There’s a big trend towards ad server consolidation among large global brands. In fact, the average number of ad serving companies used by large advertisers has dropped by one-third in the past two years.
That’s according to a recent survey by the World Federation of Advertisers (WFA), based on input from 30 companies across a range of industries, with worldwide media spend over $30 billion. (Tip: watch this short video for a quick refresher on how ad servers fit into the tech landscape.)
What’s behind the consolidation trend?
As the WFA explains, many ad serving companies have grown and evolved their geographic reach, enabling “marketers to obtain near global coverage with fewer suppliers.” Additionally, many marketers are looking to lower costs – no surprise given that some brands spend over 10% of their net digital media dollars on ad servers – and to gain more control.
In a post-ANA media transparency report world, that’s also not surprising – as we’ve previously said:
Advertisers must ensure their data is actionable, owned, accessible and portable to their own technology stacks.
Check out this infographic highlighting some of the WFA’s key findings – and explaining what benefits companies can get from consolidating ad servers.
Infographic: Why Big Global Brands Are Consolidating Ad Servers
As the infographic explains, there are many benefits to consolidating ad servers in addition to gaining control over data and improving media transparency. As Matt Green, Global Media & Digital Marketing Lead at the WFA, explains:
Getting better control of, and access to, ad serving offers opportunities to improve media performance and reporting. The range in costs associated with ad serving indicates that this is also one area of media transformation where brands can seek competitive advantage.
Costs savings from ad server consolidation can be substantial – in our experience, we’ve seen clients reduce costs by significant percentages. Marketers who take the leap can also get frequency management at a global scale, more flexibility in agency relationships, and speedier, more streamlined reporting and insights.
No wonder more marketers are consolidating their ad servers.
If you want to master your own ad server operations, Infinitive can help. Take advantage of a meeting with our experts to learn how.