online display and mobile trends
DESCRIPTION
A short but deep overview of the display advertising market, trends for Web, mobile and local display.TRANSCRIPT
Online Display Landscape & Mobile Trends
Created by:
Mike Dolan
e-storm international
March, 2013
2 ® 1998 - 2013 e-storm international
Agenda
• Introduction: A Brief History of Display• Today’s Display Landscape• Mobile Trends• Questions?
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A BRIEF HISTORY OF DISPLAY
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Where it All Started
October 27, 1994
HotWired, now Wired.com, launched the first web banner ad. This is actually an ad for AT&T!
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Publisher Direct Buys: No Mystery Here
PublisherAdvertiser/Agency
$$$
Inventory
• Inventory sold on a flat cost-per-thousand (CPM) impression basis
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The Rise of Ad Networks
• As Web sites became more abundant and robust, publishers created more pages/impressions than they could sell on their own
• Resulted in millions of unsold impressions• By the late 1990s Ad Networks had stepped in, bought remnant inventory,
then bundled and sold to advertisers at lower CPMs
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Display in Decline
• By 2005, advertisers had shifted a large portion of their digital budgets to paid search because it was:• More Efficient • Transparent• Controllable – Bid on the
keywords you choose• Easier to measure ROI
• Hundreds of ad networks selling remnant inventory – who to choose?
• Low visibility/control into where your ads run
• Optimization was a slow, manual process
Image Source: http://googinvestor.blogspot.com/2010/06/google-godzilla.html
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TODAY’S LANDSCAPE
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Internet Usage Continues to Grow
Source: http://www.kpcb.com/insights/2012-internet-trends-update
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A Complicated Ecosystem
Source: http://www.lumapartners.com/lumascapes/display-ad-tech-lumascape/
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Ad Exchanges
• Ad Exchanges are technology platforms that facilitate the buying and selling of inventory
• Sellers make their unsold inventory available on the exchange platform, provide details about content, audience and desired CPMs
• Buyers can then pick the inventory and audiences they want and bid • The winner of the bid gets the ad space at a relatively low cost
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Additional Definitions• Demand-Side Platform (DSP): Aggregates inventory from multiple exchanges,
simplifies buying for agencies• Agency tells DSP their target audience and budget, DSP bids on
impressions in real-time• Goal: Reach desired audience at the highest ROI• Examples: DataXu, Turn
• Supply-Side Platform (SSP): Technology platform that enables publishers to plug into the ad exchanges, optimize selling points, automate ad sales• Goal: Sell audience to the highest bidder, maximize revenue• Examples: PubMatic, Admeld
• Data Management Platform (DMP): Buyer-side platform that allows advertisers to create target audiences based on first-party and third-party data• Takes an advertiser’s first-party audience data, compares it to third-party
data, then combines them into a single actionable data set• Goal: Create a well-defined target audience, generate high ROI• Examples: Quantcast, Bizo, BlueKai
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Additional Definitions
• Behavioral Targeting: Uses cookie data collected across multiple Web sites to predict user preferences or interests and serve relevant ads to them• Assigned a random, unique ID number and then placed in a category
group, like Men 25-34 who are interested in running• Served a running shoe ad featuring a male runner
• Re-targeting: Uses cookie data to serve ads to people that have previously expressed interest in the client’s product, but have not yet converted
• Can be re-targeted across the Internet by using exchanges
• Contextual: Place ads next to relevant content based on keywords on a particular web page
• Look-Alike: DMPs gather data from an advertiser by placing pixels on the advertiser’s site. Then, they look for people across the exchanges that have similar browsing/demo behavior and serve them an ad
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Test & Learn!
• Many vendors offer similar targeting options and services• A solid approach: Test new vendors/tactics along with partners that have
performed well on past campaigns• Allow vendors to run their campaigns for several weeks, then begin optimizing
within placements• If a vendor is not meeting performance goals, reallocate to better-performing
vendors or reach out to new ones
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MOBILE TRENDS
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A Rapidly Growing Market for Smartphones
Source: http://www.kpcb.com/insights/2012-internet-trends-update
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Don’t Forget About Tablets!
Source: http://www.kpcb.com/insights/2012-internet-trends-update
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Mobile Internet Traffic is Booming
Source: http://www.kpcb.com/insights/2012-internet-trends-update
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Smartphone User Activities
Source: http://onlinepubs.ehclients.com/images/pdf/MMF-OPA_--_Portrait_of_Smartphone_User_--_Aug12_(Public).pdf
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Smartphone User – Content Consumption
Source: http://onlinepubs.ehclients.com/images/pdf/MMF-OPA_--_Portrait_of_Smartphone_User_--_Aug12_(Public).pdf
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Mobile Display Advertising – Sample Opportunities
FB Mobile Newsfeed adsIn-App
Tablet Adhesion UnitsMobile Video
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Cross-Platform Consumption
Source: http://onlinepubs.ehclients.com/images/pdf/MMF-OPA_--_Portrait_of_Smartphone_User_--_Aug12_(Public).pdf
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The More Screens, The Better
Source: Thinkwithgoogle.cominsights/library/infographics/multi-screen-world-infographic/
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Cross-platform Re-targeting
Drawbridge, a start-up founded by a former Google information scientist, claims to be able to target users on their mobile devices based on desktop browsing activity
Have matched 200 million mobile devices back to desktops, attach an anonymous profile to both
Methodology: looks at cookie data that comes with a request from a mobile or desktop browser or app to an ad exchange, uses an algorithm to assess the probability that any two cookies from different devices are associated with the same person
Once they reach a threshold of certainty that two cookies represent the same person, they call it a match and can start re-targeting
http://vimeo.com/42367816
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Questions?
Thank You!