# Media Placement Services
Author:  Pal Sinha, Barnali 
Author URL: https://financedigest.com/author/pal-sinha-barnali
Published: 2021-05-07
Category: Research Reports
Category URL: https://financedigest.com/category/research-reports
Meta Title: Media Placement Services: A Guide to Effective Advertising
Meta Description: Learn about Templeton's concept of Media Placement Services for targeted ads on websites. Avoid pitfalls and understand the benefits of using a trusted
URL: https://financedigest.com/media-placement-serviceshtml

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The term [Media Placement Services](https://gawdo.com/products/25-guest-postings-on-high-authority-websites) was coined by Templeton to describe the placement of advertising media on an Internet website. That is, if a visitor comes to the website from Search Engine Results (like Google or Yahoo) and then finds no advertisements on the right hand side (or at least none that we would recognize), and that same visitor proceeds to navigate away from the site as quickly as possible, then those ads do not “go where” the customer wants them to go. Instead, they are “trapped” on the landing page and are thus only available for a very short amount of time. In effect, it is like an “empty billboard” – only the sign advertising is there!

The problem with this scenario is obvious: no advertiser makes any money! However, when the advertisers realize that they may have to use this [service in order](https://www.financedigest.com/financial-services-firms-must-cut-the-cord-in-order-to-weather-the-covid-19-storm.html "Financial services firms must ‘cut the cord’ in order to weather the COVID-19 storm") to get some exposure on the Internet, they will often be willing to pay for this benefit. But what does it cost? And what should an advertiser look for when he or she is deciding whether to use a [third party](https://www.financedigest.com/why-a-replacement-to-third-party-cookies-is-key-to-post-pandemic-recovery.html "Why a replacement to third party cookies is key to post-pandemic recovery") to place their ads on a website?

There are three things that the average person should be aware of. First, it is absolutely forbidden for a third party to disclose confidential [information about an individual or company](https://www.financedigest.com/healthcare-information-systems-market-2021-global-leading-companies-analysis-revenue-trends-and-forecasts-2027.html "Healthcare Information Systems Market 2021 Global Leading Companies Analysis, Revenue, Trends and Forecasts 2027") in any way. This includes providing data such as IP addresses, names, [email addresses](https://www.financedigest.com/how-to-create-a-professional-email-address.html "How to Create a Professional Email Address") or any other confidential information. Second, even if a company is willing to provide such [data to a third party, they must make sure that the source of that data remains](https://www.financedigest.com/european-bourses-steady-as-focus-remains-on-key-economic-data.html "European bourses steady as focus remains on key economic data") confidential. Any [attempt to obtain confidential information through this type of service](https://www.financedigest.com/tesco-says-online-services-back-up-after-interference-attempt.html "Tesco says online services back up after interference ‘attempt’") is a felony in many jurisdictions.

Finally, it must be understood that there is a significant difference between using a [third](https://www.financedigest.com/adverty-wins-third-us-patent-for-brainimpression-bringing-ad-viewability-technology-to-gaming-on-mobile-tv-screens-and-the-wider-metaverse.html "Adverty wins third US patent for BrainImpression™, bringing ad viewability technology to gaming on mobile, TV screens and the wider metaverse") party to place advertising on a website and allowing others to “place” advertising on your website without breaking any sort of law. Advertising that simply conveys a message to the public is not considered to “place” any sort of advertising whatsoever. On the other hand, if you are [placing ads on your website in order to infringe upon the rights of another or if you are looking to take advantage of another for any other reason](https://www.financedigest.com/fintech-needs-women-5-reasons-why-this-is-the-place-to-be.html "Fintech needs women – 5 reasons why this is the place to be"), you may very well be crossing the line.

Now that we’ve established what we believe to be the parameters surrounding “commercial [activity,” it’s time to discuss the different types of services](https://www.financedigest.com/russian-services-activity-shrinks-for-third-month-running-in-dec-pmi.html "Russian services activity shrinks for third month running in Dec -PMI") that are available and how each one applies in this instance. First, it must be made clear that a placement firm shall not engage in any sort of [misleading or deceptive “practice.” Every advertisement](https://www.financedigest.com/polish-regulator-accuses-t-mobile-of-misleading-advertising.html "Polish regulator accuses T-Mobile of misleading advertising") must accurately convey all of the relevant and necessary information to the customer in order to lawfully benefit from advertising. So long as a firm is not guilty of these activities, then no one should hesitate to work with them.

Next, there are two basic types of relationships that advertisers have with placements firms: a per-affiliate relationship and a revenue-based relationship. Under the revenue-based arrangement hereunder, the advertiser will reimburse the [media placement firm for its services](https://www.financedigest.com/best-media-placement-services.html "Best Media Placement Services"). So long as the agreement between the placements firm and the advertiser is one that provides for a level of compensation commensurate with the value of the [media](https://www.financedigest.com/ad-placement-why-is-media-placement-so-important.html "Ad Placement – Why Is Media Placement so Important?") placement (as measured by revenue earned), then this portion of the revenue-based agreement will serve all parties well. In the event of a per-affiliate arrangement, the advertiser agrees to reimburse only the amount of revenue earned by the placement through its [media agency](https://www.financedigest.com/tmwi-appoints-matt-franceschi-as-deputy-managing-director-to-help-spearhead-the-integrated-media-agencys-ongoing-growth.html "tmwi appoints Matt Franceschi as Deputy Managing Director to help spearhead the integrated media agency’s ongoing growth") on the date that such revenue becomes a taxable income to the advertiser. There are even [times when an advertiser agrees](https://www.financedigest.com/nissan-and-renault-agree-to-overhaul-alliance-this-time-as-equals.html "Nissan and Renault agree to overhaul alliance, this time as equals") to reimburse the placements firm for its portion of the advertising costs (this portion being referred to as a “service contract”).

There are several conditions set forth hereunder that must be satisfied by both parties. In the first condition, the [advertising costs must be paid](https://www.financedigest.com/paid-search-advertising-how-to-identify-wasted-spending.html "Paid search advertising: how to identify wasted spending") for at or before the effective date. In the second condition, the advertising [costs](https://www.financedigest.com/cost-effective-digitized-innovation-to-drive-the-immune-thrombocytopenia-treatment-market.html "Cost-effective Digitized Innovation to drive the Immune Thrombocytopenia Treatment Market") must be paid for at or before the effective date but in no event later than thirty days after the effective date. The party making the payment is also required to comply with all other terms and conditions set forth in this agreement.

It is to be noted that the term “effective date” is interpreted to mean the earlier of the date on which a firm has first [become fully liable for payments](https://www.financedigest.com/why-payments-have-become-the-next-battleground-for-banks.html "Why payments have become the next battleground for banks") (including the immediate payment of expenses) or the date on which all the contingent expenses have been paid. This period commences on the date on which the contract between the media placement firm and the advertiser was executed. On the other hand, if the ad agreement is for a limited period commencing on or before the date of acceptance, it is called a “limited advertising period.” In that case, the period commencing on the effective date and lasting not [longer](https://www.financedigest.com/brand-loyal-brits-have-longer-relationships-with-their-car-than-their-last-lover.html "BRAND-LOYAL-BRITS HAVE LONGER RELATIONSHIPS WITH THEIR CAR THAN THEIR LAST LOVER") than six months commences on the effective date and lasts for not more than three years.


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