• Home
  • News
  • Coins2Day 500
  • Tech
  • Finance
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia

The most difficult puzzle on the Internet

By
Dan Mitchell
Dan Mitchell
Down Arrow Button Icon
By
Dan Mitchell
Dan Mitchell
Down Arrow Button Icon
August 20, 2012, 6:48 AM ET

FORTUNE — The conceit of advertising has always been simple: it works. Nobody has ever really known how well it works, or how to measure returns on ad spending. The Internet was supposed to change all that by enabling close measurement, but it hasn’t, not really. Technology has a way of creating as many problems at it solves.

There are many problems with accurately measuring online advertising. One of them, according to the traffic-analytics firm comScore, is “viewability.” To be valid, according to a white paper published by the company last week, at least half of a display ad must be visible to an Internet user for at least one second. That doesn’t sound like much of a threshold, and it isn’t. But at least it’s something. And even by that paltry measure, nearly a third of ad impression don’t measure up, according to comScore.

MORE: Sony: Down and out in Tokyo

For example, an ad might appear on a page, but on the bottom half, to which a given user does not scroll. Also, nearly three-quarters of the campaigns of the major brands surveyed by comScore had at least some ads placed adjacent to “inappropriate content.” That means stuff that brand advertisers don’t what the be associated with, like porn or hate speech. (Or piracy: BMW reportedly has announced it will review its online-ad policies after anti-piracy advocates slammed it for running ads on sites offering unauthorized music downloads.)

According to the survey, between 4% and 11% of ads were served to “non-human” traffic — meaning bots. And at least 4% and up to 15% of ads were served outside their intended geographical areas.

All of these considerations should go into ad pricing, comScore says. While the unlimited inventory offered by the Internet certainly puts downward pressure on prices (as any media executive will tell you while ordering another stiff drink), some online ad placements are much better than others. “You have the economics of infinite supply at play, but it’s not really infinite,” comScore Executive Vice President Linda Abraham told ClickZ, a marketing news site. “There’s only so many great news sites out there and only so many hours in the day. Measuring “viewability” and placement “allows buyers and sellers to differentiate that inventory that matters.”

MORE: Hulu’s network drama

The survey on which the white paper was based examined the campaigns of 12 major brands, including Ford (F), Kellogg (K), and Sprint-Nextel (S).

About the Author
By Dan Mitchell
See full bioRight Arrow Button Icon
Rankings
  • 100 Best Companies
  • Coins2Day 500
  • Global 500
  • Coins2Day 500 Europe
  • Most Powerful Women
  • Future 50
  • World’s Most Admired Companies
  • See All Rankings
Sections
  • Finance
  • Leadership
  • Success
  • Tech
  • Asia
  • Europe
  • Environment
  • Coins2Day Crypto
  • Health
  • Retail
  • Lifestyle
  • Politics
  • Newsletters
  • Magazine
  • Features
  • Commentary
  • Mpw
  • CEO Initiative
  • Conferences
  • Personal Finance
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Coins2Day Brand Studio
  • Coins2Day Analytics
  • Coins2Day Conferences
  • Business Development
About Us
  • About Us
  • Editorial Calendar
  • Press Center
  • Work At Coins2Day
  • Diversity And Inclusion
  • Terms And Conditions
  • Site Map

© 2025 Coins2Day Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Coins2Day Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.