AppNexus Launches Multimedia Auction Technology, Video Ad Format

Aiming to help publishers improve monetization and create a better Web experience for consumers, AppNexus launched a multimedia auctions technology that will enable multiple media types to compete in one unified auction.

Describing it as a multimedia “superauctions” technology, the ad-tech giant said the main goal is to increase demand for each ad placement. 

While most auctions that are run in open, real-time bidding are for a single ad format, a multimedia auction enables many different media types to compete with one another for a single ad slot in tandem. For example, a publisher could auction a display banner, a native ad, and a video unit. All three compete with one another and whichever format has the highest CPM wins the auction. If one of the formats can’t fill, another steps up.

Over the last two months, Microsoft has implemented multimedia auctions on MSN inventory in 40 countries. At the high end, AppNexus said MSN has seen a revenue lift of as much as 60% in certain markets.



AppNexus also introduced a video ad format it calls BannerStream, designed to enable publishers to integrate video advertising within display ad units. AppNexus said the format aims to improve Web browser stability and reduce latency issues.

BannerStream can run in large, medium, or small player formats across a variety of aspect ratios. Similar to the outstream video format, the video player only plays content when the ad unit is in view and it also flags the format type—instream, outstream, or BannerStream, in the bid request to offer transparency to buyers. The format can be used on desktop, tablet, and mobile devices and on mobile.

With both launches, AppNexus said it has tried to reengineer a process that poses challenges to the industry. “The new format is a complement to our other video formats, pre-roll, in-stream, and outstream in-article units. [It] enables publishers to get a full CPM vs. video content arbitraged by intermediaries into units meant for banner ads, which have caused latency and result in poor quality,” said Eric Hoffert, SVP, video technology, AppNexus.

“We wanted to come up with a more publisher-, advertiser-, and user-friendly way to address the problems that have plagued in-banner video for many years -- something that’s more transparent, where the publisher can capture the benefit vs. the arbitrager. Publishers lose money from in-banner video, and consumers are being interrupted,” Hoffert said.

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