Here’s today’s roundup of AdExchanger.com news… Want it by email? Register here.
The latest nonadvertising company to launch an ad business comes as no surprise.
Ridesharing app Lyft introduced Lyft Media, which will be led by Kenan Saleh, co-founder and former CEO of Halo Cars. Halo, a startup that places digital billboards on rideshare cars, was acquired by Lyft in 2019.
Lyft Media will run ads on screens above cars, on tablets inside cars, alongside bike charging stations – Lyft operates New York and San Francisco bike share programs – as well as in the main application, of course, The Wall Street Journal reports.
Rather than being targeted to specific individuals, Lyft Media’s inventory will be targeted based on time and location, Saleh said, and an undisclosed portion of ad revenue will go to drivers.
Lyft has dabbled in advertising before. (He bought Halo three years ago, after all.) But the category has heated up since then.
Last September, Uber hired Mark Grether, former head of Amazon Advertising and former CEO of Sizmek, as general manager of its new advertising business. In January, T-Mobile acquired Octopus Interactivewhich shows ads on the tablets of ride-sharing vehicles.
And Volta, manufacturer of charging stations for electric cars, advertises a significant part of its value proposition, including in mobile, out-of-home and retail media. Logical, since grocers can install Volta charging stations in their car parks.
Be up to it
When it comes to Nielsen measurement alternatives, the TV advertising industry has been stuck in will-they-won’t-they mode. New ratings players have been all the rage in 2021 and this year, but have failed to squeeze as much initial outlay from Nielsen.
Adoption, however, is beginning to grow, despite predictions that alternative currencies would not be viable until next year’s upfronts.
The majority – 85% – of respondents to a recent VAB Measurement Innovation Task Force survey say they have increased the number of measurement providers they use. And more than a quarter of TV stations say between 25% and 49% of initial advertisers are now using or testing measurement alternatives.
The VAB report claims to cover programmers who account for 90% of all TV ad spend.
“These findings reveal an advertising market embracing new measurement options with growing urgency,” VAB CEO Sean Cunningham said in a statement. Release.
Considering that television editors are becoming more dependent on streaming services and non-linear ad buys, picking up the pace away from Nielsen makes sense.
K Street on Wall Street
Axios, a 5-year-old Washington, DC-based news startup, was sold to Cox Enterprises for $525 million, The New York Times reports.
Cox was already a minority shareholder, having invested in Axios last year at a valuation of $430 million.
The favorable valuation of Axios comes at a time of marked pessimism in the market.
A portfolio of major digital news companies tried to make their way to the stock exchange with little success. BuzzFeed’s list last December was so painfull that he put the kibosh on potential SPAC plans for Vice, Vox and Bustle Digital, which owns Mic, Gawker and Elite Daily, among other titles.
Digital publishers will be pleased with a new benchmark to point to in the form of Axios. BuzzFeed earned $400 million in 2021, and its market capitalization is currently around $265 million. Axios, on the other hand, was sold at five times its $100 million revenue rate.
Bryan Goldberg, CEO of Bustle Digital said he bought a “f**k-ton” of BuzzFeed stock at $6 per share in hopes of hitting a 4x earnings multiple, improving Bustle’s value by comparison.
To be determined if this decision will pay off. Right now, however, BuzzFeed’s multiple is below 1x and the stock is trading around $2.
But wait, there’s more!
Google is suing Sonos, as the two companies continue their back and forth on smart speaker IP. [The Verge]
How Apple’s secret advertising strategy is changing the industry. [Ad Age]
Adam Singer shares best practices that top digital marketing agencies are using to report on digital marketing success. [blog]
Once known for its fast fashion partnerships, reality show “Love Island” is forging ahead with eBay as a supplier of “pre-loved” clothing. [Marketing Brew]
You are engaged!
Steve Teixeira leaves Twitter to become chief product officer of Mozilla. [tweet]
TripleLift promotes Kama Ostoya to general counsel, succeeding Julia Shullman, former general counsel and chief privacy officer. [release]
Jon Werther returns to Simulmedia as Executive Vice President of Operations and Business Development. [release]
Emodo is recruiting a new CTO and Chief Customer Officer. [release]
Ben Lewis joins Pontiac Intelligence as Vice President of Sales. [LinkedIn]