Publishers Will Struggle as Inventory Explodes

Link: Web Ad Buyer: Online Less Robust Than You Think, CPMs Headed Down – Silicon Alley Insider.

SAI: If there is a glut of inventory, is there a need for online publishers to hold TV-style ‘upfronts?’
Fremont: For certain key sectors for whom inventory is important, yes. Like pharmaceuticals, automotive, telcos; the sectors that are spending a lot and need to reach certain audiences. That said, behavioral targeting is negating the impact of reaching people within affinity content. I can reach a car buyer other places than Yahoo autos.

Tough times ahead for publishers. Theres good news: Traditional marketers have a long history to un-learn, and as a result, they’ll cling to "affinity" content or contextual targeting longer than they should, especially if their online strategy is "awareness" and moving brand metrics.

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