Online Advertising Benchmark Report

Executive Summary

From June-July 2013, Demand Metric conducted a benchmarking study to understand the impact online display advertising and real-time bidding (RTB) is having on the online advertising landscape. Key findings from this study include:

• A substantially bigger percentage of large companies (70 %) use online display advertising than do small (54 %) and medium-sized companies, and large companies ascribe more importance to it.
• Online display advertising delivers a wide range of benefits, the most important of which is the ability to target consumers, followed closely by measurability. As a solution, RTB enhances both of these benefit areas, yet the awareness of RTB is low, with only 11 % of respondents currently using it and 58 % having not heard of it prior to this survey.
• Better awareness and understanding of RTB stand in the way of broader adoption. Of those who claim a moderate to advanced understanding of RTB, 67 % of them perceive that online campaigns with RTB are slightly to much more effective, compared to just 42% of all RTB users in the survey.
• The RTB market is still emerging and maturing. It’s a relatively level playing field for vendors at present, and price has not yet become the major differentiator in their offerings.

This report details the results and insights from the analysis of the study data.

Table of Contents

1. Introduction
2. Executive Summary
3. Research Methodology
4. Marketing Medium Effectiveness
5. Online Advertising Landscape
6. Online Display Advertising Importance
7. Average Monthly Budget Spend
8. Geographical Targets for Online Ads
9. Top Benefits from Online Ads
10. RTB Awareness & Usage
11. Understand How RTB Works
12. Perception of RTB Effectiveness
13. Future Plans to Use RTB
14. RTB Vendor Landscape
15. Analyst Bottom Line
16. Acknowledgements

Research Methodology

The Demand Metric 2013 Online Display Advertising Survey was administered online over a period of June 20th through July 5th, 2013. During that time, over 350 responses were collected, 317 of which were complete.

All members of the Demand Metric community received email invitations to participate in the survey, and participation was encouraged through a random draw incentive for an iPad Mini.

While respondent email addresses were collected in order to facilitate the prize drawing, no identifying information was retained or considered in the analysis of the survey data.

Following collection of the survey data, Demand Metric used IBM SPSS statistics software to analyze the results and draw statistically significant conclusions.