How Real Time Bidding Advertising Exchanges are Hurting Brands

Due to the rise of programmatic advertising, whereby marketers use automated tools to place ads on thousands of websites, companies aren’t always aware of the articles or videos their name and logo are appearing beside.

According to a recent study from The CMO Council, however, this could be causing a lot of damage to many brands. The survey looked at how a variety of negative ad experiences will impact consumers and their opinions of brands. 37% said that if they see an advertisement near ‘objectionable’ content, they will lose trust in that brand, and it can change the way they think about the brand, even to the point of whether or not they will make a decision to buy.

11% replied that they could boycott the brand, and 9% said that they would vocally complain about the brand.

While marketers largely know that the display location of most ads aren’t always specifically chosen by the brand, the average consumers don’t realize this. To avoid potential blowback, it is important to be aware of what type of content your ads are sharing the page with, and quickly removing them from those pages.

The CMO Council said, “The concern is that the sheer proximity to, or perceived association with, hateful, distressing or brand-contradictory content can undermine that brand, no matter how effective that ad is measured in isolation.”

When asked if they thought the brand being advertised alongside offensive material was somehow endorsing that material, more Americans said it was than it wasn’t (30% to 20%). While consumers aged 35-54 are divided on the question, both younger and older Americans appear more likely to agree that a brand approves of the content it leverages to reach an audience.

Even fake news sites and other ‘questionable’ pages can lead to a lower creditability for many brands. To put it simply, brands really need to be taking proactive steps to ensure their ads are only showing up on positive pages that will reflect well on the brand itself.

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