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Programmatic Marketing Part 3 of 3

In the final section of this series we discuss the following: television and programmatic, viewability and verification as well as other topics.

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Programmatic Marketing Part 3 of 3

  1. 1. PROGRAMMAT IC MARKETING: An overview of how marketers can use programmatic marketing, advertising and buying. There’s also some information about digital audio, the future of television and more.
  2. 2. TABLE OF CONTENTS: Page Title: Page Number: Programmatic Marketing 4 Core Programmatic Concepts 6 Facts & Statistics 12 Consumers & Buyers 19 Creative Possibilities 25 Reaching Target Audiences 31 Programmatic Advertising 36 Programmatic Advertising Classifications 37 Types of Programmatic Advertising 45 Programmatic Buying 55 Programmatic Buying Steps 56 Step 1: Organize 58 Step 2: Design 67 Step 3: Execute 77 Step 4: Reach 87 Step 5: Measure 97 Programmatic Buying Steps to Improve Campaigns 108 2
  3. 3. TABLE OF CONTENTS: Page Title: Page Number: Trends Affecting Programmatic Buying 117 Programmatic: Digital Audio & Television 126 Programmatic: Rise of Digital Audio 127 Statistics 128 Facts About Digital Audio 135 Programmatic & Digital Audio 143 Programmatic: Future of Television 151 Statistics 152 Facts About Television 157 Programmatic & Television 166 Programmatic: Viewability & Verification 181 Statistics 182 Facts About Viewability & Verification 187 Standards for Viewability & Verification 195 Concepts & Challenges 200 Viewability & Verification Fraud 207 Work Cited 211 3
  4. 4. TELEVISION: 20.0% of buyers TV budgets is dedicated to programmatic TV 43.1% of media buyers are using programmatic for TV buying and selling 48.0% of media buyers will be using programmatic buying and selling in the next two years 52.0% will be adding programmatic to their upfront process 4COMPILED BY AUTHOR FROM: AD AGE CONTENT STRATEGY STUDIO WHITE PAPER PRINTED
  5. 5. TELEVISION: 25.60% 21.40% 14.40% 16.20% 14.80% 5.40% 2.10% Advantages of Programmatic TV Buying/ Selling: Advanced Audience Targeting Technological Automation to Streamline the Booking, Buying & Reporting of Advertising Buys with the Inclusion of Data The Use of Algorithms to Automate the Buying Process & Improve Results The Use of Big Data in the Buying Process for TV/ Video Advertising Real-time Ad Buying Through Exchanges Based on Dynamic Results 5COMPILED BY AUTHOR FROM: AD AGE CONTENT STRATEGY STUDIO WHITE PAPER PRINTED
  6. 6. TELEVISION: 64.90% 52.50% 51.50% 44.70% 40.20% 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% OVER-THE-TOP/ STREAMING NATIONAL CABLE NETWORKS LOCAL CABLE NETWORKS MULTICHANNEL VIDEO PROGRAM DISTRIBUTORS NATIONAL BROADCAST TV Types Bought Programmatically: 6COMPILED BY AUTHOR FROM: AD AGE CONTENT STRATEGY STUDIO WHITE PAPER PRINTED
  7. 7. TELEVISION LIMITATIONS: Lack in measurement options limits the abilities to make comparisons for media buyers today As marketers think in practical terms about how to incorporate programmatic TV into their broader strategies, cross-channel tracking has emerged as the most important issue for buyers and sellers Roku and Hulu have great distribution but when microtargeting, buyers run into scale issues It can be hard to attribute a purchase to a single spot but buyers can see a correlation between exposure and conversion rate There’s a good amount of collaboration between TV and content owners to integrate plans but it’s difficult to manage frequency and measure conversions across screens 7COMPILED BY AUTHOR FROM: AD AGE CONTENT STRATEGY STUDIO WHITE PAPER PRINTED
  8. 8. TELEVISION TREND: Viewers are starting to consume content away from linear TV Networks have less content now than before Consumers are getting used to being able to click on what they want to watch and younger consumers are avoiding commercials all together 8COMPILED BY AUTHOR FROM: AD AGE CONTENT STRATEGY STUDIO WHITE PAPER PRINTED
  9. 9. PROGRAMMATIC TELEVISION: Programmatic Television: This involves the automation of data-driven, audience-based ad buying for media consumed through linear, addressable, over-the-top and streaming channels The level of automation varies at different points on the spectrum, the central role of data is a constant, enabling a shift from content buying to audience buying Technology and audience data are what enable the transition to programmatic TV and are changing the way TV inventory is bought and sold 9COMPILED BY AUTHOR FROM: AD AGE CONTENT STRATEGY STUDIO WHITE PAPER PRINTED
  10. 10. PROGRAMMATIC TELEVISION FACTS: A large part of programmatic TV is about making all inventory available and expressing it in terms that are more relevant to clients beyond just age and gender Programmatic can make ads more relevant for the consumer and keep those viewers around Programmatic enables marketers to build schedules on the fly based on hundreds of household or viewer attributes Local stations have inventory that they need help moving and programmatic can be used to sell it 10COMPILED BY AUTHOR FROM: AD AGE CONTENT STRATEGY STUDIO WHITE PAPER PRINTED
  11. 11. ADVANTAGES OF PROGRAMMATIC: Advantages of Programmatic TV: Data and the targeting it makes possible Advanced audience targeting Technological automation to streamline the booking, buying and reporting of advertising buys with the inclusion of data The use of big data in the buying process for TV/ Video advertising 11COMPILED BY AUTHOR FROM: AD AGE CONTENT STRATEGY STUDIO WHITE PAPER PRINTED
  12. 12. CHANGES IS PROGRAMMATIC: How Programmatic TV has Changed: More inventory Better targeting Attribution tools have been developed More automation More options and partners in the category offering solutions for agencies 12COMPILED BY AUTHOR FROM: AD AGE CONTENT STRATEGY STUDIO WHITE PAPER PRINTED
  13. 13. OPPORTUNITIES IN PROGRAMMATIC: In local broadcast space, agencies are responsive to the ability to measure and adjust campaigns midflight instead of having to wait till the end of the year There are opportunities to match first-party data from providers with sales data to see who bought a product after seeing an ad There’s a role for audience buying in cross-screen, screen-agnostic investment strategy that’s applicable today Introducing an element of addressability also makes it possible to target at a geographic level Across the industry, vendors are working to help unify inventory across every part of the TV spectrum and make it available for unified buys across platforms 13COMPILED BY AUTHOR FROM: AD AGE CONTENT STRATEGY STUDIO WHITE PAPER PRINTED
  14. 14. PROGRAMMATIC TELEVISION: Areas most important to buyers and sellers: Targeting options Analytics and reporting capabilities Reach or scale 14COMPILED BY AUTHOR FROM: AD AGE CONTENT STRATEGY STUDIO WHITE PAPER PRINTED
  15. 15. PROGRAMMATIC TELEVISION: Media buyers are more interested in programmatic buys on: Over-the-top Roku Hulu SamsungNational Cable Networks Local Cable Networks 15COMPILED BY AUTHOR FROM: AD AGE CONTENT STRATEGY STUDIO WHITE PAPER PRINTED
  16. 16. VIEWABILITY & VERIFICATION: 16 Verification: That the ad will be or has been served in a place that can be seen by a real human not a bot and that it adheres to the advertisers specified brand safety guidelines Viewability: The opportunity for an ad to be seen by a consumer COMPILED BY AUTHOR FROM: AD AGE CONTENT STRATEGY STUDIO WHITE PAPER PRINTED
  17. 17. VIEWABILITY CONCERNS: 47.4% 58.8% 59.6% 59.6% 60.5% 61.4% 63.2% 64.0% 0.0% 10.0% 20.0% 30.0% 40.0% 50.0% 60.0% 70.0% DESKTOP NATIVE DESKTOP RICH MEDIA MOBILE STATIC BANNER MOBILE NATIVE MOBILE RICH MEDIA DESKTOP STATIC BANNER DESKTOP VIDEO MOBILE VIDEO Viewability Concerns for Heavy Programmatic Users by Platform: 17COMPILED BY AUTHOR FROM: AD AGE CONTENT STRATEGY STUDIO WHITE PAPER PRINTED
  18. 18. HEAVY USERS PRIORITIES: 0.0% 10.0% 20.0% 30.0% 40.0% 50.0% 60.0% 70.0% 80.0% To Offer Inventory from Wearables To Offer Inventory from Connected TV To Offer Inventory from Digital Out-of-home To be Able to Buy Native To be Able to Buy Video In-stream To be Able to Buy Rich Media To be Able to Buy Inventory Across Channels via a Single… To be Able to Buy Display Priorities for Buying Programmatically: Heavy Users of Programmatic All Respondents 18COMPILED BY AUTHOR FROM: AD AGE CONTENT STRATEGY STUDIO WHITE PAPER PRINTED
  19. 19. VIEWABILITY & VERIFICATION GOAL: Goal: Having the confidence to know exactly what the company is buying This goal will help programmatic reach it’s full transformative potential The main step to reaching this goal: is to ensure that players throughout the ecosystem are educated and speaking the same language about: viewability, verification and programmatic 19COMPILED BY AUTHOR FROM: AD AGE CONTENT STRATEGY STUDIO WHITE PAPER PRINTED
  20. 20. ADVANTAGES OF VERIFICATION: Advantages to Verification before Serving: A DSP can be set up to bid only on inventory that meets quality standards It can optimize more effectively in real time Advantages to Post-bid Verification: Can be valuable for checking the accuracy of prediction algorithms It can also guide the evaluation and optimization of supply partners 20COMPILED BY AUTHOR FROM: AD AGE CONTENT STRATEGY STUDIO WHITE PAPER PRINTED
  21. 21. VIEWABILITY & VERIFICATION: •They are less likely to value unique inventory when making a buy •Its about reaching the right target than getting their ads onto a specific site Power users are more likely to pay a premium for custom data segments •Likely smaller companies that are nimble enough to adopt new technologies faster •They are more likely to be focusing on maximum efficiency for their limited media budgets and less likely to rely on the nonstandard units that pose challenges Heavy users of programmatic show particular interest in guaranteeing viewability 21COMPILED BY AUTHOR FROM: AD AGE CONTENT STRATEGY STUDIO WHITE PAPER PRINTED
  22. 22. STANDARDS: •It requires an ad to be at least 50% in view for at least one second and a similar standard for video ads calling for two seconds of viewability Media Rating Council made initial progress with a standard for desktop ad viewability •Mobile represents the fastest-growing segment digital advertising The lack of standards for mobile or nonstandard ad units remains a problem 22COMPILED BY AUTHOR FROM: AD AGE CONTENT STRATEGY STUDIO WHITE PAPER PRINTED
  23. 23. STANDARDS: •Initial standards for viewability have been set by a few organizations but they aren’t universally used Agree to Standards: •Exchanges, SSPs, and publishers need to take steps to ensure a clean marketplaceBe Proactive: •Each company has created its own methodology for how viewability and verification are actually measured, leading to companies needing a consistent way of doing this while still allowing for innovation Normalize Methodologies: 23COMPILED BY AUTHOR FROM: AD AGE CONTENT STRATEGY STUDIO WHITE PAPER PRINTED Supply-side Companies (Publishers, SSPs, Exchanges, Verification Partners):
  24. 24. CONCERNS: 24COMPILED BY AUTHOR FROM: AD AGE CONTENT STRATEGY STUDIO WHITE PAPER PRINTED Factors that contribute to ads not being viewed Users blocking ads Users not scrolling down far enough to see an ad placement Questionable inventory sources Outright deception
  25. 25. CHALLENGES: 25COMPILED BY AUTHOR FROM: AD AGE CONTENT STRATEGY STUDIO WHITE PAPER PRINTED Viewability & Verification Challenges: Inconsistent measurement methodologies among verification and viewability partners Lack of detailed measurement with high-impact ad units Post-campaign reconciliation of fraud impeding optimization Reconciliation of discrepancies due to verification or viewability Inability to access high-impact ad units across all inventory programmatically
  26. 26. CHALLENGES: There’s more to inventory quality than placement and viewability metrics, marketers need to be concerned about: Brand Safety Nonhuman Traffic Outright Deception 26COMPILED BY AUTHOR FROM: AD AGE CONTENT STRATEGY STUDIO WHITE PAPER PRINTED
  27. 27. VIEWABILITY & VERIFICATION FRAUD: As the role of programmatic buying and selling in digital advertising continues to grow, issues surrounding viewability and verification are moving to the forefront Like with any technology, especially one that allows for scaling and is fundamentally dependent on automation, programmatic is vulnerable to fraud and questions of quality Fraud is an economic issue not a technical one and can happen because of the rapidly changing ecosystem 27COMPILED BY AUTHOR FROM: AD AGE CONTENT STRATEGY STUDIO WHITE PAPER PRINTED
  28. 28. VIEWABILITY & VERIFICATION FRAUD: Greatly expanded inventory and demand call for automation to fulfill the market’s potential and automation will also be key to addressing the fraud problem that comes with it Creating a fraud-free environment is in the best interest of all players in the supply chain Companies rely on their DSP or third party providers to check viewability and fraud rates Constant innovation, as well as the introduction and refinement of new standards will help the industry get in front of new types of fraud Heavy users are more likely to trust the accuracy of their verification partners in measuring specific types of fraud, due to a deeper understanding of their technologies and methodologies 28COMPILED BY AUTHOR FROM: AD AGE CONTENT STRATEGY STUDIO WHITE PAPER PRINTED
  29. 29. WORK CITED: "A Guide To Programmatic Advertising." Think with Google. N.p., n.d. Web. 28 June 2017. <https://www.thinkwithgoogle.com/programmatic-guide/>. "How Will Programmatic Media Buying Impact Your Business?" Hampton Roads Business Weekly Blog. N.p., n.d. Web. 28 June 2017. <http://www.hamptonroadsmarketingnow.com/blog/how-will- programmatic-media-buying-impact-your-business>. "LinkedIn: Programmatic The Ebook- The Ultimate Guide to Programmatic for B2B Marketing." Business. LinkedIn.com. Business LinkedIn, n.d. Web. 28 June 2017. <https://business.linkedin.com/content/dam/me/business/en-us/marketing- solutions/cx/2017/pdfs/programmatic-the-ebook.pdf>. PDf From LinkedIn Magazine, Advertising Age. Advertising Age Content Strategy Studio: Programmatic- The Future of Television. N.p.: Advertising Age, June 2016. Print* Magazine, Advertising Age. Advertising Age Content Strategy Studio: Programmatic and The Rise of Digital Audio. N.p.: Advertising Age, September 2016. Print* Magazine, Advertising Age. Advertising Age Content Strategy Studio: Viewability and Verification Through the Programmatic lens. N.p.: Advertising Age, December 2015. Print* Umashankar, Balaji Murugan. "Types of programmatic advertising, a bird's eye view." Softway Blog. N.p., 27 Oct. 2016. Web. 28 June 2017. <https://www.softway.com/blog/types-of-programmatic- advertising-a-birds-eye-view/>. "Value of an Integrated Platform for Programmatic Buying." Think with Google. N.p., n.d. Web. 28 June 2017. <https://www.thinkwithgoogle.com/marketing-resources/programmatic/value-of-an- integrated-platform-for-programmatic-buying/>. *Also available online at adage.com 29
  30. 30. CONTACT US FOR THE FULL PRESENTATION: Mediacontact USA Inc. 13575 58TH Street North #160 Clearwater, Fl. 33760 T: 727 538 4112 E: contact@mcusa.co www.mediacontactusa.com

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