Susan bidel

Seize the Day

© 2015 Forrester Research, Inc. Reproduction Prohibited 3

Wired/Hotwired: October 1994

Source: Mashable; Quora; Google

THE FIRST BANNER AD EVER, FOR AT&T

Click-through rate of 78%

Today, the click-through rate hovers around .1%

Vast majority of innovation has benefited

the buy-side


More specifically…

Source: orco.co.nz; clickz.com; alicecallista.com;; adcracker.com

DIRECT MARKETERS


Who is pushing programmatic???

Brand marketers


More specifically…


Ad tech tax is punishingEFFICIENCIES OF AUTOMATION STILL NOT EVIDENT


And fraud takes a big biteEVEN THE BIGGEST ADVERTISER BRANDS ARE VICTIMIZED

› 23% of video ads

› 11% of display


Publishers…

Seize the day


There is money to be madeDIGITAL CATCHING UP TO TV AD SPEND


Marketers following their customersBALANCING SPEND TO CONSUMER MEDIA CONSUMPTION


Investing in videoBALANCING FLATLINING TEXT AND RICH MEDIA ADS


Growing exchanged-traded display to 40%

Source: Forrester Research Online Display Advertising Forecast, 2014 to 2019 (US), Q3 2014 Update


Programmatic selling uses digital platforms to

automate the targeting, aggregation, booking,

flighting, analysis and optimization of online

publishers’ advertising inventory via sell-side

software and algorithms and – ultimately –

has the goal to improve yield. While it

includes exchanges based on real-time

bidding (RTB), it also supports traditional

selling methods.

But that’s only one flavor of programmaticFORRESTER DEFINITION


Traditionally placed below direct


IN THE CLASSIC WATERFALL


Publishers benefit from programmatic

"The benefits we've experienced include

operational efficiencies, better pricing,

control, and transparency greater than in

direct-sold campaigns. It reestablishes the

rate card with a new set of parameters and

market efficiency driving it."

Chip Schenck

VP Programmatic Sales & Strategy

Meredith


Attracting new advertisers

"Some of the benefits of programmatic

selling include our ability to attract and/or

discover new advertisers, to use data

more effectively, and to have more holistic

conversations with agencies globally."

Alanna Gombert

Former GM

Condé Nast's Catalyst Desk


Better monetization of audiences

"Marketers realize that access to the

right audience is important, and they're

willing to pay top dollar for it. It's

incumbent upon the publisher to

understand the value of their audience

and who wants access to it."

Seth Demsey

CTO

AOL Platforms


Informed by enhanced first party data"When publishers derive data on every

single page, they can begin to better

understand the connections between their

content, their audiences, and performance

characteristics of both, and use that to

identify different inventory or reach for their

advertisers. Packaging, pricing, yield

management, etc., now fall under the

publisher's control and make it easier to

manage from a selling standpoint."

Rodney Mayers

CEO

Proximic

Yield management maximizes the value

of every impression

Source: Interestingnewsglobal.wordpress.com

Customer

Calendar

Clock

Capacity

Cost


Challenging conventional wisdom


PLACING PROGRAMMATIC AT THE TOP OF THE WATERFALL


Revenue is not the only considerationUSER EXPERIENCE TRUMPS ALL


Publishers: Get ready

› Trim and tone your sales teams

› Recruit for technical expertise and be prepared to pay

› Promote your audience segments

› Build private marketplaces

› And…


Most importantly

"There is always going to be a need for

premium content. It goes back to

differentiation. Is there a way to extract

demand from the market because of your

brand? Cultivate that value and image

that the marketer wants to be part of it.

Content is going to matter. Brands are

going to matter."

Gina Kim

Publisher DMP Sales

Oracle Marketing Cloud


Make haste. The time is now.

Source: flickr.com

Thank you

forrester.com

Susan Bidel

+1 212.857.0751

[email protected]

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Susan bidel