CARLSBAD, Calif., April 8, 2020 /PRNewswire/ -- According to the Ezoic's Ad Revenue Index, Q1 of 2020 recorded ad rates below their lowest recorded in history toward the end of March (data dating back to 2016). This marks a 39% decrease compared to March 2019 amidst the Coronavirus pandemic. Despite record low ad revenue index numbers, some publishers have been able to side-step part of the impact by mastering programmatic supply-and-demand.
The IAB (Interactive Advertising Bureau) recently released a report further validating the reduced earning potential shown in the Ad Revenue Index. Web publishers, like BroadwayWorld and CultofMac, saw this first hand but were able to quickly adapt with the help of machine learning.
"Revenue had gone way down [at the start of the pandemic]. That is mainly [due to] our direct advertisers. Programmatic ad revenue using Ezoic really helped us pick up some of the flack," said Robert Diamond, Editor-and-Chief of BroadwayWorld.com.
Ezoic, a machine learning and monetization platform for publishers, allowed publishers like BroadwayWorld and CultofMac to use the principles of supply and demand to ensure the value of their ad inventory (space they supply advertisers) during a period of severely diminished competition.
BroadwayWorld and CultofMac configured Ezoic so that Ezoic would automatically adjust the number, sizes, and locations of ads to meet the unique demand that advertisers have for all the different kinds of visitors that land on their pages.
"We've been leaning into them for a lot of things." Ezoic also provides BroadwayWorld with actionable analytics from their platform that has helped as they've seen changes in their reader mix amidst the pandemic. "In average times, organic search would be the #1 driver of website traffic but it is down 40%, now social traffic is up at 625%," Diamond added.
"Increased volatility and the decline of the advertising competition means that it is very important for publishers to make sure they aren't diluting the value of their ad inventory. Making adjustments to ad combinations on a per visitor basis allows publishers to provide more competition for ad space even when it's theoretically low," says Tyler Bishop, CMO of Ezoic.
"Traditionally, sites will just have all their ads in the same locations and sizes for every visitor. This is never really optimal, but when ad competition is low, it is essential to adjust these things to account for lower demand to maintain the best ad rates possible. It requires too many small decisions and adjustments for humans to do it, that's why machines are perfect for this," Bishop finished.
Ezoic has been updating a daily blog on Coronavirus ad rates, tips for publishers, and the impact that the pandemic has had on websites around the globe since mid-March. They've also published a long-form conversation with both CultofMac and BroadwayWorld on what they've done to minimize the impact to their bottom line during this time of crisis. Publishers interested in trying their platform can sign-up on their website, www.ezoic.com.
For questions about this data or comments on the findings, outlets can contact Ezoic's head of media relations, [email protected].