Indie agencies want The Trade Desk and Amazon DSP to acknowledge their buying power with negotiating leverage
Indie agencies say DSP giants block direct seats and fee relief despite spend commitments.
A group of 15 New York-based agencies cleared The Trade Desk's $100,000 monthly spend threshold last summer. Despite reaching this milestone, the agencies continue to pay 17% in fees to the DSP, plus an additional 12% to Mogl, the reseller they initially sought to outgrow. One agency executive, familiar with these negotiations, revealed that The Trade Desk refuses to let them bypass the reseller and alter the fees.
Consequently, the agency has significantly reduced its spend on The Trade Desk, currently spending a smaller amount. Smaller agencies are advised to work through resellers as a pathway to direct access, with reduced fees in return. However, 10 media buyers who spoke anonymously to Digiday described a more complex situation, likening the process to a toll booth with no exit.
The Trade Desk and Amazon's DSP collect two sets of fees, and the process of dissolving either one remains indefinite for smaller clients. For more on this story, visit digiday.com.
Written by urgent.news from Digiday's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.