Nexage Exchange Shows Liquidity, Growth During Past 6 Months

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Mobile advertising on the Nexage Exchange is on the rise -- by 144% over the past six months, or 24% per month. The mobile ad platform released its Nexage Analytics Report today, which looked at several trends in mobile advertising between May and November 2012.

With more than 200 buyers and 20 billion impressions per month on its network, Nexage reported that growth will continue through the end of 2012 thanks to the boost mobile advertising will get from holiday shopping.

Nexage highlighted the liquidity of the market in its report: “With the meteoric growth of supply, the most important measure is the growth of ad spend and whether the growth in ad spend is creating two important conditions of liquidity: (1) publishers can predictably sell their inventory; and (2) brands and buyers can predictably find the audience they need at a fair market price.”

When it comes to the types of mobile ads coming through the Nexage Exchange, location and hyper-local, rich media, video-enabled impressions, and RTB are all increasing. Location-based demand is up 30% per month over the past six months, while rich media- and video-enabled impressions saw growth of 19% per month.

Mobile RTB accounted for 26% of all mobile ad spend and saw the highest increases as demand was up 220% during the past six months, or 37% per month.

The amplified interest in these types of ads also means that prices are soaring. Location-enabled impressions pushed CPM premiums between 2x and 5x higher, while rich media- and video-enabled impressions saw CPMs rise by 5x to 10x during this time frame. Overall CPMs on the Nexage Exchange, as AdExchanger reported earlier, were up 44% between the second and third quarters of 2012.

“Value-drivers [such as location-, rich media-, and video-enabled impressions] are affecting growth and pricing,” said Victor Milligan, CMO of Nexage, in a recent interview with AdExchanger. “In a market that’s growing in the triple digits, you are also seeing an increase in pricing, which is a positive sign for the industry.”

With all the growth in mobile advertising, Nexage expects that 2013 will bring significant changes to the space, as both buyers and publishers innovate more aggressively around ads and platforms.

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