Real-Time Advertising Academy

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A Crash Course
16 May 2014
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Outcomes for the session
You will gain an understanding of:
• The evolution of advertising
• What is Real Time Bidding?
• The Display Advertising Ecosystem
• Attribution – Our greatest challenge
• Real Time Advertising in Action

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A world of information creates a
poverty of attention. Herbert Simon
1971

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Advertising Timeline
1994BANNERADS/GMAIL
2003GOOGLE ADSENSE
2007FACEBOOK/YOUTUBE
2008LINKEDIN
2009MOBILE APPS
2010TWITTER
2012FACEBOOK MOBILE
PPC 2000
1844MAGAZINES
NEWSPAPERS
1650
BILLBOARDS 1867
1872CATALOGS
PRINT PRE-
DIGITAL
DIGITAL
POSTERS
Pre
1650
1941TV
DIRECT MAIL 1954
1922RADIO
Eric Schmidt
Every two days we create as much
information as we did from the dawn
of civilisation up until 2003.
Eric Schmidt

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417Web Pages Per Person
3,000Web Pages a month
93Web Pages a Day
How can we find relevance in all of this?
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The Challenge:
Web Pages
1 Trillion
People
2.4 Billion
A Connected Opportunity

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Global Ad Market
€373b2014
Estimate
Source: Bank of America Merrill Lynch & Magna Global
Digital Ad Market Global Ad Market
€86b €373b2014
Estimate
Source: Bank of America Merrill Lynch & Magna Global

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Programmatic/RTA Digital Ad Market Global Ad Market
€12b €86b €373b2014
Estimate
Source: Bank of America Merrill Lynch & Magna Global
X`
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The Imbalance in Online Spending Today
Search Revenue Share Surpasses Actual Consumption
May-1412
4%
Of time spent
searching
58%of spend on search
Sources: Nielsen Netview, Q3 2011; IAB AdSpend Study, H1 2013
Precise
Relevant
Accountable

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Target individuals rather than audiences
What is Real Time Bidding?
Entertainment News
Feb 2014
.0006
seconds
Mar 2014
Jan 2014

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| Copyright 2013 Quantcast | Confidential
The Ecosystem
Publisher
Agency
How did this happen? – a brief history lesson…
Advertiser

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Ad network
Travel Retail
Autos Finance
Advertiser
Agency
The Ad Network business model
Publisher
Publisher
Publisher
Publisher
Ad exchange
The shift to Real Time Advertising
Publisher
Advertiser
/Agency

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DSP SSPs
1010101010
1010101010
1010101010
1010101010
What this looks like today
Advertiser
/Agency
Ad exchange Publisher
Ad network
Travel Retail
Autos Finance
Ad Exchanges: The Full Reach of Digital Media
Ads in all platforms
(desktop web, mobile,
video) are available in
exchanges

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Fragmentation
• a lot of competition
• too many acronyms/jargon
False assumptions
• media bought on Exchanges is priced
lower
• Inventory available is poor quality
Kainotophobia
• fear of change
New industry
• RTB didn’t exist in 2009
Investment
• fuelled innovation which has resulted in the growth of display
advertising
Efficiency and efficacy
• away from contextually traded media to audience traded media
• media buying teams now have the tools and time to do strategic
thinking and focus on client relationships
Prediction
• RTB Spend to Grow 51% Annually Through 2017 (Source: IDC Oct
2013)
What does this mean for you?
| Copyright 2013 Quantcast | Confidential
State of attribution today

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Konrad’s story
Quantcast – IAB Data 24
5/27/2014

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Quantcast – IAB Data 25
5/27/2014
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The consumer’s journey includes many touchpoints
Opportunities and Challenges
Visit ConversionSearch

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Last view attribution is limiting
Visit Conversion
Multiple partners on plan
“fight” to get the last touch
All upper funnel activity is
missed
Search
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Challenges persist with last touch attribution
Visit Conversion
Surge in (useless) ad
impressions
Prospecting value is not
recognised
Multiple partners on plan
“fight” to get the last touch
All upper funnel activity is
missed
Search

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Attribution models overview
Last Touch
First Touch
Multi/Linear
Custom or Rule-Based
Statistical Model
Simple models Complex models
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Incorporating site visits is crucial
to measuring prospecting and for better optimisations
Visit Conversion
Retargeting pushes existing
visitors to conversions
New prospects drive
incremental conversions at
scale
Search
Prospecting Retargeting

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Using site visits and conversions in
attribution models: Split Funnel
Visit Conversion
Last View
Before Visit
Last
View Before
Conversion
Spit Credit for Each
Conversion1
You Decide How
to Divide Credit2
| Copyright 2013 Quantcast | Confidential
RTA in Action

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About Quantcast
The most effective advertising from the people who really get audiences
Directly measuring audiences spanning
hundreds of millions of web destinations.
Quantcast Measure
Advertising that acts on real-time
audience behaviour.
Quantcast Advertise
Knows your customer’s next move, so
you can make yours first.
Measures millions of customer
behaviours in the moment.
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Predictive
Intelligence
Measures millions of customer
behaviours in the moment.
Big Data
RAW INTERNET DATA ANALYSED DATA
Complete
Targeting
Better converts those
you’ve already
encountered + finds new
ones you’ve yet to meet
REAL-TIME ADVERTISING
Knows your customers’
next move

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Finding new customers for O2
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Challenge
Drive new customer acquisition for its Prepay SIM product.
Quantcast Solution
Using Big Data, Quantcast worked with Mediavest to build a
real-time audience model of O2’s best customers . We
applied the model tor target similar consumers via real-time
bidding (RTB) display advertising.
&
Prospecting Reach Rate Cost Per Acquisition
10%
Below target
90%Of the targets reached were new to O2
“Quantcast exceeded our expectations.Their ability to
convert new customers in a more cost-effective way has
allowed us to achieve a healthy ROI.The post-campaign
reports gave valuable added insights, which will feed
into other aspects of our strategy going forward.”
Brian Curtin
Digital Marketing Manager, O2 Ireland
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Finding New Donors Online
| Copyright 2013 Quantcast | Confidential
Challenge
Increase the number of high-value online donations during the
crisis immediately following Typhoon Haiyan.
Quantcast Solution
When disaster struck, new creative was quickly deployed
across Quantcast’s live campaigns to raise awareness.
Quantcast’s custom audience profile and real-time bidding
rapidly adapted to the shifting profile of new donors,
enabling Concern Worldwide to more quickly and effectively
reach similar online consumers across the Web.
a
Which
Quantcast generated Provided aid for
400
Fishing families
€85,000
Revenue
606%
ROI
At
Quantcast exceeded expectations by delivering
a CPA 83% below goal. During a disaster relief
campaign, their model adapted to a changing
donor profile delivering a significant boost in
conversions.
Adrian O’Flynn
Digital Marketing Manager

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Wrap up
The industrial
Revolution of Advertising
is upon us.

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RTA Takeaways
- Massive growth
- Incredibly efficient
- Delivers Relevance
- Need to move away from last touch attribution
| Copyright 2014 Quantcast |
ThankYou.
Michael O’Connell
Demand Generation Manager, EMEA
+353-(0)1-5543883
moconnell@quantcast.com
@mike_oconnell