Dive Brief:

• Index Exchange released its Q1 programmatic data and found 70% of spending came from brands.
• The research found that while bid prices increased, impression volume decreased.
• Another key finding was a publisher shift to the private exchange channel because advertisers want access to premium inventory as well as a hedge against fraud.

Dive Insight:

Brands dominate programmatic ad spending, accounting for 70% in the Index Exchange Quarterly Index Report for Q1 breakdown of its programmatic data. An interesting finding within this breakdown was that bid prices – both clear and winning – increased, but impression volume decreased inferring that advertisers were becoming more competitive for impressions. Breaking the data down more granularly found cookies with third-party data attached attracted eight bids per impression, which according to Index Exchange is “quite competitive.” Part of this was attributed to seasonal influences with financial companies buying ads during tax season in direct competition with each other.

Another interesting finding from the report was digital publishers shifting more inventory to the private exchange channel because advertisers want premium inventory and private exchanges allow for publishers to place a premium price on more exclusive inventory. And advertisers view private exchanges as a less of a fraud threat.