ComScore nabs Adxpose for ad verification technology

comScore is trying to strengthen its brand as a leader in online analytics by buying up a company that has some vital services it lacks.
Written by Rachel King, Contributor on

Announced while reporting disappointing second quarter earnings on Wednesday, comScore revealed that it recently acquired Seattle-based startup Adxpose.

Although comScore did not disclose information in the earnings statement as to when the deal would close nor financial terms, TechCrunch reports that comScore is paying $22 million for Adxpose -- "roughly equal to the $22.8 million total amount of venture capital poured into the company since 2005."

Adexpose specializes in ad verification and optimization. The idea is to not only track how many people saw a particular ad online, but also to ensure that the digital advertisement is in a relevant and appropriate location. Essentially, it helps with branding as well as monetizing a particular online ad.

As for how Adxpose will fit in with comScore, Dr. Magid Abraham, comScore's president and chief executive officer said in a statement:

We believe the combination of AdXpose with our ad effectiveness suite including Campaign Essentials, will create the opportunity for comScore to introduce to the industry a true digital currency in which advertisers pay for validated digital ad impressions, not just delivered impressions which form the basis for current online Gross Rating Point (GRP) metrics. We believe these GRP metrics, while useful in traditional media, are ill suited for measuring online media and can be misleading  to advertisers.  We also believe the increased transparency, accountability and real time optimization that we expect to be able to provide with this integrated suite will help the digital media industry deliver what advertisers are demanding to increase their usage of online media.

However, because of the AdXpose acquisition, comScore is revising its financial expectations for the year to account for the cost of the integration. The research firm now predicts a GAAP revenue of $231.1 million to $234.7 million for 2011, compared to the predicted $236.2 million to $239.7 million announced after the first quarter.


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