The Rise Of Video Ad Networks
Editor’s note: The following guest post was written by Ashkan Karbasfrooshan, founder and CEO of WatchMojo, a video publisher.
Venture capital is flowing into video ad networks: Brightroll recently raised $30 million, Yume raised $12 million. Tremor Video’s raised over $100 million.
But not everyone’s buying the hype: “it’s just not a big enough market for all the money invested, there can’t be six or seven category leaders”, argues Will Margiloff, chief executive officer of Ignition One, a unit of Japan’s Dentsu. Some have raised more money than their revenue potential.
Not all of the top 100 marketers even buy video advertising, but those that do frequently repurpose a 30-second TV ad spot and run it as a pre-roll, seeking massive scale. Investors are betting that ad networks can provide that scale. Meanwhile, while marketers continue to shun user-generated content and traditional media companies (TMCs) scale back free, ad-supported distribution, VCs don’t seem willing to start investing content plays. I asked a panel of VCs at Vator TV’s VentureShift if they planned on backing content startups; I might as well have asked the question in Swahili.
This would be fine if VCs were returning abnormally high returns to their limited partners, but they’re not.
Read More: TechCrunch
Targeting Travelers: CEO Rabe Discusses New Sojern Media Platform And Airline Partnerships
Mark Rabe is CEO of Sojern, a travel data and media company with exclusive partnerships with several major airlines.
Adexchanger.com: So, in some ways, are you building an Orbitz competitor with Sojern?
MR: The answer is no. We are partnered with our airline partners – and it’s the majority of the large domestic airlines, who are also equity holders in Sojern.
We essentially render media and advertising to their travelers as they’re passing through the check-in process.
The company came into being when our founder, Gordon Whitton, who was based in Omaha, Nebraska, sold his last company to Intuit and was essentially doing the weekly commute from Omaha to San Diego. He was an organized guy and would wake up in the morning, print out his boarding pass, get to the Omaha airport and find himself staring at essentially a blank 8.5×11 sheet of paper.
He hit on the idea of, “I can program relevant content for travelers on that printed page as well as find advertisers that want to monetize it.” That was the germ of the idea. The printed boarding pass still represents a sizable chunk of our total annual revenue, and phase one of “the business.” Phase two was in the works when I arrived six months ago, and we launched it about three months ago - it was about taking a step back in the check-in process and creating a rich, personalized experience for travelers as they navigate the check-in experience. Imagine weather in the destination city, the top five restaurants as provided by one of our content providers, events that are happening in the city, and increasingly make the experience more customized or personalized to a user.
Read More: AdExchanger