Archive for July, 2011

Rise of the Technology-Based Marketing Services Provider Formerly Known as the Ad Network

Today Collective announced it has acquired dynamic creative optimization company Tumri.

Collective will utilize Tumri’s advanced technology to power a retargeting business geared towards brand advertisers. In a world of real time personalized media, DCO capabilities are a core technology as evidenced by Google’s acquisition of Teracent and Yahoo’s acquisition of Dapper.

This is yet another step in Collective’s transformation from horizontal ad network to a comprehensive media and marketing technology and services provider (but don’t call them a CMMTSP). Over the last few years several enlightened ad network operators have begun a transformation of their business to a more sophisticated multi-solution approach. There are three tenants to this transformation: (i) the amalgamation of a services solution set, (ii) the application of advanced technology to improve advertiser ROI, publisher yield and consumer relevancy, and (iii) more of a focus on “upper funnel” solutions that address the all-important brand/premium/guaranteed marketplace.

Other examples include Interclick, which has built a leading data valuation platform, Brand.net with a brand-oriented buying solution, Adconion with a premium content division, Rocketfuel with a next gen targeting solution and Federated Media and Say Media with hybrid agency/publisher capabilities.  Even traditional networks like Tribal Fusion, Casale and Undertone are making the shift. These companies have adapted to join the technology driven targeted ad networks such as AudienceScience, Media6degrees, Lotame, RadiumOne, ContextWeb, 33across, Xgraph and others.

Media buying (and selling) has changed forever. The rise of exchange marketplaces, Demand Side Platforms and Agency Trading Desks have “upped the ante” if you will in terms of the application of science to the industry. Scaled ad networks are not idly standing by – they are building and buying capabilities that will allow them to compete and offer a more comprehensive solution. It’s an exciting time in the industry!