Facebook gets only $50MM from Banners

So all of this buzz about DSP’s and Realtime Bidding has gotten me thinking. Why exactly are we so obsessed with these standard IAB sizes? What’s the deal with banners anyway?

Anyone who knows anything about programming, flash, html, and javascript knows that the size and shape of the banner really doesn’t matter when it comes to scheduling and the technology behind adserving. It’s probably the business people and management that are so detached from the technology and mechanics of online advertising that have painted us into this corner.

Well Facebook is not so dumb. I guess that’s one of the benefits of having a twenty something developer as a CEO. For what they lack in big business management experience they sure are creating a massive revenue and profit machine.

“The biggest income stream seems to have been performance advertising, which likely accounted for more than half of Facebook’s 2009 revenues at $350 million. Next was brand-based advertising, which accounted for an estimated $225 million in revenue. Microsoft advertising came in at $50 million and virtual good income was only $10 million according to these numbers.”

From Mashable Article - Facebook Could Surpass $1B… http://loca.ly/bfA3ho

So why are all of these data companies like Blue Kai, eXelate, and DSP companies like Invite Media, MediaMath, Turn, Triggit so obsessed with the banner?

It sounds like the real value is outside the banner!