The "Past and present life" of the display type advertisement

Display-Type Advertising (http://www.aliyun.com/zixun/aggregation/16502.html ">display advertising") has recently been a subject of great concern, with new technologies and business models in the field being innovative , as researchers in the industry, I feel all the time in this industry surging new strength, whether it is the popularity of advertising networks, or the rise of advertising trading platform, whether it is Google again in business-oriented to enter China, or the last two years at times in the field of acquisition and listing action, All this suggests that the present is indeed a "burning years of passion". As we brace ourselves for new challenges, we also need to calmly answer a few very critical questions: Why do display ads come to this stage? What is the power to push it forward? Why are there so many dazzling platform products? Where will their future go? This article will analyze and try to answer these questions from the historical angle, let us in this profession colleague can recognize own localization, conforms to the trend the development, but does not become the inverse tidal current "the Resistance".

After research, I think we can put the history of the European and American display ads into four stages: direct sales of the primary development era, the advertising network of the Warring States era, the advertising transaction integration era and the buyer tools of the new era, the following is a simple description.

Direct Selling primary development era

Display class advertising was born on October 27, 1994, the first advertisement is by at&t in hotwire.com This website launches banner advertisement, the creativity is very simple, a simple text mainly picture, the letter "Have you ever clicked your Right here? , the arrow points to the right-hand side of "you'll". Simple as it is, it has created a new era of display-type advertising. The most typical representative of the direct marketing era is the YAHOO,CNBC and ESPN.com portals, which continued from 1994 to 2001 years in order to make a profit from the operation of the site, set up a direct sales team and use a similar DFP advertising engine to manage advertising.

I think this is the original stage of display advertising development, because it does not form a large industrial scale, a bit similar to the primitive Society of barter exchange stage.

Advertising network Warring States era

The first ad network should be formed in about 1995 years, according to my research, Burst media if not the first ad network, it should be one of the earliest advertising networks. Advertising network really began to be more popular from 1998 to 2001, to the peak in 2005, in the United States on the emergence of more than 400 different kinds of advertising networks, large categories including vertical advertising network, Blind ad networks and targeted advertising networks (see my other blog for more information: Advertising Network platform PK AD trading platform), this period of typical companies including Advertising.com, Casale, ValueClick, etc.

The initial advertising network company's idea is to integrate the Web site to sell the network resources, and then to 5%~10% low price to sell agents, for the site in the direct marketing phase, low price is also income, rather than empty, better earn some extra money, user experience can improve, why not? With the growing inventory of AD networks, agents found that the advertising network of resources "cheap", so the more budget to the advertising network, the "positive feedback" of the market demand so that the advertising network has reached an unprecedented prosperity, because of the low technical threshold, so there are hundreds of different sizes of advertising network companies, of course, Ad networks are also constantly providing technology value-added functions, such as content orientation, behavioral orientation, and so on, so that advertising networks become the choice of agents. At present, the biggest challenge for ad networks is its limited coverage, serious media fragmentation, and the difficulty of automating delivery, and so on.

Before the emergence of advertising trading platform, there is a relatively vague stage, is the emergence of network optimization platform, because the company size is relatively small, so can not become a big change, the following to do a simple introduction.

Due to the emergence of a large number of advertising networks, the site in order to improve the filling rate, the widespread use of the rotation mechanism, is to send an ad network traffic if can not be satisfied, that is, there is no advertising, then the media server will automatically to another or multiple ad networks to seek advertising, until it is But with the user experience, reporting errors and the complexity of financial relationships, so there are some companies called advertising network optimization tools, and then these companies with the development of technology, gradually converted into the current supply side platform, that is, SSP.

The era of advertising transaction integration

The real revolutionary change comes from the emergence of ad trading platforms based on real-time bidding (RTB). I think this phase should start from 2005 Rightmedia, the company was later bought by Yahoo for about 700 million dollars, although the recent spread of Rightmedia will also be 100 million dollars to hand over to Google, but I and rightmedia friend Exchange, The rumor is not officially confirmed. Advertising trading platform will make it possible for advertisers to participate more in advertising, enhance the ROI of advertising, greatly enhance the coverage of advertising, but also make advertising automation possible, more crucial is that this platform can make the site's revenue has a greater increase.

This stage more typical company including Yahoo's Rightmedia,google ADX,ADECN and so on, this pattern is somewhat similar to the stock market, makes the market behavior more sufficient, thus enhances the trade the quality and the quantity, the biggest benefit is lets the display class advertisement scale further enhance, RTB provides technical support for automated transactions and provides a technical reserve for the next phase.

New era of purchaser tools

This is a stage in Europe and America has not fully formed, the new company in an endless, integrated. This phase takes 2009 years to appear the demand-side platform DSP as the typical symbol, with the data management system DMP, the supply side platform SSP, such as the emergence of subdivision platform, although complex, but there are reasons for existence, this stage will be similar to display ads into the Industrial Revolution, the automatic advertising into an important sign, Its accuracy will reach a perfect state.

It is noteworthy that the Purchaser tool may not be limited to the standard DSP, there are many other options, for advertisers, this platform is what exactly, we are not fully aware of, and is worth looking forward to.

To sum up, we can see a very obvious trend is that the display of advertising technology requirements are increasing, we in a few years of observation that the lack of technology-rooted advertising network companies are generally squeezed, and technical advertising network companies are transforming into a RTB, A new network of core technologies, such as crowd buying, in short, the development of technology will become the original driving force for display ads, and the real winners will surely come from companies with technological innovation capabilities.