The Mobile Programmatic
Opportunity
Todd Tran Managing Director, Europe
– 2 –
The Mobile Opportunity
Mobile takes center screen
Mobile takes 47% of screen time, led by smart phone use
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Mobile takes center screen
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Smart phones are the leading media across the majority of the day
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Mobile: the first screen?
“Yahoo’s future is mobile and we are delivering our products mobile first.” Marissa Mayer, CEO, Yahoo
“The new rule is mobile first; mobile first is everything.” Eric Schmidt, CEO, Google
“Mobile is everyone's job. Everything we need to do needs to be mobile and that includes monetization.” Mark Zuckerberg, CEO, Facebook
“Twitter is now a Mobile-first company, says CEO” FT reports on Twitter’s strategy
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Mobile ads have greater impact
Mobile is becoming the strategic channel for digital
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$0
$10
$20
$30
$40
$50
$60
$70
$80
2013 2014 2015 2016 2017
TV Mobile Online Print
Source: emarketer, December 2013;
UK Mobile Ad Spend - 2013
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£1 billion
Brand Spend Taking Flight
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Source: emarketer, December 2013; Nexage
$0
$5
$10
$15
$20
$25
$30
2013 2014 2015 2016 2017
Brand spend Game/app spend In
billions
US PREMIUM AND GAME/APP FORECASTS
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The Mobile Programmatic Opportunity
Mobile ad spend rapidly shifting to programmatic
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Source: eMarketer Mar 2013, Nexage
DISTRIBUTION OF TRADING TYPES (%)
0%
20%
40%
60%
80%
100%
Non-‐programmaEc ProgrammaEc Direct Open Exchange (on RTB)
Private exchange (on RTB)
2013 2014 2015 2016 2017
Mobile’s uniqueness
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No cookies
Different Publishers
Loca5on
Ad formats
Mobile Web 25%
Mobile Apps 75%
App dominated
App Dominates Mobile Internet
– 13 –
Mobile App Replaces Search
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Mobile Programmatic to Grow Faster than Desktop
Why Faster? • Learn from desktop • App publishers have no
or limited direct sales force
• App publishers are more flexible
Issues • Identification and data • Education • Getting comfortable with
app publishers
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The mobile programmatic ecosystem
Media A
gency
Trading Desk
DSP
Exchange
Publ
ishe
r
DMP / Data Provider
Advertiser
Use
r
The Nexage Exchange
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VIDEO & RICH MEDIA
The Premium Mobile Exchange
COMPLETE BRAND SAFETY
PRIVACY-SAFE 1ST AND 3RD PARTY DATA
FULL-SUITE OF PROGRAMMATIC MARKETS
PREMIUM PUBLISHERS
Premium Audience Brand Spend
500m unique users Accelerating brand spend
Audience at Your Fingertips Nexage Inventory Book
Reach
500million
Type Operating System Targetable Data
Geography Rich Media & Video Tablet Breakout
Android 56%
iOS 42%
BlackBerry 36.8B 32.9B 32.5B
6.1B 5.6B
Zip Lat/Long Age Device ID Gender
VAST
HTML5
ORMMA
MRAID
1.2B
3.5B
4.8B
21.3B
2%
Smartphone 76%
Tablet 24%
App 61%
Mobile Web 39%
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What is Programmatic Advertising/Media?
The use of technology to automate the buying and selling of media at a single impression level.
What is RTB?
A type of programmatic ad trading where single impressions are bought and sold in real-time through an auction
Nexage Programmatic Solutions
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Public Exchange
Private Exchange(s)
Rules-based First-look Exclusive Branded
Programmatic Direct
Direct Deal Programmatic Guarantee Futures
Leveraging Data
Data passed from publisher • Device ID • Location (lat/long) • Demographic (age, gender)
Cross-device ID
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Value of a Mobile Impression
23
> Transparent brand
> Video ad units
> Tablet formats
> Device ID
> Lat/long (GPS derived)
> Interstitials
> Rich media ad units
> Banner impressions with no data
> Poor engagement and click through rates
Yield Spectrum
High-Liquidity
Mid-Liquidity
Low-Liquidity
4-10x premium
2-3x premium
Commoditized
Nexage Connect
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ENRICHMENT
IDENTIFIER CONTEXTUAL BEHAVIORAL PRIVACY &
VERIFICATION LOCATION
Premium Inventory Enriched Impression
Nexage Connect Enriched Audience Impression
– 25 –
“Never in human history has any gadget or technology achieved 100% penetration levels. Not cars, not motorbikes and mopeds, not even bicycles. Not the Walkman, not the CD player, not the television, Playstation, VCR, DVD player nor even radio. Not the PC, not the internet. Not even such basic necessities we all expect, like running water or electricity.”
Ad Sizes and Formats
Standard Smartphone Banners: o 320x50 o 300x50 o 300x250 (interstitial) o 480x320 (interstitial) o 320x480 (interstitial) Standard Tablet Banners: o 728x90, 300x250 o 1024x768 (interstitial) o 768x1024 (interstitial)
Mobile Video & Rich Media: o VAST o MRAID o ORMMA o HTML5
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Examples of programmatic markets