AOL Invests In Attribution, Acquires Convertro for $101 Million
AOL added yet another arrow to its ad-tech quiver Tuesday, snatching up attribution modeling company Convertro for approximately $101 million, the company announced.
The acquisition is geared towards at helping AOL's ad-tech improve its understanding of which media is working most effectively and then rapidly shift budget in that direction in order to optimize buys.
"It's going to provide a unified and more automated way to manage marketing, all the way from the first exposure through conversion," said AOL Platforms CTO Seth Demsey in an interview late Tuesday.
The technology, Mr. Demsey said, will tightly integrate into AOL's AdLearn Open Platform, a automated buying product which the company pitches as smart software which can shift budget on the fly.
"Over time, we will be automating the ingestion of data from Convertro into AdLearn, and making it done faster," Mr. Demsey said. "The quicker you get data in, the more accurately your predictions can be made."
The attribution data, he said, can optimize not only which placements are performing best for an advertiser, but determining the optimal mix of media to move specific types of users through the funnel.
Convertro also has its own bridging technology, meaning it can track consumers as they move from desktop to mobile, a critical capability now that most media is consumed on mobile devices. The company's bridging technology will be integrated with AOL's own, according to Mr. Demsey, so AOL will get a boost from that part of Convertro's business as well.
Ad Age recently covered Convertro as one of a number of companies benefiting from industry worry about fraud. The company's fraud busting capabilities, its CMO David Perez said, was helping it win over clients concerned about where their money was going, a key factor in attribution.
Convertro, founded in 2009, has made out quite nicely, garnering a nine figure sale price on investment of only $5 million dollars.