comScore releases white paper on the economics of online advertising

The white paper examines the ways in which the current oversupply of online ad inventory is weighing down the economics of the industry and inhibiting the flow of marketing dollars to the digital medium. A complimentary copy of the white paper can be downloaded here, and additional commentary from the paper's author, comScore CEO Magid Abraham, can be found here.

"Some of the unfortunate by-products of the online ad ecosystem's aggressive innovation have been an increase in the complexity of campaign delivery and a virtually unlimited supply of inventory, both of which contribute significant waste to the buying and selling processes," said Magid Abraham, president & CEO of comScore. "We believe that moving the industry toward a 'validated impression' standard introduces an element of digital scarcity that helps match the value flowing to publishers and advertisers with the value being delivered by the impression. By bringing the forces of supply-and-demand in online advertising into greater alignment, we introduce value to the ecosystem, accelerate the flow of ad dollars to digital, and foster a win-win environment for all stakeholders."

The use of validated impressions - defined as impressions that have an opportunity to be seen, are delivered in the correct geography, among brand safe content, and with non-human traffic removed - as the input into campaign measurement delivers value for each of the key stakeholders in the following ways:
• Publishers win because advertising on their site is more effective and more fairly valued. Specifically, they can use validated impression data to unearth undervalued inventory and re-set pricing accordingly.
• Agencies win because they are able to demonstrate better results to the client, offer better advice on media plans and spending allocations, and benefit from a clearer indication of which strategies and executions are actually contributing to brand lift.
• Advertisers win because they have a more accurate picture of online campaign performance and can therefore make better business decisions and allocate spending accordingly.

About validated Campaign Essentials

validated Campaign Essentials (vCE) is an integrated solution for complete campaign delivery validation and in-flight optimisation. Unlike existing single-point solutions, vCE is designed to provide an unduplicated accounting of impressions delivered across a variety of dimensions, such as ads delivered in-view, in the right geography, in a brand safe environment, and absent of non-human traffic. It also evaluates the degree to which validated impressions reached the campaign target audience. vCE reports on reach and frequency, comprehensive demographics and behavioural segments. This measurement eliminates all impressions that never had a chance to make an impact, providing a more realistic and accurate picture of campaign delivery.