Adtech company, AppNexus, has announced results of its partnership with Microsoft to monetise the company’s video inventory using the AppNexus SSP.

According to AppNexus, in the first quarter of 2018, Microsoft increased its video revenue on instream video inventory from AppNexus by 201 per cent and experienced a 29 per cent increase in eCPMs, compared to the first quarter of 2017.

“AppNexus has been a key partner in ramping up our video monetisation 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 per cent and grew video advertising revenue from AppNexus 201 per cent year-over-year.”

To monetise 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 per cent in select markets.

“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.”

User Experience and Viewability

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 per cent viewable for instream pre-roll, greater than 75 per cent viewable for outstream inventory, and greater than 75 per cent 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 monetise premium inventory and grow AppNexus’ video marketplace.

Since its launch in late 2015, AppNexus says its video marketplace has experienced a 230 per cent 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, according to the company.

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