Create a Revenue Channel You Can Count On

Blog   |   Operative Team   |   January 17, 2017

As advertisers spend more on programmatic channels, publishers feel like they have the deck stacked against them. In addition to painful manual complexities, we found in our recent research that publishers struggle to get their sales teams up to speed, manage a host of conditional metrics and convince their internal leaders that, despite low CPMs, programmatic is an important investment for the future. That’s a lot to manage, and it’s no surprise that publisher enthusiasm for the channel is down despite advertiser spend increases.

Management challenges with programmatic have limited its predictability as a revenue stream, leaving programmatic on shaky ground.  A variety of vendor partners all with different reporting standards make it difficult to assess the effectiveness of the channel.  To create repeatable revenue in an efficient way, publishers need to embrace programmatic as a legitimate sales channel, not an add-on to direct sales.

To be successful at programmatic selling, publishers must invest in the tools and talent to grow the channel. Publishers can make this channel work. To be honest, as an industry, we have no choice. Advertisers have spoken. Publishers need to invest now, while the industry still has room to grow. Google and Facebook command the majority of advertiser attention, but publishers still have a place that they need to solidify in the ecosystem. Programmatic can help publishers represent premium products and high quality audiences at fair prices, but not if publishers cede control to middlemen technologies with no insights or expertise.

To harness the value of programmatic, publishers need to:

Empower sales teams to sell programmatic – Streamline operations to improve programmatic ROI by investing in the right software and personnel.  Sales teams can gain additional bargaining power and reduce conditional metrics constraints when programmatic is part of the sales offering from the beginning.

Focus on improving the predictability of programmatic channels – As a new channel, there are not enough metrics for publishers to understand the effectiveness of the channel.  Increased reporting will provide the visibility they need to not only optimize partnerships and operations, but to gain the internal support and budget needed to grow.

Partner with the right technology partner – The right technology partner can use automation to significantly reduce the complexity of programmatic, and empowers publishers to make smarter decisions.

SintecMedia is the right technology partner to implement a complete programmatic strategy. With Compete, developed by Operative, publishers can grow programmatic profitably. Learn more here.