Auctioned Advertising: Highest bidder gets the spot

Auctioned advertising involves selling ad space to the highest bidder. The spot that is being auctioned must be a prime spot so that advertising companies may bid for it. This is popular in European countries where some billboards are being auctioned to the highest bidder for their advertising purposes. The better the position of the ad space, the higher the cost for that certain spot. Bidding is the same as any auction. The only difference is that the product being auctioned is the advertising spot or the ad itself.

Auctioned advertising may be in the form of billboards and other outdoor ad spaces. Billboards spaces located in busy streets in the downtown are auctioned to the highest bidder who wants to lease such billboard space for  
advertising purposes. Some mobile ad spaces such as city trains or buses are also auctioned for advertising. The bidding price usually depends on the ad space being auctioned. Companies who want high exposure of their products are highly encourage to go with auctioned advertising because the higher audience level.

This industry is also used by professional athletes and teams. Professional athletes and sports teams are considered as the new walking ad spaces. They bring the company names and products in their uniforms in their international games, which provide advertising opportunities to the companies. Strictly speaking, this ad space in their uniforms, practice gyms, or home stadiums are the best example of auctioned advertising. Companies bid in order that their products be displayed in the uniform or the gym.

The latest development in auctioned advertising now includes medical patients. It has been reported that leukemia patient was using auctioned advertising to defray his medical expenses. The highest bidder may put the product on the boy’s head. It may sound desperate but the boy is convinced that there is nothing wrong in putting his head in auctioned advertising business in order to help other leukemia patients.

This may be more advantageous to big companies because auctioned advertising usually cost higher than the usual ad spaces because of the bidding. But in the larger sense, auctioned advertising usually provides the best advertising spots or spaces available. It will not be auctioned in the first place if such ad space is not prime or in demand. While it may benefit big companies, smaller companies are suggested to stick with more traditional outdoor advertising. They may not get the best spot for advertising their product, but they will save expenses for the more costly auctioned advertising. 

While companies bid for a prime ad spot for their product, auctioned advertising companies are also reaping the fruits of this industry. In advertising, the position of the ad is everything. That is the number one aim of auctioned advertising companies: to get the best spot so that it will be auctioned to companies who want to advertise. Both the company engaged in auctioned advertising and the company who advertise in auctioned advertising actually benefited from the effects it may bring to the business.