how programmatic disrupted traditional media buying
TRANSCRIPT
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How Programmatic Disrupted Traditional
Media Buying:
PRESENTED BY: LUKAS HERMUS
From Radio To Programmatic Radio
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Digital Media Agency
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Agenda
Digital Radio – What & Why
Drivers Of Digital Audio
Valuable Audiences
Challenges
Growth of Digital Audio
What we’ll be talking about today
Future
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Audio campaigns
are the perfect tool
to reach young
people for any
awareness or
branding
campaign.”— Lukas Hermus
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Information
Mood Booster
Surprises
Escapism
Be Present
Why Do People Use Radio and Music?
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See
Think
Do
Care
Radio’s Position In The Funnel
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Online RadioMusic Streaming
PlatformsBranded Podcasts
Branded Playlists / Branded Sessions
Audio Hosting
Programmatic Radio & Audio
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Advantage• Reach engaged users
Disadvantage• Users can leave too
soon
Spot Length• Longer
Mid-roll
Advantage• Reach users directly
Disadvantage• Chance of users leaving
Spot Length• Short
Pre-roll
Ad ‘Locations’
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4
5
3
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1Demographics
Geography
Device & Publisher
Genre
Additional segmentation
Targeting Options
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Programmatic Radio: Advantages
Targeting, Tracking & Measurement
Listen through rates, unique users, # of listens, ...
No Clutter
100% SOV and subconcious interaction
Reach on important segments
Young users consume more and more digital audio
Presence
Reach people at times that other media cannot
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+ + =
Audience Placement Creative Results
The Perfect Equation
Ad placement should drive ad creation & ad content
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That’s all great,
but start
convincing me.”— The audience
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200.000,00
400.000,00
600.000,00
800.000,00
1.000.000,00
1.200.000,00
1.400.000,00
1.600.000,00
1.800.000,00
2011 T1 2011 T2 2011 T3 2012 T1 2012 T2 2012 T3 2013 T1 2013 T2 2013 T3 2014 T1 2014 T2 2014 T3 2015 T1 2015 T2 2015 T3 2016 T1
16% of Belgian Population (+12) listens to the radio online every week – CIM / IPB
Growth of Digital Radio in Belgium
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36%34%
39%41%
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
2012 2013 2014 2015
Online Audio Use in Belgium
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Mobile Devices
Other
Mobile Drives Audio – Digital Radio
80%
20%
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Mobile Devices
Other
Mobile Drives Audio – Streaming
83%
17%
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0,00% 20,00% 40,00% 60,00% 80,00% 100,00% 120,00%
Mobile Time
Mobile Music Time
Largest percentage of time on mobile devices is dedicated to listening to digital audio: 35 minutes via apps
and 21 minutes via mobile websites. – Emarketer, Jan 2017
Music & Mobile Usage
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Improved Mobile Data / Connection
The democratisation of mobile internet leads to more
mobile data being made available for the users
More audio
The more mobile data becomes available, the more music can
be listened to on mobile devices on the go. Creating more
advertising opportunities as well as advertising space
More Data = More Music
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0
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2
3
4
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0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23
Use of Streaming in BelgiumSpotify
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Source graph: IP Belgium
Use of Streaming in BelgiumDeezer Vs Radio
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16%
30%
24%
15%
8% 7%
0%
5%
10%
15%
20%
25%
30%
35%
-18 18-24 25-34 35-44 45-54 55+
Almost 50% of users can be found in the group of -18 to 24
Streaming Age Breakdown
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25% 24%
4% 4% 3%0%
5%
10%
15%
20%
25%
30%
Spotify Itunes Apple Music Google PlayMusic
Deezer
Platform Use Audio - Belgium
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01
02 03
2 - Brand Buyers
2x as likely to pay extra for brands3 - Media consumers
5x as likely to use TV and watch
movies on a daily basis
Value in Streaming Users: Streamers vs. Non-StreamersComscore & Spotify Study
1 - Brand Advocates
61% more likely to advocate for brands
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Digital Music Listeners
41% of Belgians listen to music digitally41%
75%
34%
Adoption of Adblocking
34% for 16-24 year olds
Accept ads for free audio access
75% of users agree that ads are fair in return for free audio. 20% does not agree, 5% is not sure
Adblocking & Audio
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Of daily music listening
“Our Music Was Better Back Then”
Baby-Boomers Millenials
1.77 Hours 3.1 Hours
Of daily music listening
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Traveler, 45 years old
Gamer, 21 years old
Tech Fan, 30 years old
Young Professional, 25 years old
Music for every occasions
Pre-roll, Online Radio1Sponsored Playlist, Streaming Platform
Branded Podcast
Mid Roll Ad, Online Radio Station /
Streaming Platform
2
3
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RESULT ANALYSIS
Listen Through Rates
and CTRs
AD INTERACTION
Direct interaction with
ads
DRIVE
Social elements drive
content & growth
ATTRIBUTION
Measuring the direct
impact of audio spots
Challenges For Programmatic Audio
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More Targeting Options
More Socially Driven Content
Voice Activated Interactions
Cross-platormintegration
Future for Programmatic AudioWrite here your great subtitle
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Thank You !For your undivided attention
Questions?
Lukas Hermus
Head of Programmatic