Innovid, an independent connected TV advertising platform, has entered an agreement to buy TVSquared, a video ad measurement and attribution platform, for $160 million.
The cash and stock transaction bulks up Innovid’s cross-platform measurement platform and independent global ad server as the TV marketing space is continuing to look for scaled measurement alternatives to Nielsen.
“In acquiring TVSquared, we aim to provide the most complete view of the total TV and digital universe through a scalable, currency-grade measurement platform,” said Zvika Netter, CEO and co-founder of Innovid, in a statement. “Additionally, we immediately accelerate and broaden our scope globally, as brands, agencies, publishers, and broadcasters on six continents rely on TVSquared to maximize reach, identify the right audiences and drive business growth with TV. As the market demands greater accountability, Innovid and TVSquared are reimagining the future of cross-platform TV measurement together.”
Alan Wolk, lead analyst and co-founder at media research firm TV[R]EV, said he wouldn't be surprised if there's more consolidation in the measurement space over the next few years.
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"It’s easy to underestimate how deeply wedded so many in the industry are to Nielsen, despite its many trespasses—it was a single, easy to use source of currency for the industry. As such, it’s going to be much easier to get buy-in for just a few alternative currency providers, not the half dozen or more that exist today," he said in an email. "Innovid and TVSquared are both strong companies with complementary capabilities and are well-regarded in the industry. This should prove to be a good marriage for both teams."
Upon closing, TVSquared Founder and CEO Calum Smeaton will be stepping down and taking on a strategy role to support integration with Innovid. TVSquared President Jo Kinsella will join the Innovid executive team, reporting into Netter and leading the measurement business. The acquisition is expected to close by the end of Innovid’s fiscal second quarter, subject to the satisfaction of customary closing conditions.
“By digitizing cross-platform TV advertising, we believe this combination will give advertisers, across the ecosystem, everything they need to transact at scale,” said Kinsella in a statement. “Together, TVSquared and Innovid are at the center of TV’s transformation, meeting the market’s needs for a converged TV measurement alternative.”
The combined company will represent buy-and sell-side customers and process billions of ad impressions through a joint offering that will include ad serving; creative personalization and optimization; outcomes and audience measurement including reach, frequency and unique unduplicated reach for TV and digital.