Programmatic media and technology platform Xaxis is launching a new mobile-first performance company, Light Reaction, which provides an innovative outcomes-based, pay-for-performance media model for advertising.
Light Reaction's performance model aims to combine scientific insight into how audiences perceive and react to advertising with Xaxis' data resources and scale to deliver accountable results for global brands.
Light Reaction is launching in 20 markets across North America, Europe, Asia and the Middle East, representing a considerable investment by Xaxis and owner WPP in its response-oriented and mobile-first methodology.
"Mobile is the only digital media channel that's essentially always-on, making it a huge target for global advertisers," said Brian Lesser, global CEO of Xaxis. "With Light Reaction we're arming clients to cut through the clutter of the space with a platform that takes performance marketing to a new level of customisation and accountability, particularly in driving outcomes via mobile devices."
The company will leverage the mobile app and cross-screen advertising technology developed by ActionX, which was recently acquired by Xaxis, along with the programmatic capabilities of the QuismaX performance products and Turbine, Xaxis' propietary data management platform that provides real-time segmentation and modelling for audiences.
Marketers will be able to pair Light Reaction's outcome-focused media products with Xaxis' audience products, with German retailer Walbusch, who were part of Light Reaction's testing, seeing new customer sales increase by 17 per cent and customer acquisition costs drop by eight per cent thanks to Light Reaction's real-time creative optimisation and pay-for-performance model.
"Light Reaction makes it easy for global advertisers to garner the outcomes they want with zero upfront risk and unparalleled capability to scale results across multiple channels," said Paul Dolan, general manager of Light Reaction. "We've developed a model for performance marketing that allows brands to meet precise objectives of customer response while drawing a direct line between ads and results."