Is working with agency trading desks worth it

Advertising was always an important element of business. It has been evolving for ages and in just couple of years we’ve got a new, revolutionary way to promote a product – internet advertisement. And now, ad systems in internet are evolving even faster than ever in whole human history. Many years ago the only way to advertise something you had to talk to the owner of the website, where you want to place an advertisement. Now, you have a possibility to set up various settings for the place of your advertisement like the minimal price, target settings.

What Is an Agency Trading Desk?

But what exactly is ATD. ATD is a centralized platform for buying advertisement and, as mentioned earlier, allowing to set up different options. It is quite old, actually. It was invented in 2008-2009 because of the high prices for advertising. Agencies gave people not only low prices, but also allowed to put less effort in the advertising because of the new algorithms. Of course, people are involved in the process too, but main work is made automatically.

Firstly, it was used only with the media advertising, slowly taking over all the ad types

How Does an Agency Trading Desk Work?

First of all, before answering the main question about ATD we need to know its pros and cons

Advantages:

  • We’ve already talked about it, but targeting system is a huge advantage. With Real Time Bidding and very precise targeting, so ATD buys the inventory that will definitely sell.
  • ATD has a possibility to gather information from many information sources like SMS, E-mail, different website, social networks and others.
  • ATD allows to buy cheap advertising with a guarantee that it will be shown only to interested people.
  •  The inventory is bought without a intermediary, so the price will always be lower.
  • ATD analyses all the users and grants a great personalization of ads.

Disadvantages

Main disadvantage of ATD is competition. Today, there is a lot of offers coming from giants like Google that create their own advertising agencies.

Also, today people by creative their own in house technologies that are more transparent and cheaper. And many agencies don’t make all the information about the process transparent which is bad for the beginning businessmen that have a lack of experience. And in spite of great targeting settings, some of the clients just can’t control all the process of advertising. For example, agency decides the place of ad’s running or middlemen that will have a role in process.

Still, here are the most popular agencies:

  • VivaKi
  • Magna Global
  • Dentsu

So, is it really worth to place use ATD? Well, nowadays they have a lot of problems because of the competitors that can give you more benefits and they have to improve all the processes to be interesting or clients. Until then, I’d recommend you to use more modern ways to advertise your product.

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