Nexage, the leading premium mobile advertising exchange, today announced that it has crossed a major milestone, as more than 50 percent of spend on the Nexage Exchange is now through real-time bidding (RTB). RTB share of spend has grown from 13 to 50 percent in just 18 months, with a 3x increase in RTB spend during the first half of 2013. Mobile advertising is increasingly turning to programmatic markets as a core method to buy and sell audience; the dramatic growth in RTB on the Nexage Exchange affirms this trend and provides insights as to why programmatic markets will continue to grow rapidly.
Growth of RTB spend on the Nexage Exchange is driven by broad market dynamics and buyers’ growing preferences to spend with Nexage due to its differentiated premium audience and superior technology. At the market level, the number and vitality of DSPs are both increasing. These buyers are benefitting from organic growth in mobile spend and a marked increase in agency budgets designated for programmatic buying:
— Mobile native DSPs are flourishing as advertisers and agencies move
more dollars to mobile.
— Online DSPs are expanding their mobile business and products to
support growing mobile demand.
— Mobile ad networks are extending their business by developing
real-time bidding technologies, taking advantage of the technology and
data leverage delivered by RTB.
— Trading desks are increasing traction in mobile to better support
their agency customers.
Nexage’s 100 RTB buyers grew spend 3x in the first half of 2013, in response to the differentiated, data-rich premium audience and the superior technology of the Nexage Exchange. To continue to enhance Nexage’s premium audience, Nexage Connect gives buyers a rich portfolio of targeting data, while reducing the cost and complexity of individual implementations.
By building the Nexage Exchange to scale well in advance of the market, Nexage is using technology performance to help its buyers accelerate their business. As buyers grew their capacity (measured as queries per second or QPS) by four-fold in the last year, Nexage was able to fully support demand and continue to scale beyond demand. This point matters: for programmatic markets to maintain their extraordinary growth rate, the underlying technology must be reliable and scalable.
Momentum, however, is not simply fueled by the buy-side; premium publishers are aggressively selling via RTB on the Nexage Exchange. They are driving mobile revenue growth while benefitting from the transparency, brand safety, and controls offered by RTB through the Nexage Exchange. This trend is accelerating for several reasons, as premium publishers: