On The Road Again…

June 5, 2020

The road to recovery is still a bit of a roller coaster.  An unusually tough week in the world as we continue to wrestle with social injustices on top of the pandemic.  The unrest is creating a surge of media consumption leading to a continued imbalance between supply and demand. Overall CPMs are still down vs last year (May 2019 v. May 2020) but we are happy to report that we continue to see an uptick in a few categories.   And, news from advertisers is encouraging as brands plan a return to market.

Two-Thirds of Brands Plan Ad Spend Increase

We’ve been keeping tabs on the pulse of marketers to follow their plans to return to digital ad spending.   A study by Ascend2 found two-thirds of brands planning to increase their programmatic ad spending in the coming months.  Of those polled, 37% expect an increase of 10% or less. But 15% foresee a hike of 11-24%, and 14% anticipate an increase of 25% or more.

Global Spend Update

Pubmatic has updated their data on the impact of COVID-19 on global spend.  Showing signs of recovery in a few categories but total ad spend is still down vs pre-pandemic levels.   Big increases in Travel, Home & Garden, and Careers. Also, video ads are showing signs of recovery after a big hit earlier.

COVID-19 impact on ad

ad spend by category

ad spend by publisher category

Adapex CPM Analysis Week of June 1

Overall CPMs are still working their way back to 2019 levels.  Travel +30%, News +13%, and Health +11% CPMs continue to increase in May vs April.  We also are also seeing strong Mobile CPMs just about where they were this time last year.

CPM Analysis

 

Adapex continues to work with our publisher partners to stay the course and find ways to maximize revenues.  We are seeing exciting results from our header bidder wrapper and are pleased to share we’ve been recognized as a finalist for a Drum Award for this technology, as well as for the work from the team.   We’d like to take this opportunity to thank our publishers for their trust and support that has allowed us this success.

 

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