Adobe Flash And Advertisement


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Review of the current text based advertisement market and the challanges it encounters in mobile and TV based Internet.
Adobe answer to those challanges

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  • Creates privacy concerns
  • Better Targeting Not just age/gender groups All Around 360 Degrees On mobile, Web & TV One medium compliments the other View on TV / Mobile Purchase on web Optimize ROI Require statistics
  • Per JP Morgan report (11/2008): 2009 RPS = $36.71 2009 RPM = $1.06
  • Per JP Morgan (11/2008) & NetCraft (2/2009): 2004 PV’s/website/yr = ~200k 2008 PV’s/website/yr = ~95k
  • Adobe Flash And Advertisement

    1. 2. <ul><li>We’ll start with Incentives </li></ul><ul><ul><li>Why is that important? </li></ul></ul><ul><li>Leave the agenda ! </li></ul>
    2. 3. <ul><li>Last week two Israeli companies were selected to present at the world Innovation forum (out of 26) </li></ul><ul><li>Teva? Partner? Shtraus </li></ul><ul><li>In Bio-technology ? Nano- Technology? Solar Power? </li></ul><ul><li>Congratulations to </li></ul>
    3. 4. <ul><li>The text based advertisement world </li></ul><ul><li>M&A in “Standard Ad world” </li></ul><ul><li>New marketing trends </li></ul><ul><li>Flash Trends </li></ul><ul><li>Analytics as the key </li></ul><ul><li>New Video advertisement trends </li></ul>
    4. 5. <ul><li>Effective Advertisement goes beyond selling a product: </li></ul><ul><ul><li>Connect you with your audience </li></ul></ul><ul><ul><li>Makes lots of $$$$$ </li></ul></ul><ul><ul><li>Make you the president of the USA </li></ul></ul><ul><ul><li>And much more…. </li></ul></ul>
    5. 7. <ul><li>How it works? </li></ul>
    6. 9. Advertisers Publishers Ad networks Media buying agency Ad agency Big internet companies Behavioral targeting companies
    7. 10. <ul><li>Advertisers </li></ul><ul><ul><li>Need: Wants to convey a message </li></ul></ul><ul><ul><li>Coca-Cola, Nike </li></ul></ul><ul><li>Publishers </li></ul><ul><ul><li>Need: Revenues from digital assets </li></ul></ul><ul><li>Agencies </li></ul><ul><li>Technology Vendors </li></ul><ul><ul><li>Need: tame technology to improve advertisement by behavioral targeting, better ads, ad optimization </li></ul></ul><ul><li>You ! </li></ul>
    8. 11. <ul><li>Demand Side </li></ul>Advertiser Campaign Banner Supply-side Publisher Website Zone How to Link?
    9. 12. <ul><li>Quicksoft wants to post ad about Flash products in relevant sites(Yossi’s blog) </li></ul><ul><ul><li>Advertiser – Quicksoft (AdWords) </li></ul></ul><ul><ul><li>Publisher – Yossi’s Blog (AdSense) </li></ul></ul><ul><ul><li>Ad-network Google </li></ul></ul>
    10. 13. <ul><li>WPP - 24/7 </li></ul><ul><li>Google – DoubleClick – 3B$ </li></ul><ul><li>Microsoft- aQuantive 6B$ </li></ul><ul><li>Yahoo – Overture 1.6B </li></ul><ul><li>AOL – Quigo 300M$ </li></ul>
    11. 14. <ul><li>There are three types of online advertising networks: </li></ul><ul><ul><li>Representative Networks </li></ul></ul><ul><ul><li>Blind Networks </li></ul></ul><ul><ul><li>Targeted Networks </li></ul></ul>
    12. 15. <ul><li>They represent the publications in their portfolio, with full transparency for the advertiser about where their ads will run. </li></ul><ul><li>They typically promote high quality traffic at market prices and are heavily used by brand marketers. The economic model is generally revenue share. </li></ul><ul><li>Example: Quigo </li></ul>
    13. 16. <ul><li>These companies offer low pricing to direct marketers in exchange for those marketers relinquishing control over where their ads will run </li></ul><ul><li>Blind networks achieve their low pricing through large bulk buys of typically remnant inventory combined with campaign optimization and ad targeting technology. </li></ul>
    14. 17. <ul><li>Sometimes called “next generation” or “2.0” ad networks, these focus on specific targeting technologies such as behavioral or contextual </li></ul><ul><li>Targeted networks specialize in using consumer click stream data to enhance the value of the inventory they purchase </li></ul>
    15. 18. <ul><li>Behavioral Targeting </li></ul><ul><li>Using a profile of prior behavior on the part of the viewer to determine which ad to show during a given visit. For example, targeting car ads on a portal to a viewer that was known to have visited the automotive section of a general media site. </li></ul><ul><li>Example : Tacoda & BlueLithium </li></ul>
    16. 20. <ul><li>The advertising network serves advertisements from its ad server, which responds to a site once a page is called. </li></ul><ul><li>A snippet of code is called from the ad server, that represents the advertising banner. </li></ul><ul><li>In most cases, ad networks deliver their content through the use of a central ad server </li></ul>
    17. 22. <ul><li>Free </li></ul><ul><ul><li>Start using before you get rich </li></ul></ul><ul><li>Feature rich </li></ul><ul><ul><li>Carry on using us as you get more sophisticated </li></ul></ul><ul><li>Customizable </li></ul><ul><ul><li>OpenX fits to your business – not the other way round </li></ul></ul><ul><ul><li>Adaptable solution for a changing industry </li></ul></ul><ul><li>Independent </li></ul><ul><ul><li>Not a publisher: not a competitor </li></ul></ul><ul><ul><li>Unwise to rely on a single provider / ad network / ad server / analytics / complete platform (Google / Yahoo)? </li></ul></ul>
    18. 23. <ul><li>What can we learn? </li></ul>
    19. 24. <ul><li>Campaign all around </li></ul><ul><li>Social networks API are fragmented </li></ul><ul><li>Statistic interfaces are proprietary per network </li></ul>
    20. 25. <ul><li>Advertisement is not one-way (watch only) </li></ul><ul><li>Effective advertisement is two way with call-to-action </li></ul><ul><li>=Twitter </li></ul>
    21. 26. <ul><li>Mobile market is fragmented with a variety of operating systems and phone types: </li></ul><ul><ul><li>Symbian </li></ul></ul><ul><ul><li>Blackberry </li></ul></ul><ul><ul><li>iPhone </li></ul></ul><ul><li>Currently the only solution is create different application for each device </li></ul>
    22. 27. <ul><li>Advertisement should be: </li></ul><ul><ul><li>Cross Social-Network </li></ul></ul><ul><ul><li>Cross Platform (Web, TV, Mobile) </li></ul></ul><ul><ul><li>Measure, Analyze and Optimize </li></ul></ul><ul><li>Can you do it with 0.5B$ budget? </li></ul>
    23. 29. Dynamic Content Media Rich Content Personalized web Mobile Web Social Networks Widgets Meshups
    24. 30. ROI 360 Degrees Triple Screen Targeting Personalization Unified Measurement- Analytics techniques Social Advertisement Two way Advertisement
    25. 33. <ul><li>ROI - Return on Investment </li></ul><ul><li>How much to spend? </li></ul><ul><li>On which channel? </li></ul><ul><li>Which tools? </li></ul><ul><li>Which advertisement / application is more effective? </li></ul><ul><li>On which market segment? </li></ul><ul><li>The key to understanding ROI is analytics </li></ul>
    26. 34. <ul><li>Google Buys Ad-Mob for 700M$ </li></ul>
    27. 35. <ul><li>Go beyond Text ads </li></ul><ul><li>Customize Ads view (not just ad text) based on viewer </li></ul><ul><li>Requires interfacing / knowledge with: </li></ul><ul><ul><li>behavioral targeting </li></ul></ul><ul><ul><li>Understanding in Flash creation </li></ul></ul>
    28. 38. Consumer Activity Economic Value $55.1B Globally in 2009 Source : JP Morgan (11/2008) Globally in 2009 All Else All Else Search Search
    29. 39. And, Advertisers struggle to reach their target customers. . . <ul><li>Source : </li></ul><ul><li>JP Morgan (11/2008) </li></ul><ul><li>Net Craft (2/2009) </li></ul>Explosion of Supply (70% growth in impressions over last 5 yrs.) (1) Fragmentation of Supply (300%+ growth in websites over last 5 yrs.) (2) Ambiguous or invisible consumer intent Brand Association Concerns Business Model/Value Chain Complexity
    30. 40. <ul><li>Audience value increasingly important </li></ul><ul><li>Web-wide audience measurement </li></ul>
    31. 41. <ul><li>Basic Data (Demo, Geo, etc.) </li></ul><ul><li>Rich Data (Behavior, Transaction, etc.) </li></ul>
    32. 42. Markets/Exchanges Ad Networks BID $5.25 Autos Kite Boarding Home Loan Local Autos Travel Cameras Local Autos Home Loan Bicycles Bicycles Travel Cameras BID $9.50 BID $1.70 BID $0.80
    33. 43. <ul><li>Targeted </li></ul><ul><li>Personalized </li></ul><ul><li>Customizable </li></ul>
    34. 44. <ul><li>Unified system for: </li></ul><ul><ul><li>Rich internet advertisement creation </li></ul></ul><ul><ul><li>User action tracking, Analytics & Optimization </li></ul></ul>
    35. 46. <ul><li>Flash Mobile phone </li></ul><ul><ul><li>Symabian phone (Flash lite 3) </li></ul></ul><ul><li>Quick porting iPhone application (CS5) </li></ul><ul><ul><li>No need for expensive iPhone developers </li></ul></ul><ul><li>Flash works on most of the smartphone </li></ul>
    36. 47. <ul><li>Unified Experience on all screens with Adobe… </li></ul><ul><li>Working with leading mobile, embedded and PC vendors </li></ul><ul><li>Nokia & Adobe funding development projects </li></ul>
    37. 48. <ul><li>Adobe + Gigya </li></ul><ul><li>Flash Widget Analytics system </li></ul><ul><li>“ I look at this as Gigya's being the Intel Inside ,&quot; said Yovanno (gigya’s CEO). A layer of analytics is also built into the software to track user activity </li></ul><ul><li>While widgets are a form of advertising, &quot; these things are not banners, they're mini-Web sites ,&quot; said Yovanno. The analytics piece &quot; is like embedding Hitwise or Omniture into your Web site .&quot; </li></ul>
    38. 49. <ul><li>In order to create a complete platform which not just generate the ad but also monitor its use and optimize it we need Analytics </li></ul><ul><li>Hence Adobe buys Omniture </li></ul>
    39. 51. <ul><li>Pop-up </li></ul><ul><ul><li>Pop-up blockers, very intrusive </li></ul></ul><ul><li>Banners </li></ul><ul><li>Rich Media Ads </li></ul><ul><ul><li>Tumri </li></ul></ul><ul><li>Video Ads </li></ul><ul><ul><li>Pre-Post Roll </li></ul></ul><ul><ul><li>Overlay </li></ul></ul><ul><ul><ul><li>Lower edge of frame </li></ul></ul></ul><ul><ul><ul><li>Inside video </li></ul></ul></ul>
    40. 52. <ul><li>Flash ads </li></ul><ul><li>Customized to user and offering </li></ul><ul><li>Important – Tumri was bought by Google last week </li></ul>
    41. 53. <ul><li>Pre/Post Roll on VideoEgg </li></ul>Post Roll Who waits for post rolls?
    42. 54. <ul><li>Most Common Video advertisement method </li></ul><ul><li>Used by YouTube </li></ul>
    43. 55. <ul><li>Great user experience </li></ul><ul><li>Requires pixel level accuracy and synchronization </li></ul><ul><li>Currently done offline </li></ul><ul><li>Examples </li></ul><ul><ul><li>Seambi </li></ul></ul>
    44. 56. <ul><li>Detects non-disturbing video areas (offline) </li></ul><ul><li>Areas selection </li></ul><ul><li>Selecting the ad online based on optimization techniques </li></ul><ul><li>Improvement of bottom box technique </li></ul>
    45. 58. <ul><li>Might be UGC based </li></ul><ul><li>Examples </li></ul><ul><ul><li>YouTube layers </li></ul></ul><ul><ul><li>Asterpix </li></ul></ul><ul><ul><li>MediAnd </li></ul></ul>
    46. 59. <ul><li>Each company provides API </li></ul><ul><li>Separate integration with each publisher </li></ul><ul><li>No unified API for video plug-ins </li></ul><ul><li>Till now…. </li></ul>
    47. 60. <ul><li>Open Streaming Media Framework </li></ul><ul><li>Open Source Media Framework (OSMF) is an open software framework for building robust, feature rich video players and applications based on the Adobe® Flash® Platform. </li></ul>
    48. 62. <ul><li>Live advertisement created from site materials and streams (RSS) </li></ul><ul><li>Support for flash ads </li></ul>
    49. 63. <ul><li>Enables interactive video advertisement </li></ul><ul><li>Overlay technology </li></ul><ul><li>Personal targeting </li></ul><ul><li>Rich Statistics </li></ul>
    50. 64. <ul><li>Show Innovid Video </li></ul>
    51. 65. <ul><li>EyeBlaster </li></ul><ul><li>MediAnd </li></ul><ul><li>PlyMedia </li></ul>