RTB Poised for Higher CPMs for Video in 2013

By on 12/18/2012 1:40 PM @daisywhitney

Programmatic buying will yield higher CPMs and more brand advertisers in 2013. Those are among the predictions shared by Christina Beaumier, VP Global Client Development at Xaxis, Group M's audience buying unit, in an interview with Beet.TV. 

"We'll see more inventory, and pricing for the right adience will go up. The beauty of big data is it rewards stuff that works," she tells us. That's why she expects to see much more dynamic pricing for programmatic buys, based on the specificity and effectiveness of finding the right audience. Similarly, she expects more brand marketers to come on board in the year ahead, and data may be the lure for them.

The perception of audience buying is that it's performance-based, she explains. But data from campaigns can show how it serves branding efforts too. "With video and the ability to bring in data to the decision of whether or not to deliver a video impression gives a strong value for a brand advertiser…We can start to plan video as part of the whole mix and deliver a video ad the first time we see a user and the second time maybe a display ad, and the third perhaps a call to action. So we can use video as part of the funnel, and using that sequencing of messaging through data across video and display is getting brand marketers excited."

Also, in 2013 she expects the term "agency trading desk" to go away because it doesn't capture the full scope of planning, segmentation, budgeting and strategy that an agency does. We also spoke with her in the fall about the expansion of Xaxis, unit of WPP's GroupM.

More predictions about 2013 from Xaxis COO Mark Grether up on AdExchanger.

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