Q&A with Itamar Benedy, Co-Founder & CEO at Anzu.io

Media 7 | August 5, 2021

Itamar Benedy, CEO and Co-founder of Anzu.io, was previously the CEO of Glispa, a Berlin-based advertising firm with €100M in annual revenues, a team of 250 people, and 9 international offices. Itamar led the acquisitions of JustAd, a playable ads start-up, and Relevantech, a Telecom monetization platform. Previously, Itamar served as the VP of Marketing at Sport.com and Yoga.com, leading the user acquisition, monetization, and analytics teams. He guided Sport.com to become a market-leading fitness firm and transformed mHealth into a business with over 40 million downloads across 30 apps. With a decade of experience in mobile and marketing, Itamar is a member of the Mobile Steering Group Board of IAB, and the Young President Organization (YPO). He was also nominated for Forbes Israel 30 under 30 in 2016.

There has also been a common misconception amongst brands that gamers are not their audience, but when you consider that they make up a third of the population, you can see that this is not true. The pandemic had a significant impact on exposing this audience and shifting the mindsets of advertisers.



MEDIA 7: Could you please take us through your professional journey?
ITAMAR BENEDY:
Since day one at AppWiz, which was my first foray into the exciting world of AdTech, I was hooked. All those years ago, I saw AdTech as a wide-open canvas for innovation and meaningful advancements. My mission was – and is – to create breakthrough products that have the power to change the way humans and ads meet and interact with one another. A core technical background coupled with a passion for business drove me to create technologies that would chart the future of digital advertising. With over a decade in the mobile marketing space, I clearly understood the industry’s problems. So, I teamed up with gaming product guru Ben Fenster and master software architect Michael Badichi to solve the biggest issues in video game advertising which included a lack of scalable tech and cutting-edge solutions, the disruptive nature of in-game ads, and the vast gap between advertisers and developers which was leaving massive audiences inaccessible to brands. It was also getting increasingly difficult for developers to monetize without sacrificing the gaming experience. The three of us set out to make advertising in games better when we founded Anzu in 2016, and we’ve been disrupting the industry ever since!


M7: Which industry benefits the most from an in-game advertising platform like Anzu.io?
IB:
The gaming audience is hugely diverse, made up of individuals from all ages, backgrounds, genders, nationalities, and cultures. Due to this diverse nature, in-game advertising suits businesses across all different industries and vertices. You can see this when you look at many of our top clients who are spread across many sectors, including retail, telecoms, technology, automotive, travel and tourism, and leisure.

There has also been a common misconception amongst brands that gamers are not their audience, but when you consider that they make up a third of the population, you can see that this is not true. The pandemic had a significant impact on exposing this audience and shifting the mindsets of advertisers. We saw many who had never run an in-game campaign before shift a considerable amount of their budgets over while they could not advertise outdoors. Extremely low fraud levels, viewability rates way above the industry average, and the massive exposure that in-game offers have seen most continue to shift budgets over, even as much of the world begins to emerge from the pandemic.


As free-to-play continues to gain momentum and infiltrate all game genres, games studios will be forced to change their way of thinking to see in-game advertising as a sustainable business model if they want to continue making games relevant and accessible in this highly competitive landscape.



M7: Anzu.io has recently raised $9 million for a new generation of in-game advertising. Could you please tell us a little bit about this goal and how you plan to achieve it?
IB:
Traditionally, in-game advertising has only been thought of in terms of mobile games. We saw an opportunity to reset this way of thinking and introduce in-game ads to PC, console, and mobile. The industry is headed for a cross-play revolution where you will no longer be constrained by what device you own. Platforms like Roblox and Fortnite have become ‘play anywhere where you can join a game at home on your console, move to the study and pick it up on your PC and then carry it on via your mobile once you’ve left the house. This view is supported by many across the industry, and it's one of the reasons why we have received backing from many of the world’s leading games publishers and advertisers. With more people downloading ad blockers, giants like Google and Apple making big moves within the privacy space, and national and international regulations on data privacy becoming more stringent, advertisers have never been warier of where their ads appear and how they are measured. Users have also never been more mindful of how their data is used and where they are being advertised to.

In response, we have put ad quality at the heart of everything we do, bringing real-time data and existing digital industry standards in-game across mobile, PC, and console. We also partner with the world’s leading ad verification and certification companies to protect advertisers and their campaigns. As part of this drive, I’m excited to announce that we’ve just been awarded the TAG Brand Safety Certified Seal under the Intermediary category and the Gold Standard Certification 2.0 from the Internet Advertising Bureau (IAB), UK. Together, these certifications demonstrate Anzu’s ongoing commitment to promoting a safe, secure, and fraud-free ecosystem that benefits the entire advertising chain. We also strive to put the gamer first, above everything we do. To achieve this, we work with advertisers, publishers, and players to ensure our ads are integrated within the games and sit natively within the experience, complementing the gameplay rather than taking anything away. I firmly believe that our cross-platform focus, commitment to producing a safe and secure platform, and our drive to always put the gamer first will allow us to accomplish our mission to build the best in-game advertising platform which reaches every gamer on the planet while upholding the interests of advertisers, publishers, and players everywhere.


M7: What do you see as the biggest challenges in the industry and Anzu.io this year?
IB:
Navigating Covid-19 has been a considerable challenge for us and will continue to be for some time. We are a global company, so it’s been a challenge not to see each other in person. I was lucky enough to get over to our HQ in Tel Aviv recently, and it was amazing to connect with everyone and hear from all areas of the business. There’s something special in meeting in the flesh, and Covid-19 has made many people realize just how much we took for granted before. As I mentioned, we are working with several industry-leading certification companies and bodies to bring advertising standards to in-game advertising. However, this is an ongoing task and one that needs cooperation from all sides of the industry. In-game advertising has traditionally always been thought of in mobile, and most AAA console and PC games have followed a pay-to-play model. With the rise in popularity of AAA free-to-play games like Fortnite and Genshin Impact, this is beginning to change; however, many AAA games publishers are still focused on the pay-to-play model. As free-to-play continues to gain momentum and infiltrate all game genres, games studios will be forced to change their way of thinking to see in-game advertising as a sustainable business model if they want to continue making games relevant and accessible in this highly competitive landscape.


Act fast as once you see an opportunity, it's highly likely that someone else has noticed it too. Within the fast-changing world, it's also easy for competitors to spring up and overtake you if you’re not focused on the future.



M7: How has the Covid-19 era influenced the growth of in-game advertising?
IB:
Covid-19 helped to emphasize just how big the gaming industry is. Yes, Covid-19 helped turn a lot more people to gaming. Many who were gamers pre Covid-19 ended up spending more time gaming to pass the time inside, however contrary to popular belief, gaming did not begin to reach massive numbers during Covid-19. The players were already there. Covid-19 simply revealed to the world just how big this industry is -- something that many companies like ours have been educating advertisers on for some time. A perfect storm of titles exploding overnight (Genshin Impact, Animal Crossing, Among Us), a new era of consoles launching, F2P platforms like Fortnite and Roblox attracting kids in their millions, and experimental experiences like live in-game concerts and virtual fashion launches helped keep gaming within the headlines and top of mind for advertisers during the lockdown. As a result, there was a huge shift in the way brands and agencies began to think of gaming, resulting in more execs, CEOs, and key decision-makers seeing gaming as an essential marketing channel rather than just somewhere to do experiential marketing with leftover budgets.


M7: Knowing what you know now, what advice do you have for your younger self?
IB:
The advice I would give is to be data-driven, ensuring that your decisions are backed up by relevant research and insights. Act fast as once you see an opportunity, it's highly likely that someone else has noticed it too. Within the fast-changing world, it's also easy for competitors to spring up and overtake you if you’re not focused on the future. The last piece of advice I would give is to hire senior people and let them do what they do best -- it’s very easy to take on everything yourself, but there comes a time when you need to look to others for help and know that they are experts within their fields for a reason.

ABOUT ANZU

Anzu is the world’s most advanced in-game advertising solution. Operating across mobile, PC, and console platforms, Anzu blends real-world brand ads directly into video games, esports tournaments, and live streams, opening up colossal new audiences for brands in unprecedented creative ways. Simultaneously, Anzu empowers game developers and game publishers to introduce sustainable revenue streams that preserve the gamer experience while maintaining full control over gaming environments. Anzu, which operates across all geos and game genres, partners with global advertisers such as Pepsi, Vodafone, and Samsung and game studios such as Ubisoft and Nacon.

The only solution of its kind to bring real-time analytics and existing digital industry standards in-game, Anzu’s patented, adaptive technology features blended, yet highly viewable IAB-compliant ad formats. Anzu’s full suite of one-of-a-kind AdTech integrations includes ad viewability, brand lift measurement, audience verification, data enrichment, and fraud detection in partnership with industry leaders such as Moat, Comscore, Kantar, and Nielsen. Anzu has raised $17 million to date from investors including WPP, Sony Innovation Fund, BITKRAFT Ventures, and HBSE Ventures. Learn more at https://www.anzu.io/.

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IAS & Anzu Partner to Provide Media Quality Measurement for In-Game Advertising Environments

Anzu.io, IAS | August 02, 2022

Integral Ad Science a leader in digital media quality, today (July 28th, 2022) announced a partnership with Anzu, an in-game advertising leader. This partnership enables global brands and agencies to effectively monitor the quality of their in-game media investments in mobile gaming environments. Through this collaboration, IAS provides advertisers with Invalid Traffic (IVT) measurement and reports on viewability through the IAS Signal platform. “Gaming continues to emerge as a medium with broad appeal and growing reach. By partnering with Anzu, we now deliver in-game measurement and transparency for advertisers within gaming environments,” said Tom Sharma, chief product officer of IAS. “This integration sets the platform for quality standards within ad-supported gaming and allows advertisers to better understand and control the quality of their media on Anzu.” In-game environments have posed various challenges for verification measurement throughout the ad tech industry, such as multiple forms of device types, game developers, and platforms, all of which make it difficult to use a single tech suite for verification coverage. This strategic collaboration further delivers ad transparency into mobile gaming environments, continuing IAS’s progress related to in-game brand safety, suitability, IVT, and viewability measurement everywhere in the digital advertising ecosystem. “Anzu’s new partnership with IAS is the next step in standardising in-game viewability and performance in the mobile gaming industry, which is projected to reach $136 billion (£112.6bn) worldwide this year,” said Itamar Benedy, co-founder and CEO of Anzu. “Anzu’s new partnership with IAS is the next step in standardising in-game viewability and performance in the mobile gaming industry, which is projected to reach $136 billion (£112.6bn) worldwide this year,” said Itamar Benedy, co-founder and CEO of Anzu. “This new partnership means advertisers can now get enhanced visibility into the effectiveness of their campaigns. This further strengthens the already robust metrics and reporting advertisers benefit from when running in-game ad campaigns with Anzu.” “This important measurement advancement will help accelerate advertisers’ ability to scale their in-game media investments by further demonstrating the high performance of the Anzu platform,” said Joe Cady, EVP advanced advertising & partnerships, NBCUniversal. “We are excited to see Anzu and IAS partner to expand insights and streamline measurement operations for marketers as they evaluate their in-game media effectiveness.”

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AdKaora and Adgage Strike Exclusive Multi-Platform Partnership with Anzu to Bring Intrinsic In-Game Ads

AdKaora, AdGage, Anzu | September 22, 2022

AdKaora, a digital agency specializing in user-centric mobile advertising and proximity marketing, Adgage, a Spanish company specializing in mobile advertising and partially acquired by Mondadori at the end of 2021, and Anzu.io, the world’s most advanced in-game advertising platform, have signed an exclusive partnership in the Italian, Spanish, and Portuguese markets to enhance the Mondadori Group's offering with intrinsic in-game advertising. AdKaora and AdGage have joined forces with Anzu to help more advertisers seize the unique opportunity to reach a vast target audience of gamers and gaming fans. This gives these companies the edge by anticipating the new communication opportunities that have emerged with the explosion of gaming and metaverse. Now post-pandemic, the gaming phenomenon has exploded: the global gaming audience has expanded to 3.24 billion people, covering all age groups and nationalities. Accessing such a lean-forward target audience, with very little ‘second-screening’ or distractions from other media, is one of the main incentives that increasingly drives brands to allocate more of their budgets to in-game advertising strategies. Anzu boasts the world's most advanced in-game advertising solution available across mobile, PC, consoles, and gaming metaverses, with IAB-recognized, highly immersive formats and an expansive gaming inventory, including exclusive AAA titles from the world’s leading game studios like Ubisoft, Razor Edge Games, and Saber Interactive. The company has also been named Best Ad Tech Platform at the Digiday Media Awards Europe 2022 and Best Tech Partner at 2022’s Drum Awards. Anzu’s patented 3D ad tracking engine and a full suite of integrations with third-party vendors, including Oracle Moat and IAS, provide first-to-market viewability measurement for in-game ads for direct and programmatic campaigns across platforms. Playing a large part in establishing the new Intrinsic In-Game Measurement Guidelines with IAB and MRC, Anzu’s efforts mean that advertisers have never had more confidence to invest in the in-game advertising medium. Anzu also provides a gateway for many brands to activate advertising campaigns through gaming metaverses, presenting brands with a unique opportunity to reach a very young, fast-growing audience through multiple unique experiences. “There’s never been a more exciting time for brands to enter gaming as an advertising space. With over 50 million gamers in Italy, Spain, and Portugal collectively, the audience is there, and advertisers have the opportunity to reach them right now. We’re delighted to partner with AdKaora and AdGage to broaden the horizons of brands and refresh their campaigns with the possibility of intrinsic, brand-safe, and attention-grabbing in-game ad campaigns." - Stephanie Lublinski, Head of Partnerships (Emerging Markets), Anzu AdKaora and Adgage have already been launching in-game ad projects with Anzu that have helped to strengthen brand awareness, visibility, and key KPIs while running in an environment with high brand safety guarantees. Data from HUMAN recently showed that out of 579M events, Anzu’s IVT averaged out at 0.36% on mobile and 0.11% on PC, reaffirming that its in-game ad formats have much lower fraud rates than other forms of digital advertising. "Video games today generate twice the revenue, in economic terms, of the film and music industries combined, making it a fast-growing form of entertainment with 15 million players in Italy."- Davide Tran, CEO, AdKaora "Video games today generate twice the revenue, in economic terms, of the film and music industries combined, making it a fast-growing form of entertainment with 15 million players in Italy. Because of this, the demand for communicating within the gaming world is increasingly high. For AdKaora to decisively enter a market is to do so with the best possible proposition, and with Anzu it was "game, set and match" at the first sight. We are happy to work with them, and in parallel with los hermanos of AdGage, to develop multi-country projects given the exclusive Italy, Spain and Portugal and develop innovative projects for brands, creating an ecosystem suitable for this type of advertising. Spoiler alert: the integration of Dakar, one of the most played driving simulation games in the world, with Anzu on consoles as well." — Davide Tran, CEO, AdKaora

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IAB Europe Announces Results of its Annual Attitudes to Programmatic Research

IAB Europe | October 03, 2022

IAB Europe, the leading European-level industry association for the digital marketing and advertising ecosystem, today announced the results of its annual ‘Attitudes to Programmatic Advertising Study’. Now in its eighth year, this study has become an industry benchmark and helpful insight to show how programmatic advertising attitudes, adoption and strategies are evolving. This year the study tripled in responses with over 1000 industry professionals taking part across 29 markets in Europe. The respondents represent four stakeholder groups – advertisers, agencies, publishers, and ad tech vendors – to ascertain the views and directions from the entire ecosystem. More than half of the respondents across advertisers, agencies and publishers manage annual advertising budgets of €1m or above. 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However, marketers must play a crucial role in these areas, ensuring that balance is found between optimising media spend, data transparency and delivering a targeted and enjoyable consumer experience.” Positive Outlook Driven by Connected TV All stakeholders (74% of advertisers, 80% of agencies and 68% of publishers) are expecting their programmatic investment to increase over the next 12 months. There seems to be consensus around connected TV as a key growth area; more than 50% of all stakeholder groups cite this as a key to programmatic growth over the next 12 months. Voice, almost non-existent as key to growth in previous years – makes a strong appearance this year with 32% of advertisers and 28% of agencies citing this as a key growth area. Commenting further on the investment trends, James Collins, SVP, Media Network, Rakuten Advertising said “The annual Attitudes to Programmatic Report from IAB Europe is an important indicator for the industry on the opportunities and challenges for programmatic advertising. It’s positive to see that CTV remains the largest growth area for programmatic, with key learnings in this report hopefully the industry can take a step closer to capitalising on this opportunity.” Media Cost Efficiencies Are Key to Investment More than a quarter of advertisers and agencies ranked cost efficiencies as the most important driver for programmatic investment. This is closely followed by granularity of controls and transparency of reporting. Advertisers also cite costs as a barrier to investment; 22% ranked it as the number 1 barrier. Quality of media is also a concern (38% ranked this as the first or second barrier to investment). For agencies, hiring and training staff is a key barrier to programmatic investment. Advertisers Shift from In-Housing to a More Dynamic Approach In 2021 50% of advertisers said they had an in-house model. This seems to have dropped significantly to 16% in 2022. There seems to be a more hybrid or dynamic approach with advertisers tapping into a range of methods such as outsourcing to a DSP, independent trading desk etc. This is perhaps being driven by the struggle to source the correct talent, paving the way for consultancies to play a more vital role in the process. Interaction and Quality Metrics Are Key to Measurement When asked which metrics are important to evaluate display campaigns that are traded programmatically, the majority of advertisers cited social interactions as the most important, as opposed to sales which was the top metric in 2021 (59% vs 37%). For agencies and publishers, it is in delivering quality metrics (60% and 53% respectively) that is most important. Shift in the Type of Data Used for Audience Targeting The study shows a decrease in the use of first-party data alongside an increase in second-party data. Whilst 2021 showed first-party data was the priority for advertisers, agencies, and publishers in 2021, this is now ranked third behind second-party data (the most popular priority averaging 57% with agencies leading at 60%) and third-party at 49%. The report, written by industry experts from IAB Europe’s membership, and forms part of a comprehensive programme of pan-European educational and guidance outputs published by the IAB Europe Programmatic Trading Committee. The full report with accompanying graphs can be downloaded from IAB Europe’s website HERE. About IAB Europe IAB Europe is the European-level association for the digital marketing and advertising ecosystem. 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IAS & Anzu Partner to Provide Media Quality Measurement for In-Game Advertising Environments

Anzu.io, IAS | August 02, 2022

Integral Ad Science a leader in digital media quality, today (July 28th, 2022) announced a partnership with Anzu, an in-game advertising leader. This partnership enables global brands and agencies to effectively monitor the quality of their in-game media investments in mobile gaming environments. Through this collaboration, IAS provides advertisers with Invalid Traffic (IVT) measurement and reports on viewability through the IAS Signal platform. “Gaming continues to emerge as a medium with broad appeal and growing reach. By partnering with Anzu, we now deliver in-game measurement and transparency for advertisers within gaming environments,” said Tom Sharma, chief product officer of IAS. “This integration sets the platform for quality standards within ad-supported gaming and allows advertisers to better understand and control the quality of their media on Anzu.” In-game environments have posed various challenges for verification measurement throughout the ad tech industry, such as multiple forms of device types, game developers, and platforms, all of which make it difficult to use a single tech suite for verification coverage. This strategic collaboration further delivers ad transparency into mobile gaming environments, continuing IAS’s progress related to in-game brand safety, suitability, IVT, and viewability measurement everywhere in the digital advertising ecosystem. “Anzu’s new partnership with IAS is the next step in standardising in-game viewability and performance in the mobile gaming industry, which is projected to reach $136 billion (£112.6bn) worldwide this year,” said Itamar Benedy, co-founder and CEO of Anzu. “Anzu’s new partnership with IAS is the next step in standardising in-game viewability and performance in the mobile gaming industry, which is projected to reach $136 billion (£112.6bn) worldwide this year,” said Itamar Benedy, co-founder and CEO of Anzu. “This new partnership means advertisers can now get enhanced visibility into the effectiveness of their campaigns. This further strengthens the already robust metrics and reporting advertisers benefit from when running in-game ad campaigns with Anzu.” “This important measurement advancement will help accelerate advertisers’ ability to scale their in-game media investments by further demonstrating the high performance of the Anzu platform,” said Joe Cady, EVP advanced advertising & partnerships, NBCUniversal. “We are excited to see Anzu and IAS partner to expand insights and streamline measurement operations for marketers as they evaluate their in-game media effectiveness.”

Read More

AD TECH AND MARTECH

AdKaora and Adgage Strike Exclusive Multi-Platform Partnership with Anzu to Bring Intrinsic In-Game Ads

AdKaora, AdGage, Anzu | September 22, 2022

AdKaora, a digital agency specializing in user-centric mobile advertising and proximity marketing, Adgage, a Spanish company specializing in mobile advertising and partially acquired by Mondadori at the end of 2021, and Anzu.io, the world’s most advanced in-game advertising platform, have signed an exclusive partnership in the Italian, Spanish, and Portuguese markets to enhance the Mondadori Group's offering with intrinsic in-game advertising. AdKaora and AdGage have joined forces with Anzu to help more advertisers seize the unique opportunity to reach a vast target audience of gamers and gaming fans. This gives these companies the edge by anticipating the new communication opportunities that have emerged with the explosion of gaming and metaverse. Now post-pandemic, the gaming phenomenon has exploded: the global gaming audience has expanded to 3.24 billion people, covering all age groups and nationalities. Accessing such a lean-forward target audience, with very little ‘second-screening’ or distractions from other media, is one of the main incentives that increasingly drives brands to allocate more of their budgets to in-game advertising strategies. Anzu boasts the world's most advanced in-game advertising solution available across mobile, PC, consoles, and gaming metaverses, with IAB-recognized, highly immersive formats and an expansive gaming inventory, including exclusive AAA titles from the world’s leading game studios like Ubisoft, Razor Edge Games, and Saber Interactive. The company has also been named Best Ad Tech Platform at the Digiday Media Awards Europe 2022 and Best Tech Partner at 2022’s Drum Awards. Anzu’s patented 3D ad tracking engine and a full suite of integrations with third-party vendors, including Oracle Moat and IAS, provide first-to-market viewability measurement for in-game ads for direct and programmatic campaigns across platforms. Playing a large part in establishing the new Intrinsic In-Game Measurement Guidelines with IAB and MRC, Anzu’s efforts mean that advertisers have never had more confidence to invest in the in-game advertising medium. Anzu also provides a gateway for many brands to activate advertising campaigns through gaming metaverses, presenting brands with a unique opportunity to reach a very young, fast-growing audience through multiple unique experiences. “There’s never been a more exciting time for brands to enter gaming as an advertising space. With over 50 million gamers in Italy, Spain, and Portugal collectively, the audience is there, and advertisers have the opportunity to reach them right now. We’re delighted to partner with AdKaora and AdGage to broaden the horizons of brands and refresh their campaigns with the possibility of intrinsic, brand-safe, and attention-grabbing in-game ad campaigns." - Stephanie Lublinski, Head of Partnerships (Emerging Markets), Anzu AdKaora and Adgage have already been launching in-game ad projects with Anzu that have helped to strengthen brand awareness, visibility, and key KPIs while running in an environment with high brand safety guarantees. Data from HUMAN recently showed that out of 579M events, Anzu’s IVT averaged out at 0.36% on mobile and 0.11% on PC, reaffirming that its in-game ad formats have much lower fraud rates than other forms of digital advertising. "Video games today generate twice the revenue, in economic terms, of the film and music industries combined, making it a fast-growing form of entertainment with 15 million players in Italy."- Davide Tran, CEO, AdKaora "Video games today generate twice the revenue, in economic terms, of the film and music industries combined, making it a fast-growing form of entertainment with 15 million players in Italy. Because of this, the demand for communicating within the gaming world is increasingly high. For AdKaora to decisively enter a market is to do so with the best possible proposition, and with Anzu it was "game, set and match" at the first sight. We are happy to work with them, and in parallel with los hermanos of AdGage, to develop multi-country projects given the exclusive Italy, Spain and Portugal and develop innovative projects for brands, creating an ecosystem suitable for this type of advertising. Spoiler alert: the integration of Dakar, one of the most played driving simulation games in the world, with Anzu on consoles as well." — Davide Tran, CEO, AdKaora

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IAB Europe Announces Results of its Annual Attitudes to Programmatic Research

IAB Europe | October 03, 2022

IAB Europe, the leading European-level industry association for the digital marketing and advertising ecosystem, today announced the results of its annual ‘Attitudes to Programmatic Advertising Study’. Now in its eighth year, this study has become an industry benchmark and helpful insight to show how programmatic advertising attitudes, adoption and strategies are evolving. This year the study tripled in responses with over 1000 industry professionals taking part across 29 markets in Europe. The respondents represent four stakeholder groups – advertisers, agencies, publishers, and ad tech vendors – to ascertain the views and directions from the entire ecosystem. More than half of the respondents across advertisers, agencies and publishers manage annual advertising budgets of €1m or above. Nick Welch, Head of EMEA Programmatic Sales at IAS and Programmatic Trading Committee Chair at IAB Europe said: The “Attitudes to Programmatic Advertising 2022 Study’ serves as an important annual benchmark towards programmatic strategies in digital advertising. The widening of the research shows its focus across various players in the industry from multiple markets. We’re grateful for all the respondents to the study and helping set the agenda for the coming 12 months. Even amongst the backdrop of tightening budgets and further media scrutiny, it’s encouraging to see that investment in programmatic is likely to increase. Alongside this, we’re witnessing tremendous appetite across growing environments such as CTV and audio. However, marketers must play a crucial role in these areas, ensuring that balance is found between optimising media spend, data transparency and delivering a targeted and enjoyable consumer experience.” Positive Outlook Driven by Connected TV All stakeholders (74% of advertisers, 80% of agencies and 68% of publishers) are expecting their programmatic investment to increase over the next 12 months. There seems to be consensus around connected TV as a key growth area; more than 50% of all stakeholder groups cite this as a key to programmatic growth over the next 12 months. Voice, almost non-existent as key to growth in previous years – makes a strong appearance this year with 32% of advertisers and 28% of agencies citing this as a key growth area. Commenting further on the investment trends, James Collins, SVP, Media Network, Rakuten Advertising said “The annual Attitudes to Programmatic Report from IAB Europe is an important indicator for the industry on the opportunities and challenges for programmatic advertising. It’s positive to see that CTV remains the largest growth area for programmatic, with key learnings in this report hopefully the industry can take a step closer to capitalising on this opportunity.” Media Cost Efficiencies Are Key to Investment More than a quarter of advertisers and agencies ranked cost efficiencies as the most important driver for programmatic investment. This is closely followed by granularity of controls and transparency of reporting. Advertisers also cite costs as a barrier to investment; 22% ranked it as the number 1 barrier. Quality of media is also a concern (38% ranked this as the first or second barrier to investment). For agencies, hiring and training staff is a key barrier to programmatic investment. Advertisers Shift from In-Housing to a More Dynamic Approach In 2021 50% of advertisers said they had an in-house model. This seems to have dropped significantly to 16% in 2022. There seems to be a more hybrid or dynamic approach with advertisers tapping into a range of methods such as outsourcing to a DSP, independent trading desk etc. This is perhaps being driven by the struggle to source the correct talent, paving the way for consultancies to play a more vital role in the process. Interaction and Quality Metrics Are Key to Measurement When asked which metrics are important to evaluate display campaigns that are traded programmatically, the majority of advertisers cited social interactions as the most important, as opposed to sales which was the top metric in 2021 (59% vs 37%). For agencies and publishers, it is in delivering quality metrics (60% and 53% respectively) that is most important. Shift in the Type of Data Used for Audience Targeting The study shows a decrease in the use of first-party data alongside an increase in second-party data. Whilst 2021 showed first-party data was the priority for advertisers, agencies, and publishers in 2021, this is now ranked third behind second-party data (the most popular priority averaging 57% with agencies leading at 60%) and third-party at 49%. The report, written by industry experts from IAB Europe’s membership, and forms part of a comprehensive programme of pan-European educational and guidance outputs published by the IAB Europe Programmatic Trading Committee. The full report with accompanying graphs can be downloaded from IAB Europe’s website HERE. About IAB Europe IAB Europe is the European-level association for the digital marketing and advertising ecosystem. Through its membership of media, technology and marketing companies and national IABs, its mission is to lead political representation and promote industry collaboration to deliver frameworks, standards and industry programmes that enable business to thrive in the European market.

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