- Meredith Corp., the publisher of Better Homes & Gardens and AllRecipes, reported a disappointing 4% decline in digital ad revenue for Q2.
- The publisher pegs the programmatic trend as part of the reason revenues have declined.
- Programmatic buying allows ads to be purchased auction-style, which can drive down the cost-per-ad — something that executives at Meredith say is partially responsible for disappointing ad sales for its women's publications like Family Circle and Fitness.
With huge ad buyers like Procter & Gamble moving the majority of ad buys to programmatic, publishers like Meredith have no choice but to go with the trends — even if it sometimes undervalues the price of ads. Publishers will have to find other ways to make up the difference through premium or native ads that can still pull in a higher price.