Report: CPG brands reinvest in RTB

Programmatic, or real time bidding (RTB), ad options have grown in popularity across nearly all verticals over the past couple of years. Now, according to one report, CPG brands are increasing their programmatic spend.

by Kristina Knight

According to new numbers out from Index Exchange programmatic ad buying continues to grow in popularity. During Q2 of 2014 programmatic buys increased nearly 20% for the retail vertical, and it marks the 10th consecutive quarter for that kind of growth. But the biggest news is for the consumer product goods (CPG) category - which saw a spending surge for the second consecutive quarter.

"We're witnessing a renaissance among CPG brands in the programmatic space," said Andrew Casale, VP of strategy for Casale Media. "Just a year ago, CPG brands weren't even among the top 25 spenders. Today, two of the top 10 spenders are CPG brands. With big players like Mondelez planning to invest nearly half of its marketing budget in programmatic, it is really just a matter of time until we see more CPG brands rise on the list."

Some key takeaways from the report include:

• Average CPMs increased 14%
• Retail, CPG and Financial verticals accounted for more than half the RTB spend in Q2
• Food and drink brands accounted for roughly half the total CPG spend
• 72% of platform impressions were cookie accessible
• Bid density increased 27% (Q1 vs. Q2)

Tags: advertising trends, Casale Media, programmatic advertising, RTB trends