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Trail Mix and Online Advertising

March 10, 2009 by Eric Friedman

What does trail mix have to do with online advertising? More than you might think as explained in the new white paper linked below.

trailmix
Trail Mix by sylvainleprovost

Darren Herman, who is a thought leader in the ad planning world, recently published Disintermediation of Online Display Advertising (Link to the PDF) In which he recounts the early stages of online advertising and brings you up to speed in a clear and concise way. He delivers a clear picture of how far we have come in ad delivery systems online as well as how far we have to go.

Below is an excerpt worth sharing:

The art and science of an ad network is really in the yield management, similar to a
mutual fund, where you have many positions and you are optimizing which to use at
what time, to return the most value back to both the network and the advertiser
(shareholders if you will). It’s extremely tricky and usually done by some very smart
people and algorithms.

As the concentration of dollars spent continues to focus on measurement and accountability it is clear the more advanced and transparent ad networks and delivery systems are here to stay.

Checkout the Disintermediation of Online Display Advertising PDF to fully appreciate the trail mix analogy.

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