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:
close

Next Article in Digital Marketing

Follow us on Twitter @dmnews

Latest Jobs:

Featured Listings

More in Digital Marketing

News Byte: CX Scores to Take Their Place Beside Price Listings

News Byte: CX Scores to Take Their Place ...

E-commerce aggregator PriceGrabber will begin offsetting price info with service expectations.

Data Byte: Interactive Ad Revenues Exceeding TV for the First Time

Data Byte: Interactive Ad Revenues Exceeding TV for ...

At nearly $43 billion, interactive advertising revenues exceeded broadcast for the first time in 2013.

Marketers: Data Rich and Knowledge Poor

Marketers: Data Rich and Knowledge Poor

While advertisers have become incredibly data-savvy, the most difficult challenge remains causally linking that data to outcomes that really matter.