maximizing mobile advertising revenue – can programmatic help?
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JOSH WEXLER - @JoshWexGENERAL MANAGER, MOBILE
Maximizing Mobile AdvertisingCan Programmatic Help?
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Complexity Across The Ecosystem
Mobile Traffic Accelerating
Multiple Devices
Proliferation Of Ad Formats
Multiple Operating Systems
Poor Sales Training
No Cookies
Who Is Selling What?
Lack Of Quality Inventory At Scale
To SDK Or To Not SDK
Poor Ad Quality
Apps and/or Mobile Web
HTML5 or Responsive
DesignWho Is Buying
What?
#RPMobile
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Yet The Market Opportunity Is Huge
Print Radio TV Internet Mobile
7%
15%
43%
26%
10%
25%
11%
42%
22%
1%
Time Spent Ad Spend
According to Mary Meeker, the difference between consumer time spent consuming content on the Internet and Mobile is a $20 billion opportunity in the US Market.
Source: Mary Meeker Internet Trends 12/3/2012
#RPMobile
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The Fastest Growing Channel In Digital
According to eMarketer mobile ad spend will grow from 11% of total digital ad spend in 2012 to over 38% in 2016.
This estimates 77.3% growth in 2013 mobile ad spend and 55.5% growth in 2014.
Source: eMarketer, 2013
Note: includes display (banners and other, rich media and video), search and messaging-based advertising; ad spending on tablets is included.
2012 2013 2014 2015 2016 2017 $-
$5.00
$10.00
$15.00
$20.00
$25.00
$30.00
$4.11
$7.29
$11.33
$16.17
$21.53
$27.13
Mobile Ad Spend (Billions)
#RPMobile
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The Evolution Of The Market
Server to Server (S2S)+
Ad Networks
Premium
Server to Server (S2S)+
Ad Networks
RTB
Private Marketplaces
Premium
Mobile Inventory(Today)
Mobile Inventory(Future)
#RPMobile
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How Do We Do This For Mobile?
1. PACKAGING
2. DISCOVERY
3. TRANSACTION
4. OPTIMIZATION
#RPMobile
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Premium Packaging
FORMATSPremium ad formats
(e.g. rising star, dynamic ads)
TARGETINGEnhance media with mobile
specific targeting (e.g. geo, carrier targeting)
MEASUREMENTBeyond impressions & clicks
(e.g. no. of calls, video played)
#RPMobile
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#RPMobile
INGRID LESTIYO - @ilestiyoVP, MOBILE PRODUCT STRATEGY & OPERATIONS
Bringing Scale to Mobile
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DISCREPANCIES
ADS NOT RENDERING
LACK OF MOBILE KNOWHOW
The Joys of Media Buying Today
#RPMobile
MOBILE IS AT LEAST 5x HARDER WITH A FRACTION OF THE BUDGET
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The Power of Automation
#RPMobile
Jan-10
Feb-10
Mar-10
Apr-10
May-10
Jun-10Jul-1
0
Aug-10
Sep-10
Oct-10
Nov-10
Dec-10
Jan-11
Feb-11
Mar-11
Apr-11
May-11
Jun-11Jul-1
1
Aug-11
Sep-11
Oct-11
Nov-11
Dec-11
Jan-12
Feb-12
Mar-12
Apr-12
May-12
Jun-120%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
% Network % RTB
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Automation from Sellers’ Perspective
#RPMobile
STANDARD MEDIATIONMOBILE OPTIMIZATION
BASIC WATERFALL
MANUAL
LIMITED RTB ACCESS
InefficientUNIFIED AUCTIONRTB/S2S/AdNets/PMP/SDKTRANSPARENTALGORTIHMICALLY-
DRIVEN
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VOLUME
PR
ICE
The Rubicon Project, Inc. - Confidential -
Operational challenges make it hard for sellers to determine the most valuable buyer
Automate the determination of the highest valued buyer
Buyer 1
Buyer 2
Buyer 3
Buyer 4
Buyer 5
Current Mobile Advertising Technologies Don’t Deliver Enough Value
#RPMobile
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Create Private Marketplace Packages
Publish to all major AgencyTrading Desks and DSPs at once
Negotiate directly with the Buyer within REVV Connect
Merchandise your inventory
#RPMobile
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Result of merchandising and automation
#RPMobile
Open RTB Direct (vanilla) - Private Exchange Direct (1st party data) - Private Exchange
$0.00
$0.50
$1.00
$1.50
$2.00
$2.50
$3.00
$3.50
$4.00
$4.50
CPM
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Automation from Buyers’ Perspective
#RPMobile
BLIND
TRANSPARENT
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Efficient and easy-to-track transactions
#RPMobile
CASH CREDIT CARD
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Wealth of insights in real-time
#RPMobile
LAGGED
REAL-TIME
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Life of an automated ad transaction
#RPMobile
1. User visits App
4. Ads are checked for quality, conflicts, price
6. Ad is placed in App
Bid: $.95
Bid: $1.25
Bid: $1.76
Bid: $2.65
Bid: $1.89
3. REVV runs Unified Auction across Ad Networks & DSPs
Ad Net 3
DSP 2
DSP 8
ATD 1
DSP 13
Game Ad
Auto Ad
Cellular Ad
Medical Ad
Finance Ad
X
X
Ad Quality All OK
Block List X Auto Ad Blocked
Price Floor X Game Ad Blocked
ELAPSED TIME:00:0030 seconds30 milliseconds
5. Winning Ad selected
Winning Bid: $1.89
2. REVV data profiles the impression
Medical Ad
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Automation = Win-Win
#RPMobile
BUYERS GET HIGHER ROI&
SELLERS EARN MORE REVENUE
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The Mobile Project
#RPMobile
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The Mobile Project
WHEN MOBILE BUYERS & SELLERS CAN EFFORTLESSLY PACKAGE, DISCOVER, TRANSACT, & OPTIMIZE,
MOBILE BECOMESMASSIVELY SCALABLE
AUTOMATION & SIMPLIFICATION DRIVES GROWTH
#RPMobile
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Providing Opportunities for Advertisers
#RPMobile
CHARLIE WEISS - @CharlieWSJDirector, Digital Strategy and Yield ManagementDow Jones
JOE PRUSZ- @JoePruszVP, Mobile SalesRubicon Project@RubiconProject
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Q & A