DoubleClick: Ad Serving Prices May 'Bottom Out' in 2005

Share this article:
DoubleClick said its ad management prices keep falling, though it thinks ad serving costs will stabilize next year.


"We can't say for certain when pricing will bottom out, but we think that will happen in 2005," CEO Kevin Ryan said Thursday in a conference call with financial analysts.


DoubleClick's ad management revenue in the third quarter totaled $29.8 million, down 3 percent from a year ago.


DoubleClick faces competition in ad serving services from rivals such as aQuantive's Atlas DMT, 24/7 Real Media and Accipiter. Despite increasing Internet advertising prices, Ryan said the technology costs for displaying those ads keep falling, though DoubleClick's serving costs are falling faster than pricing.


Overall, DoubleClick said its sales reached $81 million in the quarter, up 8 percent from a year earlier. Net income was $15.4 million, up from $6.3 million a year earlier.


Share this article:
You must be a registered member of Direct Marketing News to post a comment.
close

Next Article in Digital Marketing

Follow us on Twitter @dmnews

Latest Jobs:

Featured Listings

More in Digital Marketing

IAB Tech Lab to Set Global Digital Marketing Standards

IAB Tech Lab to Set Global Digital Marketing ...

In looking to solve complex tech issues, the association opens up full membership to agencies and solutions providers.

Integration Meets Innovation in Planters' Digital Campaign

Integration Meets Innovation in Planters' Digital Campaign

The snacks brand found a healthy way to navigate today's world of digital marketing saturation.

USA Today Decides to Play Games for Real

USA Today Decides to Play Games for Real

It partners with game-maker Arkadium to add 60 new digital games to its site, offering advertisers more segmented breakdowns of players.