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What is it exchanges do again?

A recent blog raised some very thoughtful questions about the differences between the ad network and ad exchange business models, and we’re always happy to oblige with answers.

Here at TRAFFIQ, we see an enormous difference between blind networks and open exchanges such as ours. The very fact of being open can (and in our opinion does) make a world of difference for publishers and advertisers alike.

We welcome the opportunity to discuss how publishers can benefit from a fixed rather than fluctuating commission, how detailed performance data on a site by site basis can help advertisers optimize their budgets, or how transparency and openness make it easy for buyers to do their own validation of a publisher - everything from rate cards to whether site content is a match for brand. Try doing any of this in a blind network.

But the main point is simply this: an exchange gives advertisers far more value for their budget than does a blind network. It's the difference between a shotgun and a rifle - between wasting money on unknown or inappropriate placements, or securing the kind of appropriate, quality placements that naturally lead to higher conversion rates.

And in our view anything that benefits buyers will loop back and benefit publishers as well. The same transparency that allows buyers to make better choices means publishers' inventory will be better valued and more easily monetized. The only publishers who might not benefit are those with poor content or unprofessional management.

So is our business model working? Does our exchange provide the incentives for buyers and sellers to join up, work together, and create "massive scale"? All we can say is that since TRAFFIQ was launched, more than 1,200 agencies, brand advertisers, and quality publishers have come on board. These are not token members - they are actively buying and selling as we speak. We urge anyone who's curious to come check us out for themselves. You can test drive the TRAFFIQ exchange by registering for free right here.