Break out your acronym chart.
AppFlood, a mobile ad exchange, on Thursday announced new technology that enables advertisers to buy mobile ad inventory on a CPM (most per mile, or cost per thousand impressions) basis “with a CPI (cost per install) budget.”
Here’s what it means: CPM buys are typically much cheaper than CPI buys, and AppFlood contends the new tech allows marketers to target consumers as if they were executing a CPI buy, when in fact they are buying on a CPM basis.
The technology analyzes the conversion likelihood on CPM inventory, letting marketers targeting more valuable consumers. AppFlood asserts that this makes its platform more attractive to performance-based advertisers (i.e., those only looking to pay on a cost-per-install basis).
“Despite the huge changes happening in the mobile advertising industry thanks to the rise of programmatic buying, a huge amount of campaigns are still created on a CPM basis,” stated Si Shen, CEO pf PapayaMobile, AppFlood parent’s company. “With AppFlood’s new technology, we have blown the doors open for programmatic buying of any and all mobile ad traffic.”
While savvy marketers were not likely to have been blindly buying on a CPM basis before, the news should be welcomed by AppFlood users that are currently stretching their budgets to buy on a CPI basis. The company claims that one U.S. game developer doubled their daily installs through the new platform.
AppFlood’s new platform will be accessible through the company’s supply-side platform (SSP) partners, including InMobi, AdMob and Google.