- Kyle Alspach
- VC Editor- Boston Business Journal
In the second quarter of 2012, Facebook generated 3 percent of its ad revenue from news feed ads on mobile devices. By the second quarter of this year, that amount was 41 percent.
It’s been roughly the same trajectory at Nanigans, a Boston-based Facebook ad software firm, which generated 40 percent of its revenue from mobile in the second quarter, said Nanigans SVP Dan Slagen.
And for both Facebook and Nanigans, mobile is proving to bring entirely new revenue — not a replacement of any of the revenue related to desktop ads.
The growth of mobile is one of the key factors behind Nanigans’ recent expansion as a company; the firm now employs 115, with 85 percent of the employees in Boston and the rest in San Francisco, New York and London, Slagen said. That’s up from the 80 employees the firm had as of last December.
The firm also expects to add another 40 to its staff by the end of the year, and plans to expand to Asia later this year with the opening of an office in Singapore, Slagen said.
Meanwhile, Nanigans on Thursday announced that it will be making its technology available to ad agencies for the first time — who can then re-sell the use of the technology to advertisers. Previously, Nanigans had only gone direct to large advertisers (customers include Fab, eBay, Wayfair and Zynga).
The firm’s first agency partners are AMP Agency, Merkle and Varick Media Management, Nanigans announced.
The company aims to provide the easiest and most lucrative way for companies to manage their ad buying on Facebook. With a focus on serving e-commerce and gaming companies, Nanigans offers users Web software to place bids on Facebook ads, paired with technology that automatically boosts successful ads and removes losing ones.
The expansion into working with ad agencies follows the firm’s $5.75 million fundraise in April, led by returning investor Avalon Ventures.