Publigroupe buys Improve Digital

With the acquisition of Improve Digital, Publigroupe is taking an important step towards becoming a leading provider in the fast-growing real-time advertising (RTA) market in Europe, as the company writes in a press release. The investment will further accelerate Improve Digital's growth in Europe's key markets. The acquisition is subject to approval by the Swiss Competition Commission (COMCO).

With the help of Improve Digital's technology, media houses and online publishers can build their own marketplace for automated ad trading and thus automate their digital ad sales. More than 70 European media houses are already working with Improve Digital's technology. Since the company was founded in 2008, it has received numerous awards. Improve Digital's billings are expected to reach CHF 20 million in 2012, a growth of 100 percent compared to 2011. The company employs 50 people. The two founders Joëlle Frijters, CEO, and Janneke Niessen, CIO, will remain with the company and will continue to be responsible for the expansion of the company and its internationalization. Improve Digital will operate as an independent company within the group.

Thanks to Improve Digital's technology, media houses benefit directly from thousands of customer contacts and are able to interact directly with all connected demand partners, including all major demand side platforms (DSPs) and agency trading desks. This connectivity is expected to lead to better results, increased efficiency and maximized advertising revenue, as well as greater data security and control. Improve Digital's technology also guarantees connectivity to any third-party technology, including all major ad server platforms, to meet the needs of the demand side and advertisers.

According to the market research company Forrester, the entire Western European display market will reach seven billion euros by 2015. The mobile segment will contribute another two billion euros. By 2015, a significant proportion of display advertising revenue in the USA and Europe will be generated via RTA platforms.

The supply-side solution is based on the concept of programmatic media buying. An important component of this is the principle of RTAs: the technology makes it possible to place dynamic bids for advertising impressions in digital media in real time instead of making volume purchases on websites or advertising networks at pre-negotiated prices. The benefits of this real-time trading are greater transparency, better targeting methods leading to higher CPMs (cost per mille), more efficient workflows and, in general, more effective advertising thanks to constant optimization on a real-time basis.

Publicitas, a subsidiary of Publigroupe, will use Improve Digital's technology for its premium RTA marketplace offering, as announced in June 2012. This new offering will enable media providers to manage their digital inventory more efficiently while increasing their advertising revenue. Publicitas will benefit from its position as an established global partner to premium media providers to bring premium inventory into the RTA ecosystem.

Arndt Groth, CEO Publigroupe: "Improve Digital is a fast-growing company with a unique value proposition. The dynamic and leading European sell-side platform offers Publigroupe an excellent opportunity for international growth in the RTA sector, which will further strengthen our existing, established relationships with leading media houses, agencies and advertisers in the interest of all market partners".

Renato Martignoni, Chief Operating Officer of Digital & Marketing Services at Publigroupe: "With this partnership, Publigroupe will provide the necessary resources for the continued growth of Improve Digital's leading solution in key European markets and Switzerland in the coming years. Advertisers and agencies have recognized the benefits of programmatic media buying and are now demanding more inventory for their growing budgets in this area. We are excited to tackle this European project with a world-class digital team."

Joëlle Frijters, CEO and founder of Improve Digital: "A completely new ecosystem is emerging here with new budgets looking for more efficient advertising opportunities. As part of Publigroupe, we will be able to make our products and services available to the market faster and more broadly. We will benefit from an experienced, well-established global network.

Janneke Niessen, CIO and co-founder of Improve Digital: "The transaction will allow us to continue investing in our technology while keeping our development focus on real-time bidding (RTB), premium and data. With the help of PubliGroupe as a new strategic partner, we will be able to continue to offer our customers customized solutions that are perfectly tailored to their needs".