September 18, 2018

Blockchain ad network

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IBM iX (IBM’s digital agency network) and MediaOcean (the ad-world software provider) have
joined efforts to pilot the first blockchain ad network. Built on top of MediaOcean’s campaign
management platform, the blockchain solution will provide visibility into the life cycle of each
media dollar, recording each step from purchase order to execution of media in a ‘secure,…
immutable, and standardised’ format. They plan to test this solution this year and make it accessible
for all clients till the end of 2019 Now, about 55 cents of each media dollar go to middlemen, as
estimated in an article at the eMarketer site (). This spending is named as an
Ad Tech Tax. For programmatic ads, such fee is about 20% (10% on demand-side platforms and
10% on supply-send platforms) and varies by country/region, as estimated by GroupM in February
2018 But Warc analysed fees from data management platforms and other tech vendors and
received 55% as total tech tax fees, 40% as publisher’s revenues (with assumption of zero fraud),
and 5% as agency record fees. The current value (55 cents) is more than 40 cents from each dollar,
according to a report for North America by the Association of National Advertisers, the Association
of Canadian Advertisers, and others in 2017 The blockchain ad network solution should increase
transparency and accurate measurement of all actions in the digital ad market.
Original link:

https://www.emarketer.com/content/five-charts-explaining-the-ad-tech-tax

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