DDM - Module IX - Advanced Programmatic Advertising - Session 1.1
DDM - Module IX - Advanced Programmatic Advertising - Session 1.1
PROGRAMMATIC ADVERTISING
By
Sujith Caldera
Session 1
Session Outline
MODULE Units AREA OF STUDY
Basics of programmatic
Importance of programmatic
Programmatic evolution
Develop Media Plan: Implement Ad Campaigns: Monitor and Optimize: Evaluate Campaign Results:
• After finalizing the terms • Once the media plan is • Throughout the campaign • At the end of the
with the media outlets, developed, media buyers duration, media buyers campaign, media buyers
media buyers develop a coordinate with the media closely monitor the evaluate the results and
media plan that outlines outlets to implement the performance of the ad compare them against the
the ad placements, timing, ad campaigns. This placements. They track defined objectives and
and budget allocation involves providing the key metrics, analyze data, KPIs. They analyze metrics
across different media necessary creative assets and make adjustments if such as reach,
channels. The media plan (such as ad designs, audio necessary to optimize the impressions, conversions,
ensures proper scheduling clips, or video content) to campaign's effectiveness. and return on investment
and coordination of the ad the media outlets as per This may involve shifting (ROI) to assess the success
campaigns. the agreed-upon budgets, modifying ad of the campaign and
specifications and creatives, or adjusting gather insights for future
deadlines. media placements based media buying decisions.
on performance insights.
What do we buy ? …..Space vs Audience
Vs.
2. Evolution of Programmatic Advertising
A direct media buy, also known as direct advertising or direct ad buy, refers to the process of purchasing advertising
inventory directly from a publisher or media outlet without involving intermediaries like advertising networks or
programmatic platforms. In a direct media buy, the advertiser and the publisher negotiate and establish a direct
relationship, bypassing the automated bidding and targeting systems commonly used in programmatic advertising.
Characteristics
1. Relationship between advertiser and
publisher Advertiser /
2. Customized agreements Publisher
3. Guaranteed inventory
Agency
4. Cost structure Direct
5. Benefits for publishers Contract
6. Potential challenges
Ex : Singer Ex : DailyMirror.lk
Wants to by ad space Wants to sell ad space
Evolution of Programmatic Advertising
Ad network, also known as an Publisher 1
advertising network, is a
platform or service that
connects advertisers and
publishers to facilitate the
Advertiser / Ad Publisher 2
buying and selling of Agency Networks
advertising space or
inventory. Ad networks act as Ex : GDN
intermediaries, bringing Publisher 3
together advertisers who
want to promote their Ex : Singer
products or services and Characteristics
Wants to by ad space Publisher n..
publishers who have available 1. Aggregation of ad inventory
ad space on their websites, 2. Targeting and audience
mobile apps, or other digital segmentation Wants to sell ad space
platforms. 3. Ad serving and campaign
management
4. Revenue sharing
5. Reporting and analytics
6. Ad formats and creative support
What is an Ad Exchange
An ad exchange is a digital marketplace that facilitates the buying and selling of online advertising inventory. It
operates as a platform where publishers can offer their available ad space, and advertisers can bid on and
purchase that ad space in real-time through programmatic advertising.
Key Characteristics
Popular Ad Exchage Platforms
1. Real-time bidding (RTB)
2. Programmatic advertising 1. Google AdX (formerly DoubleClick Ad Exchange)
3. Inventory aggregation 2. OpenX
4. Transparent auction-based pricing 3. Rubicon Project
5. Ad quality and brand safety 4. AppNexus (acquired by Xandr)
6. Data-driven targeting and optimization 5. Index Exchange
7. Reporting and analytics 6. PubMatic
7. Verizon Media's DSP and SSP (formerly Oath)
8. Criteo
9. SmartyAds
10. RhythmOne (formerly YuMe)
Evolution of Programmatic Advertising
Wants to sell ad space
Publisher 1
Ex : Singer Ad Publisher 2
Wants to by ad space
Network 1
Ex : Adx Publisher 3
Ex : GDN
Publisher n..
Advertiser / Ad
Agency Exchange Publisher 1
Publisher 2
Publisher 1
Publisher 3
Ex : BBC Publisher n..
Evolution of Programmatic Advertising
Wants to sell ad space
P1
Ex : Singer Ad P2
Wants to by ad space
Network 1
Ex : Adx P3
Ex : GDN
Advertiser / Ad Pn..
DSP SSP
Agency Exchange
P1
Demand Buying Supply
Side and Side P2
Platforms Selling Ad Platforms Publisher 1
space P3
Ex : BBC Pn..
3. What is programmatic advertising
An automated method of buying media where data is leveraged, often
in real-time, to make decisions on a per-impression basis.
abc.com
Campaign ad space
ad
space
Creative 1
Inventory
Ad
Creative Exchange
2
Advertiser Publisher
Placements
How Programmatic Works
DMP
Ad
AdServer DSP Exchange SSP AdServer
If the user matches the The bid competes with The ad is displayed
The winning DSP is
targeting criteria set by bids from other DSPs within the webpage or
notified, and the ad
an advertiser, the DSP participating in the app on the user's device,
creative is sent to the ad
may choose to bid on auction for the same allowing them to see
exchange or SSP.
the ad impression. impression. and interact with the ad.
How it works (Advertiser Side)
Define Set budget and Choose a Define
campaign bidding demand-side Access the DSP: campaign
objectives: strategy: platform (DSP): settings:
Strategy human truth: that personalisation • Reframing the role of a channel within the media mix can
Over 6,000 personalised creative executions targeted to people identified as in communications is more make a significant difference to the impact it has on an
overall campaign
serious about studies. The ads were dynamically produced to match course effective than generalisation.
interests and reflect stages of the application process using analysis from
Google Analytics and Adobe for insights into applicants' journeys to identify
behaviours that best predict their progress along the journey. The strategy of
personalised recruitment was brought to life with the model that operated
constantly informing both programmatic media and dynamic creative.
This strategy of personalized recruitment was
brought to life through the building of a
model that operated constantly at the heart
of the campaign, informing both
programmatic media and dynamic creative.
Typically, these models are very complex, but
we have simplified ours into five main steps.
Objectives 1.3m
Increase the efficiency and effectiveness of ads, plus share of voice, as media-attributed users
competitors were improving their sales numbers. captured
Takeaways
Insight • Smart data assists the smart allocation of media dollars
The target audience was classified as aged between 25 and 54, with a Leveraging geo-targeted footfall and both are necessary to reach 21st century consumers
household income of more than $100,000, with millennials making up a technology allowed us to track most effectively
large part. However, increasing housing, taxes and insurance costs have the consumer path to purchase • Brands can use CDJ stage programmatic targeting to help
pushed overall auto spend downward.
and qualify the data, drive foot-traffic
environment, and creative that
Strategy was actually leading would-be
Creation of the ‘Ultimate Data Machine’, a comprehensive ecosystem for
drivers to the dealership.
measurement and strategic audience development. It was used to
continually improve digital media buys through learning, analysing and
optimising proprietary and secondary data across multiple online and
offline touchpoints to create a 360-degree view of each consumer
decision journey. The data was aggregated from disparate sources to
provide insights into new, high-value audiences and baselines for strategic
programmatic media exposures.
Everyone talks about using data, but the reality is that the
ecosystem is fragmented and incomplete. Also, the path to
purchase has become increasingly challenging to track with a
variety of touchpoints and disparate data sources. To
generate truly actionable insights based on real-world
business metrics, we needed to create an enhanced tool that
didn't exist. We needed to make a tool that would have
serious implications on how data is gathered, analysed and,
more importantly, implemented. The ‘Ultimate Data Machine’
solved just that.
BMW case study
Dynamic seasonal targeting
EMEA
Dove geo-targeting
Programmatic geographic targeting 1.2m 5%
increases awareness unique reach increase in sales
Dove targeted women in Russia when they needed the product the
most to increase sales and awareness.
Objectives 10%
Shift perceptions among Russian women of dry shampoo being a
compromised solution rather than a good product. increase in product
awareness
Takeaways
Insight • Programmatic can enable targeted communication at the
Every summer, the Russia’s centralised hot water supply is shut off in particular moment when the consumer is most
Russia for maintenance, greatly impacting women who are forced to susceptible to the message
wash their hair with cold water.
We did not collect personal • Mobile geo-targeting may be used to amplify message
receptivity
Strategy information about users but
could create a personal • Brands may consider tapping into open data sets to save
Government data was used to identify the clusters of properties on data expenditures
affected by water shut-offs, enabling message delivery to women appeal to each person from
exactly when the hot water disappeared from her house. Banners were the target audience due to
prepared with help of proprietary dynamic creative platform working the innovative geo-
with the biggest Russian publishers and social networks for delivery of approach.
geo-targeted display and mobile ads. Social media posts, as well as
desktop and mobile banners, communicated that dry shampoo could be
the solution to the issue of no water with each ad including the nearest
retailer.
APAC
Objectives 54%
Effectively reach the one million mothers in Australia with children CTR
under 12 to increase sales and awareness in competitive Takeaways
marketplace.
• Advertisers can combine creative relevancy with
programmatic timing to enhance targeting and
Insight cost efficiencies
Research showed that Australian mothers were not inclined to treat With a powerful targeting
coughs immediately, as they believed the cough would go away on its • One method to increase ROI may be to better
strategy, we kept our message leverage and understand consumer data
own.
simple with a charming, direct
problem-solution approach to • Being resourceful with data is often as
Strategy situations that mums could relate important as the data resources themselves
The ‘Don’t ignore a cough’ campaign presented customers with
to.
situational images where people around the coughers were victims of
the symptoms. Proprietary analytic modelling was used to predict
when and where children would get sick, enabling strategic media
activation. The multi-variant algorithm combined weather and
environmental data facilitating real-time media purchasing decisions
controlling exactly when to turn on and off messages across the
country.
There's never been a better time in the history of
marketing and communications to establish
unequivocal knowledge about our markets, our
customers, our brands and then measure how well
we can make a difference.
Prospan case study
North America
Objectives 3.1%
Entice consumers to grill as soon as the weather got warmer, to extend YOY sales
consumption opportunities for the brand’s Fresh Bratwurst product beyond increase
summer months.
Takeaways
Insight • Brands can attempt to drive purchase intent by dynamically
In climates with dramatic winters, consumption spikes are seen with the customising every single impression with real-time content
approach of spring/summer grilling holidays, resulting in a short selling • Programmatic impressions can build significant increases in
By building a tech stack that
season. consumer engagement and relevance
enabled the customisation of
creative content and its
Strategy dynamic delivery by market,
A market-specific strategy based on weather shifts which would trigger the
delivery of dynamic creative of customised ‘grilling forecasts’. A planning significant increases in
dashboard linked to a weather API was developed to accurately ascertain consumer engagement were
where digital banners featuring real-time, local 'grill-casts' should be achieved.
delivered programmatically. Every impression was analysed to identify the
right audience, the nearest major city, the weather forecast pattern,
allowing the end-user to see a seamless creative execution.
Driving foot traffic
APAC
UNIQLO dynamic incentives
Use online shopper data to 10x
drive footfall increase in Singles’ Day
foot traffic vs. previous
UNIQLO used dynamic coupons to drive foot traffic on Singles’
year
Day in China.
Objectives
Build direct consumer relationships and boost margins by Offline orders
redirecting Alibaba traffic to physical retail stores. 34% higher value in
offline orders compared
Insight to online
Takeaways
Singles’ Day consumers tend to be bargain hunters.
• Programmatic can be used to deliver targeted incentives
based on consumer behaviour and geographic proximity
Strategy
By combining years of Singles’ Day consumer shopping insights, • Brands can capitalise on proprietary consumer databases
category trends, location data and purchase behavior, the brand Owning the direct customer for enhanced data analysis and efficient message
identified target consumers to drive Alibaba shoppers into relationship is essential to
stores. In-store coupons and price reduction messaging was UNIQLO - and in their offline
delivered programmatically to all consumers who had browsed stores they are able to deliver a
products on competitive sites or had the items in their
truly value-added customer
shopping carts. Couponing incentive value was based on
consumer retail proximity. experience.
Europe
Objectives
To drive store visits and increase related product sales. 15.4% 14%
growth in mix market share
Insight of business increase in Retro Takeaways
Research found that 88% of people who have seen an ad 30 through the Matte lipstick • Brands can capitalise on real-time programmatic outdoor
minutes prior to shopping saw it OOH; and 58% of people claim campaign. YoY opportunities to drive relevant messaging
that seeing a product advertised near purchase locations
increases relevance. • Shopper data can be a powerful tool to drive real-time
POS transactions
We applied digital know-how
Strategy and tactics to OOH by tracking • Localised real-time OOH ads have been shown to drive
purchase conversions
Digital OOH screens featuring video and static images of Mac conversions in store and
Retro Matte lipstick collection, with a text layer containing optimising media according to
purchase location information, were placed in popular malls in
Istanbul. Programmatic DOOH was used to optimise daypart
the effectiveness of variables
messaging and offer delivery using proprietary shopper data from like time, location and creative.
major stores. The in-store performance data was also used to
customise and optimise creative variations and call to action
tactics including as make-up application demonstrations.
THANK YOU