The future of ad networks: Market winners’ image

By Anton Ruin

Winners, who are they?

Undoubtedly, the global ad network diversity is only expanding with time; much due to the introduction of brand-new players on the competitive market. These happen to include likewise large international companies and the local enterprises, usually dealing with specific regional traffic.

Yet, some experts appear to be rather skeptical about the flourishing future of all advertising agencies, stating that only the strongest ones will prosper, whereas the others aren’t likely to be extensively profitable. Namely, the mentioned network “strength” is generally associated with its regional coverage, client base, highly-qualified support, pricing and, certainly, the mobile departments or divisions launch.

Geographical Peculiarities: Globality vs. Locality

The geographical aspect appears to be one of the crucial factors in the ad network business development, no matter how controversial it, apparently, is. The thing is that, experts’ opinions frequently differ, in terms of which networks are more comfortable and reliable to work with, international or local ones. On the one hand, the well-known, large global companies are seemingly more trustworthy, but these sometimes fail to offer good deals, if you’re either selling, or purchasing specific ad inventory. Moreover, there can be encountered certain restrictions in accepting traffic from particular countries, like those in Asia, for instance.

At the same time, local networks may also be quite complicated to deal with, often because of the lack of communications skills from the side of support managers (e.g. language barrier) and the reliability flaws. That is, there’s always a risk of money loss, if the company’s small and new to the industry.

In a whole, according to the lately conducted surveys by Epom Data Center, the mighty enterprises, working worldwide will remain at the top of popularity, whereas the local players will still keep their niche share and be considered the optional choice.

>b>Clients & Support: customer care remains a Must for winners

Reputable clients and highly-qualified support are, perhaps, the most stable factors, when it comes to ad network success in the industry. There isn’t even the slightest chance that the state of things will alter in the upcoming years, so either you’re a beginner or an experienced business owner, keep customer care in your focus, if you’re planning to sustain and increase your profit levels.

Assure yourself to work with respectful clients only and keep your staff professional qualification under control, so that any occurring questions or problems will be answered/solved as soon as possible.

Pricing: decisive financial factors

Obviously, the maximized profits at the lower cost are what everyone in online advertising niche is looking for. As for the revenue share aspect, it turns out to be a pretty tricky one, especially if you’re dealing with the blind ad network. Some companies with already established crystal clear reputation will offer publishers 60-40 or even 50-50 deals, but in reality such amount will result in more money for you, than the promised 90-10 offers from brand-new networks, who are simply trying to attract clients at the initial stages of their development. Therefore, it’s always important to check out the testimonials and reviews of fresh networks, before signing up.

Further on to money aspect, flexibility is also essential in the variety of models you’re offering: CPM, CPC, CPA etc. If you’re more or less confident in the amount & quality of your traffic and have got a clear idea of what it may be most suitable for, it’s generally advised to deal with CPC campaigns and pay attention to various CPA offers as well.

Mobility takes over

It is time to notice the huge perspectives of mobile segment in online advertising, and the appearance of various mobile ad networks works well as an additional proof for that.

As for the companies, initially working on display, the launch of mobile division is now getting into the limelight among the totally required measures. Of course, you can still deal with your mobile clients in the way you used to, yet, you’ll be surprised with the positive dynamics in acquired revenue, when you at least open up the separate department, focused on their specific needs and preferences. The results can be, actually, really impressive, e.g. the amount of traffic on the board of Epom Market mobile ad network reached almost 4.6B in 1Q, 2013, and we expect this number to increase further.

Direct advertising: dangerous or not

Despite the fact, that direct partnership between publishers and advertisers is always a desirable model to opt for; the notion of an ad network isn’t likely to reduce its importance on the market. Even if you’re lucky to have a few direct partners, the mediator will enable you to expand your client base to a considerable extent, not to mention the simplification of your staff daily routine.

The winning ad network, in this respect, will be the one to introduce you to the reputable companies, with minimum efforts from your side involved, who you can likewise trust and benefit from.

About the author

Anton Ruin is CEO of Epom.


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