Digiday Research: 74% of publishers have seen ad CPMs drop
There are three concurrent crises at play: The coronavirus pandemic, the economic crisis and the wave of protests across the country protesting racial injustice, that amounts to a social crisis.
For the publishing industry, this confluence of disruption has had a massive impact of on advertising revenue.
About 74% of 127 publishing executives surveyed by Digiday this month said the crises have driven ad CPMs down, while 75% said they’ve had difficulty in ad sell through. Programmatic ad CPMs have been driven down between 10% and 20%, with some publishers choosing to reduce inventory instead of selling it at an extremely low rate.
Despite traffic growing, (see our earlier research) publishers, particularly news publishers, have found it hard to make ad revenue from that increased traffic. Some of this is is due to keyword blocking: Coronavirus-related keyword blocking is a problem for 43% of publishers as advertisers try to avoid buying ads adjacent to certain types of content.
It’s been a similar problem more recently as protests and unrest have continued: As we reported earlier this week, the current news cycle makes more advertisers nervous, with keywords like “death” or “violence.”
Among business lines, ad revenue was hardest hit in the first quarter, decreasing for a whopping 65% of all publishers. This included direct sold and programmatic ad revenue.
Publishers speak out on the state of the media business at the Digiday Publishing Summit
With the calendar flipping to spring, do publishers feel like the economic conditions are starting to thaw or do they expect the second quarter to be similarly frigid?
How Forbes and The Daily Beast are consolidating diverse revenue streams to create the highest value audience
Forbes and The Daily Beast have shed the silo-model when it comes to how their revenue teams operate.
Media Briefing: Publishers share their biggest challenges and opportunities at the Digiday Publishing Summit
While Q1 ad revenue, sales cycles and payment windows appeared to be equally bad across the media industry, bright spots arose around consumer revenue streams, new tech experimentation and traffic patterns.
SponsoredHow critical data pillars will increase brands’ confidence in CTV
Mario Diez, CEO, Peer39 With every quarter, the balance of TV viewership slips away from the traditional linear model and more towards connected TV. Less than half of the adults in the U.S. subscribe to cable or satellite, and fewer than half of the households watched linear TV daily in the second half of 2022. […]
The AMERICA Act spotlights Capitol Hill’s ingrained antipathy for Big Tech
A reprised version of the Competition and Transparency in Digital Advertising Act spells trouble for double-sided marketplaces.
How BuzzFeed’s Creator Score is grading the impact of its creator network
BuzzFeed's Creator Network is a primary focus in 2023 for the publisher, and its campaign grading tool is being used to prove out its ability to create successful ads.