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By Jeff Kuntz   |   Posted at 3:46 pm on August 8, 2012   |   No Comments

The Time For Video RTB Is Now

Real-time bidding (RTB) has the potential to change the way digital video is bought and sold. At my company we believe more than 50% of video impressions will be bought via RTB over the next three years. At this point, it’s not a question of if, but when?

First some background: an industry study recently said that RTB for video will generate $667 million in revenue in 2013, up from close to zero in 2011. Additionally, in the display ad world, Google recently stated that RTB accounts for 80% of revenue on its AdX platform. Furthermore, Facebook’s recent announcement of an RTB exchange for its inventory demonstrates the power of this model across different advertising ecosystems.

Our assertion is that RTB will comprise the lion’s share of video buying rests on a few assumptions:

First: Buyers of digital media, brands, agencies, DSPs, ATDs and even publishers increasingly want to deploy advertising against a specific audience. RTB enables a buyer to make a decision about an impression at the time the impression is requested based on data the buyer has about that user. The typical parameters that video buyers use today include: 1) the actual video content that follows the ad, or 2) the content around the video player on the page. In this current market, each of these parameters should matter less than the specifics of the user who is watching the ad. The content following was the old paradigm and the user is the new paradigm.  RTB enables this new paradigm.

Second: RTB allows display buyers to incorporate video as part of their overall buy, opening up a huge new revenue stream. In the same vein, it enables traditional TV buyers to know exactly how many unique users and impressions they achieve for a particular audience.  Third: Video advertising is quickly expanding outside of traditional Web video onto mobile phones, tablets and connected TVs.  The content that precedes the ad includes games and radio apps as well as standard video content. To a standard video buyer, this may create fragmentation with their buy. An RTB buyer, however, is targeting a specific audience and is paying a particular price for that specific impression. RTB buyers are indifferent to the type of content or device as long as they are reaching the targeted user base.

Read more: MediaPost

Jumptap July MobileSTAT Report: Third Party Data Increases Mobile Ad ROI

Jumptap Finds Mobile Ads with Third Party Data Targeting Are Top Performers

In its newly released July MobileSTAT, Jumptap, the leader in targeted mobile advertising, reported that adding third party data targeting to mobile ad campaigns results in significant uplift in click-through rates (CTR), ROI and other performance metrics. In a study comparing Q2 vertical campaigns with third party data against campaigns in the same time period without added third party data, Jumptap found that mobile campaigns using third party data achieved a double-digit CTR uplift. Advertisers are tuning in to those high success rates with increasing mobile media spending. As of July, greater than 50 percent of Jumptap campaigns included data targeting, a 500 percent increase since January.

“Since Jumptap introduced third party data partnerships into mobile just over a year ago, more and more of our current and new advertisers have leveraged the offerings to drive engagement,” said Paran Johar, Chief Marketing Officer, Jumptap.  “Campaigns with third party data targeting see higher click-through rates (CTR) and ROI regardless of advertising category.”

Additional July MobileSTAT Findings:

•Android, iOS Still Rule Smartphone OS Market Share: July data from the Jumptap network show that Android and iOS make up 92 percent of the mobile OS market. Meanwhile, RIM continues to lose ground, shrinking to a six percent share. Symbian and Windows make up less than three percent of the market share, supporting previous Jumptap analysis that Windows will have a tough time competing with iOS and Android.

Read more: Jumptap

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