The Real Time Advertising Era


Marketers Increasingly Eye Tablet, Mobile RTB Display Ad Inventory

Interest in RTB-based video ad inventory on the rise worldwide

Advertiser interest in purchasing real-time, impression-level inventory has led to explosive growth in ad spending on real-time bidding (RTB) inventory.
Media-buying firm Accordant Media found worldwide real-time bidding inventory for banner and video ads across online and mobile placements grew 120% in Q1 2012.
Though some countries saw growth rates for RTB ad inventory impressions grow more than 600%, the US still accounted for the greatest share (47%) of all RTB-based inventory.

Real-Time Bidding (RTB) Inventory Growth and Share in Select Countries, Q1 2012 (% change vs. same period of prior year and % of total impressions)

March data from Forrester Consulting also suggested that advertisers are taking a greater interest in RTB online video ad inventory, and the firm expects US ad spending on this dynamic form of display to reach $387 million by year’s end. By 2013, that number will almost double to $667 million.

US Online Video Real-Time Bidding Spending, 2011-2013 (millions and % change)

Though advertisers show great interest in purchasing video ad inventory at the impression level, ad spending is just as much predicated on publishers’ ability and willingness to offer video ad inventory via the RTB purchase model.
Like video ad inventory, the proliferation of mobile display ad inventory is still in its early stages. Yet those who are able to purchase mobile and tablet display ad inventory via an RTB model are interested in doing so: Accordant Media found worldwide RTB tablet inventory volume grew 472% in Q1 2012, and mobile RTB ad volume grew 289%. These growth rates were much higher than the online and mobile overall RTB inventory growth rate of 120% worldwide for the same period.

Tablet and Mobile Real-Time Bidding (RTB) Volume Growth Worldwide, Q1 2012 (% change vs. prior quarter)

Though evidence points to a surging market for RTB inventory, in October 2011, the International Data Corporation (IDC) noted that online RTB ad spending will account for just 15.9% of total US online display ad spending this year. By 2015, that share is expected to reach 27%.
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Check out today’s other articles, “Smartphones Are Mom’s New Babysitter and Broadband Penetration Increases, but Connections Still Weak in Russia.”

Media Mayor Inc.
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