Buying Media in the 21st Century

This article in the International Herald Tribune caught my attention because it talks about the full court press by Google, eBay and Yahoo to transform the way traditional media advertising is purchased. Just as my company is transforming the method of creating traditional ads and direct mail via the internet, so too is media buying going to change.

The web has been a powerful force in bring transparency to the price of all kinds of things. Want to know the market price of almost anything? Check it on eBay. Interested in what the going rate for your industry keywords are on Google? A few clicks will tell you. Bringing transparency to media buying will certainly allow small to medium sized companies (without the services of a media buying firm) to easily select and buy advertising.

But with transparency comes a squeeze play -- as old line media are exposed with real market pricing online. Look for the large buyers to squeeze (an evermore fragmented) media with falling readership or viewership down to the real value. As true audience measurement is automated via online tools and panels this could all come together in a dynamic media ad buying marketplace where pricing isn't locked in as it is today...but fluctuates by the hour. Think about the transparency of the stock market. This Nasdaq future could be reality in the next decade for the ad buying world.