Real revenue is finally being generated from the digital upfronts, something for which the country’s biggest digital brands have been pushing.

Advertising giant Magna Global, part of IPG Mediabrands, committed $100 million of its managed client advertising dollars to Google in a one-year upfront deal. According to MediaPost, “more marketing brands [are realizing] the benefit of integrating television advertising with digital media.”

“There’s the notion of being able to tap into scarcity around inventory, which is critical and underpins the upfront model in TV,” Torrence Boone, managing director of agency business development for Google in the Americas, told USA Today. “That model is porting over to digital.”

According to Google, the deal with Magna Global, which oversees $37 billion in annual advertising spending, is similar to deals signed last year with Mediavest, Publicis Groupe’s DigitasLBi and RazorFish. This deal will span all of Google’s properties, including the all-important YouTube.

Google, Yahoo, Microsoft and AOL have been working hard to convince brands to invest in digital video platforms, just as they do each spring during the television upfronts. Together, the companies created the NewFronts, which will take place this year in New York in April.

Read more: USA Today

Brief Take: Each year, digital video platforms are becoming more on par with traditional TV platforms, and now they are legitimately vying for the same advertisers and revenue as those players.

Tags:


  Save as PDF