AdExchanger said something the other day that really resonated with me:
Display advertising around email is no longer the bottom feeder of inventory I once envisioned. “Sure, it’s cheap, but it’s email inventory” used to be a common refrain.
In fact, over the course of the past few months, numerous industry people have suggested to me that the display ad inventory wrapped around email is a top performer relative to price as ad networks, demand-side platforms, trading desks and “all of the above” buy email inventory.
Funny he would say that: As I recollect, Yahoo Mail was always some of the best performing ad inventory around. Bottom line: It had huge reach and it reached the kind of people that tended to convert on offers. True story. In fact, Yahoo divided mail inventory into a few frequency tiers and priced the low frequency stuff quite exorbitantly as I recollect. And we paid. We paid! We bought all we could afford. It was consistently good inventory.
When Yahoo bought Right Media, a big part of the financial justification was that they could push all the inventory into RMX and see financial upside. (10% RPM lift on a gajillion impressions is how Biz Dev guys do spreadsheets to justify big deal acquisitions like that one.) Despite this, when push came to shove, it actually took a fair bit of time to migrate the inventory over simply because people like us were writing such big checks and it was hard for the sales organization to come to grips with the fact that they were not going to simply accept a giant order from us at the beginning of every month.
Of course, the high frequency stuff, like all high frequency stuff, was/is basically worthless. So there you go.
Is search inventory awesome because by it’s nature it is low frequency?