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Augustine Fou- 1 -
Dr. Augustine Fou
http://linkd.in/augustinefou
September 2013
Display Ad Waste
Video Ad Waste
Augustine Fou- 2 -
480 billion
display ad impressions /mo
Ad Waste from Fraud
29%
confirmed bot traffic
$1 - $3.50
cost per thousand
$1.5B - $5.4B
wasted ad spend (annualized)
Display Ads
20.1 billion
video ad impressions /mo
40%
estimated fake views
~$10
cost per thousand
$1B
wasted ad spend (annualized)
Video Ads
Augustine Fou- 3 -
480B Display Ads /mo
480 billion display ads per month
(1,439 billion display ads per quarter)
Source: comeScore Report Feb 2013
Augustine Fou- 4 -
Percent of Traffic From Bots
Augustine Fou- 4 -
Source: Solve Media via Marketing Charts September 12, 2013
Augustine Fou- 5 -
Video Ads Per Month
20.1 billion video ads per month
Source: comScore June 2013 Video Ads Report
Augustine Fou- 6 -
“40% of video ad views
are fraud” – Matt Timothy
Source: Vindico, 2013
Augustine Fou- 7 -
http://www.turn.com/sites/default/files/
docs/GlobalDigitalAudReport_FF2.pdf
Video Ad CPM vs Display Ad CPM
Source: Turn via Marketing Charts April 17, 2013
Video CPM: ~$10
Display CPM: ~$1
Augustine Fou- 8 -
Related Articles
Bad Guys Happily Rob Display Advertisers
By: Augustine Fou, July 23, 2012
Everything Fake (Display Ad Fraud, Search Click Fraud)
By: Augustine Fou, April 2013
Search Kicks Display in Effectiveness
By: Augustine Fou, April 23, 2013
Fake Profiles on Facebook
By: Augustine Fou, July 2013
Polarizing Advertising: Branding vs Performance
By: Augustine Fou, April 9, 2013
Augustine Fou- 8 -
Augustine Fou- 9 -
Dr. Augustine Fou – Digital Consigliere
“I advise clients on optimizing
advertising across all channels. Using
insights and fast-feedback loops from
digital, we can not only target brand ads
better, but we can shift towards more
detailed measurement and ROI.”
FORMER CHIEF DIGITAL OFFICER, HCG (OMNICOM)
MCKINSEY CONSULTANT
CLIENT SIDE / AGENCY SIDE EXPERIENCE
PROFESSOR AND COLUMNIST
ENTREPRENEUR / SMALL BUSINESS OWNER
PHD MATERIALS SCIENCE (MIT '95) AT AGE 23
@acfou
ClickZ Articles: http://bit.ly/augustine-fou-clickz
Slideshares: http://bit.ly/augustine-fou-slideshares
LinkedIn: http://linkd.in/augustinefou
Augustine Fou- 10 -
APPENDIX
Augustine Fou- 11 -
Desktop vs Mobile eCPM
October 19, 2012 11
Source: KPCB Internet Trends 2012
Augustine Fou- 12 -
54% Display Ads NOT In View
Augustine Fou- 13 -
Source: Nielsen, October 2011
95% Ad Impressions NOT Properly Targeted

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Annualized Display Ad Waste Video Ad Waste

  • 1. Augustine Fou- 1 - Dr. Augustine Fou http://linkd.in/augustinefou September 2013 Display Ad Waste Video Ad Waste
  • 2. Augustine Fou- 2 - 480 billion display ad impressions /mo Ad Waste from Fraud 29% confirmed bot traffic $1 - $3.50 cost per thousand $1.5B - $5.4B wasted ad spend (annualized) Display Ads 20.1 billion video ad impressions /mo 40% estimated fake views ~$10 cost per thousand $1B wasted ad spend (annualized) Video Ads
  • 3. Augustine Fou- 3 - 480B Display Ads /mo 480 billion display ads per month (1,439 billion display ads per quarter) Source: comeScore Report Feb 2013
  • 4. Augustine Fou- 4 - Percent of Traffic From Bots Augustine Fou- 4 - Source: Solve Media via Marketing Charts September 12, 2013
  • 5. Augustine Fou- 5 - Video Ads Per Month 20.1 billion video ads per month Source: comScore June 2013 Video Ads Report
  • 6. Augustine Fou- 6 - “40% of video ad views are fraud” – Matt Timothy Source: Vindico, 2013
  • 7. Augustine Fou- 7 - http://www.turn.com/sites/default/files/ docs/GlobalDigitalAudReport_FF2.pdf Video Ad CPM vs Display Ad CPM Source: Turn via Marketing Charts April 17, 2013 Video CPM: ~$10 Display CPM: ~$1
  • 8. Augustine Fou- 8 - Related Articles Bad Guys Happily Rob Display Advertisers By: Augustine Fou, July 23, 2012 Everything Fake (Display Ad Fraud, Search Click Fraud) By: Augustine Fou, April 2013 Search Kicks Display in Effectiveness By: Augustine Fou, April 23, 2013 Fake Profiles on Facebook By: Augustine Fou, July 2013 Polarizing Advertising: Branding vs Performance By: Augustine Fou, April 9, 2013 Augustine Fou- 8 -
  • 9. Augustine Fou- 9 - Dr. Augustine Fou – Digital Consigliere “I advise clients on optimizing advertising across all channels. Using insights and fast-feedback loops from digital, we can not only target brand ads better, but we can shift towards more detailed measurement and ROI.” FORMER CHIEF DIGITAL OFFICER, HCG (OMNICOM) MCKINSEY CONSULTANT CLIENT SIDE / AGENCY SIDE EXPERIENCE PROFESSOR AND COLUMNIST ENTREPRENEUR / SMALL BUSINESS OWNER PHD MATERIALS SCIENCE (MIT '95) AT AGE 23 @acfou ClickZ Articles: http://bit.ly/augustine-fou-clickz Slideshares: http://bit.ly/augustine-fou-slideshares LinkedIn: http://linkd.in/augustinefou
  • 10. Augustine Fou- 10 - APPENDIX
  • 11. Augustine Fou- 11 - Desktop vs Mobile eCPM October 19, 2012 11 Source: KPCB Internet Trends 2012
  • 12. Augustine Fou- 12 - 54% Display Ads NOT In View
  • 13. Augustine Fou- 13 - Source: Nielsen, October 2011 95% Ad Impressions NOT Properly Targeted