Friday, September 25, 2015, 3:03 PM ET|Posted by Will Richmond
AppNexus has revealed beta test results of its programmatic video ad buying product, saying that clients using the product found 10x to 100x improvements in audience reach, video engagement/click-through increases of 300% or more and reduction in buying costs of 50%-60%. AppNexus plans to release the video ad buying product to all its customers on September 30th.
Collective UK was among the beta testers, and it integrated its TV Accelerator product with AppNexus to reach and measure TV audiences with video/display campaigns. Xaxis EMEA also integrated its Turbine data management platform with AppNexus to test video buying across 10 countries.
I spoke with Eric Hoffert, AppNexus’s SVP of Video Technology, who stressed that the results are attributable to the company’s scale in programmatic display and mobile. Eric said the company sees over 100 billion impressions per day which translates into improved targeting for video campaigns by better matching first and third-party data sets. The improved targeting in turn leads to better engagement.
Another key part of AppNexus’s positioning in video is that its scale and clients’ consolidated buying across multiple ad formats creates efficiencies which drives improved pricing vs. standalone programmatic video buying platforms. As Eric says in the below video, AppNexus believes there’s a “video cost bubble” due to fragmented video ad tech landscape which the company is trying to solve by being a one-stop solution.
With its video ad buying product, AppNexus is also emphasizing an open approach to video supply sources. The company announced activations with LiveRail, SpotX, StickyAds.tv, Optimatic, SMARTSTREAM.TV, Fyber and AerServ. In addition, Eric also highlighted robust video APIs, building off AppNexus’s display APIs, to allow customers and partners to extend the use of the video ad buying product.