News and Updates

Internet Advertising Revenues Surpass $23 Billion in '08, Reaching Record High

Mon, 30 Mar 2009 00:00:00 -0500

Q4 '08 Revenues Total $6.1 Billion; Growth Continues Despite Difficult Economy

Internet advertising revenues in the U.S. remain strong, topping $23 billion, according to the 2008 Internet Advertising Revenue Report, released by the Interactive Advertising Bureau (IAB) and PricewaterhouseCoopers LLP (PwC). Despite a difficult U.S. economy, interactive advertising’s continued growth, albeit at a slower pace, confirms marketers' increased recognition of the medium’s value in reaching consumers online where they are spending more and more of their time.

Download the 2008 Full Year Internet Advertising Revenue Report

Full-year 2008 revenues totaled a record $23.4 billion, exceeding 2007’s performance, itself the former record of $21.2 billion, by $2.2 billion or 10.6%. By comparison, a variety of sources indicate weakness in overall advertising spending. The Nielsen Company, for example, reported that U.S. advertising for the full year 2008 was down 2.6% compared to the full year 2007.
Fourth-quarter revenues of $6.1 billion mark the first time the interactive advertising industry achieved, and surpassed, $6 billion in a single quarter. The figures represent a $154 million or 2.6% increase from 2007’s fourth quarter, which had revenues of $5.9 billion.
This is the fifth consecutive year of record results.

“We are seeing an ongoing secular shift from traditional to online media as marketers recognize that ad dollars invested in interactive media are effective at influencing consumers and delivering measurable results,” said Randall Rothenberg, president and CEO of the IAB. “In this uncertain economy, where marketers know they need to do more with less, interactive advertising provides the tools for them to build deep, engaging relationships with consumers—the experience marketers gain from this will deliver dividends especially after the economy turns around.”

Search remains the main driver of revenue growth according to the report, showing a 19.8% increase over 2007. Digital video, though still a small overall contributor, more than doubled its revenue with an increase to $734 million from $324 million in 2007, demonstrating how both marketers and consumers are embracing this dynamic platform.

As in 2007, retail, financial services, computing and automotive remained the four largest verticals among Internet advertisers in 2008. Consumer packaged goods, an industry vertical historically slow to embrace interactive advertising, notably increased its share of total Internet ad revenues by 60 percent over 2007. The Internet is now the third largest ad-supported medium, marking its increasing significance to marketers and consumers.

“Though some categories in the fourth quarter slowed or even dipped, reflecting the current economic challenges, the overall performance is up, confirming interactive’s ever-growing importance to the successful marketing mix,” said David Silverman, Partner, Assurance, PricewaterhouseCoopers.

The following chart highlights full-year revenue data breakouts; dollar figures are rounded.

	FY 2008 Share of revenue $’s (000)	FY 2007 Share of revenue $’s (000)
Search	45% ($10,546)	42% ($8,805)
Display Related:	33% ($7,640)	33% ($7,072)
-Banner Ads	21% ($4,877)	21% ($4,456)
-Rich Media	7% ($1,642)	8% ($1,656)
-Digital Video	3% ($734)	2% ($324)
-Sponsorship	2% ($387)	3% ($636)
Classifieds	14% ($3,174)	16% ($3,321)
Referrals/Lead Generation	7% ($1,683)	7% ($1,584)
E-mail	2% ($405)	2% ($424)

Conducted by the New Media Group of PricewaterhouseCoopers LLP, the Internet Advertising Revenue Report was launched in 1996 by the IAB, and aggregates data from all companies that report meaningful online advertising revenues. The results are considered the most accurate measurement of interactive advertising revenues with the data compiled directly from information supplied by companies selling advertising on the Internet. The survey includes data concerning online advertising revenues from Web sites, commercial online services, ad networks, free e-mail providers, and all other companies selling online advertising. First and third quarter revenue reports are estimates, with the actual figures being released along with second and fourth quarter data respectively. PwC does not audit the information and provides no opinion or other form of assurance with respect to the information.

A copy of the full report is available at: http://www.iab.net/AdRevenueReport

IAB Issues Click Measurement Guidelines for Public Comment

Thu, 26 Feb 2009 00:00:00 -0600

The IAB announced the release of Click Measurement Guidelines, a document that will establish parameters for the accurate buying and selling of cost-per-click advertising, an important and growing category of interactive advertising. Marketers will now have a standard for consistently and reliably measuring their performance-based marketing efforts. The guidelines also provide a strong framework for filtering fraudulent clicks, giving buyers and sellers confidence that only legitimate clicks are being counted.

The Click Measurement Guidelines will:

Provide a detailed definition of a “click” and outline standard methodologies by which clicks should be measured and counted, including the identification of invalid and/or fraudulent clicks.

Define standard terms that will help streamline the buying and selling of click-based media.

Increase transparency and consistency in click measurements for media companies, ad-serving organizations, advertisers, and third-party click auditors.

“These guidelines demonstrate our continued commitment to being the most accountable advertising medium and providing marketers with the highest possible level of transparency,” said Sherrill Mane, Senior Vice President, Industry Services of the IAB. “It is critical that the advertising industry agree upon the precise definition and measurement of a click and establish procedures for weeding out fraudulent clicks. The IAB is proud to have organized our members around this effort.”

The guidelines are the latest addition to the IAB’s ongoing work to harmonize interactive measurement. They complement IAB guidelines for general ad impressions, digital video commercials and audience reach measurement.

“I applaud the IAB for taking a leadership role in bringing the Click Measurement Guidelines to fruition,” said George Ivie, Executive Director and CEO, of the Media Rating Council (MRC). “The interactive industry has consistently met the marketplace need for increased reliability in measurement, and this is yet another example of how the IAB has mobilized its members on behalf of both agencies and marketers.”

“Helping the interactive industry define a click and the standard for measuring one has been an extraordinary effort on the part of the IAB and its members,” said Shuman Ghosemajumder, Business Product Manager for Trust & Safety, Google, and a leading member of the IAB’s Click Measurement Working Group. “It is an important step that continues to reinforce interactive media's role as the most accountable and measurable form of advertising.”

“IAB’s guidelines will provide users, advertisers and partners with further confidence that the industry, including Yahoo!, is taking click fraud issues seriously,” said Reggie Davis, VP of Network Quality at Yahoo! “Yahoo! worked on the IAB’s Click Measurement Working Group to develop these guidelines for identifying and filtering potential invalid or fraudulent clicks as part of its commitment to a transparent process for the measurement of valid clicks.”

Members of the industry—advertising agencies, advertisers, online publishers and technology vendors—are encouraged to read the proposed guidelines and submit comments on the IAB site at: www.iab.net/clickmeasurementguidelines. After the comment period closes on Friday March 27, 2009, the feedback will be reviewed and the guidelines will be finalized and released.

Key Advertising Groups Committed to Strong Industry Self-Regulation and the Development of Privacy Guidelines for Online Behavioral Advertising Data Use and Collection

Thu, 12 Feb 2009 00:00:00 -0600

Four leading marketing and advertising industry associations stated their continuing commitment to work together to develop a cross sector set of privacy principles for online behavioral advertising in order to respond to the challenge issued today by the Federal Trade Commission for comprehensive industry self regulation. The cross-industry group represents the first time the entire marketing and media industry has come together to develop a cohesive and far-reaching self-regulatory effort for interactive advertising. The associations are the American Association of Advertising Agencies (4A’s), the Association of National Advertisers (ANA), the Direct Marketing Association (DMA), and the Interactive Advertising Bureau (IAB). The Council of Better Business Bureaus (BBB), a leading organization dedicated to advancing marketplace trust, is also part of the effort.

The joint industry task force supports the FTC’s goal of a comprehensive and effective self-regulatory program that protects both consumers and businesses engaged in interactive advertising. The group will continue its engagement with policymakers, a broad cross section of businesses, consumers, and other important stakeholders as it evaluates important public policy issues that have been raised regarding online behavioral advertising. The associations look forward to reviewing the current FTC principles released today, having already launched proactive efforts in areas of self-regulation set forth in the FTC’s initial self-regulatory principles issued in December 2007, including education and transparency, consumer notification and choice, data security, and self-regulatory enforcement.

The members of these associations, along with other participants of the group, together represent thousands of advertisers, agencies, marketers, publishers, media companies, ad networks, and other service providers, including the major participants in the online advertising marketplace. The associations have come together to address concerns about the use of online consumer data for behavioral advertising purposes while preserving the innovative and robust advertising that supports the vast array of free online content available to consumers, and what has become an important and growing industry for the U.S. economy. The group collectively recognizes the importance and responsibility of effective self-regulation in the evolving area of online and behavioral marketing and applauds the FTC’s continued commitment to industry self regulation.

IAB Advances Effort to Solidify Infrastructure for Digital Video Advertising; Releases Video Player-Ad Interface Definitions for Public Comment

Thu, 05 Feb 2009 00:00:00 -0600

The IAB announced the release for public comment of Video Player-Ad Interface Definitions Guidelines (VPAID). The announcement represents another important step in the IAB’s infrastructure initiative that seeks to build a common language for buying, selling, creating and delivering digital video advertising.

The series of definitions in the VPAID Guidelines help the interactive industry:

Define a standard method for video ads to communicate with video players and enable ad compatibility across all VPAID-compliant players
Provide specifications that can be implemented by any type of video player
Cut production costs and improve ROI for advertisers while enabling a less intrusive experience for video content viewers.

Until now, video ads could only be posted on publisher sites that supported the same technology as an agency did when creating the ads. With VPAID, publishers adhering to these standards will be able to render any type of video advertisement from any video ad serving technology that also adheres to the standards. Likewise, advertisers that adopt the standards can be assured that the ads they create are usable by any ad serving technology and publisher.

Over the past year, the IAB has taken a lead role in the industry-wide effort to create a common structure across distinct areas of digital video. In addition to VPAID, the IAB’s efforts have included the release of the following documents as part of this initiative:

Digital Video Measurement Guidelines
Digital Video In-Stream Ad Format Guidelines and Best Practices
Digital Video Ad Serving Template (VAST)
Digital Video In-Stream Ad Metrics Definitions

All of these documents can be reviewed here.

“Interactive advertising is a bright spot in the current advertising environment, and digital video is one of its most promising formats,” said Jeremy Fain, Vice President of Industry Services at IAB. “VPAID is the final piece of the current Digital Video Infrastructure Initiative. All five parts of the initiative help define the digital video ecosystem, reduce costs and increase efficiency for all parties and, most importantly, make it possible for advertisers to more easily reach larger online audiences.”

“Advertisers and agencies today require more interactive formats that go beyond linear TV ad spots, demand more control over how they experience ads, and want the ability to learn more about particular subjects of interest,” said David Ku, SVP of the Advertising Technology Group at Yahoo!, a member company of the IAB’s Digital Video Committee. “VPAID provides a common standard for how video ads will interact with players and serves as an important step forward to deliver on the promise of digital video ad formats.”

Members of the industry (advertising agencies, advertisers, online publishers and technology vendors) are encouraged to read the proposed guidelines and submit comments. After the comment period closes on March 5, 2009 the feedback will be reviewed and the guidelines will be finalized and released.

IAB Year in Review

Tue, 23 Dec 2008 00:00:00 -0600

The mission of the IAB is simple—growth, growth of the interactive advertising marketplace, of interactive's share of total marketing spend, and of our members' share of total marketing spend. As 2008 drew to a close, unprecedented economic challenges impacted the U.S. and the global economy—yet many interactive media companies continued to thrive amid the uncertainty.

Throughout 2008, the IAB built on a legacy of growth-driving accomplishment and on the collective power we were able to organize and unleash on behalf of our members and the industry at large. We aligned our initiatives to three strategic platforms—engagement, accountability and operational effectiveness. We took many bold steps as an industry leader to help protect our members' interest in the public policy arena, to increase accountability in metrics and to drive industry growth by reaching out to and educating marketers and agencies about the advantages of interactive advertising. We made significant progress on one of the industry's most vexing issues—taking costs and inefficiencies out of the supply chain by leading a series of cross-industry initiatives that will transform interactive operations through critical systems improvements. Our committees, councils and working groups achieved new levels of collaboration and set new standards for how the industry conducts business. Our membership grew to 415 companies. We even remade our own identity and logo, thanks to a new design created by Michael Bierut, a partner at Pentagram.

Below, we outline some of the year's highlights.

Public Policy

Promoted the value of the interactive advertising industry to legislators and policymakers, helping fend off adverse legislation and regulation. We maintained a high profile in Washington, D.C., and monitored developments in state capitals across the country.
Led ongoing industry-wide effort to create new interactive advertising privacy guidelines that will help ensure users' control over the use of personal information
Took a lead role in Washington—Randall Rothenberg, IAB President and CEO, testified on June 25, 2008, as an expert witness about the critical role that Internet advertising plays for small businesses in the U.S. economy during a U.S. House of Representatives Small Business Committee Subcommittee on Regulations, Healthcare and Trade hearing
Worked to ensure passage of a new, strong anti-spyware enforcement law. Congress passed H.R. 5938, which provides additional tools and resources to law enforcement agencies for tracking down and prosecuting cyber criminals.
Defeated a number of onerous regulatory proposals at the Federal and state levels that would have inhibited the ability of online advertisers to deliver high value, relevant advertising
Helped provide guidance and set standards of truth and accuracy for national advertisers by participating in the National Advertising Review Council
Promoted the value of the ad-supported Internet through a broad educational campaign and supporting research that was divorced from corporate self-interest
Mobilized small publishers to give them voice against ill-considered Federal regulation that could hinder their ability to sell or carry advertising, through IAB's new Small Publisher membership category

Accountability

Fostered consistent industry procedures and terminology in best practices documents about online lead generation, email data management and lead-quality accountability
Produced guidelines for Audience Reach Measurement, a major industry-wide initiative that provided clear, consistent definitions of metrics and set standards for how to measure unique audience across different methodologies
Drove attention to and participation in the shaping of the IAB Audience Reach Measurement Guidelines by hosting the first- ever live public comment workshops onsite at the IAB Audience Measurement Leadership Forum in December 2008
Supported and recognized, through a new compliance seal program, those advertisers, agencies and publishers who adopted and practiced consistency with the Rich Media Creative Guidelines, Digital Video In-Stream Ad Format Guidelines and the Universal Ad Package
Spotlighted the importance of syndicated audience measurement audits

Operational Effectiveness

Developed and released E-Business Interactive Standards, a beta version of an automated solution for the transfer of information between advertising agencies and media companies
Provided Interactive Advertising Workflow Best Practices as a set of comprehensive process recommendations for advertising agencies and publishers, focused on improving the management of advertising accounts by decreasing discrepancies, campaign set-up errors and billing cycles
Defined and released digital video in-steam ad metrics and VAST, a digital video ad serving template for increasing yield
Drove significant progress in many areas by releasing Revenue Cycle Best Practices, Campaign Set-Up Best Practices, Ad Load Performance Best Practices and Best Practices for Rich Media Ads in Asynchronous Ad Environments
Reinforced the collaborative working spirit of the Ad Operations community through this year's expanded Ad Operations Summit that attracted an unprecedented number of attendees from both agencies and publishers
Delivered Digital Video Ad Format Guidelines, Revised Ad Unit and Rich Media Creative Guidelines and Ad Campaign Measurement Process Guidelines

Education

Educated brand marketers, advertising agencies and publishers on the benefits of interactive tools and techniques through a series of "news you can use" initiatives that included Events, Professional Development and the IAB Interactive Boot Camp for Senior Marketers as well as seminars and industry networking gatherings
Attracted more than 3,660 attendees to 10 events, educating them on such topics as Performance Marketing, Digital Video, UGC and Audience Measurement, and exposing marketers and agencies to mobile advertising and ad networks and exchanges through new two Leadership Forum events
Engaged more than 350 top industry leaders at the inaugural, sold-out IAB 2008 Annual Meeting in Phoenix. Speakers included media luminaries from the major players in the interactive industry.
Hosted the most successful MIXX Conference & Expo ever, reaching an expanded audience and delivering groundbreaking content from main-stage industry leaders
Created market-making white papers on the state of mobile, UGC and social media and digital video
Introduced a series of professional development courses that will serve as a launch pad for a complete 2009 schedule
Turned iab.net into a central industry resource, highlighting research from leading market research organizations, providing timely video interviews of thought leaders and breaking news on the interactive industry. Unique visitors increased in second half of year, compared to the same period of 2007, by 28 percent.
Drove important industry research including Marketing & Media Ecosystem 2010—a joint study between IAB, the ANA, AAAA and management consulting firm Booz & Co—and a groundbreaking digital pricing benchmarking study in conjunction with Bain & Company
Helped our members form professional communities of interest by launching IABConnect, a networking web site for members- only
Fostered consistent media discussion about our industry, increasing press stories by 50 percent year-over-year from November 2007

IAB Creates Marketplace Transparency Between Agencies and Publishers, Releases Lead Quality Accountability Best Practices

Tue, 16 Dec 2008 00:00:00 -0600

The IAB announced the release of Lead Quality Accountability Best Practices, a document designed to create marketplace transparency by improving communication between agencies and publishers in the lead generation industry.

The recommendations outlined in the document address two main areas:

Best practices for advertiser sharing of invalid leads with publishers to improve the process of accounting for leads.

Communication methodology for advertiser sharing of converted leads with publishers to improve advertiser conversions and ROI.

Twenty leading online lead generation companies came together to develop the document, representing companies across nine major verticals, including automotive, insurance, education, pharmaceutical, continuity clubs, financial services, retail, and CPG.

According to the IAB Internet Advertising Revenue Report for 2007, lead generation accounted for $1.6 billion of the total of $21.2 billion total of interactive advertising spend that year. First half figures for 2008 show that lead generation represented 7 per cent or $806 million of overall interactive advertising spend.

Among the key best practices, the document highlights:

· Publishers and advertisers should establish the definition of a valid and invalid lead at the onset of a lead generation campaign.

· Advertisers should return invalid leads to publishers in real-time or a time frame agreed upon up front with detailed reasons.

· Publishers should use returned invalid lead data to optimize traffic, improve creative, and refine targeting.

“These best practices provide a clear and concise roadmap for agencies and publishers to further enhance marketers’ ability to refine and target their best customers— the crux of successful lead generation campaigns,” said Sherrill Mane, senior vice president, Industry Services of the IAB. “Transparency, accountability and good communication between agencies and publishers will allow this platform to continue to flourish.”

“Data sharing between advertisers and publishers is vital to achieving high quality leads and optimizing an online lead generation program, which is especially important in these difficult economic times,” said Gayle Guzzardo, chairperson of the IAB Lead Generation Committee and senior vice president of product management at Q Interactive. “The IAB’s Lead Quality Accountability Best Practices is an indispensable guide for understanding, implementing and benefiting from data sharing for all parties involved.”

To view the best practices please go to www.iab.net/leadquality

IAB Launches Audience Reach Measurement Guidelines for Public Comment

Mon, 08 Dec 2008 00:00:00 -0600

The IAB announced the release for public comment of Audience Reach Measurement Guidelines, a major industry-wide initiative that provides clear, consistent definitions of metrics and sets standards for how to measure unique audience across different methodologies. The guidelines were released at the IAB’s annual Leadership Forum on Audience Measurement in New York City, where leaders of media companies, measurement companies and advertising agencies convened to gain insights on the evolution of audience measurement and where sessions will be devoted to a detailed review of the proposed guidelines.

“These guidelines represent an industry wide endorsement of clarity and transparency of methodologies and metrics, particularly around reach, a core metric used throughout the media world,” said Sherrill Mane, senior vice president, Industry Services of the IAB. “The driving force for marketers’ ongoing embrace of interactive media is the accountability that interactive provides and these guidelines will enhance that clarity and certainty.”

The gathering, reporting, and measurement of audience metrics has a material impact on interactive media buying decisions. Transparency into these methodologies and clear definitions of commonly used terms are critical to the ongoing growth of interactive media as marketers continue to allocate a larger portion of their budget to the platform.

The guidelines will address these key areas of audience measurement:

• Provide definitions of key industry metrics such as unique users, unique cookies, unique browsers, visits and time spent.
• Establish a framework for all measurement providers to have their methodologies audited, providing greater certainty for the industry.
• Foster greater accuracy and reliability of all forms of online audience measurement, whether based on server data, online panels or user registration.

“Audience size and composition are vital to planning interactive advertising campaigns,” said Lynn Gutstadt, Director of Corporate Research, CBS Interactive and a member of the IAB’s Audience Measurement Working Group. “Adoption of these guidelines by the interactive industry will give marketers, agencies and other stakeholders in the digital ecosystem greater certainty in the measurement of our audience.”

“Ongoing Media Rating Council (MRC) audits of several of the syndicated measurement companies represent a commendable step toward accountability,” said George Ivie, CEO and Executive Director of the MRC. “The completion of the IAB Audience Reach Measurement Guidelines paves the way for other measurement organizations, for example census measurers such as sites, ad-servers or analytics organizations, to have rigorous consistent guidelines to help ensure consistent measurements of unique cookies, devices or in certain circumstances even users.”

Members of the industry (advertising agencies, advertisers, online publishers and technology vendors) are encouraged to read the proposed guidelines and submit comments on the IAB site at www.iab.net/audiencemeasurement. After the comment period closes on January 20, 2009, the feedback will be reviewed and the guidelines will be finalized and released.

Internet Advertising Revenues in Q3 '08 at Nearly $5.9 Billion

Thu, 20 Nov 2008 00:00:00 -0600

The IAB and PricewaterhouseCoopers LLP (PwC) today announced that Internet advertising revenues reached almost $5.9 billion for the third quarter of 2008, representing an 11 percent increase over the same period in 2007. While double-digit annual growth continues, the quarter-to-quarter curve remains relatively flat compared to recent past performance. The Q3 2008 figures, published in the IAB Internet Advertising Revenue Report, are 2 percent higher than the Q2 2008 results. Set against strong economic headwinds in the U.S. economy, Q3 '08’s $5.9 billion represents nonetheless the second-highest quarter results ever. For the first nine months of 2008, revenues totaled $17.3 billion, up from $15.2 billion in the same period a year ago and surpassing the record set in the first nine months of 2007 by nearly 14 percent.

The growth of interactive advertising that we’ve been experiencing over the past few years has stabilized due in large part to the difficult current economic climate,” said Randall Rothenberg, President and CEO of the IAB. “Interactive advertising continues to be the most measurable and cost-effective way to reach consumers, and we see more and more marketers seeking to harness its power.”

David Silverman, a partner at PricewaterhouseCoopers LLP, added that, “a weakening economy will continue to be a challenge to all forms of advertising-supported media. However, the Internet should be better poised to withstand the storm given its ability to combine performance-based advertising along with broad-based branding.”

Quarterly $ Revenue Growth Comparison – 2000-2008 YTD

Source: PwC/IAB Internet Advertising Revenue Report (www.iab.net)

Conducted by the New Media Group of PricewaterhouseCoopers, the Internet Advertising Revenue Report was launched in 1996 by the IAB and aggregates data from all companies that report meaningful online advertising revenues. The results are considered the most accurate measurement of interactive advertising revenues as the data are compiled directly from information supplied by companies selling advertising on the Internet. The survey includes data concerning online advertising revenues from Web sites, commercial online services, ad networks, free e-mail providers, and other companies selling online advertising. First- and third-quarter revenue reports are estimates, with actual figures released with the second- and fourth-quarter data respectively. PwC does not audit the information and provides no opinion or other form of assurance with respect to the information.

IAB Launches a Series of Initiatives Designed To Transform Interactive Operations & Accelerate Growth

Thu, 30 Oct 2008 00:00:00 -0500

The IAB announced a series of groundbreaking initiatives designed to improve efficiencies by driving industry-wide adoption of critical workflow improvements, best practices and guidelines by media companies and advertising agencies within the digital marketing ecosystem. The announcements were made at the IAB’s annual Ad Operations Summit in New York City, where leaders in advertising operations and account management at media companies and advertising agencies convened to share a 360 degree view of key supply chain areas in interactive marketing.

The following solutions were announced:

• E- Business Interactive Standards, a beta release of an XML-based solution for automating the transfer of business order information between advertising agencies and media companies. Beta testing partners will be implementing and refining this solution throughout 2009.
• Interactive Advertising Workflow Best Practices, a document that provides comprehensive process recommendations to agencies and publishers for improved communications and efficient operations throughout the entire lifecycle of an advertising campaign. The document’s best practices focus on how to improve the management of advertising accounts by decreasing discrepancies, campaign set-up errors and billing cycles between advertising agencies and publishers.
• Digital Video Ad Serving Template (VAST), an XML-based solution designed to standardize communication between digital video players and servers. VAST allows publishers to increase digital video yield by utilizing ad networks to sell unsold inventory and reduce friction with buyers by allowing third-party ad tags.
• Ad Load Performance Best Practices, a document that details how agencies and publishers should develop and serve digital advertising campaigns to reduce load time for ads and improve their performance.
• Best Practices for Rich Media Ads in Asynchronous Ad Environments, a solution that establishes a standard set of rich media implementation rules for rich media ad vendors, creative development teams, and publishers when serving ads into dynamic environments.

“These initiatives will revolutionize our industry by improving efficiencies in the interactive business—which means growth for publishers, for agencies and for marketers who will now reach their customers even more effectively,” said Randall Rothenberg, President and CEO of the IAB.

Jeremy Fain, vice president of the IAB, said: “It is time to begin the critical work of adopting these standards and practices across the digital ecosystem and I encourage all stakeholders in the industry to take the necessary steps toward implementation so we can accelerate our trajectory of growth as an industry.”

“For our industry to increase revenues, we have to find efficiencies that help us maximize technology and reduce costs," said Dan Murphy, senior vice president of Research, Univision Online. “By adopting these standards we have the opportunity to make the necessary improvements that will transform the industry into a truly scalable and integrated advertising marketplace.”

IAB Internet Advertising Revenue Report Shows First Half of '08 Up 15.2% From Same Period '07

Tue, 07 Oct 2008 00:00:00 -0500

The IAB and PricewaterhouseCoopers (PwC) released the IAB Internet Advertising Revenue Report covering the first six months and the second quarter of 2008. Internet advertising revenues (U.S.) for the first six months of 2008 were $11.5 billion, setting yet another new half-year record that represents a 15.2 percent increase over the first half of 2007. The second quarter of ’08 was up 12.8% over the same period of 2007 and showed a slight decline of 0.3% from the first quarter.

Search and Display-related advertising continue to set records. Search revenues totaled almost $5.1 billion for the first six months of 2008, up 24 percent from the $4.1 billion for the same period in 2007. Display-related advertising totaled close to $3.8 billion for first six months of 2008, compared to the $3.2 billion reported for the same period in 2007, showing about a 19% increase. Display-related advertising includes Display Banner ads, Rich Media, Digital Video, and Sponsorship.

“Interactive advertising continues to demonstrate year over year growth as marketers and consumers increase their embrace of digital media,” said Randall Rothenberg, president and CEO of the IAB. “The essentially flat performance we see quarter to quarter reflects in part cyclical advertising trends. Compared to the trajectory in other media and in the general economy, interactive has outperformed because it delivers a level of accountability unmatched by any other advertising medium.”

“Due to the unique efficiency and effectiveness of targeted and measurable campaigns, Internet advertising has shown strong growth in the first six months of 2008, compared to the same time period last year. This growth has come in spite of an environment that has put significant pressure on the advertising industry in general.” said David Silverman, partner, Entertainment, Media & Communications Practice, PricewaterhouseCoopers.

The following data highlights key first six-month revenue data breakouts; dollar figures are rounded. ($ millions if not indicated):

Advertising Formats: Search and Display-related ads continue to be leading formats.

	FH 2007	FH 2008
Search	41% ($4,097)	44% ($5,064)
Display Related:	32% ($3,198)	33% ($3,799)
-Banner Ads	21% ($2,099)	21% ($2,418)
-Rich Media	7% ($699)	7% ($806)
-Digital Video	1% ($100)	3% ($345)
-Sponsorship	3% ($300)	2% ($230)
Classifieds	17% ($1,699)	14% ($1,611)
Referrals/Lead Generation	8% ($799)	7% ($806)
E-mail	2% ($200)	2% ($230)

Industry Concentration: Percentages of revenues by the top 10, top 25 and top 50 have remained consistent.

	FH 2007	FH 2008
Top 10	70%	70%
Top 25	82%	81%
Top 50	91%	90%

Pricing Models: Performance deals continue to be the leading pricing models, followed closely by CPM deals.

	FH 2007	FH 2008
Performance Deals	50%($4997)	52%($6,007)
CPM	45%($4497)	44%($5,026))
Hybrid	5%($499)	4% ($477)

Conducted by the New Media Group of PricewaterhouseCoopers, the Internet Advertising Revenue Report was launched in 1996 by the IAB, and aggregates data from all companies that report meaningful online advertising revenues. The results are considered the most accurate measurement of interactive advertising revenues with the data compiled directly from information supplied by companies selling advertising on the Internet. The survey includes data concerning online advertising revenues from Web sites, commercial online services, ad networks, free e-mail providers, and all other companies selling online advertising. First and third quarter revenue reports are estimates, with the actual figures being released along with second and fourth quarter data respectively. PwC does not audit the information and provides no opinion or other form of assurance with respect to the information.

A copy of the full report is available at: http://www.iab.net/media/file/IAB_PWC_2008_6m.pdf

IAB Announces 55 MIXX Awards Winners Across 18 Categories

Wed, 24 Sep 2008 00:00:00 -0500

The IAB closed this year’s highly successful MIXX Conference and Expo with the presentation of the fourth annual MIXX Awards. The MIXX Awards are the only honor devoted exclusively to interactive advertising, and the only juried competition that recognizes excellence in both creativity and effectiveness. For the first time, the digital advertising campaigns were evaluated by senior executives from agencies, publishers and marketing organizations deliberating together, sharing their distinct perspectives on what makes advertising creative successful. The multimedia gala was emceed by Rob Norman, GroupM Interaction Worldwide CEO.

"The sheer volume of submissions coupled with the extraordinary level of creativity that cut across such a wide swath of platforms and technologies speaks to the vitality of the interactive advertising industry," said Randall Rothenberg, President and CEO of the IAB. "Interactive advertising is breaking new ground in engaging consumers in ways that we had not even dreamed of, and the pace of change will only continue to accelerate."

This year, submissions jumped by nearly 40 percent, and were sent in from hundreds of leading agencies, representing traditional advertising agencies and native digital shops which entered work across virtually every major vertical industry.

The gala’s ultimate honor, Best in Show, went to TEQUILA\ and Nissan for its "Rogue Launch." TEQUILA\ and Nissan took home additional honors for digital video, digital integration and VOD and interactive television, winning golds in all three categories. "The Rogue Launch" was based on consumer insights geared to Generation X males who wanted to still feel "in the game" and tap into a sense of playfulness. The campaign was credited as the most successful new car launch in Nissan’s history.

Goodby Silverstein & Partners, last year’s Best in Show agency winner, won two golds this year in Product Launch and Business-to-Business for its campaign "Adobe Layer Tennis" for the launch of Adobe’s Creative Suite 3. And in a testament to the breadth and variety of brands’ interactive campaigns, some marketers were honored in multiple categories for work with different agencies. BMW, for example, was honored for its work with three different agencies-Dotglu, JOGO Media and GSD&M Idea City across the categories of Direct Response and Lead Generation, In-Game Advertising and Social Marketing, respectively.

The MIXX Awards are the only juried advertising competition that evaluates all critical components of the interactive marketing mix, including strategy, creative, execution and results. To view the complete gallery of the MIXX Winners please visit: www.mixx-awards.com/gallery

The Complete List of 2008 MIXX Award Winners

Best in Show
Nissan and TEQUILA\ for "Rogue Launch"

Brand Awareness and Positioning
GOLD: American Express OPEN and Digitas for "OPEN Forum"

SILVER: I Can’t Believe It’s Not Butter! and BlockDot for "I Can’t Believe It’s Not Butter! Now You Know Better!"

BRONZE: U.S. Army and Universal McCann for "U.S. Army Halo 3 Experience"

Product Launch
GOLD: Adobe Creative Suite 3 and Goodby, Silverstein & Partners for "Adobe Layer Tennis"

SILVER: Verizon and Campfire for "My Home 2.0"

BRONZE: P&G/Downy and Digitas for "Discovering Radiance"

Direct Response and Lead Generation
GOLD: ING of the Americas and BBDO Atlanta for "ING Numbers"

SILVER: BMW North America and Dotglu for "1 Series Interactive Launch"

BRONZE: McDonald’s and OMD for "Dollar Menunaires"

Business-to-Business
GOLD: Adobe Creative Suite 3 and Goodby, Silverstein & Partners for "Adobe Layer Tennis"

SILVER: Dell and T3 for "Times Square We believe: in small business"

BRONZE: Motorola and BBDO New York for "Cityscape"

Public Service/Not-for-Profit
GOLD: The Ad Council / U.S. Department of Justice / National Center for Missing & Exploited Children and Merkley + Partners for "Think Before You Post"

SILVER: The Bridgespan Group and Sapient Interactive for "One Hen: How One Small Loan Made a Big Difference"

BRONZE: Roundabout Theatre Company and Situation Marketing for "Sunday in the Park with George - Connect: The Dot Project"

Search Marketing
GOLD: Honda Certified Used Cars and RPA for "Custom Search Program"

SILVER: Covad Communications and Geary Interactive for "Localized Search Campaign"

BRONZE: Adobe Systems Incorporated and Adobe Search Marketing for "AIR/RIA"

Super-Rich Media
GOLD: Apple Inc. and TBWA\Media Arts Lab for " Don’t Give Up"

SILVER: Apple Inc. and TBWA\Media Arts Lab for "Banging, Knocking & Hiding"

BRONZE: HBO and Deep Focus for "Flight of the Conchords"

Multicultural
GOLD: U.S. Army and Sensis for "Leaders Among Us"

SILVER: The Home Depot and The Vidal Partnership for "Colores Origenes "Mixer" Campaign"

Widget Marketing
GOLD: Honda Civic and RPA for "Honda Civic Tour: Panic at the Disco"

SILVER: Kimberly-Clark and MindShare for "Huggies Baby Countdown"

BRONZE: Samsung and Cheil Worldwide for "Juke by Samsung"

In-Game Advertising
GOLD: BMW and JOGO Media for "BMW M3 Challenge"

SILVER: Nissan and OMD for "Forza 2"

BRONZE: The Coca-Cola Company and MediaVest for "Sprite NBA Gaming"

Digital Video
GOLD: Nissan and TEQUILA\ for "Rogue Launch"

SILVER: Neutrogena and Tribal DDB Worldwide for "The Wave Power Cleanser"

BRONZE: Microsoft Small Business Products and Cole & Weber United for "Microsoft Small Business Summit"

Social Marketing
GOLD: Alberto-Culver Company and Carat for "Extreme Style by VO5"

SILVER: BMW and GSD&M Idea City for "1 Series - Facebook Graffiti Contest"

BRONZE: Verizon and Campfire for "My Home 2.0"

International Award
GOLD: Vodafone and OgilvyOne Worldwide, Athens for "Livefeeds"

SILVER: Air New Zealand and Host for "Home Sweet As"

BRONZE: Coke Europe and Sapient Interactive for "Coke Burn Alter Ego"

Mobile Platforms
GOLD: Virgin Atlantic Airways and McKinney for " Love from Above"

SILVER: MasterCard Worldwide and MRM Worldwide for "Peyton Pep Talks with Peyton Manning"

VOD and Interactive Television
GOLD: Nissan and TEQUILA\ for "Rogue Launch"

SILVER: AXE and BrightLine iTV for "Art of Skin Contact"

BRONZE: I Can’t Believe It’s Not Butter! and BrightLine iTV for "Sprays in the City"

Brand Destination Site
GOLD: MasterCard Worldwide and MRM Worldwide for "Priceless.com"

SILVER: American Airlines and TM Advertising for "AAdvantage Milestones"

BRONZE: Pabst Brewing Company and Cole & Weber United for "The Tales of Colt 45"

Digital Integration
GOLD: Nissan and TEQUILA\ for "Rogue Launch"

SILVER: Liberty Mutual and Hill Holliday for "The Responsibility Project"

BRONZE: ING of the Americas and BBDO Atlanta for "ING Numbers"

Cross-Platform Integration
GOLD: Liberty Mutual and Hill Holliday for "The Responsibility Project"

SILVER: ING of the Americas and BBDO Atlanta for "ING Numbers"

BRONZE: Verizon and Campfire for "My Home 2.0"

MIXX 2008 Judges:

Marketers:
Cheryl Guerin - VP, Global Digital Marketing, MasterCard Worldwide
Jenny Howell - Manager of Interactive Marketing, American Honda Motor Co., Inc.
Carole Irgang - SVP, Integrated Marketing Communications, Kraft Foods
Carol Kruse - VP, Global Interactive Marketing, The Coca-Cola Company
Tim Murphy - Senior Director Digital Marketing, Anheuser-Busch
David Roman - VP, WW Marketing Communications, Personal Systems Group, Hewlett-Packard Company
Debbie Jo Severin - VP, Marketing, Covad Communications Group, Inc.

Agencies:
Marty Cooke - Chief Creative Officer, SS+K
Jean-Philippe Maheu - Chief Digital Officer, Ogilvy North America
Hans Neubert - Executive Creative Director, Avenue A | Razorfish
Michael Prieve - Chief Creative Officer, Doremus New York
Alan Schulman - SVP, Executive Creative Director, Executive Director of User Experience, imc2
Baba Shetty - EVP Chief Media Officer, Hill Holliday
Joanne Zaiac - President, Digitas, New York

Publishers:
Heidi Browning - SVP, Client Solutions, FOX Interactive Media
Mark D’Arcy - Chief Creative Officer, Time Warner Global Media Group
Jane Grenier - VP, CondéNet
Wonya Lucas - EVP & Chief Marketing Officer, Discovery Communications
Suzie Reider - Director of Advertising, YouTube
David Sturman - Chief Technology Officer for Massive (a Microsoft company)
Lauren Wiener - SVP, Meredith Interactive Media

IAB Issues Email Data Management Best Practices

Thu, 18 Sep 2008 09:00:00 -0500

The IAB announced the release of “Email Data Management Best Practices,” a document with a series of far-reaching privacy and data security recommendations intended for publishers, marketers and service providers. Focusing on protecting consumer privacy while improving effectiveness in email marketing executions, the document was released at TARGUSinfo’s Online Lead Quality Summit.

Some of the document’s key recommendations are:

Senders should send commercial email only to individuals who have provided informed consent.
A global unsubscribe mechanism should be implemented for all companies sending emails.
Advertisers and marketers should authenticate their emails by publicly registering the domains from which they send the email.
A company cannot transfer a consumer’s permission to receive commercial email to another company without the transfer being referenced in the new company’s emails.

“We are confident that, if adopted, these best practices will protect consumers by ensuring that consent is informed and retractable, and will help responsible email marketers and their service providers improve the overall quality and performance of email marketing campaigns,” said Randall Rothenberg, president and CEO of the IAB. “We created this document with a very important goal in mind—to codify the elements of security, deliverability, permission and privacy for all companies involved in email marketing,” said Jeremy Fain, Vice President of Industry Services for the IAB and the lead of the IAB’s Email Committee.

“This is an important document that is illustrative of the lengths we go to as an industry to self-regulate even beyond what federal regulations like the CAN-SPAM Act* can provide,” said Arend Henderson, Chief Analytics Officer of Q Interactive and a member of the IAB’s Email Committee. “If our industry adheres to these vital recommendations, we will have succeeded in removing some of the major friction points of email marketing, which in turn will greatly contribute to the medium’s continued growth as an effective means of one-on-one engagement with consumers.”

To view the complete “Email Data Management Best Practices” Document, please go to: www.iab.net/emaildata

IAB Commends Congress for Strengthening Law Enforcement's Ability to Protect Consumers

Tue, 16 Sep 2008 14:00:00 -0500

The IAB commended Congress for passing provisions of the Identity Theft Enforcement and Restitution Act as part of H.R. 5938. The bill provides additional tools and resources to law enforcement agencies for tracking down and prosecuting cyber criminals, removes legal barriers to the prosecution of purveyors of malicious spyware, and allows for restitution to victims of identity theft.

“We appreciate the attention that Congress is giving to the important issues of combating identity theft and the proliferation of malicious spyware, and we support the approach taken in this legislation,” said Mike Zaneis, Vice President of Public Policy at the IAB “The passing of this bill supports the interactive advertising industry’s goal of increasing enforcement actions against bad actors whose criminal activity can tarnish the reputation of the online advertising industry.”

Identity theft is estimated by the Federal Trade Commission to affect 9 million Americans each year. Criminals can use spyware, which is malicious downloadable software, to facilitate identity theft.

“The threat of having consumers’ identities stolen and the proliferation of spyware can erode consumer confidence in the Internet and undermines legitimate advertising and e-mail practices,” Zaneis said. “IAB endorses the approach taken by Congress, which appropriately targets illegitimate conduct and provides law enforcement agencies with additional tools and resources to bring these criminals to justice. The language passed by Congress strikes the appropriate balance between the need for effective law enforcement and protection of legitimate industry practices.”

MIXX 2008 Attracts Influential Lineup of Speakers, To Explore Transformation of the Media Industry

Wed, 20 Aug 2008 00:00:00 -0500

The IAB announced the full lineup of participants in this year’s MIXX (Marketing and Interactive Excellence) Conference and Expo, the Official Interactive Event of Advertising Week 2008 and the preeminent annual gathering of the interactive industry. Energizing this year’s event is a new theme, “Invention and Reinvention.” This fresh direction for MIXX 2008 spotlights the constant state of creation and evolution required of business leaders in today’s rapidly changing digital landscape.

Speakers are a “who’s who” of top marketers, advertising agency executives, publishers and industry gurus including:

• Deborah Meyer, Vice President and CMO, Chrysler LLC
• Tim Armstrong, President, Advertising and Commerce, North America and Vice President, Google Inc.
• David Kenny Chairman & CEO, Digitas (A Publicis Company)
• Michael Linton, SVP & CMO eBay, Inc.
• Young-Bean Song, Director of Analytics & Atlas Institute, Microsoft Advertising
• Henry Blodget, Editor, Silicon Alley Insider
• Jacqueline Corbelli, Chairman & CEO, Brightline iTV Marketing Specialists
• Clay Shirky, Writer, Consultant, and Teacher on New Media and the Internet
• Charlie Rose, Emmy Award-winning journalist and host of the Charlie Rose Show
• Leslie Moonves, President and CEO, CBS Corporation
• Andrew Robertson, President and CEO, BBDO Worldwide

“This year’s MIXX captures the feverish pace of transformation happening in the media world today,” said IAB president and CEO Randall Rothenberg. “The interactive industry’s continual innovation forces each of us to evolve and change how we do business—media companies now behave like advertising agencies and marketers act like media companies. And MIXX this year will share the very best thinking from all parties in the ecosystem on how to reach and engage consumers today, which is truly our single biggest combined challenge.”

In addition to the lineup of keynotes, panels, breakout sessions, industry forecasts and an exhibit hall filled with an all-star line-up of vendors, MIXX 2008 offers its attendees an unrivaled opportunity to learn from senior marketers who will share case studies from across a variety of emerging platforms.
• How does a top advertising agency decipher the ad network landscape for its biggest clients?
• Internet Television: It’s not the future, it’s the present and the industry’s leaders will share how to do it right.
• Gaming: Reaching and engaging the toughest audiences
• The NHL and Dodge,: Learn how two giant brands converged interactively for a fully integrated digital video campaign.
• The Next Big Thing: See a series of rapid-fire demonstrations from companies on the bleeding edge of the interactive revolution.

For a full list of confirmed speakers and information on how to register, please visit www.mixx-expo.com.

The event takes place on September 22-23 at the Crowne Plaza Times Square and will culminate with the 2008 MIXX Awards Gala on the evening of September 23.

Use of "Ad Networks" Surges Six-Fold as Media Companies Step Up Monetization of Unsold Online Advertising Inventory

Mon, 11 Aug 2008 00:00:00 -0500

The IAB and Bain & Company announced the release of a benchmark study which suggests that online publishers are increasingly turning to sales intermediaries known as ad networks to sell off excess inventories. The use of “ad networks” surged from 5% of total ad impressions sold in 2006 to 30% in 2007, according to the newly released “Digital Pricing Benchmarking Study” from Bain, the global business consulting firm, conducted in coordination with the Interactive Advertising Bureau.

As online publishers continue to experience growth rates of 20-30% in ad revenue, the race to create new advertising opportunities has left publishers with an excess of inventory which they are selling through ad networks at up to 90% discounts versus direct sales rates. The study finds the trend particularly foreboding for branded online publishers who traditionally earn between $10-20 CPM (the industry term for the cost per 1,000 ad impressions advertisers pay) and therefore risk severe price erosion.

“Online publishers are producing more inventory than the market demands, and risk devaluing the premium nature of their brands, particularly in light of ad networks growth and their dramatically lower pricing,” said John Frelinghuysen, a partner in Bain’s Global Media Practice and study author. “Building more effective relationships between publishers and ad networks is critical. In the longer-term, both parties will benefit from gains in ad network CPMs.”

The reason for the rapid growth in the use of ad networks is two-fold:

• Interviews with online publishers, conducted as part of the study, indicate that the lack of adequate pricing tools and inventory management discipline contributed to the growth in available ad space. This is causing publishers to seek out ways to sell large inventories of unsold ads. Publishers often lack basic information on realized prices and inventory sold by client and channel, limiting management’s ability to make effective decisions.

• Large marketers continue to shift significant portions of their advertising budgets online and view ad networks as an effective way to achieve greater buying scale and drive down CPMs.

“What this benchmark study tells the industry is that there is a need for more sophisticated yield management on the part of premium publishers, for stronger partnerships between publishers and ad networks, for development of best practices, and more focus on the value of interactive advertising.” said Sherrill Mane, senior vice president, Industry Services of the IAB. “Our industry is at an important juncture and now is the time for publishers to adopt strategic approaches to the use of ad networks who themselves have become critical players in the digital ecosystem.”

Another important finding of the study is that publishers who actively manage and use multiple ad networks can achieve higher revenues on display ads sold via networks. The benchmarking study finds publishers vary in their adoption of ad networks, the approaches used and the results attained but overall finds that the keys for success for online publishers are having dedicated staff, better tools and metrics that allow constant vigilance in managing ad pricing, reported sell rates and channel conflicts.

The authors of the benchmarking study offer recommendations to both publishers and ad networks to pursue steps toward higher realized pricing and enhancing mutual benefits of collaboration. These include:

• Publishers must become more disciplined in managing ad inventory and deploy improved methods and tools to enhance yield management

• Ad networks should partner more closely with publishers to enhance the value of the relationship for both parties.

Other key findings from the benchmarking study include:

• Overall, online publisher revenues grew by a healthy 32% in 2007 versus 2006, yet ad network revenues grew more rapidly (in excess of 50%), as marketers boosted online spending.

• High demand for premium video inventory resulted in CPMs 2-3 times greater than display ads on average.

• Most publishers in the study lack information to closely measure the impact of cross-platform sales, though most indicate focus on using cross-platform to drive volume, not price.

The Digital Pricing Study was developed as a benchmark to explore the impact of online ad intermediaries on ad rates, profitability and ad inventory management for media companies (publishers). The study methodology included executive interviews and in-depth analysis of proprietary company data, including direct, ad network and cross-platform sales, pricing (CPMs) and impressions volume for seven leading online media publishers. The selection criteria included having leading brands, publishing premium content, and selling advertising on a national basis. To view the complete study, please go to www.iab.net/digital_pricing_research.

IAB Announces the Release of "Vast," a Digital Video Ad Serving Template, for Public Comment

Thu, 31 Jul 2008 00:00:00 -0500

To meet the need for standardization in the expanding digital video landscape, the Interactive Advertising Bureau released a “Digital Video Ad Serving Template” (VAST), designed to standardize communication protocol between video players and servers.

VAST will allow companies to build digital video players and video ad servers that have the same interfaces and speak the same standard language. Publishers who use the standard will be able to plug into multiple third-party digital video ad servers and networks without additional development and therefore enable a powerful tool for improving yield.

This document:

• Defines a standard ad response for in-stream video
• Provides specifications that are compatible with any video player framework
• Includes guidance for most on-demand video players (i.e., Adobe’s Flash, Microsoft’s Windows Media Player and Real Player)
• Includes accommodations for linear video and interactive ads (e.g.“pre-roll”) as well as non-linear ads such as clickable overlays as described in the IAB Digital Ad Format Guidelines

“Digital video is one of the most exciting platforms to emerge within the interactive advertising ecosystem,” said Randall Rothenberg, president and CEO of the IAB. “VAST is a critical industry accomplishment because it lays out a much-needed mechanism for standardization in one of the hottest areas of interactive advertising.”

“VAST allows for standardized communication between ad servers and players which is essential as more and more marketers embrace digital video as a key element of their interactive media plans and publishers wish to maximize yield on their video inventory,” said Ari Paparo, Group Product Manager, Advertiser Products of Google.

The public comment period will last until September 10, 2008. The feedback will then be reviewed and the document will be finalized and publicly released.

To review the complete document, please go to: www.iab.net/vast.

The IAB Issues Ad Campaign Measurement Process Guidelines for Public Comment

Thu, 24 Jul 2008 00:00:00 -0500

The IAB announced the public comment release of “Ad Campaign Measurement Process Guidelines,” a document that addresses the process of a publisher’s or advertising agency’s use of a third-party ad server and its application service provider. The guidelines supplement current measurement guidelines and provide definitions and guidance on the auditing of processes used in the placement, trafficking and reporting of interactive advertising. The document is the result of a consensus of participating auditing organizations and the IAB.

This document will:

• Help the IAB, publishers and ad agencies further establish transparency and consistency in the area of ad measurement through certification by having all phases of ad serving put through a technology, process and data audit

• Provide a Self-Assessment Questionnaire that allows publishers, third-party ad servers and agencies to perform a self-assessment of their compliance using controls outlined in the document and meant to help the industry reduce discrepancies.

“As an industry, we are providing marketers with the most powerful, accountable and cost effective way to reach consumers,” said Randall Rothenberg, president and CEO of the IAB. “To continue to deliver on this promise, we must establish methods that reduce discrepancies in the buying process of interactive advertising—we’ve made great strides by bringing these guidelines to fruition.”

“The IAB’s work both with its members and the auditing organizations in completing this document is a critical step in solving the ongoing challenges of media measurement discrepancies,” said George Ivie, President of the Media Rating Council. “Our research has found that human error plays a material role in large impression discrepancies and these guidelines, when followed, will assist in reducing those errors and improve overall efficiencies in the measurement process.”

After the 30-day comment period, ending on September 10, the feedback will be reviewed and the guidelines will be finalized and publicly released.

To review the complete document, please go to, www.iab.net/campaign_measurement_process

MIXX Awards 2008 Reach Record Number of Entries, Secure Their Place as Premier Interactive Advertising Recognition

Tue, 22 Jul 2008 00:00:00 -0500

The IAB announced that submissions to the fourth annual MIXX Awards hit record levels, surpassing 2007’s entries by nearly 40 percent. Since their founding in 2005, the MIXX Awards, the only advertising awards to recognize creativity and effectiveness, have evolved into the most prestigious interactive advertising award and have attracted a distinguished cross-section of the world’s top brands and agencies.

• This year’s entries include submissions from hundreds of agencies—“native digital” shops and large traditional ones as well.

• These agencies have submitted the work they have done on behalf of their clients who encompass every major vertical industry—including blue-chip brands, luxury products and services, pharmaceuticals, automotive, financial, consumer packaged goods , entertainment and technology.

• The campaigns will be evaluated in 18 categories by a cross-industry panel of judges that includes senior executives from agencies, publishers, and marketing organizations deliberating together—an industry first.

“The sheer quantity of submissions and the caliber of the marketers and agencies represented is a testament to the increasingly critical role that interactive advertising plays in marketers’ media plans,” said Randall Rothenberg, president and CEO of the IAB, the trade association for interactive media in the United States. “To think that this awards show is only in its fourth year and has already attained levels of submissions that are on a par with long established shows is nothing short of a revolution—showing how far interactive advertising has come. Now the real excitement begins as our judges see which work among this extraordinary lineup will make it to the final round.”

Winners of the IAB’s 2008 MIXX Awards will be announced at a ceremony in New York City on September 23, near the start of Advertising Week, a gathering of the media and marketing industries that typically draws 10,000 professionals to conferences, seminars, recruiting events, and parties celebrating advertising and its evolution. The host for this year’s MIXX Awards is one of the industry’s keenest observers and practitioners, Rob Norman, Group M CEO, whose regular riffs on all things interactive have made him the natural emcee for the evening’s ceremonies.

Last year’s MIXX Award winners included many of the most prominent brand marketers in the United States, including Anheuser Busch, American Airlines, The Coca-Cola Company, BMW, Royal Caribbean, Showtime and Unilever, as well as leading agencies such as Universal McCann, Ogilvy, McKinney, Digitas, BBDO and Mindshare. In 2007, the gala’s ultimate honor, Best in Show, went to Goodby, Silverstein, and Partners, San Francisco, for its super-rich media campaign for Hewlett-Packard, “The Computer is Personal Again.”

For more information and to view the complete gallery of the 2007 MIXX Finalists, please visit: www.mixx-awards.com/gallery.

"A Mobile Advertising Overview" Released by IAB

Mon, 21 Jul 2008 00:00:00 -0500

The IAB announced the release of “A Mobile Advertising Overview,” a document that demystifies the mobile platform and showcases it as a vital and growing medium for interactive advertising. It is the first report issued by the IAB on the mobile advertising platform and outlines a broad spectrum of opportunities for marketers and agencies as more and more of them utilize this emerging platform.

The document:
• Educates media companies, agencies, marketers and users about how advertising is currently implemented within the mobile platform
• Explores the mobile platform as a viable part of the interactive advertising ecosystem
• Includes case studies of mobile advertising campaigns designed to assist marketers and agencies in campaign execution.

“The recent growth of mobile advertising clearly illustrates how quickly we are moving to a three-screen universe,” said Randall Rothenberg, President and CEO of the Interactive Advertising Bureau. “This report outlines the opportunity for marketers and agencies to reach increasingly mobile consumers giving them information when they want and where they want—this is no longer the future but the here and now.”

“This was the IAB Mobile Committee’s first major initiative and we are proud to have created a comprehensive guide for marketers, agencies and publishers on the mobile platform,” said Gary Schwartz, CEO, Impact Mobile and Co-Chair of the IAB Mobile Committee. “Mobile is changing the way consumers interact with advertising and once they get accustomed to it there is no going back.”

On July 21, the IAB will host a Leadership Forum on Mobile Advertising in New York City, where industry leaders, including marketers and agencies, will explore the opportunities and innovations of this dynamic medium.

To download the full report, please go to www.iab.net/mobileplatform.

IAB Launches Revenue Cycle Best Practices

Wed, 16 Jul 2008 00:00:00 -0500

The IAB announced the release of “Revenue Cycle Best Practices,” a document that recommends a series of internal controls and processes for publishers aimed at increasing efficiency and effectiveness in the online advertising revenue cycle. This is the fourth in a series of documents that are part of an IAB-led industry initiative to increase operational efficiencies within the interactive advertising ecosystem. “Revenue Cycle Best Practices” was created by the IAB’s CFO Council, and is comprised of financial professionals representing 46 leading interactive companies.

Key recommendations from the document include:

• Specific processes for obtaining internal pricing approval

• Advice to publishers that they closely monitor open receivables that are more than 60 days overdue and that they recommend actions to their sales teams for collections

• Implementation of appropriate controls along the insertion-order process to ensure proper execution

• Regular meetings between collections teams and Ad Sales Management.

“The work that we’ve done collectively as an industry in streamlining many areas of the advertising supply chain is important for the growth of interactive advertising,” said Randall Rothenberg, president and CEO of the IAB. “By working with our members to enhance operational efficiencies, we deliver on the promise of an extraordinary medium that is transforming consumers’ lives.”

“This document provides guidance on how to improve our internal and external communications. This will not only increase productivity, prevent costly errors and decrease the amount of time it takes to collect payment but it also improves customer satisfaction. It ultimately means more revenue for the company,” said Christie Lay, Senior Credit Manager, Microsoft Corporation and one of the working group members who participated in the document’s creation.

The “Revenue Cycle Best Practices” document along with the other three documents in the series—“Billing Methods Best Practices,” “On-time Delivery Toolkit” and “Campaign Setup Best Practices”—can be found at www.iab.net/revenue_cycle.