Chatura Atapattu [cpa2116]

 Grew 17% from Q3 of 2009 to 2010  $6.4 billion  1 trillion ad impressions  2 nd biggest advertising market  1 st is Television  Surpassed Newspapers in 2010

 Modern day online advertising has three major entities  Publishers  Advertisers  Ad Networks/Exchanges

 Advertising Inventory “Advertising inventory is the supply of opportunities to display advertising in a particular medium” “opportunities to display” = ad impressions  Ad Impression “An ad impression is a single viewing of a single ad by a single individual”

 Remnant Inventory

 Come in-between Publisher and Advertiser  Advantages  Simple arbitrage  Vertical integration  Platform specialization  Behavioral targeting

Singular Network Linked Networks

Daisy Chained Networks Ad Exchange

 Models  Cost Per Mille (CPM)  Cost Per Click (CPC)  Cost Per Action (CPA)

 Profile user and serve targeted ads based on user “behavior”  Metrics  Age  Sex  Previously visited web pages/products/services

 Process of advertisers bidding on a single ad impression in real time  Occurs within the time taken to load a web page  Highly targeted based on  Ad unit size/format on website  Website name  Website category  Geographic location of user based off of IP address  Time of day at user’s location  Frequency of ads of ad campaign  User profile (other information about user such as age, gender, etc. from cookies)

 Data collection techniques  Cookies ▪ First party ▪ Third party  IP Address  Query strings  User volunteered information  Data sharing between Ad Networks  Privacy Implications  HTML5 “Supercookie”  Invasion  FTC Self Regulation  Education  Transparency  Consumer control  Data security  Sensitive data  Announce policy changes

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