Digiday Research: GDPR has not reduced programmatic ad revenues for European publishers
Concerns that the General Data Protection Regulation would negatively impact digital ad revenues haven’t materialized, publishers say.
Of 103 publishing executives polled by Digiday in February, 25 percent said they have seen programmatic revenues increase since GDPR was enacted last May, while 17 percent reported a decrease. Fifty-eight percent of respondents said their programmatic revenues have remained unchanged.
Meanwhile, programmatic inventory prices have remained relatively stable, with 78 percent of respondents reporting that their prices have remained consistent since May, while 15 percent said they increased. Eight percent of respondents said prices for their programmatic inventory decreased.
Thirty percent of the European publishers also said display and video advertising was their fastest growing revenue channel in 2018, ahead of other channels such as branded content and subscriptions.
Part of the digital advertising revenue growth publishers are seeing can be attributed to the success of some key programmatic sales strategies, including programmatic guaranteed deals and private marketplaces (PMPs).
Eighty-percent of European publishers conducting programmatic guaranteed deals said those deals provided higher revenues in 2018 than the year prior. Additionally, 70 percent of respondents selling inventory through PMPs saw increases.
One of the concerns publishers had prior to GDPR was that the regulation would limit their ability to collect audience data, thereby decreasing the value of their programmatic ads. But that hasn’t happened. A study from Quantcast last year found that 90 percent of internet users were opting into publishers’ GDPR consent requests.
Now that the dust has settled over GDPR, many publishers are finding themselves in a stronger position with advertisers thanks to GDPR, according to Paul Gubbins, head of programmatic at News UK-owned video marketplace Unruly, who believes that GDPR forced publishers to exert greater control over their audience data. “Publishers cleaned up of a lot of the tags and data leakage, which allowed buyers to target premium audiences in longer tail environments leveraging third-party data, buyers are forced to go back to publishers as the source of the premium audiences” he said.
With less third-party data available, buyers are increasingly looking to programmatic-guaranteed deals and PMPs to access publishers’ first-party audience data instead.
For U.K.-based Dennis, GDPR brought a lot of hype without much tangible change. “We didn’t see a specific impact to our display business as a result of GDPR” noted Pete Wootton, chief digital officer at Dennis.
Rather than GPDR, other outside factors have put greater pressure on Dennis’ digital ad business. “Some car advertisers have reduced their spend for now due to the uncertainty around Brexit,” said Wootton. “They’re still waiting to see what cars they’ll be able to sell in the U.K. and don’t want to spend needlessly.”
‘Scale with great context’: The Independent eyes global expansion
The U.K. news title marked 'double-digit' revenue growth this year and posted a profit, despite the pandemic. It plans to grow headcount by up to 25%.
‘This is a tricky job for humans’: How Meredith used AI and contextual data to build Campbell’s a new campaign
To keep Campbell's ads relevant, Meredith created new artificial intelligence technology to track hyper-contextual data.
Vying for consumer revenue, Eater serves up new wine subscription play
Eater's making a play for more national scale consumer revenue with the launch of its new wine club.
SponsoredHow artificial intelligence and machine learning power content-first newsrooms
By Chris Nguyen, executive vice president, marketing at Naviga Digital is no longer just a nice addition to a newspaper’s success, but an imperative. While print remains a key source of revenue — capturing both subscriptions and advertising — spending too much time on designing and managing printed editions has become an obstacle to digital transformation. […]
‘Clearly underinvesting’: Some of the world’s biggest marketers pledge to direct more media dollars to minority-owned business
Procter & Gamble to McDonald’s, Pernod Ricard to PepsiCo, big marketers pledge to curtail media dollars that help fuel racial basis.
Paid virtual events are the new golden ticket for publishers
There are other added benefits for publishers to have ticketing on their events, beyond the revenue.