RTB: The Future of Cross Channel
Robin Zieme – VP Global Media
Tina Barnes – VP, Managing Director Adconion Canada
300 YEARS OF MEDIA BUYING

1700s
• Newspaper and magazine media buying
• First direct sales
LAST 150 YEARS OF MEDIA BUYING….

1880s-1930s
• First agency buying
from print and then
radio

1950s
• Television Spots
• ...
LAST 10 YEARS OF MEDIA
BUYING….

ANALYTICS

AD SERVERS

MOBILE
DEVICES

AD NETWORKS
HORIZONTAL

DATA
SUPPLIERS

VERTICAL
C...
10 YEARS OF AD EXCHANGES

2000-2002
•
•
•
•

Overture / Goto Patent
Search marketplace
$2.9BB for Engage
$1.6BB for Overtu...
THE LAST 3 YEARS!
CURRENT STATE OF EXCHANGES

2010-2012

Exchanges broken into 3 CATEGORIES
AGENCIES NEED NEW BUYING METRICS IN A WORLD OF RTB
WHAT IS SO DIFFERENT ABOUT EXCHANGE BUYING?
-

+

500

1 million
WHY CAN RTB BE SO EFFECTIVE?
TOTAL CONVERSIONS

TOTAL CONVERSIONS

250,000
SITES

125
SITES

500
SITES

1 MILLION
SITES
THE EVOLUTION IS NOT LINEAR!

ALL THREE
SHOULD BE
USED IN
PARALLEL BY
EXCHANGES & RTB ON
DIRECT TO
PUBLISHERS AD NETWORKS ...
2012 ESTIMATED STATS FOR EXCHANGES BUYING & RTB
RTB TODAY:
0.5% of advertising is RTB
enabled, bought and sold
$3.00

TOTA...
WHAT DO YOU NEED TO BE GLOBAL PLAYER IN RTB?
RTB BIDDING WORKFLOW
START HERE!!!
COOKIE SYNCH WITH
EXCHANGE

REPORTING
ANALYTICS
INSIGHTS

RECEIVE BID
REQUEST

BID

MAT...
IS IT MAD MEN?
…….OR MATH MEN!!
Impact of NOW - A Multi-Screen World
2005
2013
THE DAY OF THE SINGLE-SCREEN COUCH POTATO IS OVER!

Consumer activity is simultaneous… are we thinking this way?
THE N TH SCREEN WILL MAKE EVERYTHING RTB!
CONSUMERS ARE LIVING IN A REAL-TIME WORLD!
650
THANK YOU!!
Tina.barnes@adconiondirect.com
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Adconion Direct "RTB: The Future of Cross Channel"

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Presented by Robin Zieme, VP Video & Global Media at Adconion Direct, at IAB Canada's X-Series: RTB event in May 2013.

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Adconion Direct "RTB: The Future of Cross Channel"

  1. 1. RTB: The Future of Cross Channel Robin Zieme – VP Global Media Tina Barnes – VP, Managing Director Adconion Canada
  2. 2. 300 YEARS OF MEDIA BUYING 1700s • Newspaper and magazine media buying • First direct sales
  3. 3. LAST 150 YEARS OF MEDIA BUYING…. 1880s-1930s • First agency buying from print and then radio 1950s • Television Spots • First TV upfronts focused on new car models 1990s • Digital media buying begins
  4. 4. LAST 10 YEARS OF MEDIA BUYING…. ANALYTICS AD SERVERS MOBILE DEVICES AD NETWORKS HORIZONTAL DATA SUPPLIERS VERTICAL CUSTOM AD OPERATORS DMPs & AD DATA EXCHANGES AGGREGATOR S TARGETED AD NETWORKS CREATIVE OPTIMIZATIO N YIELD OPTIMIZERS TRADING DESKS RETARGETIN G VIDEO VERIFICATIO N DSP MEDIA PLANNING SHARING DATA SOCIAL TOOLS TABLETS CONNECTED DEVICES
  5. 5. 10 YEARS OF AD EXCHANGES 2000-2002 • • • • Overture / Goto Patent Search marketplace $2.9BB for Engage $1.6BB for Overture SEARCH /CLICK 2003-2004 2005-2006 • Google launches Adsense • SEMs begin programmatic bidding • APIs • Exchanges created Manual Bidding • Display DISPLAY /IMPRESSION AD EX / Bidding 1.0 2008-2009 • RTB bidding starts on SDC/FOX and shortly thereafter – through appnexus RTB / THE USER
  6. 6. THE LAST 3 YEARS! CURRENT STATE OF EXCHANGES 2010-2012 Exchanges broken into 3 CATEGORIES
  7. 7. AGENCIES NEED NEW BUYING METRICS IN A WORLD OF RTB
  8. 8. WHAT IS SO DIFFERENT ABOUT EXCHANGE BUYING? - + 500 1 million
  9. 9. WHY CAN RTB BE SO EFFECTIVE? TOTAL CONVERSIONS TOTAL CONVERSIONS 250,000 SITES 125 SITES 500 SITES 1 MILLION SITES
  10. 10. THE EVOLUTION IS NOT LINEAR! ALL THREE SHOULD BE USED IN PARALLEL BY EXCHANGES & RTB ON DIRECT TO PUBLISHERS AD NETWORKS EXCHANGES BUYERS Sites Homepages Sponsorships Audience Demos Psychos Behaviors Re-Targeting Cookies Users Retargeting Cookies Source [2011 AMG industry estimates]
  11. 11. 2012 ESTIMATED STATS FOR EXCHANGES BUYING & RTB RTB TODAY: 0.5% of advertising is RTB enabled, bought and sold $3.00 TOTAL $2.70? $160 BB Average Estimated RTB CPM $2.00 [3.9% GROWTH] $1.35 $1.00 ONLINE $0.33 $26 BB [10% GROWTH] EXCHANGES $1.4 BB [50% GROWTH] 2009 2012 2015 RTB $800 MM [ESTIMATE] Source: Emarketer, Forrester, AMG Industry Interviews
  12. 12. WHAT DO YOU NEED TO BE GLOBAL PLAYER IN RTB?
  13. 13. RTB BIDDING WORKFLOW START HERE!!! COOKIE SYNCH WITH EXCHANGE REPORTING ANALYTICS INSIGHTS RECEIVE BID REQUEST BID MATCH CAMPAIGN &PREDICT BID PLACE BID WIN/LOSE Millions of times for Every BLINK! TRACK CLICKS /CONVERSIONS SERVE THE AD! WRITE BACK DATA UPDATE MODEL
  14. 14. IS IT MAD MEN? …….OR MATH MEN!!
  15. 15. Impact of NOW - A Multi-Screen World
  16. 16. 2005 2013
  17. 17. THE DAY OF THE SINGLE-SCREEN COUCH POTATO IS OVER! Consumer activity is simultaneous… are we thinking this way?
  18. 18. THE N TH SCREEN WILL MAKE EVERYTHING RTB!
  19. 19. CONSUMERS ARE LIVING IN A REAL-TIME WORLD!
  20. 20. 650
  21. 21. THANK YOU!! Tina.barnes@adconiondirect.com

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