what's new in digital marketing technology and media - midyear 2014 update

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In Data We Trust What’s New in Media, Analytics & Digital Marketing Technology

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Here's what we at Prove see as the interesting new opportunities in digital marketing technology and digital media. Prove is a new kind of digital marketing, technology and analytics agency focusing on customer acquisition and retention. We grow companies by making them more relevant to more people, stealing share through smarter technology-enabled strategies and mass personalization. Talk with us.

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Page 1: What's new in digital marketing technology and media - midyear 2014 update

In Data We Trust !

What’s New in Media, Analytics & Digital Marketing Technology

Page 2: What's new in digital marketing technology and media - midyear 2014 update

What’s New: Overview

2Prove Capabilities©2014 Prove Confidential & Proprietary

Top Apps from the Top Thinkers

Multiscreen unification

Omnichannel

Data Everywhere

Mobile Advancements

Real-time Bidding

Attribution

Digital Creative Advancements

Page 3: What's new in digital marketing technology and media - midyear 2014 update

Top Apps

3Prove Capabilities©2014 Prove Confidential & Proprietary

Reddit

Yahoo  N

ews

Digest

4  Pics  1  Word

If  This  Then

That  (IFTTT)

Sit  or  Squat

Page 4: What's new in digital marketing technology and media - midyear 2014 update

What’s Multiscreen Unification?

4Prove Capabilities©2014 Prove Confidential & Proprietary

Ad Server Knows YOU own all of these - Can and should limit the number of impressions across devices - Sequence ads irrespective of which device it is seen on: Version 1 on tablet -> Version 2 on iPhone -> Version 3 on Tablet -> Version 4 on laptop

- Determine which device delivers best results at each stage of the buying cycle - “Fingerprinting” is the approach but vendors don’t like to call it that - Unification done typically through awareness of login information and inference of

different patterns of activity

Page 5: What's new in digital marketing technology and media - midyear 2014 update

What’s Omnichannel?

5Prove Capabilities©2014 Prove Confidential & Proprietary

Media Buys Can Run Across Online/Offline Channels - Can target ONLINE people who watch certain TV Programs offline - Can sequence ads irrespective of which device it is seen on - Can target OFFLINE people who have clicked on banners or

who have bought or become leads ONLINE

Digital Channels Addressable TV

Page 6: What's new in digital marketing technology and media - midyear 2014 update

Data Everywhere

6Prove Capabilities©2014 Prove Confidential & Proprietary

Store Purchase DataBehavioral Data

Data Types “First Person Data” - Data provided to the ad servers from the advertiser itself - Email addresses - Cookie pools - Website retargeting pixel data !“Third Person Data” - Data purchased and incorporated by merging

Page 7: What's new in digital marketing technology and media - midyear 2014 update

What You Can Do With Data Today

7Prove Capabilities©2014 Prove Confidential & Proprietary

Set Your Advertising Targets Precisely(Display/Video/Streaming Audio)

- Your previous visitors (retargeting)

- Your current customers (Email addresses matched to find them online via banners)

- Geography: Nation, state, city, zip, radius around a single point, boundaries of a store

- Context: Ad to be shown next to an article with matching keywords

- Behavioral: Ads shown to people who have done certain things online (visited Expedia, etc.)

- Ownership: Ads shown to people known to own certain things (products/services)

- Intent: Ads shown where currently searching for something (product/travel/services, etc.)

- Lookalike: People who share similar data points as your customers are targeted

- Location: People who have visited certain places or stores (e.g. Starbucks)

Page 8: What's new in digital marketing technology and media - midyear 2014 update

What You Can Do With Data Today

8Prove Capabilities©2014 Prove Confidential & Proprietary

Mobile (tablet/smartphone)-specific targeting opportunities

- Installed apps - targeting based on what types of apps are installed on your phone

!! - “Lean back” vs. “lead forward” mode

- Lean back: Watching video

- Lean forward: Searching/researching

Page 9: What's new in digital marketing technology and media - midyear 2014 update

What You Can Do With Data Today

9Prove Capabilities©2014 Prove Confidential & Proprietary

Detect When An Action Has OccurredThe Era of Closed Loop Digital Marketing is HERE!

- Coupons redeemed (coupons.com, NewsAmerica.com, RetailMeNot.com vendors can cross-reference media to the number of coupons redeemed for )

- Apps Opened, Used, etc.

- Visits to a store after ad exposure: Yes, we can now track when a user exposed to advertising physically goes to a store

- Purchases at a store: We can now track when a user exposed to advertising buys something at a store

!WOW! CLOSED LOOP!! @$*#@#!

Page 10: What's new in digital marketing technology and media - midyear 2014 update

Mobile Advancements

10Prove Capabilities©2014 Prove Confidential & Proprietary

Page 11: What's new in digital marketing technology and media - midyear 2014 update

Mobile Advancements

11Prove Capabilities©2014 Prove Confidential & Proprietary

Page 12: What's new in digital marketing technology and media - midyear 2014 update

Mobile Advancements

12Prove Capabilities©2014 Prove Confidential & Proprietary

Device Usage and Media Consumption Statistics - Average 1 hour per day on our mobile devices - 20% of media consumption time - 89% of time on mobile apps vs. mobile web - 67% smartphone adoption in US - Fraud prevalent across digital media: 30% bots plus 10% impressions out of geo means 40%

is not real inventory !!Milward Brown Study - 147 minutes tv - 103 laptop - 151 smartphones - 43 tablets !- New buzzword: “Phablets" (like the Galaxy Note; half phone half tablet) - Ad filesize is very important in mobile:

- 4.3% CTR for small ad vs. 0.48% for large filesize ad (same visual ad but different filesize) just because it loads more slowly and people ignore it if it loads slowly

- Voice Recognition ads - can ask you and you can respond with the right type of ad

Device usage by time of day: - phones all day - tablets dominate evening primetime (9-mid) - desktops during day

Page 13: What's new in digital marketing technology and media - midyear 2014 update

Mobile Advancements

13Prove Capabilities©2014 Prove Confidential & Proprietary

Powerful targeting of mobile audiences

- Integration of online AND offline data

- Ability to provide analytics to forecast lift results: Vendors know they need to provide data to show show lift to get better buys

- CPC-based inventory rather than CPM (i.e. Opera)

- These location-based mobile vendors are tracking where you go, so they can tell you (as a media and information partner) where your customer base also shops, how much market share you have versus your competitors (offline, in-store)

- They can show that people exposed to location-based ads improve purchase intent by 1300%

Page 14: What's new in digital marketing technology and media - midyear 2014 update

Real-time Bidding

14Prove Capabilities©2014 Prove Confidential & Proprietary

The Old Days(18 months ago)

Today Near Future

% of Media Purchased

100% old way 95% old way 5% Real-time Bidding

50% RTB

Purchase Approach

Media buyers and sellers discuss and agree on a rate. All impressions are viewed as equal

Old way still dominates. But Real-time Bidding means assigning a DIFFERENT bid amount based on many rules

Media attribution systems inform media buying systems about how valuable each impression is

Examples of rules

Buyer willing to pay up to $5 CPM for targeted inventory, regardless of which impression on a site visit (1 or 15th)

Different impressions worth different amounts. Buyers program the bids according to what is known about the person, their state of mind, context of the impression, and whether it is the first impression on the site or a later impression

Huge advantage to companies who adopt these RTB and attribution systems earlier rather than later

Page 15: What's new in digital marketing technology and media - midyear 2014 update

Attribution

15Prove Capabilities©2014 Prove Confidential & Proprietary

Attribution was once again a key topic.

- When a conversion occurs, which vendors, which impressions, which formats, which devices get the credit?

- Growing realization among the media industry that Last Click isn’t going to work for them

- Analytics profession has known how to do attribution for a long time but digital marketing industry has had only recent adoption of the attribution discussion

- Proper way to determine who/what gets credit is to do control group studies to see what impressions actually change the behavior and then weight this

- This is powerful but complex so most small companies won’t be doing this

- Instead, we must use more simple ways to measure the contribution of “early impressions”

Page 16: What's new in digital marketing technology and media - midyear 2014 update

Digital Creative Advancements

16Prove Capabilities©2014 Prove Confidential & Proprietary

- Media vendors increasingly bundling free creative and free creative tools into their buys

- There is a new vendor who creates dynamic video for retargeting

Page 17: What's new in digital marketing technology and media - midyear 2014 update

Prove | 12910 Culver Blvd., Suite D, Los Angeles, CA 90066 | t 310-737-8600 | www.prove.it

David Shor, CEO P r o v e

310-737-8600 x200 [email protected]