European Publisher RTB Report Reveals Disconnect of How Publishers and Advertisers View Real-Time Bidding

New York, NY (January 8, 2013) – PubMatic, the digital media platform company for publishers, recently worked alongside AdMonsters (www.admonsters.com) to reveal the relationship between publishers and RTB (real-time bidding) within the European Market.*

Findings showed that publishers not using RTB (Not in Play group) and those who are currently testing the solution (Testing the RTB Waters group) have concerns over RTB adoption due to the complexities of the technology involved and displayed a lack of understanding around automated trading and the benefits it holds.

The study supports the fact that advertisers have embraced RTB but publishers have been slower to adopt it. The research revealed that just 20% of publishers accept ad placements via real-time bidding, compared to 62% of advertisers who had tried RTB at that point. This comparison becomes more evident for European publishers versus those in the U.S.

The limited knowledge of RTB has enforced the view that RTB only increases yield, with no additional revenue benefits to be seen. Even those whom are currently testing the waters are reluctant to see the other solutions RTB can bring. These concerns over RTB are heightened in the European market compared to the U.S due to fragmentation and limited available inventory flowing through automated trading systems.

The survey respondents were also queried on their use of Supply Side Platforms (SSPs). The research showed that SSPs were not being used to their full capabilities. Publishers often view SSPs to be additional work and are often seen as just another ad server. Other sources of data, such as IDC, indicate that RTB spend will grow dramatically, noting it to be the fastest growing digital ad segment, with a 59% annual average increase to $13.9 Billion by 2016.

A partnership and extensive support from SSPs is key for publishers to stay on top of the RTB trend as sales become one of their primary functionalities.

“The study helps us understand how better to serve the publisher segment and prepare them for the growth of RTB” says Gianluca Carrera, VP International and Managing Director Europe at PubMatic.

“From what we are starting to see in our own data, spending on RTB will grow not just for indirectly sold inventory but also premium inventory will be traded via RTB to a much greater extent. This makes it imperative for publishers to take control and use the tools to fully manage RTB sales.”

Please find the full report here:

*The research consisted of an online survey carried out by AdMonsters, with the support of PubMatic during 2012, followed up by in-depth interviews with experienced RTB users in both the U.S and Europe. Based on the results from the survey, AdMonsters grouped the participants into three categories; Not in Play, Testing the RTB Waters and All In.

About PubMatic
Since 2006, PubMatic has been at the forefront of developing innovative technology to help publishers automate the process of evaluating and selling their advertising inventory. PubMatic (PubMatic.com) gives premium publishers a real-time media-selling platform for managing revenue and brand strategy. PubMatic's platform combines real-time bidding (RTB), the most comprehensive brand protection tools, unified optimization and audience insights as well as hands-on support to serve the world's leading publishers. PubMatic is privately held, backed by funding from August Capital, Draper Fisher Jurvetson, Nexus Venture Partners, and Helion Ventures, and has offices around the world in the U.S., Europe and Asia.

Contact:
Vaishali Patel
Marketing Manager, PubMatic
Vaishali.Patel@PubMatic.com
T: +44 (0) 2034 276090