May 28, 2014: Twitter and Omnicom Group Inc’s media services division signed a whopping USD 230 million two year ad deal. The deal with enable Twitter’s mobile ad exchange MoPub to integrate with Omnicom’s automated ad buying unit Accuen. Twitter had earlier in September 2013 bought mobile ad exchange MoPub for USD 350 million. The deal which is expected to provide better pricing and targeting for both the companies will allow Omnicom to have a first look at new ad units and avenues for advertising developed by Twitter. It will also lock in ad rates and inventory access for Omnicom. The deal first reported by Wall Street Journal was confirmed by Twitter.
Jonathan Schaaf, President of U.S. Digital Investment for Omnicom Media Group talking about this deal said “Twitter’s been a major advertising partner for our clients in the past and we wanted to form a closer business relationship with Twitter that extends beyond just media buying.” This deal is said to give a boost to both Omnicom and Twitter since a large portion of the time of an average consumer is spend on mobile devices and mobile advertising is expected to become a larger portion of overall advertising in the years to come.
