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REVENUE REALITIES
OF ONLINE DISPLAY
The Video RTB Perspective

Michael D’Ambrosio
Publisher Services Manager

16 November 2012
“RTB is a paradigm shift…
it’s a foundational evolution
that sets a new standard for
           buying.”
          (Forrester Research)




                                 2
RTB DISPLAY VERSUS VIDEO

WHY IS VIDEO SO FAR BEHIND?
                                     Display                                Video

                            Significant availability of both          Supply constrained,
                 Supply     tier 2 & increasingly premium            particularly for premium




                              Greater emphasis on high            Greater emphasis on flighted,
             Optimization      frequency retargeting &             guaranteed delivery against
                            prospecting. Direct Response.           reach / frequency targets.
                                                                         Branding Tool

                            Mature industry standards for      Still challenges for standardizing ad
               Standards      exchange-based display             serving responses, formats and
                                    transactions                              players




                                                                                                       3
RTB VIDEO

WHEN IS RTB USEFUL?

         Custom               Time-Sensitive          Cost-Efficient
        Audiences               Campaigns               Reach

   Leveraging RTB to
  facilitate delivery of a   Using flexibility of    Delivering high-
 targeted segmentation        RTB to manage          reach, low-cost
   plan which requires        short bursts of          campaigns
     access to flexible           supply
    inventory sources
                                                     e.g. Access exchange based
                                                    demand to deliver cost efficient
                                                                reach




                                                                                       4
THE PLAYERS IN RTB VIDEO

WHAT’S THE RIGHT SOLUTION FOR YOU?

               Demand Side   Exchanges   Supply Side
                 Platforms                Platforms
 Advertisers




                                                       Publishers
                                                                    5
GETTING READY FOR RTB

WHAT CAN YOU DO?




Content is the foundation of Value


                                     6
GETTING READY FOR RTB

INVEST IN CONTENT




                        7
GETTING READY FOR RTB

USERS’ LOYALTY CAN BE MEASURED
Synergy between ads and content drives results




                                                                                   85%
                         I expect the ads on Marie Claire
                             to be of a higher quality
                                 than portal sites


                                                                          Content of the ads was matched
                                                                             to the content of the sites

How do you put a value on trust?
     +71%
   uplift in brand association
                                                         x2
                                                uplift in purchase intent
                                                                                      +69%
                                                                                    uplift in brand favourability
                                                 Exposed vs. Non-exposed results

        Source: IPC Media AdPace research
                                                                                                                    8
GETTING READY FOR RTB

HOLD ON TO WHAT YOU HAVE




                           9
GETTING READY FOR RTB

SCALING UP

                        Supply Side
                         Platforms




                                      10
GETTING READY FOR RTB

WRESTING CONTROL
Living with Nielsen OCR or Comscore VCE

• This will happen in 2013.
• Group M USA are already
  only paying for impressions
  that are in their target
  audience.

• How do you take back
  control?




                                          11
GETTING READY FOR RTB

THINK ABOUT MULTI-PLATFORM



                                                  In-Stream Pre-Roll
        In-Stream Pre-Roll
                             In-Stream Pre-Roll




                                                                       12
GETTING READY FOR RTB

CASE STUDY
The Challenge
Help a National Online Retailer leverage Collider Media’s Vault Technology™ to
acquire leads via mobile advertising and determine viability of the channel for
on-going marketing efforts
Target Audience              Actual Responders Campaign
•   Gender: Female           •   Gender: Equal Male and Female
•   Income: 75K+             •   Income: Range was lower than expected 25K. Above 90K
•   HH: with Children            offers had no real impact
•   Age: 30+                 •   HH: Equal HH with children and without Children
                             •   Age: 25+


       The Brand’s initial investment of about $15K yielded mobile
         purchases which exceeded $200K in net revenue sales.

                                                                                        13
THE SUMMARY

KEY POINTS
• Video RTB is still a tiny fraction of the VOD spend

• RTB is great for non-differentiated inventory, time-sensitive supply,
  to reach a niche audience and or simply to make the most of reach

• Content is the foundation of value

• Simple things can make a big difference

• A multi-platform approaches for VOD is ideal

• Think about which RTB solution works best for you

• Content + Data is the best way to build value

                                                                          14
REVENUE REALITIES
OF ONLINE DISPLAY
The Video RTB Perspective

Many Thanks

For more updates you can follow the
conversation at twitter.com/videologygroup
or simply add us on Facebook.

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Videology

  • 1. REVENUE REALITIES OF ONLINE DISPLAY The Video RTB Perspective Michael D’Ambrosio Publisher Services Manager 16 November 2012
  • 2. “RTB is a paradigm shift… it’s a foundational evolution that sets a new standard for buying.” (Forrester Research) 2
  • 3. RTB DISPLAY VERSUS VIDEO WHY IS VIDEO SO FAR BEHIND? Display Video Significant availability of both Supply constrained, Supply tier 2 & increasingly premium particularly for premium Greater emphasis on high Greater emphasis on flighted, Optimization frequency retargeting & guaranteed delivery against prospecting. Direct Response. reach / frequency targets. Branding Tool Mature industry standards for Still challenges for standardizing ad Standards exchange-based display serving responses, formats and transactions players 3
  • 4. RTB VIDEO WHEN IS RTB USEFUL? Custom Time-Sensitive Cost-Efficient Audiences Campaigns Reach Leveraging RTB to facilitate delivery of a Using flexibility of Delivering high- targeted segmentation RTB to manage reach, low-cost plan which requires short bursts of campaigns access to flexible supply inventory sources e.g. Access exchange based demand to deliver cost efficient reach 4
  • 5. THE PLAYERS IN RTB VIDEO WHAT’S THE RIGHT SOLUTION FOR YOU? Demand Side Exchanges Supply Side Platforms Platforms Advertisers Publishers 5
  • 6. GETTING READY FOR RTB WHAT CAN YOU DO? Content is the foundation of Value 6
  • 7. GETTING READY FOR RTB INVEST IN CONTENT 7
  • 8. GETTING READY FOR RTB USERS’ LOYALTY CAN BE MEASURED Synergy between ads and content drives results 85% I expect the ads on Marie Claire to be of a higher quality than portal sites Content of the ads was matched to the content of the sites How do you put a value on trust? +71% uplift in brand association x2 uplift in purchase intent +69% uplift in brand favourability Exposed vs. Non-exposed results Source: IPC Media AdPace research 8
  • 9. GETTING READY FOR RTB HOLD ON TO WHAT YOU HAVE 9
  • 10. GETTING READY FOR RTB SCALING UP Supply Side Platforms 10
  • 11. GETTING READY FOR RTB WRESTING CONTROL Living with Nielsen OCR or Comscore VCE • This will happen in 2013. • Group M USA are already only paying for impressions that are in their target audience. • How do you take back control? 11
  • 12. GETTING READY FOR RTB THINK ABOUT MULTI-PLATFORM In-Stream Pre-Roll In-Stream Pre-Roll In-Stream Pre-Roll 12
  • 13. GETTING READY FOR RTB CASE STUDY The Challenge Help a National Online Retailer leverage Collider Media’s Vault Technology™ to acquire leads via mobile advertising and determine viability of the channel for on-going marketing efforts Target Audience Actual Responders Campaign • Gender: Female • Gender: Equal Male and Female • Income: 75K+ • Income: Range was lower than expected 25K. Above 90K • HH: with Children offers had no real impact • Age: 30+ • HH: Equal HH with children and without Children • Age: 25+ The Brand’s initial investment of about $15K yielded mobile purchases which exceeded $200K in net revenue sales. 13
  • 14. THE SUMMARY KEY POINTS • Video RTB is still a tiny fraction of the VOD spend • RTB is great for non-differentiated inventory, time-sensitive supply, to reach a niche audience and or simply to make the most of reach • Content is the foundation of value • Simple things can make a big difference • A multi-platform approaches for VOD is ideal • Think about which RTB solution works best for you • Content + Data is the best way to build value 14
  • 15. REVENUE REALITIES OF ONLINE DISPLAY The Video RTB Perspective Many Thanks For more updates you can follow the conversation at twitter.com/videologygroup or simply add us on Facebook.