April 14, 2024

CPS

Travel Adventure

Yahoo only big supply source free of made-for-advertising inventory in Jounce audit

2 min read

Workarounds and tradeoffs

Performance marketers such as e-commerce players or insurance companies don’t run into MFA issues, because the conversions they can measure on their websites automatically steer them away from low-performing MFA sites, Kane said. Advertisers that have little or no direct sales and rely on reach and impressions to drive their programmatic buys, such as packaged-goods companies, are the ones vulnerable to MFA sites that suck in spending through illusory delivery of what Kane called “vanity metrics.”

Doing the work to eliminate MFAs does cost money, and it likely can result in higher cost per thousand (CPMs) in digital buys, Kane said.

“CPMs are likely to go up and viewability somewhat counterintuitively go down when you turn off made for advertising sites,” he said. “But you’ll sell more products, because you’re running ads now on ‘real’ websites that have high-quality ad products that actually influence consumer purchase decisions.”

Now that Yahoo Backstage, which launched less than a month ago, has some third-party evidence that it’s keeping budgets away from MFA sites, the next step it proving that it’s worth the effort to do so based on performance data, said Adam Roodman, senior VP of product strategy.

“We’re accumulating data around that,” Roodman said. “We’ll be sharing it with customers of our DSP and then with the industry, and we’re pretty bullish on where it’s going to lead us.”

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CLARIFICATION: An earlier version of the story identified Yahoo Backstage as a supply-side platform. Yahoo describes it as a direct path from the Yahoo demand-side platform to Yahoo and affiliated publisher digital inventory.

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