Introduction to rtb and retargeting

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  • 1. Introduction to RTB and Retargeting 淺談即時廣告競標及重⾏行銷廣告 cacaFly - 陸振恩 Popcorny (Pop)
  • 2. About me §  Experience •  98~02 交大資科系 •  02~04 交大資科所 分散式實驗室 •  05~10 MediaTek •  11~13 SmartQ •  13~ cacaFly •  Skills •  Java •  MSSQL/MySQL/MongoDB •  iOS •  Android •  Contact me •  FB: http://fb.me/popcornylu •  Email: popcorny@cacafly.com 2
  • 3. cacaFly Milestones 2006 Founded in NCTU funP.com -the leading Social Media 2009 cacaFly - the first company providing social media marketing service in Taiwan. 2011 cacaFly has partnered with Facebook to be the only authorized advertisement reseller in Taiwan 2012 cacaFly started a new division to manage small and medium businesses in Taiwanese market. 2013 cacaFly become the excusive advertisement reseller of Microsoft in Taiwan 3
  • 4. Roles in Advertisement Advertiser •  Brand Name •  Government •  Individuals Advertiser Agency Media Agency Media / Publisher •  Television •  Radio •  Newspaper •  Magazine •  Outdoor •  Web Site •  App Buy Side Sell Side 4
  • 5. source5
  • 6. Online Advertisement IAB Standard Size 6
  • 7. Advertisement Steps Action Sales, Install, Fans, Click User click the banner Impression Ad is shown on banner Click Through Rate (CTR) = Clicks / Impressions Conversion Rate (CR) = Actions/ Clicks 7
  • 8. Pricing Model §  Cost Per Milli (thousand) impression - CPM §  Cost per Click - CPC §  Cost per Action - CPA 8
  • 9. How to measure the performance? Advertiser ROI Publisher Profit Effective CPC (eCPC) = Total Cost / Clicks Effective CPA (eCPA) = Total Cost / Actions Effective CPM(eCPM) = Total Earn / Thousand Impression 9
  • 10. Online Advertisement PublisherAdvertiser Ad Server Sell Ad 10
  • 11. Online Advertisement PublisherAdvertiser Buy Ad Ad Server 11
  • 12. Web SiteAdvertiser Web Site Web Site Publisher Advertiser Advertiser Advertiser Advertiser Publisher Contact with every websites? Approach to each advertiser? 12
  • 13. Ad Network Ad Network Advertiser Buy Ad Advertiser Advertiser Advertiser Web Site Request Ad 13 Web Site Web Site Web Site
  • 14. Ad Network Problems §  Imbalance of demand and supply §  User base §  Limited target §  Solution •  AD Exchange 14
  • 15. Ad Exchange Ad Exchange Buy Ad Request Exchange Publisher Demand Side Platform (DSP) Supply Side Platform (SSP) Advertiser Buy Ad Request Ad 15
  • 16. Ad Exchange §  SSP delegate ad exchange to sell ad §  DSP bid ad from exchange §  Behave like the stock exchange §  Bidding Mechanism •  Bulk buy by target •  Real-Time Bidding 16
  • 17. Real-Time Bidding §  Bid for every single impression §  Second Price Auction §  Response in 100ms or less. 17
  • 18. Real-Time Bidding Ad Exchange DSP AdvertiserSSP 1. Ad Request 2. Request Ad exchange 3. Send to all DSPs 4. Bid or no bid If bid, response the ad data and price 5. Response the ad data 6. Render the ad 8. Send the impression pixel 9. User click 10. Link to the click URL 11. Redirect to the landing page 7. Notice win and win price 18
  • 19. Second Price Auction Ad Exchange $0.2 DSP 1 No Bid DSP 2 $0.3 DSP 3 $0.25 DSP 4 No Bid DSP 5 Ad Exchange $0.3 $0.25 DSP 3 19
  • 20. Targeting 20
  • 21. Targeting §  Target the Ads to the effective audience group. §  By demographics, geographic, devices, behavior §  How to know about customer? •  Contextual Targeting •  Behavioral Targeting 21
  • 22. Targeting Wikipeida Targeted Advertising 22
  • 23. Targeting •  Analyze the keyword or attributes of the web page. •  Keyword Ads. Contextual Targeting •  Track the audience behavior. •  Use cookieBehavioral Targeting 23
  • 24. Contextual Targeting AdSense 24
  • 25. Behavioral Targeting Amazon 25
  • 26. Retargeting §  Remarketing §  A type of behavioral targeting §  Basic idea is §  The users have once visit your website have more chance to revisit your website again. §  The consumers have once navigate one product have more chance to buy this product. 26
  • 27. Retargeting AdRoll 27
  • 28. Retargeting by Ad Network EC site (Adverstiser Ad Network pop-travel.com pop-ad.com 1. Visit your site 3. Request tag 5. Set cookie (domain: pop-ad.com) Cookie Table 2. Render retargeting tag 4. Store cookie for this tag Tracking an user 28
  • 29. Retargeting by Ad Network EC site (Adverstiser Ad Network pop-travel.com pop-ad.com 6. User revisit to your site 3. Request Ad with cookie 5. Render the ad for this campaign Cookie Table Other site (Publisher) pop-forum.com 1. Visit another site 2. Render ad network tag 4. Find retargeting campaign matching this user. Retarget an user 29
  • 30. Retargeting §  What’s the problem? §  Supply, Supply Supply §  Solution is? §  Ad Exchange with RTB §  Another problem is how about cookie domain? §  Cookie Matching §  Who provides this solution? 30
  • 31. Cookie Matching (Track an user) Ad Exchange (pop-ex.com) DSP (pop-dsp.com) Advertiser (pop-travel.com) 1. Visit your website 2. Return web page with DSP retargeting tag 5. Set cookie and redirect to ad exhange 3. Request retargeting tag (http://pop-dsp.com/cm?seg=27) 4. Store the cookie id for this tag set-cookie: id=abc 8. 1x1 invisible pixel 6. Redirected by DSP (http://pop-ex.com/cm?dspid=pop&id=abc) 7. Store the cookie id for this tag set-cookie: pop-id=abc 31
  • 32. Cookie Matching Cookie: id=abc pop-dsp.com Cookie: pop-id=abc pop-ex.com 32
  • 33. Cookie Matching (Retarget an User) Ad Exchange (pop-ex.com) DSP (pop-dsp.com) Publisher (xyz.com) 1. Visit other website 2. Return web page with AdExchange ad 7. Render my retargeting ad 3. Request Ad 4. Bid Request with id=abc 5. Look up ‘abc’ from the database and find there is a retargeting ad matches. 6. Bid with high price Advertiser (pop-travel.com) 8. Link to my site 33
  • 34. Recap §  Buy side to sell side §  Online advertisement §  Pricing model and measurement §  AdServer, AdNetwork, AdExchange §  Real-Time Bidding §  Targeting §  Contextual targeting §  Behavioral targeting §  Retargeting §  Retargeting using RTB 34
  • 35. Ecosystem LUMA 35
  • 36. Thanks Q & A