Think interactive is all about machines and metrics? Marti Funk, Sportgenic's VP of client solutions and insights, says bringing value to users is really the name of the game.

Putting your finger on the pulse of digital is never an easy thing to do. But if you want to know what's going on out there, it pays to ask an ad network. According to numbers recently released by the IAB, ad networks now account for 30 percent of online inventory. But more than that, they are one of several critical mechanisms that sit between buyers and sellers.

Having recently raised another $10 million in financing, Sportgenic's VP of client solutions and insights, Marti Funk, agreed to help us take the temperature of interactive today.

iMedia: As a vertical ad network, you sit between buyers and sellers. How would you characterize the buyer/seller relationship and where is there room for improvement?

Marti Funk: There is still quite a bit of misunderstanding between buyers and sellers. The landscape is changing rapidly with fragmentation and new methods of distribution. Sellers aren't aware of the multiple steps that occur on the buying side. Occasionally, they try to bypass the agency process, which can lead to increased tension. On the flipside, buyers don't often understand the options or opportunities available to enable brands to tap into passionate audiences. 

It is always helpful to approach any potential partnership with both the client and agency's goal in mind. Often, they are the same, but it's important to appreciate the differences and understand the dynamics. Along with more time spent aligning individual goals and strategy, it's incumbent upon vertical networks and partners to set standards for both buyers and sellers that educate the marketplace.

iMedia: There's been a lot of talk this year about more money coming into the space from leading brands, and while progress has been made, many seem to feel as though digital isn't getting its due. What are the medium-wide obstacles that you see out there, and what are you hearing from brand clients and agencies on that topic?

Marti Funk: Measurement and accountability come to mind. It's an age-old challenge with any media vehicle. The complexity of evaluating impact and campaign effectiveness will continue to increase. Agencies, marketers and media entities that emphasize analytics and understanding audience behavior will be well suited to lead and break down digital spending apprehensions.

iMedia: Sportgenic serves a niche community, and your team prides itself on leveraging its passion for that community. How can brands, which may not be associated with any communities, tap into the passion that is inherent in the hyper-focused verticals that are coming to define the internet?

Marti Funk: The most important component for brands to consider with vertical networks and harnessing the buying/influence power of vertical communities is to create value specifically for the audience. Passion yields authenticity. Our publishers and their visitors will call BS and walk away from campaigns. We put ourselves in the consumers' shoes and help our marketers do the same.  

We have worked with a number of "unlikely" brands (finance, pharmaceuticals, quick-serve restaurants) that have developed multi-touch point campaigns, created athlete training programs through technology, and aligned their brand with the emotional or competitive spirit of sport. We know our audiences understand the import of scale and have been fortunate to work with brands that are open to new ideas that create affinity with their consumers.
 
iMedia: As a company that works with sports publishers, what was your takeaway from the multi-platform coverage of the Olympics, and was this the moment the world was waiting for in terms of integration?

Marti Funk: No, not necessarily. I give NBC & MSN kudos for the multi-platform media outlets. While this was a huge step forward, I believe the moment that the world is waiting for is "My Media," personalized for me, anytime, anywhere, on any platform. I do give props to "America’s Cheer" by Bank of America for truly leveraging the NBC multi-platform media outlets as well as conversational platforms such as Facebook to tie the consumer experience together. I didn't see that level of commitment and consumer collaboration from other brands.

iMedia: There’s been a lot talk about overcrowding in the ad network space, yet new ad networks crop up regularly. Are we in danger of seeing a tipping point?

Marti Funk: I may be a bit biased here, but I don't necessarily agree with the tipping point. Continuous fragmentation will maintain the need for vertical aggregation to drive impact for brands or monetize with any sort of scale. We will see increased consolidation among the vertical industry and more integrated and experiential offerings from vertical networks. Those that will win will have the analytics, valuable audiences, domain knowledge and integrated media depth that aligns with marketer objectives. The strengths in domain knowledge, depth and partner relationships will drive competitive differentiation and the growth of such networks. 

iMedia: With the U.S. economy slumping, analysts are have continually downgraded projections for digital's growth. Have you seen any changes in terms of what advertisers are willing to spend or an adjustment in how they message to users?

Marti Funk: We have seen some budget shifts, but nothing out of the ordinary. I see more and more marketers looking to tap into niche communities as a means of reaching influencers and "passionistas." They want their message spread virally via these brand ambassadors.

Digital is a unique medium where brands can really leverage grassroots media tactics. I've seen great examples from Burton (Because of Snowboarding), Subaru (Love. It's what makes a Subaru a Subaru), New Balance (Love/Hate) and Monster Army on Loop'd.

iMedia: Sportgenic is a startup that has done rather well in the space. But with growth comes new people. How has your company recruited and kept top talent?

Marti Funk: We hire people with a passion for sport, as well as relevant business experience. We are selling what we believe in, which creates a collaborative and fun environment. Sportgenic has carved a unique place for itself. We don't stop at the PC. We create full-service opportunities that continue to position Sportgenic as a leader. Though never easy, it's rewarding to be part of a company that is blazing uncharted territory in the dynamic digital media marketplace. 

Michael Estrin is deputy editor at iMediaConnection.