Presentation Title:Display Advertising for

Demand Marketers

Speaker

Mani Iyer

CEO, Kwanzoo Inc

Today You Will Learn

• This presentation is for demand generation professionals who understand how to generate leads on their website or how to run email campaigns but are new to display.

• Learn display advertising concepts, and how to advocate for your needs and priorities with colleagues in corporate marketing, brand advertising, or at your media agency.

• Previously founded a software business acquired by Oracle/PeopleSoft.

• Serial entrepreneur & industry speaker on demand generation, pipeline acceleration, multi-channel marketing and B2B interactive marketing and advertising.

• Speaker at leading industry conferences including OMS, Leadscon, Ad-tech, Conversion Conference, Social Email Marketing, DemandCon, TiEcon and Virtual Edge Summit.

About Me: Mani Iyer, CEO of Kwanzoo

Agenda

1. Display advertising terminology – CPM, CPC, CPA, CPL and more

2. Display advertising ecosystem – Ad networks, Exchanges, RTB & Ad platforms

3. Brand versus Demand – Making Sense of all the Jargon

4. Prospecting and Re-targeting - How are they different?

5. Putting together a display campaign – What does it take?

6. Budget - How to secure budget for display ad campaigns

Display Advertising Terminology

• Advertiser = The business that placed this ad (e.g. SAP)

• Publisher = Forbes.com

• Media Agency = works for the advertiser in designing the ad (creative), then buying ad placements (media buying), and determines ad budget (media spend)

• Inventory = how many impressions of the ad are available through a specific publisher

Buying Ads

Ads are bought in units of:

1. Impressions, in units of 1000 (CPM) Impression = each view or showing of the ad

e.g. $1 CPM = 1000 impressions for every $1$2 CPM = 500 impressions for every $1

2. Clicks or Click-throughs, with a cost per click (CPC)e.g. $5 CPC = each click on the ad costs $5

3. Leads, with a cost per lead (CPL), sometimes cost per (user) acquisition (CPA)

Risk shifts from advertiser to publisher as we go from CPM -> CPC -> CPL / CPA

“As an advertiser, your lowest risk is buying leads - IF you are confident of the quality of the lead that you will get”.

Types of Display Ads

Ad Formats • banner ads / image ads / flat ads - simple images (PNG, JPG)

• rich media ads - Flash-based or Dynamic HTML-based. Ads can have forms for lead capture, polling, social sharing, etc.

Ad Sizes

There are many standard sizes defined by the Interactive Advertising Bureau (IAB):

• leaderboard (728x90) = 728 pixels wide, 90 pixels high

• medium rectangle (300x250) most available inventory across ad sizes

• Other common sizes• 300x600 • 160x600• 180x150

• mobile ad sizes (iPhones, Androids, iPads)• 468x50• 300x50 • 320x50

Ad Sizes

Placing Ads

Ad Platforms: where you log-in, upload ads, and they serve the ads

Placing Display Ads – Your options:

• Direct Media Buy - you would pay for placing 1 or more ad sizes on a specific publisher website, and a specified # impressions, for a period of time.

• e.g. 200,000 impressions per month on Forbes.com from July to Dec 2013.

• You can have more rules around your ad buy such as:

• Viewable impressions - they must be “Above the Fold”, 60% of ad visible in a viewable area or in-focus page for at least 1 sec

• Time of Day - Ads shown during specific hours (e.g. 9 AM to 6 PM PST) a.k.a. “Dayparting Display Ads”

Ad Network Buy

Each ad network (e.g. GDN) will have an inventory of impressions available by:• Type of Audience - Demographic (B2C), Firmographic (B2B) • Demographic - Male/Female, Income, Location, Interests (News, Fashion,

Movies, etc.)• Firmographic - Industry, Job Function, Company Size, Company Revenue,

Location

Ad Exchanges + Buy Side Platforms with Real-time Bidding• Google DoubleClick Bid Manager (DBM)• AppNexus• MediaMath• TheTradeDesk• Set caps on price, define targeting rules (on what sites / places / to which

audiences will the ad be served)

Broader List of Ad Networks and Platforms:http://www.kwanzoo.com/solutions/display-retargeting/supported-networks-exchanges/ (constantly updated)

Display Placement Opportunities

Google

Other Networks

Retargeting

Exchange Networks

B2B Audiences

Brand vs. Demand

Brand Marketers

• Brand Recall - how many of the consumers who are surveyed recall your brand with its key attributes. • e.g. BMW = performance, Toyota = innovation

• Brand Lift - did the display ad campaign increase brand recall, and by how much

• Engagement - what % of users clicked on the ads, or engaged with the brand via the ad

• Click-through - visits to the Company’s website as a result of the brand ads

• View-through - users view the ad, and visit your website directly without clicking on the ad• E.g. View-through at 9X of click-through the ad.

Demand Generation Terms

Demand Marketers• Conversion - turning an unknown user into a known prospect

(first name, last name, email, company, etc.)

• Landing Pages - where conversions typically happen today• user clicks on a flat ad, then redirected to the landing page in a new

browser window

Cost per Lead

Calculating Cost Per Lead

• 1 month display ad campaign

• $5,000 media buy @ $5 CPM• You would serve 1 million impressions (1,000,000)• If your click-through rate on the ads is 0.1%• You would generate (1,000,000 x 0.001) = 1000 clicks • Landing Page Conversion Rate = 5%,

1/20 of your clicks result in a form fill on the Landing Page• Each form fill on the Landing Page = A lead capture• # Leads = 1000 clicks x Landing Page conversion rate

= 1000 clicks x 5%= 50

Your cost per lead = $5000 / 50 = $100

Goal = As many high quality leads as possible, for your media spend

A/B Testing

A/B Testing - running different versions of the ads (brand or demand) to test which messages and offers resonate the most with the audience, and drive the highest results (i.e. lead conversions)

In-Banner Lead Forms

Banner

Ads:

Engage & gather insights with rich media ads (ex: banners, polls, videos)

Capture lead in the ad with in-banner forms behind banners, polls, videos – store lead in MAP

Disrupt user by redirecting them to branded landing pagePlace ad on 3rd party site

Traditional

New Way

Collect infoin CRM/MAP

New Prospecting vs. Retargeting

New Prospecting• Prospects NOT already in the advertiser’s database. Reach new “watering

holes” and place ads to attract new prospects, get them to opt-in into further conversation.

Re-targeting• Already a bit familiar with the brand. Visited your site and bounced.• Conversion rates for re-targeting = typically higher than for new

prospecting.

How Retargeting Works

Your Website Ad Network

Organic

SearchEmail Social PPC &

Display

Visitors get tracked

for retargeting (cookie’d)

Tracking works beyond your

website across the web

Retargeted Ads

Example:

• 10,000 website visitors

• 20 impressions / visitor / month

• Total of 200,000 retargeted

impressions per 30 day period

Putting Together a Display Campaign

1. Define the goal - brand awareness ? demand creation? both?

2. Target audience - Persona(s)? Buyer needs messaged via the ad?

3. Budget - finalize number based on goals re: brand – reach, engaged, or demand – leads

4. Placement - targeting, media buying. In-house, outsource?

5. Creative - copy, design, messaging, content offers, brand guidelines

6. Execute & Review - analytics, reporting, key metrics

7. Campaign Management –• Targeting - update sites, audience segments, etc. based on what works• Bid Management – set bid prices to meet volume goals (daily/weekly)• Creative updates - changes in mid-flight based on engagement / lead capture

metrics

Securing Your Pilot Display Budget

1. Speak the same language - as your brand colleagues / agency

2. Understand ultimate business objective e.g. sales and revenues• Be ready to discuss how display will contribute to final objective

e.g. Display will generate 200 new leads / month.• Display will deliver 30 new marketing-qualified-leads (MQLs) per

month via follow-on email nurture campaigns• 30 MQLs => 3 new closed-win deals/month

with $50K Annual Contract Value (ACV) per deal

3. Ask for pilot budget, prove success, and seek larger budget• Define a pilot budget of say 100 leads/month, that is then further

measured with a lead => MQL conversion goal that is validated in follow-on months

• As soon as you see acceptable CPL / CPA and lead => MQL conversion rates, increase your media spend to scale your closed-win deals/month.

Sample Kwanzoo Pilot Campaign

Monthly Fixed: • Tech Fee = $999 per month

Monthly Variable: • Impression Fees = $1000 (1 million impressions) per month• Campaign Management Fee = $1050 ($15% of media spend)• Media Spend = $7000 paid to Ad Networks & Exchanges

Total: $10,049 per month (plus one-time creative dev fees)

Goals: • Generate 30% higher lead conversions versus typical banner ads

(e.g. 100 leads with banner ads => 130 leads with Kwanzoo tech.)• Generate more leads for same media budget• Demonstrate same / better quality of leads via strong lead => MQL

conversion rates in follow-on months• Leverage real-time bidding (RTB) to spend on media more wisely, and open

up new audiences to your products / services

Questions? For more information, contact:

Phone: 408-216-7025

Email: info@kwanzoo.com

Twitter: @kwanzoo

@iyermani

Resources: http://www.kwanzoo.com/solutions/display-retargeting/

Move The Needle

Move The Needle

1. Build an ad with in-banner lead form. Compare conversion rates for the in-banner form, when it’s placed on a high-traffic content page vs. conversion rate for a landing page form on your own website.

2. Log into your Google Adwords account. Calculate your current conversion rate and cost per lead, by reviewing data from previous text/PPC and Google banner display campaigns.

Try any of these tactics to learn more….

- Display advertising terminology and key concepts

- Key metrics for brand vs. demand generation

display campaigns

- New ways to increase lead conversions with in-

banner lead forms, integrated with MAP/CRM

- Planning & executing a display campaign

- Piloting and scaling new demand generation

display campaigns

Key Takeaways

www.onlinemarketinginstitute.org

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