Q3 is Here…What Now?

July 17, 2020

We’re back again after the 4th of July respite with our weekly round-up of ad spend reports and a more detailed CPM analysis.  Adapex is anxiously monitoring digital ad spend as we get into Q3 and look towards Q4 and beyond.  

Not a Rebound Quite Yet…

While trends indicated that the ad marketplace is showing gradual improvement we are still in recovery, not rebound, mode.  The rebound to growth is still probably months away. While news continues to be subdued, digital media appears to be in a better position than traditional media and is now projected to grow 2% year-over-year.

Adapex CPM Analysis Month over Month

As part of our efforts to track the recovery, we took a look at Adapex CPM trends Month over Month.  Our findings are consistent with reports that ad spend would begin to come back in May.  Looking at June, Adapex CPMs are comparable to Q1 pre-pandemic levels.  Though Q1 is generally a period with decreased demand and lower CPMs following inflated Q4 Holiday spending, we are pleased to see CPMs begin to climb back up +26% MoM.  

Monthly CPM

Adapex CPM Analysis Week over Week

Weekly CPMs continue to fluctuate.  Travel vertical is up while News, Finance and Health are down.  Mobile continues to be strong.

CPM Analysis7_17

Impact of COVID-19 on Global Ad Spend

Pubmatic reports that overall ad spend recovery is being driven by resilient categories like Food & Drink, Technology, Business, Personal Finance, Shopping, etc. However, we see the same fluctuations as Adapex with Travel, Sports, Health & Fitness, and Real Estate taking more time to reach pre-pandemic levels.  Travel, Sports, Food & Drink are seeing the biggest increases month-over-month. Pets, Health & Fitness, and Shopping are experiencing the steepest ad spend declines. 

Global ad spend

Forecast for 2021

Indicating some optimism for the year ahead, Gartner’s 2020-21 CMO Spend Survey shows that digital advertising marketing budgets are expected to grow by 78% in aggregate in 2021. 

Digital Spend forecast 2021What Matters Now

As we ride out the remainder of the year, publishers are looking to make up for losses suffered over the past few months.  Adapex is working with our publisher partners to make sure their sites are optimized to maximize ad revenue.  

  • Our first recommendation is to get your Header Bidding strategy in order.  Review our Best Practices for Header Bidding white paper for simple steps to implement Header Bidding on your site, and to get the most from it.  
  • Second, make sure your CMP solution is up and running.  Serving personalized ads and building strong, trusting relationships with your audience will improve your CPMs.
  • Third, review our tips for improving ad performance 
  • Finally, VIDEO…spend is on the rise and CPMs are strong

Adapex is always here to help and happy to talk about anything ad tech.  Reach us at info@adapex.io anytime. 


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