Posted by: Matt Shanahan
On a daily basis, part of either Silicon Alley Insider, TechCrunch, or paidConent.org debates media company survival strategies. A surprising missing element in the debate on media survival is ad inventory.
In the digital world, there are only so many page views performed by an audience (finite impressions). In the print world, massive amounts of “ghost impressions” were sold that the audience never saw. How many magazines, newspapers, etc. have been thrown out without ever being read – inventory bought but not served? In the digital world, ad buying and ad serving come to a new harsh reality – equilibrium. That new equilibrium combined with better targeting and new competitors is what is rocking the ecosystem and business models.
In transformation from print to digital, media companies will need to understand and develop their audience and relationship to create the necessary quality and inventory of impressions for survival.
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