TechCrunch50 demopit company Image Space Media (formerly Picad Media) is launching AdStart, a self-service product that allows marketers to create targeted in-image ads. The ads can then be served on Image Space Media’s in-image ad network of more than 4,000 publishers.
ISM’s ad network, which recently launched an analytics offering, helps publishers monetize images on their websites with ad overlays. Its proprietary technology allows for audience targeting and matches ads to the most appropriate images available. With AdStart, advertisers can now create text based ads on both a cost-per-click (CPC) or cost-per-thousand (CPM) impression level. Once the advertiser creates their text-based ad campaign, they set their bid price and fund their account using a credit card or PayPal with a minimum of $5.00 for prepaid accounts. The ads immediately begin running as overlays on contextually relevant images across the Image Space Media Network.
ISM says that beta testing results have been relatively successful. The CTR on the ISM AdStart campaign for The Intuitive Learning Company was more than 7 times higher than a Google Adwords campaign for the same product. COO Kevin Tung has told us that CTRs for in-image ads are higher than average rates for normal display ads, which he says range from .2 % to .3%. He adds that CTRs depend on size and dimensions of the ad itself.
The startup also recently raised $2.9 million in funding from New Atlantic Ventures, Ridgeline Capital, and Michael Gordon and brought on a new CEO last year, Jesse Chenard, who Tung actually met at TechCrunch50 in 2008. Image Space Media faces competition from GumGum and others.