Electronic Media Trading: What's in it for the advertiser?
Mike Cobbe argues that advertisers will benefit most from electronic media trading - and that it is they who will drive it forward
The electronic trading of media is, I believe, inevitable, and it will make deep and profound changes to the way the advertising industry operates, just as it has already affected many major advertisers. For these advertisers, trading media electronically has several quantifiable benefits. Among them are lower fee costs, complete transparency and - above all - more impact per pound spent. However, the growth of electronic trading will be resisted by those with a vested interest in maintaining the current system.
This article is divided into two sections. The first marks out the pitch on which the electronic trading debate is being played: what we know about the effects of new technology, and the prevailing climate about electronic trading in the advertising industry. The second section is based on discussions I have had with a range of blue-chip advertisers about their opinions of the benefits and drawbacks of electronic trading. From that I have drawn some conclusions about 'where next'.