Tag Archives: Trustworthy Accountability Group

Come On in, the Water’s All Right

17 Jan

jawsOver the last several weeks, there have been many pronouncements from ad tech providers, publishers and agencies that ad fraud and transparency concerns, which have beset advertisers for the last several years, have largely been addressed and that it is safe for advertisers to resume their programmatic digital real-time bidding (RBT) media activities.

What? Sounds a bit like the movie Jaws where a profit minded Mayor, Larry Vaughn attempts to convince Sheriff Brody to keep the beaches of Amity Island open for the 4th of July holiday, when tourists will flock to the Island, driving tourism revenues.

Granted, there have been positive developments including the efforts of the Trustworthy Accountability Group (TAG), the adoption of Ads.txt, the implementation of fraud solutions by ad tech providers and agencies and the involvement of the FBI, which has successfully busted a number of email, digital and cyber fraud operations over the course of the last year.

However, it would be a mistake for advertisers to let their guards down and assume that ad fraud has been solved and non-transparent practices have been cleaned up. Sadly, invalid, unviewable and non-human traffic continues to plague the industry and requires continued vigilance.

Honest, in-depth conversations between advertisers, their agencies and ad tech vendors should be ramped up before advertisers eschew the safety of private marketplaces (i.e. programmatic direct, premium, reserved, private auctions) to reallocate funds to RTB. Discussion topics should include, but not be limited to:

  • Determine whether or not the agency and ad tech vendors are using TAG Certified channels.
  • Assess if these same entities are screening programmatic domains to eliminate those that have not yet adopted Ads.txt from consideration.
  • Scrutinize the efficacy of the fraud and brand safety software solutions being deployed on the dvertiser’s behalf.
  • Confirm whether the advertiser is being provided a direct line of sight into the fees being charged for data, technology, and campaign management for both the demand and sell side of the ledger.
  • Verify whether the agency and ad tech verification vendors are examining 100% of the advertiser’s programmatic impressions for suspicious activity or whether they are instead sampling.
  • Check if agency and ad tech vendors are retaining log level files and if so, substantiate they will make them available to the advertiser or their auditor.
  • Assess how the agency and or ad tech vendors identify platform auction methodologies (i.e. second-price, first-price, header bidding) and adapt their bid strategies to optimize the advertiser’s investment.

We would counsel that it should be the results and learnings from these conversations, rather than self-serving proclamations, that the “water is all right” that influences an advertiser’s decision as to whether and when to jump back into the RTB marketplace. In the words of the Roman writer Publilius Syrus:

“It is a good thing to learn caution from the misfortunes of others.”

 

Programmatic Digital Media Reforms. Too Little, Too Late?

23 Oct

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There was an interesting announcement earlier this month, regarding the potential for introducing much needed reforms to the programmatic digital media marketplace.  Specifically, several of the top exchanges announced that they had reached out to the Trustworthy Accountability Group (TAG) for help in cleaning up some of the non-toward practices that have plagued digital advertisers. 

As part of the group’s efforts, these exchanges have agreed to not charge hidden fees or offer rebates that unduly influence agency holding companies. Further, they have pledged to notify buyers in advance if they change auction dynamics, to clearly mark first-price and second-price auctions and to not bid cache without notice.

Translation, the exchanges have been employing these practices all along to the detriment of advertisers as a means of shoring up their bottom lines. Step in the right direction or affirmation of the ongoing murkiness associated with programmatic digital? Advertisers will have to decide, or have they already weighed in on this initiative.

Coincidentally, findings from an important research study and a forecast on digital marketing were also released earlier this month. The results of these efforts may very well shed some light on how advertisers are viewing the ongoing malaise within the digital media marketplace.

In the first study from the In-House Agency Forum (IHAF) and Forrester Research called “The State of In-House Agencies” it was revealed that 64% of corporate America have in-house agencies, which is up 50% from 2008. Interestingly, of those firms with in-house agencies, 38% have digital capabilities. The second piece of information came from an eMarketer forecast “Flight to Quality” which predicted that by 2020 open exchanges will see a declining share as programmatic money goes direct.” eMarketer is predicting that $4 of every $5 will go to private marketplaces. For reference, today, approximately 58% of all programmatic display spend, which totals $27 billion goes to private marketplaces.

The reasons for the move to programmatic direct are clear and compelling and have been at the root of advertiser concern for several years:

  • A desire to minimize the risk of digital ad fraud
  • The need to improve brand safety
  • A concerted effort to move away from low-quality, non-viewable inventory
  • Interest in a greater level of transparency (both as it relates to pricing/ fees and the content/ sites where their ads are placed)

Thus, it would appear that while the announcement by top exchanges to engage TAG to assist with reforming the practices employed by the exchanges may be a little too little, too late.

The time to take action to safeguard advertisers’ digital media investments and address advertiser concerns may have come and gone, at least as it relates to the open exchanges. Rebuilding advertiser trust and confidence was an excellent strategy… in 2016 at the height of the U.S. media market’s “Transparency Crisis.”

Unfortunately, as results from the aforementioned studies suggest, many agencies, adtech firms, and exchanges may have waited too long to remedy the woes that led to the epic level of waste that has negatively impacted advertisers’ programmatic digital media spend.

In the words of Og Mandino, the late 20th century American author:

There is an immeasurable distance between late and too late.

 

 

 

 

 

 

Exchanges Seek Outside Support to Reform

18 Oct

Tag LogoMuch needed reforms could be coming to the programmatic digital media marketplace. Earlier this week it was reported that several of the top exchanges had reached out to the Trustworthy Accountability Group (TAG) for help in cleaning up some of the non-toward practices that have plagued advertisers.

Of note, these exchanges have agreed to not to charge hidden fees or give rebates to unduly influence agency holding companies. Further, they pledge to notify buyers in advance if they change auction dynamics, to clearly mark first-price and second-price auctions and not to bid cache without notice.  

Translation, the exchanges been employing these practices all along to the detriment of advertisers as a means of shoring up their bottom lines. Step in the right direction or affirmation of the ongoing murkiness associated with programmatic digital? Advertisers will have to decideRead More

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