Ad Networks are the backbone of online advertising industry
Citation preview
1.
2. Agenda:
Ad Networks: Introduction
Elements of Ad Networks
Types of Ad Networks
Case Study 1
Ad Networks: Insight
Ad Servers: Introduction
Ad Packages
Industry Statistics
Backfilling: Introduction
Ideal Ad Network: Elements
Industry Overview
Contextual Targeting: Overview
Behavioral Targeting: Overview
Case Study 2
3.
Ad networks serve advertisement on website and share advertiser
revenue for qualified clicks each time asite visitors clicks on
ad.
Anadvertising network(also called anonline advertising
networkorad network ) is a collection of (often unrelated) online
advertising inventory.
4.
Large/Tier1 Ad Networks
Google
Yahoo Panama
Microsoft Adcenter
Small/Tier2 Ad Networks
Adbrite
Casale Media
Enhance Interactive
aQuantive
5. 6.
There are three types of online advertising networks:
Representative Networks
Blind Networks
Targeted Networks
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They represent the publications in their portfolio, with full
transparency for the advertiser about where their ads will
run.
They typically promote high quality traffic at market prices
and are heavily used by brand marketers. The economic model is
generally revenue share.
Example: Quigo
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These companies offer low pricing to direct marketers in
exchange for those marketers relinquishing control over where their
ads will run
Blind networks achieve their low pricing through large bulk
buys of typically remnant inventory combined with campaign
optimization and ad targeting technology.
The financial model is arbitrage.
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Sometimes called next generation or 2.0 ad networks, these
focus on specific targeting technologies such as behavioral or
contextual
Targeted networks specialize in using consumer click stream
data to enhance the value of the inventory they purchase
10. 11.
Poker Ad Network is a growing advertising network of over 60
poker-related websites, each of which attracts a specific niche of
poker enthusiasts.
Poker Ad Network Serves Ad keeping with the poker media buyer
in mind.
12.
Cost to advertiser : $14/cpm
Ad model : CPM
Available Publisher Channel :
The poker channel ( Over 100 website ) to advertise on The
Casino Channel ( Under dev) The sports channel ( Under Dev )
Minimum Buy : The minimum insertion order is $5,000
Ad formats used :
Leader board Banner 728 x 90Skyscraper Banner 120 x 600Wide
Skyscraper Banner- External 160 x 600Full Banner 468 x 60
Publisher Information : Confidential ( Advertiser can view the
referral url in the admin panel )
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Publisher Commitment : Not required, can terminate the program
anytime.
Can use services of the PAN along with their existing ad
program.
Option to Choose the advertisers for appearing on the
website.
Revenue Share Will Be 50/50 based on the impression
generated.
Multiple Use of the advertising code is allowed on different
websites
14.
The top ad networks offer a complete brand marketing solution
and are fast becoming an essential component of brand advertising
budgets.
Complement Your Reach
Reduce frequency waste
Optimize to brand metrics
Scale your custom solutions
Leverage efficiencies
15. 16.
Tier 1 Ad Network
Large number of Advertiser & publisher Base.
High Quality Traffic
Have Premium Brand of Customers
Better Revenue Share
Require millions of impressions per month
Tier 2 Ad Network
Small Advertiser & publisher Base.
Amount of Traffic will be less
Unbranded Customer Can Join the Ad program as well
Thousand Impression per month website are allowed
Source of revenue comes from syndicating ads from other
advertising network.
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Websites
Domains
Rss Feeds
Blogs, forums
IM Application : Msn messenger
Emails Clients
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Banner Ads:
Rich Media
Text links
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The advertising network serves advertisements from its ad
server, which responds to a site once a page is called.
A snippet of code is called from the ad server, that represents
the advertising banner.
In most cases, ad networks deliver their content through the
use of acentral ad server
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The typical common functionality of ad servers includes:
Uploading advertisements andrich media .
Trafficking ads according to differing business rules.
Targeting ads to different users, or content.
Tuning and optimization based on results.
Reporting impressions, clicks, post-click activities, and
interaction metrics.
Advanced functionality may include:
Frequency cappingso users only see messages a limited amount of
time.
Sequencing ads so users see messages in a specific order
(sometimes known assurround sessions ).
Excluding competition so users do not see competitors' ads
directly next to one another.
Displaying ads so an advertiser can own 100% of the inventory
on a page (sometimes known asroadblocks ).
Targeting ads to users based on their previous behavior (
behavioral marketingorbehavioral targeting ).
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What is Run of network ?
Ad buying option in which ad placements may appear on any pages
on sites within an ad network
In run-of-network advertising, advertisers generally give up
say over placement in return for low rates and broad reach.
What is Run of site ?
Run-of-site is similar to run to network, except the ads appear
on an individual site instead of many sites.
24. 25.
Backfilling is a process when an Ad network partners With
another Ad Network so that if they do not have advertisements for a
certain vertical, they can use the inventory of another Adnetwork
to fill the space.
If an Adnetwork does not have advertisement for Online Gambling
or Adult, then it can partner with another Ad network for these
categories.
This process is really useful if an Adnetwork is receiving
traffic from a certain geographical region or for a certain concept
(Adult, Gambling)
This also ensures that Ad network are not losing out on
monetization of traffic coming on to their network
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Contextual Targeting
Inferring the optimum ad placement from information contained
on the page where the ad is being served. For example, placing
Mountain Bike ads automatically on a page with a mountain biking
article.
Example : Google
30. 31. Contextual Geo Targeting 32.
Behavioral Targeting
Using a profile of prior behavior on the part of the viewer to
determine which ad to show during a given visit. For example,
targeting car ads on a portal to a viewer that was known to have
visited the automotive section of a general media site.
Example : Tacoda & BlueLithium
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Privacy concerns
IP masking
Identity protection Application
Dummy person
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In one sense, behavioral targeting is really only targeting
based on search streams, and that's not really behavior, but rather
just a more detailed search.
Behavioral Targeting may be just a better way to detect
micro-search versus macro-search activities.
Some Videos : Behavioral Advertising
36. Bluelithium Yahoos New Buy 37. COMPANY BACKGROUND:
ONE OF THE EARLY PIONEERS OF BEHAVORIAL TARGETTING
FOUNDED BY GURBAKSH CHAHAL IN 2004
HEADQUATER IN SAN JOSE,CALIFORNIA
CLIENTS INCLUDE GENERAL MOTORS,FORD,T-MOBILE,PFIZER
NAMED INNOVATOR OF THE YEAR IN 2006 BY ALWAYSON
REACHED 145MILLION UNIQUE USERS WORLDWIDE ACROSS ANETWORK OF
1000 PUBLISHERS
38. Company Standings 39. PRODUCTS
ADPATH BEHAVORIAL TARGETTING
The idea is to observe a users online behaviour anonymously and
then serve the most relevant advertisement based on their
behaviour
Based on t customers behaviour different segments are created
for eg:online poker players, lonely heartsand depending upon which
segment the customer fits in relevant ads are displayed
Additional identifiers such as registration data or users
search query is also taken into consideration
40. Different Ads are served while two user surfing the same
page 41. Selective Inventory Partnership
With Selective Inventory Partnerships (SIP), Blue Lithium buys
audiences from publishers rather than bulk inventory. SIP pays
significantly higher CPMs than standard ad network rates, without
impacting any of your current relationships.
42. Ad program Publisher side
98%PUBLISHER RETENTION RATE
SIP
BEHAVORIAL TARGETING
HIGH QUALITY ADVERTISEMENTS
ALL REVENUE MODELSCPM,CPA,CPC,CPL
AD UNITS IN GIF,ANIMATEDGif,JPEG,HTML,STREAMING VIDEO AND OTHER
RICH MEDIA FORMATS
Ability to control what messages run on your site.
43. Ad Program Advertiser Side
Publishers are selected from a carefully screened universe of
~1000 sites including most of the comScore top 250. In fact, >70
of the comScore top 100 highest trafficked websites in the U.S. are
part of the Blue Lithium network.
Has various ad targeting tools such as
44. Targeting Tools Used.
BEHAVORIAL TARGETING
DEMOGRAPHIC TARGETING
CONTEXTUAL TARGETING
GEOTARGETING
ZIPCODE
DAYPARTING
45. User Targeting Frequency
Higher response rates
High quality ads
Able to serve far fewer ads per user leading to less burnout
for advertisers and more efficient use of inventory for
publishers.
User privacy is guaranteed
46. Ad Frequency per user 47. 48. 49. 50. 51. 52. 53. 54. 55.
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Doubleclick is a company that develops & provides internet
ad serving services.
Its clients include agencies, marketers (Universal McCann
interactive, AKQA etc) and publishers
These clients serve customers like Microsoft, General Motors,
Coca-Cola, Motorola, L'Oreal, palm Inc., Visa USA, Nike and
others.
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Doubleclick offers technology products and services which are
sold primarily to Advertising agencies and media companies to allow
clients to traffic, target, deliver and report on their interactive
advertising campaigns.
The company's main product line is known as DART, which is
designed foradvertisers and publishers.
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Mediavisor
DART for Advertisers (DFA)
DART for Publishers (DFP)
DART Sales Manager
DART Enterprise
DART Adapt
DART Search
DART Motif
DART Motif for Flash-in-flash
DART Motif for In-stream
Doubleclick Advertising Exchange
Strategic services
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Doubleclick targets along various criteria. Targeting can be
accomplished using
IP addresses.
Business rules set by clients.
By reference to information about users stored withincookieson
the machine.
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Some of the types of information collected are :
IP address
Browser
Operating system
ISP
Bandwidth
Time of the day
In addition, the cookie information may be used to target ads
based on the number of times the user has been exposed to any given
message. This is known as Frequency capping