning (ML) and artificial intelligence (AI) also took on a bigger role in SPO this year. And 2022 was the year the ad industry began touting SPO as the solution of choice for sustainability-focused marketers.
TV advertising is undergoing a tectonic shift from programmed to programmatic. Not unlike on the open web – but unlike on linear – advertisers can use programmatic to get scale across connected TV. There’s demand for biddable CTV because buyers realize they can get more flexibility and transparent signals from publishers.
The most commonly cited rationale for publisher staffing cuts has been marketers’ hesitance to spend on advertising amid persistent economic uncertainty. But publishers’ latest pivot to video and increased competition among digital channels is also likely to blame.
As part of a plan to consolidate its SSP partners, Horizon Media struck a deal with PubMatic Monday. Horizon’s clients who purchase open-auction inventory through its HX trade desk will be able to use PubMatic’s SPO products to automatically optimize their bidding depending on which KPIs they want to boost, whether the deal is open auction, programmatic guaranteed or a private marketplace.
PubMatic’s total Q3 revenue grew 11% to $64.5 million despite an industry-wide downturn, but the company doesn’t have high hopes for the rest of the year. It expects that ad spend will continue to trend down in Q4. But although spending is decelerating due to recession fears, PubMatic is planning to capitalize on the eventual rebound by focusing on video, retail media and particularly CTV, which continues to grow.
My Code, a publisher network that specializes in multicultural media, manages display and video inventory across nearly 800 sites under its umbrella. Because of the complexity of programmatic sales across such a diverse portfolio of sites, including a mix of owned and third-party clients, My Code has relied on PubMatic’s OpenWrap unified bidding solution for the past two years.
Transparency is the keystone that will bring together the best of linear advertising with the best of programmatic. Brands should be able to get more transparency on programmatic CTV, but, just as importantly, publishers should get something in return for sharing this information, writes Nicole Scaglione, global VP of OTT and CTV at PubMatic.