Advertising Networks Overview
Advertising networks aggregate numerous websites to sell advertising space, enabling advertisers to reach broad audiences efficiently through run-of-category or run-of-network buys.
These networks facilitate media buyers in coordinating ad campaigns across many sites, often emphasizing category-wide (run-of-category) or network-wide (run-of-network) placements rather than site-specific buys. Some networks do not offer site-specific buys to avoid conflicts with their in-house sales teams.
Ad networks vary in scope and focus. Large networks may demand premium brands and high volumes of impressions, while smaller networks might accommodate unbranded sites with fewer impressions.
Publishers face a choice between exclusive and non-exclusive representation. Exclusive representation usually offers a higher revenue share but may result in fewer ads being sold. Non-exclusive arrangements allow publishers to use secondary advertising options to fill unsold inventory from the primary network.
Types of Ad Networks
Vertical Networks: These networks represent specific publications with full transparency, promoting high-quality traffic at competitive prices. They are often used by brand marketers and typically operate on a revenue-share model. Vertical networks offer Run-Of-Site (ROS) advertising across particular channels (e.g., Auto or Travel) or site-wide options, similar to Publisher Representation firms.
Blind Networks: Blind networks provide cost-effective pricing for direct marketers in exchange for relinquishing control over ad placements. These networks run campaigns as Run-Of-Network (RON) and achieve low costs through bulk purchases of remnant inventory, supported by conversion optimization and ad targeting technologies.
Targeted Networks: Targeted Networks: Also known as "next generation" or "2.0" networks, these focus on advanced targeting technologies like behavioral or contextual targeting. They use consumer clickstream data to enhance inventory value. Further specialization includes social graph technologies, which leverage connections within social networks to add value to the inventory.