PubCamp 08 - Matt Bateman - Performance Based Advertising

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"Where is the money in online advertising in Australia?" - Matt Bateman (Viva9 / BlueFreeway Group) …

"Where is the money in online advertising in Australia?" - Matt Bateman (Viva9 / BlueFreeway Group)
Performance-Marketing models - Australian Trends in Performance and Affiliate Marketing – where is the money in online advertising in Australia?

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  • 1. Performance-based Advertising Matt Bateman viva9
  • 2. PubCamp 2008 Matt Bateman
  • 3. Performance-based advertising How to make it work for you
  • 4. US Online market turns to performance
    • US Online advertising grew to $21.7 B in 2007 – 26% up vs 2006
    • Lead Generation = approx 7% ($1.5B)
    • Performance deals account for 51% of total online advertising spend!
    Source – IAB Internet advertising revenue report May 2008 Category 2008 2007 CPM or Impression 45% ($9,492) 48%($8,102) Performance Deals 51% ($10,817) 47% ($7,933) Hybrid 4% ($897) 5% ($844)
  • 5. Market Changes in Australia
    • Natural decentralization of Ad Spend online
    • Increasing number of Ad $s going to Search, Ad Networks, and Performance/Affiliate
    • Search spend is often a downstream spend supporting other ad campaigns
    • ‘ Portal’ strategies now being replaced by:
      • Ad Networks (Yahoo7)
      • Ad Exchanges
      • Diversified Performance strategies
    • Increasing sophistication in ad-serving and tracking is enabling agencies and clients to work with multiple networks, smaller publishers
  • 6. First things first – what the hell am I talking about?
    • CPC – Cost Per Click
    • CPL – Cost Per Lead
    • CPA – Cost Per Acquisition
    • CPS – Cost Per Sale
    • CPR – Cost Per Response (or Cardio-Pulmonary Resuscitation)
    • CPM – Cost Per Thousand
    • It really is CPW
    • In the Performance Marketing Space, Results count, and the actual tools are irrelevant
  • 7. Performance Marketing Tracking – how it works
  • 8. Publisher Perspective
    • Concerns over cannibilisation
    • Are you really maximising your inventory in terms of ad spend?
    • House ads should be almost non-existent now
    • Databases and Profiling – how to make the most out of these
    • What’s next?
      • Behavioural Targeting (Valueclick have just announced their first efforts in this space)
      • Consolidation across verticals
  • 9. Key Principles
    • - Pay only when the objective of the campaign has been achieved;
    • - Obtain centralised reporting, tracking and billing across all participating publishers without the need to pay for expensive third party tracking;
    • - Full approval of publishers/websites running the campaign. No Blind Buys.
  • 10. Affiliate Network
  • 11. Case Studies
  • 12. ANZ Cards– Lead Generation Open ended lead generation campaigns for the whole ANZ Credit Card range. Campaigns employ a c ombination of targeted eDM, using quality opt- in databases, and banner placement, through s elected affiliates. Campaign Examples
  • 13. Strawberrynet – Sales Campaign Objective – To drive sales of women’s cosmetics and men’s grooming products Delivery Channel – C ombination of targeted eDM, banner placement and search, through s elected affiliates within the Viva9 network. Affiliates were paid on a Commission basis based on sales. Results – Achieved in excess of $1 million in sales on a monthly basis Campaign Examples
  • 14. Coke Database build
  • 15.
    • THE END
  • 16.