For many brands, digital advertising is a mysterious mechanism where they plop in money on one end and hope for results to pop out of the other.

A whole ecosystem has cropped up to help brands understand the process, optimize performance and mitigate middlemen.

But they all contribute to one of the core problems of digital advertising for brands: the AdTech tax. 

 

A quick AdTech tax breakdown:

Based on approximate data.

Essentially, everyone along the chain takes a cut. And that is always going to be the case no matter what.

But if a brand was able to completely take media in-house, the potential is massive:

Based on approximate data.

The Adtech Tax is almost nonexistent. Brands won’t need an agency to take a cut for managing media. They’ll have an internal trading desk, so brands won’t need managed media services either. Working directly with DSPs could provide better rates as well.

 

The result of a lower AdTech tax is much, much more media in market. Which means more of the money you put in is actually used for placing media.

Less AdTech tax also means that you have a better idea of what is going on in that giant black box digital advertising has turned out to be. And that opens up a world of possibilities.

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