• by January 15, 2001

Tomorrow I'll be at the "Future of Media Buying and Selling" Myers Forum in New York, and here's a sneak preview of one of the reports scheduled to be released there.

The report, "Sharp Curves Ahead: Tough Realities for Media Exchanges," includes the results of a Myers Mediaenomics study from December 2000 indicating that less than 9% of marketing and agency media executives have used an online ad exchange in the previous six months.

The report is especially timely since last week alone several new ad exchanges - AdOctane, Cuica and AdOutlet Private Labels - have decided to join the game.

They can be sure of a bumpy ride ahead, considering that only 38.5% of executives surveyed for the Myers report said they plan to use an exchange by 2005, while nearly half (47.9%) said they have no plans to use one. Of those who plan to use an exchange, 89% say they plan to do so by 2002.

"Clearly, the next two years are absolutely critical for the media buying and selling exchange business and each of the companies now trying to carve out market share in this space," said Jack Myers, chief economist, Myers Mediaenomics. "By this time in 2003, we should know whether media exchanges are here to stay and, if so, the names of the major player or players."

The report suggests online ad exchanges "concentrate on getting the back-end systems of the traditional media sellers in place and focus on the advertisers, not the agencies. Advertisers are more receptive to the idea of exchanges.