Excess Ad Inventory Pushing Value-Added Services
Xa.net built its platform as an integration hub to bring in data from BlueKai, eXelate and TargusInfo, as well as the media from ad exchanges and publishers. Add to that creative services and it gives advertisers a way to pull in targeting data, purchase ads, and design creative pieces.
The xa.net built technology that allows companies to access inventory from ad networks and exchanges through a real-time bidding system will also offer value-added services that assist companies with copywriting and creating ads. The company's CEO, Rob Leathern, tells me xa.net began to build the platform earlier this year and will sign on five companies to augments its services. Think of it this way, Leathern wants xa.net to provide the underlying technology that connects complementary services to make everything work together. That includes ad creation for social media platforms, too.
One of those companies will become BoostCTR, a network of copywriters for text ads that will help xa.net clients improve the quality of copy written for Facebook ads. Others include 4Delite, a self-service system that lets small advertisers create Flash and rich media ads; Interpolls, which creates rich-media formats and widgets; OneScreen; and OggiFinogi.
Xa.net also continues work on integrating Facebook's API allowing advertisers to do multivariate creative and ad testing through the its CPMatic platform.
Aside from building a self-service user interface for creating Facebook ad campaigns, xa.net will allow ad agencies, networks and other companies to run the campaigns through the company's CPMatic platform, according to Leathern.
The move into value-added services reminds me of the electronic component distributors -- both Avnet and Arrow -- that launched services to support sales of semiconductors by offering in-house services to augment declining revenue in the early 2000s. The electronics industry had a glut of inventory, similar to premium ad space on publisher sites.
Leathern called the analogy "interesting," but says in the ad industry it's more about giving advertisers the tools to create content to fill the overcapacity. Yes, (smile) I rest my case.