LoopMe, a prominent technology firm specialising in artificial intelligence (AI) for brand advertising enhancement, has announced the acquisition of two significant patents, marking a milestone in AI application within the advertising sector. These patents focus on enhancing the functionality of LoopMe’s Intelligent Marketplace, catering to both buyers and sellers in the advertising arena.
The first patent, titled “Automated Hybrid, Optimized Advertising Auction System and Method,” introduces a groundbreaking approach to bid floor and bid value optimisation in advertising auctions, conducted in real-time. This method has demonstrated superior performance compared to existing human-operated systems. Notably, this patent received validation at AdKDD, a major global machine learning conference, and was honoured with the best paper award, confirming its relevance and innovation.
Dr. Leonard Newnham, Chief Data Scientist at LoopMe, emphasised the significance of the first patent, stating, “Our newest patent increases market efficiency by automatically setting real-time auction parameters – a significant advancement for the programmatic advertising ecosystem.” He further explained the practical implications, highlighting the reduction in wasted bids and requests sent by DSPs (Demand-Side Platforms). Given that large DSPs process billions of requests daily, this optimisation can result in considerable cost savings.
The patent’s utility is evident in real-time advertising auctions where setting an appropriate bid floor is crucial. The technology optimises over one million parameters, enabling dynamic responses to market changes and behaviours, surpassing human capabilities.
The second patent, “Real-time Bidding,” enhances LoopMe’s ability to determine optimal bid prices for individual ad requests in real-time auctions. This feature boosts efficiency and allows LoopMe to outbid competitors effectively, leading to increased win rates. Consequently, DSPs connected to LoopMe are more likely to have their ads displayed on user devices.
Highlighting the achievement, Newnham noted, “Less than a half of patent applications pass the scrutiny of the U.S. patent office – so having two new patents granted is a big win for LoopMe.”
These patents reinforce LoopMe’s position in the programmatic advertising market. The technology underlying LoopMe’s AI-led Intelligent Marketplace has shown a 40x increase in DSP buying efficiencies. The Marketplace handles over 300 billion ad requests per day and serves more than 50,000 apps and sites for clients like Magnite, PubMatic, StackAdapt, Xandr, and Unity. With over 2 billion monthly active users in its Data Management Platform (DMP), LoopMe also provides access to LoopMe’s Marketplace Audiences and proprietary first-party data to all DSP partners.
Additionally, LoopMe’s Intelligent Marketplace offers significant sustainability benefits. Its dynamic filtering capabilities suppress 98% of supply unlikely to receive a bid, reducing the volume of impressions returned and lowering emissions. This feature aligns with LoopMe’s carbon net zero emission achievement, contributing to a sustainable supply path for its global partners.
The acquisition of these two patents brings LoopMe’s patent portfolio to three, including the patent for PurchaseLoop Brand’s Real-Time Optimization and Industry Benchmarking Capabilities, granted in July 2021. These developments underscore LoopMe’s commitment to innovation and sustainability in the realm of AI-powered advertising.