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PubMatic index shows 23% drop in online ad rates

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Palo Alto, Calif.—The economic slowdown has hit online advertising, according to PubMatic, a company that automates and optimizes ad serving decisions for publishers. According to its PubMatic AdPrice Index, ad rates dropped from 49 cents in March to 38 cents in April. The index is based on data from more than 3,000 publishers and billions of ad impressions.

PubMatic found that large Web sites fared the worst, while small sites managed to maintain monetization rates. CPMs for large sites (those with more than 100 million page views per month) dropped from 38 cents in March to 18 cents in April. Small sites, on the other hand, increased rates from $1.18 in March to $1.29 in April.

—Carol Krol

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