Not a calculator – a game changer!
The IAB has just introduced a Fee Transparency Calculator. The calculator “provides advertisers and publishers with a granular, partner-specific evaluation of their programmatic technology, service and inventory costs as a percentage of their effective CPM.”
Interestingly, “it is designed to be flexible enough to accommodate most media plan channels and cost models, including CPM based fees, percent of Media Fees, and Flat Fees. The calculator then organizes and quantifies the fees based on their role in the supply chain.”
Speaking of supply chain, I am sure that some in the supply chain (especially those firmly in the middle and those who add the least value) fear this type of transparency and will resist such attempts to arm advertisers with facts and figures.
They’d rather advertisers stay in the dark while allowing their dollars to run through the programmatic world with no control or accountability, precisely because the darkness benefits the weakest links.
Well, guess what? It’s 2017, not 2007, and such a mindset will run those players into the ground (probably where they belong anyway). Digital advertising is in the midst of a refreshing evolution. And it will end with advertisers maintaining 100% control over their budgets, receiving full transparency over the media environment, and with the minimization (or even elimination) of fraud, IVT and all the bad things we’ve learned to accept as part of the game. The rules of the game, as this calculator neatly and scientifically demonstrates, have changed!