CBS will immediately discontinue the use of third-party ad networks for display ads across all of its global sites. While they expect to lose some near term revenue the expectation is that they will more than make it up coming out of the recession. CBS hopes to increase it’s options for advertisers and bring more customized ad programs tailored to their audience of over 200 million monthly online viewers. This is a core recommendation from a study by the IAB and Bain which I blogged on earlier toward media and publishers need to other more complex advertising mechanisms which align with the trend toward more controlled content marketing based advertising solutions. CBS Interactive says it expects to gain a range of demographic, behavioral and re-targeting options; more flexibility in its relationships with selected third-party online ad firms; and more customized ad programs tailored to its specific audience.
According to the AdAge article that first reported the news:
“As for CBS taking its inventory out of the network market, Mr. Cassidy said, “It’s not that big a deal, to be honest with you; it doesn’t move the market.” What will, he said, is if Yahoo follows through on its promise to kick networks off its Right Media exchange that don’t add significant value with data or advanced targeting.”
We will have to keep and eye out to see if this in fact happens and the ad network community crumbles.
