Right Media Case Summary

663 Words3 Pages
Right Media should have advertisers classify their own ads in a more efficient and improved classification system. The Right Media algorithms delivered the right ad for the right amount of revenue. The new classification system will deliver the right ad insertion on the right spot. The new strategy will increase the value of its service and will permit an increase of the CPM (cost per mile) price, commission and market share. Right Media has conquered very rapidly a significant number of users (ad networks and websites), attracted by the opportunity within its own network. Advertisers could have access to more publishers and vice-versa. The growth was exponential, from zero to 60 billion impressions in one year with an enormous potential for growth (their share in 2006 for non-premium market was around 5% - approximately 144 million out of 2.2 billions). Their mission and existence purpose is to maximize the inventory for their primary customers, the ad networks. Ad networks objective is to maximize advertisers ROI (return of investment). The first is quantity and the second is…show more content…
The new algorithm will be capable of not only maximizing the price but also add category and target matching features. The categories will have subcategories that will include information about the ad and the targeted consumer (the number of the detailed information will be variable and optional). The system will offer a variable matrix that will be used in the equation for setting price and target. The actual difference average between a premium and a non-premium ad can be up to 30 times (taking into consideration the average low price of $ 0.60 CPM for non-premium and $ 18.00 for premium), this will permit an increment of CPM price for the non-premium inventory since their success rate will be increased by the targeted users. Right Media will be able to intermediate space and

More about Right Media Case Summary

Open Document