Good Morning Digiday Retail 2014 and thanks to Tony for the intro.
I am here to take you through a few best practices we have identified for retailers looking to make the move to transparent programmatic marketing. But first I think it is worth acknowledging that this group, the e-retailers among us especially, were some of the pioneers in programmatic,
as soon as you chose a dynamic retargeter with an algorithm at its core, you were leveraging programmatic, as soon as you realized that you would get better results allowing this retargeter to use a recommendation engine to show products in that banner you had adopted an element of programmatic.
Take a further step back and look at your search campaigns, again one of the earliest versions of programmatic.
Have your tech setup match the user experience. Your shopper doesn’t care if the :15 second spot they saw on Hulu was intended only for branding purposes – if it impacts their propensity to buy you need to follow them down the funnel
2. Internal teams – does the branding team know there is a cookie pool of sometimes shoppers that can be used to target their new video spot?
3. Agencies – A good agency is only going to become more important, especially as they bring trading experience into their media teams. The last thing you want to do is not take their part of the plan into your overall data strategy
So how do you take advantage of the big data opportunity, and do so at scale? How to you harness the power of programmatic media buying to identify new customers and uncover new opportunities with your current ones?
BREAK DOWN THE SILOS
I can’t emphasize this enough. Just as important as paying attention to your consumers, is taking a close look at your colleagues and how you interplay within the larger infrastructure. The design of internal teams directly impacts the value you will be able to extract from programmatic buying and data decisions.
Even if display, social, search, email are all communicating, but you are each using a different technology platform, activating different analytics, then there is a lack of synergy, a lack of efficiency and a missed opportunity with your consumers.
<<input line about offline and online>>
I’m not asking you to go home after this conference and be able to reorganize your entire organization. But I am urging you to take a closer look at the alignment of marketing across the organization. Some questions to help you determine where your organizations should focus include:
Is traditional marketing connected to digital marketing?
Are you aware of your colleagues goals and, more importantly, are you working towards the same goals as them?
How do you operate internally around data and technology?
Are you sharing a technology platform?
Are you looking at the same data?
Who is dictating what data is smart data – and how to utilize that data?
By simply taking their retargeting, Prospecting, Mobile, FBX & email via epsilon and running it through a single platform and applying:
Universal Frequency Capping Ad Collision Avoidance – where we stop more than one ad appearing on the same page Always on campaigns supplemented by seasonal premium buys Full Audience View – Our pixel free solution that allowed for every user that visited the site to be addressed appropriately
20% lift in web traffic 6% in over all conversions 14% increase in AOV
Normalized YoY – so these results came effectively with no incremental spend!
The thing about that case study is it only addresses ecomm activity (6.2% according to May census data)
To truly live up to the potential that programmatic has to offer we need to consider the user experience beyond the 2D world that is eComm.
This leaves 93% of the cash still going through a register.
Many other elements of programmatic marketing can be approached with these two roles acting on their own but this last opportunity requires a real friendship1
Lets consider how we can impact this opportunity.
This is the area we believe shows the most potential for growth, to finally close the loop on online to instore, to talk to consumers when and how they want while producing the results retailers need to justify the effort
Vs same time last year - comscore
Up 8% Quarter on Quarter according to comScore
- $1.8 Trillion according to forrester.
So now our CMO & CIO are all buddy – buddy what else to we need to do make the most of this game changing opportunity
When I moved from the agency space to ad tech nearly 6 years ago now, I genuinely expected that consolidation was inevitable – the lumascape couldn’t look any crazier..
Now we have 6 of them, each more dense than the last.
Where did I go wrong? Best in class point solutions will always fragment the market and the larger enterprise solutions will be less inclined to ride the bleeding edge.
So, when we consider number 3
Put Your Core Technology at the Center
If we are to break down the silos as suggested in the first best practice, from a tech perspective there is only one way to do it – have a single hub for this technology sitting at the center of your business is crucial.
This doesn’t mean having to entrust all elements to a single vendor, far from it. Actually in the case of MediaMath we are integrated with over 240 partners, many of whom are sitting here.
Let me give you an example of how this multivendor programmatic harmony can look:
Convertro Closed loop attribution
Retargeting was not part of this campaign
Native beyond FBX & Twitter - Bidtellect Connected TV Digital Out of Home Addressable TV
Programmatic media buying is still a young strategy and as it grows, so will you have to – leave room to adjust and be flexible within your organization.
And, you can’t have a conversation about programmatic without Big data
Connection btwn programmatic and big data – picking up steam b/c of data available…
Big data was one of the hottest trends in 2013. Brands have been collecting as much data as possible. Industry innovators and thought leaders shared tips and best practices and predictions about its impact and explained to you WHY it was important – myself included. So I’m not going to stand here today and tell you that you should leverage the first and third party data available to you to drive marketing performance. I know that you have all heard that countless times before.
You know that for retail marketers like yourselves, it’s particularly valuable because it helps predict shopper behavior which enables truly personalized experiences. It provides information about the behavior, history, and whereabouts of consumers so you can capture and engage them at the right time – with the right message. Data enables retailers to implement dynamic pricing, personalized recommendations, shopper-specific discounts, and more.
And yes, we at MediaMath, believe data harnesses the power for smarter decisions and customer engagement with your brand. And we think that it is time for marketers to understand the tools their agencies and teams use and take control of the data inputs/outputs.
But more often than not, we learn that organizations know that they should be using data, have so much available to them and from a number of disparate sources.
You understand its potential, but you aren’t sure exactly sure what to do with it and HOW to make it work for organization.
2014 – right now, in fact – is when to learn the HOW; to learn how to set yourselves and your organizations up for success. It’s not enough to just activate data insights on a one-off campaign basis, but it is necessary to align the entire process of marketing, to build a customer-centric marketing program, and optimize towards bigger business goals. And the discipline of marketing is only going to
Make 2014 the year of HOW. I am not going to bombard you with a list of 10 steps you have to follow to make this happen – but rather provide you with what I think are the two most critical first steps to setting yourself up for programmatic success.
For data activation to work well and at scale across the marketplace, marketing organizations need a platform – an Operating System – that enables them to approach digital media strategies in a programmatic and holistic way – one that lets you connect to the greater ecosystem. A solution that is flexible and helps marketers connect with the data, media, channel and technology partner that is most suitable for their needs.
The Programmatic Journey: Marketing Against Goals, Not Guesses from DRS, 7.28.14
sales to reach:
$1.8 trillion by 2017!
Up from $1.3 trillion in 2013
“With the proliferation of channels and growing
number of devices used by any one consumer,
advertisers are increasingly seeking an efficient
central operating system to manage all of their
multichannel advertising strategies and activate
their data to grow their marketing ROI.”
Understanding What Works: leveraging
advanced attribution at every bid decision
28% increase in