ACC

1. Digital Media… Evolved

2. 2
A Little About Me
Justin Anderson, Client Development Manager,
Mediassociates. Justin has almost a decade of
experience securing relationships and advising digital
strategy for clients such as Save the Children, Bulova
Watches, Charter Communications, Enjoy
Technology, and others.
An expert in DSP, RTB and programmatic ad tech, he
has worked in various digital media roles across
companies such as Aol, Neustar and Mediassociates.

3. 3
The evolution of digital advertising
DIGITAL ADS
LAUNCH
AD NETWORKS
LAUNCH RTB GOES
MAINSTREAM
MDC
LAUNCES
VMM
GOOGLE
LAUNCHES
PAID
SEARCH
AD EXCHANGES
LAUNCH
DSPs
LAUNCH
1994 1996 2000 2005 2007 2008 2011

4. 4
In the beginning… digital buying was relatively simple
ADVERTISER
An advertiser and Publisher negotiate price(CPM) and
determine budget to show an ad for a specific period of time.
PUBLISHER

5. 5
But it became significantly more complex
PUBLISHERS
ADVERTISER
Proliferation of publishers. High costs to achieve reach goals. More expensive
PUBLISHERS

6. 6
Opportunities developed
• Inventory
centralization
• Reduced overhead
• Scale at lower costs
• Automation
• Better targeting
• Endless data

7. 7
Ad networks simplified the process
PRO:
Advertisers: Centralized by; lower cost
Publishers: Helped sell inventory at scale
CONS:
Advertisers: Less transparency and precision with
publishers.
Publishers: Larger amount of unsold inventory persists
AOL Advertising
Network
Autoblog
Huffington Post
Moviefone
TechCrunch
Google Display
Network(GDN)
The New York Times
Cars.com
YouTube
Wired

8. 8
Ad exchanges added scale
PRO:
Advertisers: Greater site flexibility and lower
costs
Publishers: Sell more ad inventory at scale
CONS:
Advertisers: Expensive technology needed to manage
multiple ad exchanges and reach audience.
Publishers: Difficult to maximize inventory value
Google (ADX)
Exchange
OpenX
Exchange
A Marketplace to make real-time bids for online advertising space

9. ADVERTISER
Audience focused not site focused
Centralized inventory access point
Access to robust data for smarter targeting
Programmatic
Ad Network
Publishers
Ad Exchange
9
Programmatic delivered control
Programmatic uses intelligent software (algorithms) to purchase digital
advertising

10. 10
The market is evolving

11. 11
How Programmatic Works

12. 12
Types of programmatic buying
RTB
(Open Auction)
Private Exchange
(Invite-Only Auction)
Programmatic
Guaranteed
(Premium, Direct))
Definition
(IAB)
Publisher
Advertise
r
Purchase of ads through
real-time auctions
Resembles traditional direct
sales; differentiated by
automation of RFP, IO, ad
trafficking
Publisher restricts
auction to select
buyers/advertisers

13. 13
Programmatic real-time bidding (RTB) in LUMAscape

14. 14
Main components of programmatic RTB
• Traders (trading desks): the people
• Demand Side Platform (DSP): trading desk interface
• Data Management Platform (DMP): data
• Supply Side Platform (SSP): publisher tool

15. 15
Programmatic RTB Process
15
1. User lands on
publisher site
Publisher
2. Publisher reaches
out to SSP to sell
inventor
3. SSP Sends bid
request with
audience data to
DSPs
Programmatic
4. Traders send bids to
show ad for audience to
DSP
5. SSP chooses winner;
advertiser pays $0.01 more
than competitor (second
price auction) Bid
$2.00
CPM
Winner $1.51 CPM
Programmatic Traders Advertisers
Bid
$1.50
CPM
Bid
$1.00
CPM

16. 16
Main components of programmatic RTB
• The people (RTB buyers)
• An organization that manages programmatic
media typically using DSPs and other
audience buying technologies
• A trader places ads based on target audience,
manages bids, placement, target and goals

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Evolution of traders
• Online ad trading was initially extremely complicated, and required
specialized expertise from traders
• Technology has evolved, making programmatic buying more intuitive
• New Technology empowers agencies and brands to take back control
of programmatic buys with in-house traders or search teams

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Demand side platform (DSP) explained
• Tool for trading desk (agency or advertiser)
• A piece of software that allows traders (advertisers and agencies) to buy advertising in real
time using an auction based model
• Key DSP Benefits for Agencies and Advertisers
• Central access to publishers, networks, exchanges, SSPs
• Targeting/control options
• Unified reporting
• Robust optimizations
• Brand protection (white and black lists, content and viewability)

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DSP control levers
Targeting
Audience
• Demographic
• Interests/Behavior
• First Party
• Third Party
• Geography
Site
• List
• Category
• Content
Budget
Bids
Day Part
Frequency
Brandy Safety
Control

20. 20
Data management platform (DMP)
• Data tool for agencies, advertisers and publishers
• A data warehouse that houses audience cookie information and exports it in a way that’s
useful for marketers and publishers
• Key DMP Benefits for Agencies and AdvertisersCentral access to publishers, networks, exchanges,
SSPs
• Storage for valuable first party data
• Audience segmentation
• Target specific audiences
• Measure duplication across DSPs

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Tactics and Strategies

22. 22
The tactics
Prospecting
• Targeting ads using audience or site data
• Find new customers
• Learn about an audience
Retargeting
• Serving an ad to a prospect that visited an advertiser’s site
• Convert intent into a sale
• Overlay prospecting strategies to build the retargeting pool

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Prospecting example
• Automotive aftermarket brand
• Goal: Drive qualified traffic and revenue
Targeting RequirementsCampaign Control
ParametersGeo: NY/NJ/CT
Day Part: Weekends
Demographics: M 18-49 HHI $50k -$150k
Budget: $1,000/day
Max CPM: $10
Frequency: 4/day
Brand Safety: No adult content

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Prospecting targets
Demographi
cs
Interest
In-Market
Target 1 Target 2 Target 3
26-30 Male
Single; $75k HHI
American muscle cars,
Sports
45-50 Male
Married; $100k HHI
18-25 Male
Single; $50k HHI
European sports sedans.
Family Safety
Import tuners, Turbo
chargers, American
muscle
Performance upgrades
Items to make car stand
out in suburbia
Performance upgrades,
flashy items

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Prospecting optimizations
Metrics Optimizati
on
Low CPA
Low Cost
High Volume
Low CPA
Low Cost
Low Volume
High CPA
High Cost
High Volume
Pause and reallocate budget
Increase daily budget
Increase frequency and
max CPM bid
Target 1
Target 2
Target 3

26. 26
Prospecting targets
Borla home page
(no purchase)
Retarget with
general branding
ad
Mufflers page (no
purchase)
Retarget with
muffler specific ad
First Ad:
General branding
Purchased
headers
Search for
performance
exhaust
Second Ad:
10% off purchase
(DR)
Retarget with
Borla exhaust ad
Retarget with
Borla exhaust ad
Last Page Visited
Sequential
Messaging
Upsell Search BasedGeneral

27. 27
A Fully Programmatic Future

28. 28
The future is now
Digital media is undergoing a revolution. Think Wall Street in the late 90s and early
2000s. Automation is here to stay and will empower brands to go further. New
platforms allow advertisers more transparency, flexibility, control, scale, and efficiency
across their digital media buys.
It’s important to hire the right agency or team to get the most out of your media. The
future is here and over 75% of digital display media will be purchased programmatically
this year.

29. Discussion
Justin Anderson
Manager, Client Development
Mediassociates
justina@mediassociates.com
203 797 9500 x5236