Adgregate Markets and ShopAds Invades Purchase Funnel

Adgregate Markets and Google DoubleClickIf you can’t get the consumer to the store, bring the store to the consumer.

That’s what Adgregate Markets – which calls itself the “world’s leading transactional ad network” – is doing for Google’s DoubleClick and a slew of others. And it’s run by former AdECN-ers.

Already a TechCrunch 50 member, Adgregate has received quite a bit of attention for its online display widget advertising technology.

From the press release on the new Google Doubleclick deal yesterday:

“[Adgregate Markets] today announced the support of syndicated e-commerce advertising with rich media ads created by DoubleClick, a division of Google, Inc. ShopAds™ enable DoubleClick, a premier provider of digital marketing technology and services, and their clients to integrate e-commerce into any banner ad campaign to allow consumers to browse, interact, and purchase directly within an ad unit.”

Analyst Emily Riley notes in the release that this technology will likely work well with behavioral targeting and retargeting. For DR marketers, eCommerce players and behavioral data exchanges, the Adgregate technology looks like another tool for the toolkit.

As search retargeting is enabled through Google or Yahoo, this advanced, rich media, ecommerce advertising banner will make great sense as advertisers reach out to consumers who have shown previous interest at the end of the purchase funnel – search.

Managed offer networks, or lead generation networks, such as Offerpal and SuperRewards should enjoy removing the landing page from the user clickstream and reducing CPAs with Adgregate’s ShopAds technology.

ShopAds is a compelling publisher solution, too, as Adgregate’s site suggests, “No more disruptive advertising or diverting traffic.” Non-diverting ads? Hmm. The OPA, Martin Nisenholtz and The NY Times might like this.

From TechCrunch:

“Adgregate will share revenue with both DoubleClick and the retailer whose goods are being sold in the ShopAd widget. But the publisher of the ad only gets a share of revenue if the retailer has accepted them as an affiliate publisher. If that is the case, then the publisher will also get a separate commission fee from the advertiser. This isn’t a bad deal for publishers. Advertisers have an incentive to pay a higher commission to publishers so they put their ads in a more prominent spot on their page, but the money is being split an awful lot of ways.”

Here’s an example ad:

An interesting sidebar to this story are the ad exchange players at Adgregate Markets’ core.

CEO Henry Wong is on the Board Of Directors of AdECN according to the Adgregate Markets website. We’re not sure how he can still be on the board in that Microsoft acquired AdECN in 2007, but he is obviously familiar with the opportunity that ad exchanges offer and Adgregate’s more actionable advertising format strategy potentially benefits all exchange participants.

Other former AdECN employees at Adgregate include Jerry Lyons, CFO, and CTO Christopher Williams.

Looks like they are on their way to another liquidity event.

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