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Friday, February 24, 2012

SAS Acquisition Brings Advanced Analytics to Digital Advertising Industry

SAS, a leader in business analytics and integrated marketing management, has acquired aiMatch, a company that provides cloud-based ad server technology to help publishers sell and manage online ad inventory.

SAS' advanced analytics combined with aiMatch's technology will provide publishers with an end-to-end solution to help manage, forecast, optimize and measure ad inventory to maximize ad revenue. Current aiMatch customers include APN Digital, Photobucket, Pinger and Popcornflix.

According to SAS Malaysia Managing Director, Andrew Tan, the digital advertising sector has been identified as one of the fastest growing potential market for advanced analytics.

"Last year USD32 billion was spent on online advertising in the United States and the market is projected to reach USD50 billion by 2015¹. The local digital advertising industry has the same trend with greater focus and bigger spending in online media which is more far-reaching and interactive than traditional advertisement mediums."

He adds, "The future for advertisers is in mobile ads and video ads, as mobile ads are expected to overtake social media and email by 2016."

Despite its size the digital ad market is fragmented and lacks purpose-built analytical applications, making it difficult for publishers to effectively manage ad inventory and optimize profitability.

Iriani Kamaluddin, Marketing Director of SAS Malaysia, shares that digital advertising has huge potential to benefit from the application of advanced analytics.

"Publishers lack a solution to help them efficiently manage ad inventory. Advanced analytics will help determine optimal ad pricing, audience and inventory to yield maximum ad revenue."

Kamaluddin says, “As the digital ad market shifts toward real-time bidding, advanced analytics provide advertising executives the ability to process and reallocate ad inventory in real-time, whether via video, mobile, display or other digital media,”

“Advanced analytics can also automate sales and provide better audience profiling through behavioral segmentation for advertising professionals to better understand where and when to place advertisements to target the right crowd,” shares Kamaluddin.

aiMatch Acquisition Positions SAS in Online Advertising market

SAS acquired aiMatch to be integrated into its Integrated Marketing Management platform. Combining aiMatch's technology, SAS can now help advertisers and publishers to connect the targeted ad to a specific buyer demographic.

Kamaluddin says, “Take banks for example. By knowing a customer’s demographic and preferences, banks can offer relevant digital advertisements on mortgage loans or credit cards to the right customer every time they log in to check their balance online. We help to serve the right content to the right audience at the right time.”

Jeff Wood, former CEO of aiMatch says, "Due to an explosion of data in trends, the online advertising industry is in desperate need of better solutions to analyze and make use of all of the new information available to them."

“SAS also plans to extend this new division’s capabilities to local advertisers and agencies to help them make more informed decisions on where to advertise and how to optimize budgets for maximum impact,” ends Tan.

SAS Global expects revenues from the new acquired division to touch USD100 million in just five (5) years.

The aiMatch acquisition makes SAS, recently named a leader in Gartner Inc.'s Magic Quadrant for Integrated Marketing Management and The Forrester Wave™:Cross-Channel Campaign Management Platforms, Q1 2012.

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