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Why a Programmatic Advertising Strategy is

No Longer Optional

&HOSTED BY:

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PresentersTommy Schanzer• Sales Trainer at Quantcast

• Trainer for Real-Time Academy education program

• @quantcast

Diane Anselmo• Senior Account Manager at Hanapin Marketing

• PPC Hero Blogger

• @dianeanselmo

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Join the conversation

Include the hashtag #thinkppc in your Twitter tweets.

Or use the webinar question box to send us questions.

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Live Poll Question #1

How familiar are you with programmatic?#thinkppc

A. Very familiar.B. Familiar. C. I know what it is, but that’s about it. D. Not at all familiar.

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Live Poll Question #2

How would you describe your marketing team? #thinkppc

A. I’m part of an in-house marketing team.B. I do all the marketing myself.C. I work for an agency.D. I’m a consultant.

MEASUREAbout Quantcast

We help you advertise to your ideal target

audience with customized

solutions for every partner.

ADVERTISE

Our sector evolves at top speed. The Real-time Advertising Academy is a vendor-neutral education program that looks at the impact of real-time bidding on digital marketing, how it works, and the upcoming trends and challenges in this space.

Real-Time Advertising Academy

Agenda

• The Evolution of Digital Advertising• The Opportunity of Programmatic • How Real-Time Bidding Works• The Importance of Real-Time Data• The Agency Perspective • Questions?

Introduction: The 20-Year Evolution of Digital Advertising

10

Advertising Timeline

1844MAGAZINES

NEWSPAPERS1650

BILLBOARDS 18671872CATALOGS

PRINT BROADCAST

POSTERS

Pre 1650

1941TVDIRECT MAIL 1954

1922RADIO

11

With Each New Medium, A New Strategy

12

A world of information creates a poverty of attention. Herbert Simon

1971

13

1994BANNERADS/GMAIL

2003GOOGLE ADSENSE

2007FACEBOOK/YOUTUBE2008LINKEDIN

2009MOBILE APPS2010TWITTER

2012FACEBOOK MOBILE

PPC 2000

1844MAGAZINES

NEWSPAPERS1650

BILLBOARDS 18671872CATALOGS

PRINT BROADCAST DIGITAL

POSTERS

Pre 1650

1941TV

DIRECT MAIL 1954

1922RADIO

Advertising Timeline

14

With Each New Medium, A New Strategy

15

3,000Web Pages a month

93Web Pages a Day

How can we find relevance in all of this?

10

Challenge:

Web Pages1 Trillion

People3 Billion

16

Every two days we create as much information as we did from the dawn of civilization up until 2003.

Eric Schmidt

The Opportunity for Marketers TodayUnprecedented Technology

Unprecedented Measurement

Unprecedented # of Touchpoints

1010101010110101010101101010101011010101010111010

18

Programmatic offers countless opportunities for marketers

Traditional Approach:Content-based Targeting Decisions

Entertainment News

February 2014

March 2014

January 2014

May 2014

June 2014

April 2014

20

Content-based Targeting Decisions

Single Publisher

ACMECat Food

TMACME

Cat Food TM

21

Content-based Targeting Decisions

Single Publisher

Target Audience

• Female • 25-54• Cat owner• Chief household

decision-maker

Actual Audience

• Female + • 25-54 +• Cat owner +• Chief household

decision-maker

= 5.7% total audience

Rather than target audiences, target individuals

News.com

Buying via RTB helps advertisers target better

News.com News.com

News.comNews.comNews.comNews.com

What is Real Time Bidding?

Entertainment News

February 2014 .000

6seconds

March 2014

January 2014

What is Real Time Bidding?

$1010101010110101010101101010101011010101010111010

α

$

$

26

Ad Exchanges: The Full Reach of Digital Media

Billions of impressions are

available daily across major

exchanges

27

Ad Exchanges: The Full Reach of Digital Media

Ads in all platforms (desktop web, mobile, video) are available in

exchanges

28

Ad Exchanges: Real Time Auction Decisions

With an auction duration of just 0.1 seconds—which includes network communication between the bidding party and the exchange—this is how bidding is determined:

0.50?2.50?5.00?

1 2 3 4

The Importance of Real-Time Data

30

The Interactive Media Ecosystem

Ad Exchange

SSPpartners post inventory

on their behalf in ad exchange

PublishersHave inventory to sell

Ad Network

DMPpartners create a

dashboard using multiple streams of data to help

inform media buys

DSPpartners place bids on

inventory on advertisers’ behalf

Audience Analyticshelp publishers understand their

audiences

Advertisers / Agencies

are looking for well-priced inventory in the marketplace

31

Publisher / Advertiser Direct

PublishersHave inventory to sell

Advertisers / Agencies

are looking for well-priced inventory in the marketplace

32

Audience Analytics

PublishersHave inventory to sell

Audience Analyticshelp publishers understand their

audiences

Advertisers / Agencies

are looking for well-priced inventory in the marketplace

33

Ad Network

PublishersHave inventory to sell

Ad Network

Advertisers / Agencies

are looking for well-priced inventory in the marketplace

34

Ad Exchange

Ad Exchange

SSPpartners post inventory

on their behalf in ad exchange

PublishersHave inventory to sell

Advertisers / Agencies

are looking for well-priced inventory in the marketplace

DSPpartners place bids on

inventory on advertisers’ behalf

35

Supply Side Platform (SSP)

Ad Exchange

SSPpartners post inventory

on their behalf in ad exchange

PublishersHave inventory to sell

36

Demand Side Platform (DSP)

Ad Exchange

Advertisers / Agencies

are looking for well-priced inventory in the marketplace

DSPpartners place bids on

inventory on advertisers’ behalf

37

Demand Side Platform (DSP)

Prospecting/Branding

Retargeting

DSPpartners place bids on

inventory on advertisers’ behalf

2nd/3rd Party Data

Advertiser

38

1st Party

2nd Party

3rd Party

Those We Know vs

Those We’ve Yet to Meet

39

Data Management Platform (DMP)

Ad Exchange

Ad Network

DMPpartners create a

dashboard using multiple streams of data to help

inform media buys

DSPpartners place bids on

inventory on advertisers’ behalf

Advertisers / Agencies

are looking for well-priced inventory in the marketplace

Not All Data is the Same

1st Party 2nd Party 3rd Party

Data created and owned by the source.

Largely collected from pixel’s placed on advertiser or publisher’s site

Primarily used for retargeting/remarketing

Sharing of 1st party data to another party directly or via DMP

Exclusive agreements to resell data measured directly to other partners

Agreements often negotiated via rev-share or flat fee

Data collected by a third party used to inform a buyer’s knowledge of users

Widely available to purchase in the marketplace

1st Party Data

Who Owns It?

How Is It Used?

How Is ItCollected?

Advantages

1st party data is created and collected by the advertiser or publisher.

Primarily used for direct targeting, such as remarketing, retargeting or upselling existing customers.

Data is collected via pixels placed on the advertiser’s or publisher’s site. This can include site registrations / logins, social media interaction, and participation in surveys.

Closest to the source, with little to no latency between collection and analysis / action.

2nd Party Data

Who Owns It?

How Is It Used?

How Is ItCollected?

Advantages

Owned by the source, but shared directly with another party in exclusive agreements.

Primarily used for direct targeting, such as remarketing or retargeting.

Same process as 1st party data, but now shared directly with another partner, like a publisher, advertiser or DMP.

Competitive advantage over 3rd party data because of the exclusive nature.

3rd Party Data

Who Owns It?

How Is It Used?

How Is ItCollected?

Advantages

Owned by the source and shared with outside partners.

Data is used for audience measurement and targeting by digital marketers.

Data is collected from the source and distributed out to other partners in non-exclusive agreements.

Easy to acquire because it’s collected by many parties and readily available for purchase in the marketplace.

44

The Interactive Media Ecosystem

Ad Exchange

SSPpartners post inventory

on their behalf in ad exchange

PublishersHave inventory to sell

Ad Network

DMPpartners create a

dashboard using multiple streams of data to help

inform media buys

DSPpartners place bids on

inventory on advertisers’ behalf

Audience Analyticshelp publishers understand their

audiences

Advertisers / Agencies

are looking for well-priced inventory in the marketplace

Scale Efficiency PrecisionTargeting

Why Programmatic?

© 2015 Quantcast Confidential

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Dissecting the Data

Search and Display are siblings – both are trying to put the most relevant ad in front of the user in order to get them to convert or take a given action.

Search uses intent data, helping to answer the consumers’ questions in the most relevant way. Display (and thus, programmatic) uses a consumer’s profile data to provide an ad that is relevant.

The reason programmatic is moving in-house and towards search teams is because of the volume of data, and the ability to manage it.

An Agency Perspective on Programmatic

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Set-Up Process

Site Tagged Data Collected

Audiences & Lists

Automatically Created

Ads PlacedData

Analysis & Optimization

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Deep Dive into the Data

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Deep Dive into the Data

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Deep Dive into the Data

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Deep Dive into the Data

• Identify the audience

• Understands user intent

• Message the audience accordingly

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Live Q&A Time!

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Thank you for attending our webinar! #thinkppc

Contact us:

Hanapin Feedback: marketing@hanapinmarketing.com

Quantcast Feedback: inquiries@quantcast.com