European RTB Trend Report Shows Sustained Growth in Programmatic, with Rich Media Growing by 559%

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European RTB Trend Report Shows Sustained Growth in Programmatic, with Rich Media Growing by 559%

Overall programmatic ad spend increased by 52% from 1Q14 to 2Q14. The Rich Media spending is up by 559%; while smartphone and tablet ad spend increased by 894% and 973% respectively. Trading Private Marketplace accounts for 27% of all programmatic ad spend.

 

8 September 2014, LondonAdform’s RTB Trend Report Europe Q2 2014 released today points to the continued mainstreaming of programmatic trading, as evidenced by the sustained growth in spending across the continent, as well as the increased ad spend in programmatic private marketplaces, mobile and tablet campaigns, as well as rich media banners.

 

Programmatic Private Marketplaces

In 2Q14, trading in programmatic marketplaces increased substantially, and now accounts for 27% of all programmatic ad spend. CPMs in the private marketplaces are 250-300% higher than those earned in the open markets. Drivers of the increased spending include a greater number of publishers who now participate in private marketplaces, the exclusivity of the inventory, and significant volumes of rich media ad units.

 

Mobile

From 2Q13 to 2Q14 spending on smartphone inventory leapt by 894%, and on tablets by 973%. More significantly, in 2Q13, spending on desktop accounted for 91.8% of total spending, one year later it accounts for just 74.31%. Today, ad spend targeting tablets (13.75%) exceeds that of smartphones (11.94%).

 

Mobile devices delivered better CTR performance than desktops over the past year. CTR for smartphones was 105% higher than desktop, while tablet CTR was 133% higher. Accidental clicks are less likely on the bigger screens, and may be an indication that consumers are actively engaged with advertising on their mobile devices.

 

Programmatic Rich Media

Spending for programmatic Rich Media grew slightly each month in the quarter, and delivered significant benefits for both publishers and advertisers: CPMs for Rich Media banners were 103% higher than those earned from standard banners, and Rich Media CTR was 110% higher than standard display units. Overall, the CPC for Rich Media banners was 1% lower than the CPC for standard banners in the second quarter. The stronger CTR may be due to the fact that Rich Media inventory is found most frequently on premium sites, which do a better job at screening for fraud.

 

“Programmatic is truly a mainstream in many parts of Europe, and is on its way to be the dominant form of acquiring inventory for digital campaigns,” said Martin Stockfleth Larsen, CMO of Adform. “The rise of programmatic private marketplaces is a great news and indicates that both publishers and advertisers look for premium programmatic solutions. And clearly, the greater volumes of Rich Media banners are attracting brand marketers throughout the region, which is another growth driver.”

 

About Adform

Adform is a premier partner for media agencies, trading desks, advertisers and publishers, offering the world’s only programmatic brand-led media platform to support all aspects of multi-screen brand advertising. Adform’s end-to-end ad tech stack closes the loop by integrating media planning, buying, optimisation and reporting into one place covering full-featured demand side platform, Rich Media and ad serving.

 

Adform was established in 2002 in Denmark and now has offices in 15 countries including the US, United Kingdom, Germany, Sweden, Denmark, Norway, Finland, Spain, Italy, Netherlands, Belgium, Czech Republic, Poland, Lithuania and Belarus.

 

 

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