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yhmg.comJoe Hirch, CEO

eMarketer’s Display Advertising 2018 forecast report went live yesterday, and I’m excited to have contributed to this year’s predictions about what will drive display spending next year and beyond. eMarketer predicts that US advertisers will spend more than $48 billion in display ads in 2018, with video making up about $15.4 billion. eMarketer rightly predicts that video, social media and fraud prevention will shape display growth in 2018 and beyond.

Advertisers now have several choices, from dynamic ads to native to mobile display, but are tired of waste, fraud, and unpredictable quality. Smart advertisers are working to eliminate the worst elements of display advertising by increasing PMP and direct deals, and finding ways to increase relevance through targeting, native placements and within social media environments. At YellowHammer, we are always thinking about the optimal display strategy for our clients, and find that seamless quality delivery, transparency and engagement, continue to move towards social and more direct buying channels.

As I noted in the report, the rise in our social media spending in particular has increased over the past five years, as advertisers simply reap the most reward from contextually relevant placements targeted to the right audience in a newsfeed.

“Hirsch noted that other factors are drawing advertisers
toward these social platforms, including a more native
or contextual fit of the ads with their respective content.
“When a consumer sees an ad in a social networking
environment, they often interpret the actual ad as
content, not as an offer,” he said. “The audience [on
these properties] is programmed to consume everything,
including pictures, stories and news.”

Video and other engaging formats are also increasing, but they, too require careful navigation. As I mention in the report, at YellowHammer, we steer clients clear of poorly executed programmatic video inventory, which can deliver unpredictable results and poor user experiences. Advertisers need to work closely with their media buying team to scrutinize their video inventory to ensure it delivers an experience commensurate with increased CPMs if they are going to buy on the open web.

The report also discusses how transparency and fraud are starting to be taken more seriously. Advertisers are also learning to measure their campaigns with more effective metrics in order to get closer to a real target audience and a quality impression.

Advertisers must find ways to measure real conversions and sales to their advertising in order to avoid bots and wasted impressions. Those advertisers that can’t do this, need to devote more resources to overseeing their media buying practice to avoid fraud.

I am proud to say that the eMarketer report closely mirrors the best practices that we already use on behalf of our clients to increase performance, decrease fraud and deliver a sustainable strategy that takes advantage of innovations in the market with a considered approach.