Real Time Bidding in Mobile Increases

Real-time bidding (RTB) is the next generation for online ads. The online space has grown tremendously in the last 3 years; RTB is projected to cover 50% of all online ads by 2015. Mobile advertising is soon going to be a major part of all advertising dollars. RTB could be the next big breakthrough in mobile ads.

There are a few differences in the way online and mobile ads work. In the online space, the ads are displayed in the browsers (ie, Chrome, Internet Explorer, etc), but the main medium in the mobile are the apps.

RTB is already picking speed in the mobile space, as of June 2012, 44% of all iPhone auction volume was RTB. According to a MoPub report, demand for mobile ad impressions through RTB rose from 0.4 bids per impression request in January to 1.6 in June. Everything from Android to social networks saw an improvement in metrics.

Other Observations in the report:

·            iPad full-screen landscape ads saw the greatest increase in price, with CPMs of $4.47 in June, up from $3.61 in April.

·            Banner ads continue to dominate, with 86% of auction volume in June. Horizontal full-screen interstitials declined in auction volume, as did gaming volume impressions.

·            While impressions with unique device identifiers continue to command a premium over those without an identifier, CPMs are beginning to converge.

·            Increases in overall auction volume with location information increased by 154% month-over-month in June, and those with gender data rose by 127%.