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Presented at the October 2013 Digiday Agency Summit in Miami. As we approach the 19th anniversary of the first banner ad, Digital Media Planning is entering its third age. First, we had the “Guilded” Age. Then came the Machine Age. Recent announcements by AOL, Yahoo and Microsoft herald the start of a new era: the Bionic Age. As with every seismic shift, there will be winners and losers.
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Are You Ready for the Bionic Age
of Digital Media?
Hotwired served up the first banner ad for AT&T
on Oct. 27, 1994
The “Guilded” Age
Advertising inventory was purchased in large batches at negotiated rates expressed in contracts called insertion orders, just like in print. These early digital media artisans soon joined together and established the guilds that became known as digital media agencies. Like medieval guilds, they closely guarded their trade secrets and only passed them down to their apprentices.
Media plans were made in Excel
42-step manual process
What is a DSO?
(hint: it came before DSPs)
Digital Switchboard Operators
Email Excel File Sharing
Research
Ad Serving
Buying / Billing
Ad Network
Source: Right Media
500 Ad Networks
Source: Right Media
Daisy Chaining
$5.00
$1.00
Source: Right Media
Source: Right Media
Ad Exchanges
April 2007
April 2007
July 2007
The Machine Age
The Machine Age introduced astonishing efficiency through real-time bidding on ad exchanges. Instead of humans taking weeks to plan and execute a campaign through an insertion order, machines purchased impressions at auctions that took place in the milliseconds before a browser loaded your Web page.
hundreds of companies making machine parts
machines threatened to break the guilds
RTB
Direct $2billion
$8billion
RTB
Direct $2billion
$8billion
?
That’s where the money is.
Why do you rob banks?
Sutton Pivot
RTB Direct Buying RTB
It’s not real-time There’s no bidding
“The cost of not having a connected business is costing the [digital advertising] industry $3.6 million dollars per hour.” Neal Mohan, Google’s Vice President of Display Advertising Products at Google’s thinkDoubleClick June 2013 event.
Source: AdExchanger
Programmatic Direct
The Bionic Age
We use computers to automate the repetitive, mundane tasks to free us humans to do what we do best: be creative and strategic.
Man versus Machine
Man and Machine
Humans + Automation =
Achieve Super-Human Results
Productivity
Speed
Listening and Optimization
New Insights
Step 1 to becoming Bionic: Get a t-shirt
Step 2 to becoming Bionic: Replace Excel with
a real media workflow system
Buying / Billing
Research
Ad Serving
Workflow
Big Announcement
(for us, anyway ;-)
is now known as…
www.bionic-ads.com
Chris Chris O’Hara
Co-Founder & CRO
Adele Adele Pellicane
VP Sales
Mark Mark Winberry
Director of Product Management
Joe Joe Pych
Co-Founder & CEO
