By RTT News,
July 01, 2014, 12:35:00 AM EDT
(RTTNews.com) - Social media giant Twitter Inc. ( TWTR ) said Monday that it has acquired New York-based advertising technology start-up Tap Commerce. Financial terms of the deal were not disclosed, though media reports indicated that the deal is valued at about $100 million.
The acquisition is part of Twitter's broader strategy in mobile marketing that it started last year with its acquisition of mobile-ad exchange MoPub.
Tap Commerce does re-targeting, or targets ads based on previous user activity. It targets consumers who have downloaded an app to reopen and reengage with these apps. Twitter noted that TapCommerce enables real-time programmatic mobile ad buying across multiple exchanges reaching over 50,000 apps.
According to TapCommerce, its demand-side platform now processes over 15 billion targeted ad impression bids each day, across 50,000 apps worldwide.
Richard Alfonsi, vice president of global online sales, said in a blog post that together with TapCommerce team, Twitter will be able to offer mobile app marketers more robust capabilities for app re-engagement, tools and managed service solutions for real-time programmatic buying, and better measurement capabilities.
Alfonsi said, "Combined with our other ad solutions, advertisers will be able to drive conversions and ROI with mobile consumers on and off of Twitter, across the full user lifecycle - from acquiring new users through app installs, to engaging existing users who already have the advertisers' apps on their device. And if you're an everyday mobile user, we expect this will mean better and more relevant ads in the apps you use."
Brian Long, CEO and Co-Founder of TapCommerce said, "Our focus on creating engaging brand experiences for mobile consumers aligns perfectly with Twitter's product and core values, making TapCommerce a natural fit in Twitter's expanding mobile advertising stack."
Long added that the TapCommerce platform is already deeply integrated with MoPub.
TapCommerce's investors are Bain Capital Ventures, Eniac Ventures, Metamorphic Ventures, Nextview Ventures, and RRE Ventures.
Twitter said in early June that it agreed to acquire specialist native mobile advertising startup Namo Media that will complement its purchase of MoPub last year. The acquisition of San Francisco-based Namo Media will boost Twitter's native advertisement offering.
Twitter's business hinges on advertisements posted on its site alongside the tweets through smartphones and other mobile devices. The company has been under pressure to become a mainstream player and is striving to expand its user base, which is a key metric for such companies.
In recent months, Twitter has redesigned its mobile apps, websites and released features such as allowing image previews in the timeline and in direct messages.
Earlier on Monday, Twitter announced the general availability of its mobile app promotion suite that will enable advertisers to drive a large volume of cost-effective app installs by reaching users directly in the Twitter timeline.
TWTR closed Monday's trading at $40.97, up $0.04 or 0.10 percent on a volume of 22.78 million shares.
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