Startups Stack Exchange Archive

How to deal with an ad network that won’t pay?

Many, many months ago we ran an ad campaign for a well known retailer, via a well known ad network. The campaign involved producing content so there was an upfront investment on our part. Several months ago the payment was due, but never came. Timing of payments from this ad network had been inconsistent in the past, so initially we let it slide, but more than a month ago I started asking about it. I received apologies and a new payment date (weeks ago) which came and went. Since then I have been pestering, but responses are slow and unspecific.

It all gives me the sense that something way beyond our little payment is deeply wrong, but this is a well known, well regarded company. It has recently undergone some changes in focus but doesn’t appear to be in financial dire straits.

There are two things I want:

First, I want to be paid. Order of magnitude is $10k, which might by peanuts for some, but is significant for our small company.

Second, if this is indicative of deeper problems at the network I want other publishers to know what they are getting into by doing business with this network.

Currently I am trying to get answers from other people I have dealt with at the network. Beyond that I was thinking of trying to reach senior management, and failing that, to get in touch with the retailer client directly. But I would love to know if anyone has any wisdom to offer about what one should or shouldn’t do in a situation like this.

Answer 1585

Lots of companies, sadly, are happy to sit on your money indefinitely. So your job is to make it high on the list of people getting paid.

My tactic is to send a named contact in accounts, plus my account manager, a very friendly email, with a much stricter attached PDF letter, stating the position and requesting urgent attention. In this case you appear to know the amount, the date it was due, and the last (past) date they promised to pay. So attach their last promise as proof.

The hook has to be some (reasonable) future action, and you’re going to have to choose what’s right for you and for this account. An example would be, “It’s our policy to pass all accounts that pass agreed business terms to our collection agency. Please would you ensure that this account will be settled by to avoid the nuisance and additional expense this incurs for all parties."

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