AppNexus Grows Video Monetization for Microsoft; Improves Revenue 201% and eCPM Performance 29%
AppNexus, the world's leading independent advertising technology company, today announced results of its partnership with Microsoft to monetize the company's video inventory using the AppNexus SSP. In the first quarter of 2018, Microsoft increased its video revenue on instream video inventory from AppNexus by 201 percent and experienced a 29 percent increase in eCPMs, compared to the first quarter of 2017.
"AppNexus has been a key partner in ramping up our video monetization efforts based on their innovative video technology solutions and capability to bring us unique video demand," said Kelly Davidson, Director of Global Partnerships, Microsoft. "We launched with a single video ad format in one market and expanded our offering to include three video formats in 65 markets, including broad reach in Europe and emerging markets. As a result, we've seen eCPMs increase by 29 percent and grew video advertising revenue from AppNexus 201 percent year-over-year."
"Microsoft's success in AppNexus' video marketplace has provided high-quality liquidity and driven powerful network effects," said Eric Hoffert, SVP Video Technology, AppNexus. "With more than six billion available impressions each month, their scale supports a high degree of audience buyer match and we see more than 150 daily active video buyers purchasing Microsoft's supply, including major marketers, agencies, and external demand partners."
To monetize their inventory, Microsoft leverages three different video ad formats, including instream pre-roll, outstream in-article, and AppNexus' unique multimedia superauction technology to enable multiple media types to participate in a single unified auction. By driving increased demand for each advertising placement, multimedia superauctions provided revenue lift of up to 60 percent in select markets.
User experience is one of Microsoft's top priorities, and they have designed their pages for maximum video viewability. As such, buyers are attracted to Microsoft's inventory for its brand safety and high video viewability and completion rates. Microsoft inventory is measured as greater than 80 percent viewable for instream pre-roll, greater than 75 percent viewable for outstream inventory, and greater than 75 percent completed for instream pre-roll.
"We are pleased to see the growing availability of Microsoft's brand safe, curated video inventory through programmatic channels," said Keith Tiley of GroupM, a division of WPP. "As an open, transparent platform that actively supports verification and measurement by 3rd parties, accessing premium inventory via AppNexus' marketplace is a key element to achieving our clients' video campaign goals globally. We look forward to making Microsoft video inventory on AppNexus available more broadly to GroupM's clients."
Microsoft is among the more than 150 sellers using the AppNexus Video SSP to monetize premium inventory and grow AppNexus' video marketplace. Since its launch in late 2015, AppNexus' video marketplace has experienced a 230 percent compound annual growth rate (CAGR) of real-time bidding (RTB) video spend. The marketplace now has 272 daily active video buyers and 1,250 brands buying video impressions daily in the marketplace.
Microsoft video inventory for MSN is available on AppNexus.
AppNexus is an internet technology company that enables and optimizes the real-time sale and purchase of digital advertising. Our powerful, real-time decisioning platform supports core products that enable publishers to maximize yield; and marketers and agencies to harness data and machine learning to deliver intelligent and customized campaigns. For more information, follow us at @AppNexus or visit us at appnexus.com.