94% of Advertisers Allocate Budget to Audience Extension Tools, Yet Barely Half of All Publishers Sell These Solutions

Rocket Fuel (NASDAQ:FUEL), the leading Programmatic Marketing Platform provider with Moment Scoring™ technology, today announced the results of its third annual State of the Industry survey for publishers. This year’s survey focused on how publishers are now monetizing their first-party data through multiple integrated platforms including audience extension, data management platforms and private marketplaces.

Rocket Fuel and Digiday’s “How Publishers are Monetizing their First-Party Data” report surveyed 351 publishers, and agency, and brand professionals. The study highlights shifts on both the publisher and buyer sides over the past year. Key findings from the study include:

Publishers are embracing integrated programmatic marketing solutions that include Demand-Side Platform (DSP), Data Management Platform (DMP) and Private Marketplace (PMP) capabilities.

  • 46% of publishers polled have one or more DMPs in place, up significantly from one year ago (38%) - a 21% increase in just one year.
  • Four out of five (79%) publishers who rated the ability to define and target custom segments in their DMP as “very important” are currently offering audience extension to advertising partners.

Publishers who don’t monetize their first-party data may be left behind.

  • Advertisers are allocating a higher share of their budget to programmatic sources, yet not all publishers are moving fast enough with their programmatic solutions to capture revenue from the budget shift.
    • 94% of advertisers allocate budget to plans featuring audience extension, yet only 47% of publishers are realizing revenue from plans featuring audience extension.

CPMs and revenue are going up.

  • 41% of publishers are garnering audience extension CPMs that are the same or higher than what they are getting for their owned and operated ad inventory. When marketers add a DMP to these programs they see an increase in overall revenue.

“As programmatic continues to grow and evolve, its impact is being felt throughout the industry,” said Nick Freise, CEO, Digiday. “It’s clear that demand is on the rise and it is incumbent upon publishers to ensure their ad packages offer a compelling value to advertisers and allow them to maximize every ad opportunity available to them. This study explores how publishers are expanding their audiences to meet large and growing demand."

“Rocket Fuel is deeply invested in delivering an integrated solution that allows publishers to monetize their first party data across all digital channels, as well as integrate with adjacent CRM and marketing software tools,” said John Ferraro, vice president of publisher partnerships at Rocket Fuel. “By partnering with Digiday, we are able to understand the needs of all sides of the market to deliver maximum value for publishers, buyers and brands.”

Details of the report were presented today at the Digiday Publishing Summit in Miami, FL. For more information and to review the full report, please visit info.rocketfuel.com/audiencevalue.

Methodology

A sample of 351 publishers, and agency and brand professionals responded to this State of the Industry Survey, which was fielded by Digiday between July 30 - August 20, 2015.

About Rocket Fuel

Rocket Fuel (NASDAQ: FUEL) is the leading Programmatic Marketing Platform provider with Moment Scoring™ technology. The company offers brands and agencies managed services, as well as a SaaS-based Data Management Platform (DMP) and Demand Side Platform (DSP), to optimize performance, awareness, and lift across marketing objectives, channels and devices. By applying its unrivaled Artificial Intelligence at Big Data scale, Rocket Fuel’s Moment Scoring™ performs a real-time calculation of each ad opportunity based on a marketer’s goal to determine the likelihood a consumer will engage in a desired action. Moment Scoring goes beyond 1:1 marketing by learning to predict what marketing actions to take with a campaign at a precise moment in time, which results in a much more efficient use of marketing dollars. Rocket Fuel serves 96 of the Ad Age 100, three of the top five agency holding company trading desks, and partners with some of the world’s leading CRM platforms, marketing platforms and systems integrators. Headquartered in Redwood City, California, Rocket Fuel has more than 20 offices worldwide.

Rocket FuelErica Jacobs, 650-481-6178pr@rocketfuel.com

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