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In Partnership with Clique Media

Web Wednesday Dubai!

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Agenda – How Ad Networks are Changing Media Buying

Why the Need?

How they Help?

The Future…

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Ad Networks - Why the Need?

5 key factors driving growth and need for Ad Networks:

– Media fragmentation and the growth of non-premium inventory

– Top 20 sites contribute less to the overall traffic

– Mid to Smaller sites cannot compete to gain access to Demand effectively

– Agencies and advertisers only want to see limited number of media players

– Proliferation of ‘niche’ properties – further exasperates the Need!

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Ad Networks are Key to the Ecosystem

18 - 20% of total display advertising is on ad networks in developed markets

Less than 5% across most Emerging Markets, but growing fast

Fastest growing segment of digital internet advertising at 22-25% globally

Search growing at 12% globally

Internet creates huge problems of fragmentation

– 100 - 250 TV channels – 50 - 1,000 newspapers– 50,000,000 +web sites and growing!!!

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Non-Guaranteed Display is the Fastest Growing Segment of Online Advertising

$11.4B

$21.9B

$4.8B

$16B

$0

$5

$10

$15

$20

$25

$30

$35

2009E 2010E 2011E 2012E 2013E

Non-Guaranteed Display

Guaranteed Display

22% CAGR

7%

$11.4B

$21.9B

$4.8B

$16B

Projected to be Worth $11.4B in 2013

ThinkEquity WW Advertising Forecast ($B)

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Ad Networks - Key Value Drivers

Ad Networks bring the following key value to the media ecosystem:

– Create scale by aggregating audiences and provide an alternative to large media sites and/or portals

– Provide small publishers with the ability to access advertiser demand

– Help target niche categories (travel, education, etc)

– Improve Targeting which can include Demo, Geo, Contextual and/or Behavioral

– Real Time Optimization for performance and response driven advertisers

– Consolidated Reporting and Insights across Publishers

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Ad Networks – How to Differentiate them?

Key Differentiators Categories

Economic Relationship with Publishers

Revenue Share, Pre-Buys, etc

Economic Relationship with Advertisers

CPA, CPL or CPM based buys

Inventory Type Premium & Non-Premium

Exclusivity/Focus Site Rep and Demand Driven

Ad Type Text, Display, Video and Mobile

Inventory Fill Revenue Share, Pre-Buys, Dynamic

Targeting Contextual, Behavioral, Frequency, Demo, etc

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The Ecosystem – Early Days

Advertisers

& Agencies

Portals

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The Ecosystem - Yesterday

Guaranteed

Channel

Non-Guaranteed Channel

Publishers

Advertisers

& Agencies

Ad Networks

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The Ecosystem – Today and the Future…

Non-Guaranteed Channel

Data

Providers

Sell Side

Platform

Guaranteed Channel

Publishers

Advertisers

& Agencies

Ad Networks

& Exchanges

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In Summary

Other Categories are reaching “natural” growth rates

Non-premium display represents key response to media fragmentation and is gaining market share

New Ad technologies are aided at improving ROI and Yields for non-premium display

Even the market leaders are focused on non-premium display!!!

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Web Wednesday in Partnership with Clique Media

Thank You