The early years of online advertising were an exciting time, and as we (a buyer and a seller) think back to that era, it sure seemed as if it was easy to write business!
Start-up specialists,
newly formed publishing groups, and dot-com advertisers were building a new medium. It was anything but traditional. The buying process at the time emphasized the need for speed. We were living on
"Internet time" in the "new economy" and people just weren't paying that much attention to contracts on ad buys. The world saw a fast-moving new industry, but in the back offices of buyers and
sellers, an inordinate amount of resources were being thrown at the chaos, trying to keep up with constantly changing and always-unique business practices.
Over time, both sides realized the need
for order and drafted a collaborative set of principles issued by the IAB and 4As in early 2001 known as "Terms and Conditions [Ts&Cs] Version 1.0." The intent was simple — to disseminate a commonly
accepted set of terms and conditions that agencies and publishers could use as the basis for online buys. This would reduce the amount of time that buyers and sellers spent on negotiation and
administration of contracts, and streamline our respective business operations. Version 1.0 was debated, discussed, and released to the industry. It represented progress, but the document failed to
gain broad acceptance; it did not take us where we needed to be. Key issues were not addressed; other terms were not completely defined.
In August 2001, a contentious but determined group of
agency and publisher representatives convened to tackle what would soon be referred to as Version 2.0. Hundreds, if not thousands, of hours were spent in meetings, drafting sessions, and negotiations
over a nine-month period developing Ts&Cs Version 2.0. The time was spent not only negotiating terms, but also dissecting our business practices and dispelling myths about our capabilities in an
effort to build realistic guidelines on a solid foundation.
The following pages highlight some of the changes made to the original document. We look forward to constructive comments, debate, and
the continuing evolution of this document.
Adam Gerber is VP, Director of Media Strategy, Digital Edge, and Chairman of AAAA New Media and Marketing Committee. Jeff Weitzman is Senior Director,
Client Services, Yahoo!, Inc.