Home The Video Audience Adknowledge Makes Another Video Ad-quisition

Adknowledge Makes Another Video Ad-quisition

SHARE:

adknowledge-legg_editedAdknowledge has acquired video analytics provider TriVu Media for an undisclosed sum, a move the former hopes will extend its ad targeting capabilities to YouTube advertising.

The company is betting the big three sources of video inventory going forward will be native (by which CEO Ben Legg means inventory sold through a transparent network), Facebook and YouTube. Its AdParlor platform, acquired in 2011, gave Adknowledge the tools to optimize ad placements on Facebook (and Twitter). And its last video-related acquisition in March, Giant Media,  runs a publisher and social network across which it seeds branded video content.

“We think we’re in the three areas that are brand safe, have high volume and are trusted,” Legg said. He described conversations he’s had with advertisers and agencies who are “mad keen” to move budget from television to digital video. “TV advertising budgets are around $70 billion,” Legg said. “Digital video advertising is $6 billion.”

That desire to shift budget into digital channels – and digital video in particular – was a recurrent theme at the recent Cannes Lions festival. Wunderman CEO Daniel Morel, for instance, lamented that digital budgets are only 20% even though the channels attract more consumer eyeballs. And Mondelēz exec B. Bonin Bough spoke about his company’s push into digital video.

According to Legg, brands aren’t spending more in digital video for two reasons. The first is scale.

“It’s hard to spend millions online because it’s a fragmented market,” he explained. The second is concerns around brand safety. “There’s a high risk if you work with a network that your ads will appear [haphazardly] all over the place, and it could just be wasted money. A lot of it is fraud, where videos are shown below the fold or as a single pixel.”

Before acquiring TriVu – founded in 2012 with about eight employees – Adknowledge had an API plugin that could use YouTube as an inventory source. But it was limited. While YouTube has the active volume advertisers want, Legg said, its targeting capabilities are based on keywords.

“Let’s say you’re Range Rover with a new ad,” he said. “You want to target classy videos that show rich or outdoorsy people. But if you target cross-country, you might get running trails.”

TriVu, Legg said, found a way to crawl based on keywords and organize YouTube videos to help advertisers buy appropriate inventory. It then pulls together a list of appropriate videos and asks its clients if they want to purchase the inventory.

“They get the volume with YouTube but without the risk of inappropriateness,” Legg said.

Subscribe

AdExchanger Daily

Get our editors’ roundup delivered to your inbox every weekday.

At this point, TriVu’s process isn’t fully automated – and Legg knows that automation will need to increase in order to add scale. The company has around 30 customers, “but the quality of customer is phenomenal,” Legg said, adding that one of the reasons the company wanted to work with Adknowledge is to be part of a greater organization that can help it scale and expand internationally. Still, Legg acknowledged that an element of human judgment will always factor into TriVu’s process.

While TriVu, AdParlor and Giant Media all maintain their own brands, Legg intends to integrate the platforms, hopefully in two years time. “Building a perfectly integrated platform is hard, because you’ve got to manage it,” he said. “But advertisers and their agencies want a single platform.”

More acquisitions might be coming. While Adknowledge evaluates whether to build or buy functionality, if a small tech provider that already has that functionality rolls around, Adknowledge is happy to snap it up.

“We’ve got a sweet spot,” Legg said. “We love buying 1- to 3-year-old companies with 10-30 employees. They’ve done something no one else has worked out, but need help scaling, with talent management and with going international.”

Must Read

Nope, We Haven’t Hit Peak Retail Media Yet

The move from in-store to digital shopper marketing continues, as United Airlines, Costco, PayPal, Chase and Expedia make new retail media plays. Plus: what the DSP Madhive saw in advertising sales software company Frequence.

Comic: Ad-ception

The New York Times And Instacart Integrate For Shoppable Recipes

The New York Times and Instacart are partnering for shoppable recipe videos.

Experian Enters The Third-Party Data Onboarding Business

Experian entered the third-party data onboarder market on Tuesday with a new product based on its Tapad acquisition.

Privacy! Commerce! Connected TV! Read all about it. Subscribe to AdExchanger Newsletters

Albertsons Takes Its First Steps Into Non-Endemic Advertising, Retail Media’s Next Frontier

Albertsons is taking that first step into non-endemic advertising next week via a partnership with Rokt to serve ads to people who have already purchased groceries.

Marketecture Buys AdTechGod (No, Really)

Marketecture has acquired AdTechGod – an anonymous ad tech Twitter poster turned one-man content studio – and the AdTech Forum, an information resource hosted by AdTechGod and Jeremy Bloom.

Why The False Advertising Lawsuit Against Poppi Is Bad News For RMNs

This week’s dispatch explores the new trend of false advertising class-action suits in the food and CPG industry and how the evolution of online, data-driven retail media could exacerbate the problem.