SDK-derived location data leads to triple-digit ad revenue growth for UK publishers

Tyrone Stewart

87 per cent of UK publishers have increased mobile ad yield as a result of location data derived from software development kits (SDKs) – with 20 per cent seeing triple-digit revenue growth.

According to a survey of 249 UK media professionals by data and insights provider ExchangeWire, and commissioned by location mobile marketing platform Verve, only 11 per cent of publishers have used location data from ad exchanges, due to concerns over accuracy. 72 per cent of respondents agreed that location data gathered through exchanges is less accurate than data gathered through SDKs.

Media buyers have similar feelings toward the data from ad exchanges, with the forward-thinking buyers turning to SDKs. However, 42 per cent of buyers and 31 per cent of sellers are not aware of SDK location data solutions. This is significant when the fact that 36 per cent of both groups cite accuracy as the most important thing when it comes to location data.

“UK mobile ad buyers and sellers have been burnt in the past by bad data,” said Becca Muir, head of research and analysis at ExchangeWire. “Low quality, inaccurate data leads to poor campaign performance and low ad yields meaning that, today, there is a residual layer of scepticism about the effectiveness of location targeted mobile display ads. SDK-derived data has been shown to be more accurate and precise compared to data from mobile ad exchanges, and those who have been brave enough to try again have reaped rewards in the form of improved return on investment for brands and higher ad yields for publishers.”

Ian James, general manager for international at Verve, added: “With the pressure on publisher ad sales teams greater than ever, we see an increased demand for top-quality, granular location data. The main problem publishers are faced with is fickle media buyers who are quick to remove publishers from media plans when performance drops - even if they don’t understand why. Empowering publishers with data to explain to media buyers why they see performance peaks and troughs enables them to build closer relationships and long-term partnerships built on trust and honesty.”