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Olly Down's presentation at Seattle Interactive Conference 2011.

Olly Down's presentation at Seattle Interactive Conference 2011.

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  • 1. Moneyball How buying by “On Base Percentage”rather than “RBIs” drives results in Display Advertising Olly Downs Consulting Chief Scientist, AdReady 1
  • 2. THE ART OF WINNINGAN UNFAIR GAME 2002 New York Yankees 2002 Oakland Athletics 2
  • 3. THE ART OF WINNINGAN UNFAIR GAME $125,000,000 $41,000,000 2002 New York Yankees 2002 Oakland Athletics 2
  • 4. WHY? BASEBALL & DIGITAL ADVERTISING Baseball Digital Advertising Runs ActionsGoal (more than opponent) (more than alternative)Asset Players Media / DataBudget Player Salaries Media Purchased 9 InningsConstraint Campaign Duration (27 outs) 3
  • 5. WHY? BASEBALL & DIGITAL ADVERTISING Baseball Digital Advertising RBI (runs-batted-in) How to Evaluate eCPC / eCPA OBP (on-base-percentage)The Premium Strategy A-Rod Home Pages / Sponsorships The Non-Obvious Find Undervalued Talent/Use Different Find Undervalued, Strategy Metrics Non-Obvious Sites/Segments Pick More Mature Players or Identify Intelligently Initialize and/or Quickly Adapt/ Commonalities of Younger Players with Optimize Campaign Parameters Known Players 4
  • 6. MONEYBALLSTRATEGY 5
  • 7. MONEYBALLSTRATEGY• We might want to buy runs, but we benefit from players who get on base • Purchase Established Players based on different metrics – OBP vs. HR • Selectively draft College Baseball players rather than High School Players – stable statistics • Buying High School Players, look for similarities with mature players who have the right metrics 5
  • 8. MONEYBALLSTRATEGY• We might want to buy runs, but we benefit from players who get on base • Purchase Established Players based on different metrics – OBP vs. HR • Selectively draft College Baseball players rather than High School Players – stable statistics • Buying High School Players, look for similarities with mature players who have the right metrics 5
  • 9. MONEYBALLSTRATEGY• We might want to buy runs, but we benefit from players who get on base • Purchase Established Players based on different metrics – OBP vs. HR • Selectively draft College Baseball players rather than High School Players – stable statistics • Buying High School Players, look for similarities with mature players who have the right metrics• It’s been 9 years since the Oakland A’s incredible season • Moneyball principles have garnered significant adoption across MLB • BUT inefficiencies still exist 5
  • 10. THE “EFFICIENT FRONTIER”BASEBALL 100% Signing Probability 50% Salary Offered 0% 6
  • 11. THE “EFFICIENT FRONTIER”BASEBALL What at least one other team is willing to pay 100% Signing Probability 50% Salary Offered 0% 6
  • 12. THE “EFFICIENT FRONTIER” WBASEBALL 100% Signing Probability 50% Salary Offered 0% 6
  • 13. EFFICIENT FRONTIERHIGH-COST, HIGH PERFORMANCE PLAYERS 7
  • 14. EFFICIENT FRONTIERHIGH-COST, HIGH PERFORMANCE PLAYERS • Top 10 players Players by Salary Team Salary Alex Rodriguez New York Yankees $32,000,000 • By 2011 Salary Vernon Wells Los Angeles Angels $26,642,857 CC Sabathia New York Yankees $24,285,714 Mark Teixeira New York Yankees $23,125,000 Todd Helton Colorado Rockies $20,275,000 Miguel Cabrera Detroit Tigers $20,000,000 Roy Halladay Philadelphia Phillies $20,000,000 Ryan Howard Philadelphia Phillies $20,000,000 Alfonso Soriano Chicago Cubs $19,000,000 Carlos Lee Houston Astros $19,000,000 7
  • 15. EFFICIENT FRONTIERHIGH-COST, HIGH PERFORMANCE PLAYERS • Top 10 players Players by AVG Team Salary Skip Schumaker St Louis Cardinals $2,750,000 • By 2011 Salary Jimmy Rollins Philadelphia Phillies $8,500,000 • By 2011 Batting Average Chase Utley Philadelphia Phillies $15,285,714 Jorge Posada New York Yankees $13,100,000 Brett Gardner New York Yankees $529,500 Ryan Braun Milwaukee Brewers $4,287,500 Kelly Shoppach Tampa Bay Rays $3,000,000 David Freese St Louis Cardinals $416,000 Chris Young Arizona Diamondbacks $5,200,000 Magglio Ordonez Detroit Tigers $10,000,000 7
  • 16. EFFICIENT FRONTIERHIGH-COST, HIGH PERFORMANCE PLAYERS • Top 10 players Players by HR Team Salary Jose Bautista Toronto Blue Jays $8,000,000 • By 2011 Salary Matt Kemp Los Angeles Dodgers $7,100,000 • By 2011 Batting Average Mark Reynolds Baltimore Orioles $5,333,333 Dan Uggla Atlanta Braves $9,146,942 • By 2011 Home Runs Mike Stanton Florida Marlins $416,000 Jacoby Ellsbury Boston Red Sox $2,400,000 Jay Bruce Cincinnati Reds $2,791,667 Michael Morse Washington Nationals $1,050,000 Paul Konerko Chicago White Sox $12,000,000 Troy Tulowitzki Colorado Rockies $5,500,000 7
  • 17. EFFICIENT FRONTIERHIGH-COST, HIGH PERFORMANCE PLAYERS • Top 10 players Players by OBP Team Salary Jose Bautista Toronto Blue Jays $8,000,000 • By 2011 Salary Matt Kemp Los Angeles Dodgers $7,100,000 • By 2011 Batting Average Mark Reynolds Baltimore Orioles $5,333,333 Dan Uggla Atlanta Braves $9,146,942 • By 2011 Home Runs Mike Stanton Florida Marlins $416,000 • By On Base Percentage Jacoby Ellsbury Jay Bruce Boston Red Sox Cincinnati Reds $2,400,000 $2,791,667 Michael Morse Washington Nationals $1,050,000 Paul Konerko Chicago White Sox $12,000,000 Troy Tulowitzki Colorado Rockies $5,500,000 7
  • 18. EFFICIENT FRONTIERHIGH-COST, HIGH PERFORMANCE PLAYERS • Top 10 players Players by OBP Team Salary Jose Bautista Toronto Blue Jays $8,000,000 • By 2011 Salary Matt Kemp Los Angeles Dodgers $7,100,000 • By 2011 Batting Average Mark Reynolds Baltimore Orioles $5,333,333 Dan Uggla Atlanta Braves $9,146,942 • By 2011 Home Runs Mike Stanton Florida Marlins $416,000 • By On Base Percentage Jacoby Ellsbury Jay Bruce Boston Red Sox Cincinnati Reds $2,400,000 $2,791,667 Michael Morse Washington Nationals $1,050,000 Paul Konerko Chicago White Sox $12,000,000 Troy Tulowitzki Colorado Rockies $5,500,000 • Optimizing these metrics and combinations of them at all costs is great if you don’t have a constrained budget… 7
  • 19. EFFICIENT FRONTIERHIGH-PERFORMANCE PER DOLLAR PLAYERS 8
  • 20. EFFICIENT FRONTIERHIGH-PERFORMANCE PER DOLLAR PLAYERS• Now let’s look at the Top 10 Players per $ against the same metrics• Top 10 batters Per $ Players by AVG/$ Team 2011 Salary David Freese St Louis Cardinals $416,000 • By 2011 Batting Average Ryan Roberts Arizona Diamondbacks $423,500 Brett Gardner New York Yankees $529,500 Jason Jaramillo Pittsburgh Pirates $422,500 Jason Donald Cleveland Indians $423,200 Don Kelly Detroit Tigers $423,000 Lucas Duda New York Mets $414,000 Starlin Castro Chicago Cubs $440,000 Emilio Bonifacio Florida Marlins $425,000 Jason Bourgeois Houston Astros $423,000 8
  • 21. EFFICIENT FRONTIERHIGH-PERFORMANCE PER DOLLAR PLAYERS• Now let’s look at the Top 10 Players per $ against the same metrics• Top 10 batters Per $ Players by HR/$ Team 2011 Salary Mark Trumbo Los Angeles Angels $414,000 • By 2011 Batting Average Mike Stanton Florida Marlins $416,000 • By 2011 Home Runs Andrew McCutchen Pittsburgh Pirates $452,500 Neil Walker Pittsburgh Pirates $437,000 Carlos Santana Cleveland Indians $416,600 J.P. Arencibia Toronto Blue Jays $417,400 Freddie Freeman Atlanta Braves $414,000 Gaby Sanchez Florida Marlins $431,000 Logan Morrison Florida Marlins $414,000 Danny Valencia Minnesota Twins $437,500 8
  • 22. EFFICIENT FRONTIERHIGH-PERFORMANCE PER DOLLAR PLAYERS• Now let’s look at the Top 10 Players per $ against the same metrics• Top 10 batters Per $ Players by OBP/$ Team 2011 Salary David Freese St Louis Cardinals $416,000 • By 2011 Batting Average Allen Craig St Louis Cardinals $414,000 • By 2011 Home Runs A.J. Ellis Los Angeles Dodgers $421,000 Lucas Duda New York Mets $414,000 • By 2011 On Base Percentage Jason Donald Cleveland Indians $423,200 Dexter Fowler Colorado Rockies $424,000 Mike Stanton Florida Marlins $416,000 Emilio Bonifacio Florida Marlins $425,000 Jason Jaramillo Pittsburgh Pirates $422,500 Carlos Santana Cleveland Indians $416,600 8
  • 23. “David Freese completed astartling night of comebackswith a home run leading offthe bottom of the 11thinning to beat Texas 10-9 onThursday, and suddenly fansall over got something theyhave waited a long time tosee: Game 7 in the WorldSeries."2011 World Series MVP......and Top Moneyball Pick inthe Major Leagues! DAVID FREESE 9
  • 24. EFFICIENT FRONTIERCOST-EFFECTIVE WAYS TO LOAD THE BASES 10
  • 25. EFFICIENT FRONTIERCOST-EFFECTIVE WAYS TO LOAD THE BASES• On-Base Percentage is still uncorrelated with Salary!! 0.4 OBP 0.3 0.2 A-Rod $26,000,000 0.1 $15,000,000 $7,500,000 $3,500,000 $1,500,000 Salary 0 $750,000 $250,000 10
  • 26. EFFICIENT FRONTIERCOST-EFFECTIVE WAYS TO LOAD THE BASES• Which means it’s clear where to put your money to maximize OBP per $MM! 0.5 OBP/$MM 0.4 0.3 A-Rod $26,000,000 $15,000,000 0.1 $7,500,000 $3,500,000 $1,500,000 Salary 0 $750,000 $250,000 10
  • 27. EFFICIENT FRONTIER PLAYER PERFORMANCE PER $ 175• Looking for the hitter RBI/$MM to deliver the RBI’s 131• There’s a pretty good 88 valuation of home- run hitters 44 A-Rod $23,000,000 $15,000,000 $7,500,000 $3,500,000 0 $1,500,000 $750,000 Salary $500,000 11
  • 28. EFFICIENT FRONTIER PLAYER PERFORMANCE PER $ 175• Looking for the hitter RBI/$MM to deliver the RBI’s 131• There’s a pretty good 88 valuation of home- run hitters 44 A-Rod $23,000,000 $15,000,000 $7,500,000 $3,500,000 0 $1,500,000 $750,000 Salary $500,000 11
  • 29. MONEYADSTHE STRATEGY 12
  • 30. MONEYADSTHE STRATEGYBaseball Digital AdvertisingWe might want to buy runs, but we benefit We want to drive consumer action, but we canfrom players who get on base benefit by growing our remarketable audience • Purchase Established Players based on • Target campaigns to optimize audience different metrics – OBP vs. HR acquisition rather than actions, which demands a lower premium per impression • Selectively draft College Baseball players • Find pockets of inventory that we know rather than High School Players – stable from historical data will deliver high-quality statistics click-based audience at low cost • Buying High School Players, look for • Buy previously unseen media based on commonalities with the background of commonality with seen media that performs mature players who now have good well against our new target metrics “different metrics” 12
  • 31. MONEYADSTHE STRATEGYBaseball Digital AdvertisingWe might want to buy runs, but we benefit We want to drive consumer action, but we canfrom players who get on base benefit by growing our remarketable audience • Purchase Established Players based on • Target campaigns to optimize audience different metrics – OBP vs. HR acquisition rather than actions, which demands a lower premium per impression • Selectively draft College Baseball players • Find pockets of inventory that we know rather than High School Players – stable from historical data will deliver high-quality statistics click-based audience at low cost • Buying High School Players, look for • Buy previously unseen media based on commonalities with the background of commonality with seen media that performs mature players who now have good well against our new target metrics “different metrics” 12
  • 32. MONEYADSTHE STRATEGYBaseball Digital AdvertisingWe might want to buy runs, but we benefit We want to drive consumer action, but we canfrom players who get on base benefit by growing our remarketable audience • Purchase Established Players based on • Target campaigns to optimize audience different metrics – OBP vs. HR acquisition rather than actions, which demands a lower premium per impression • Selectively draft College Baseball players • Find pockets of inventory that we know rather than High School Players – stable from historical data will deliver high-quality statistics click-based audience at low cost • Buying High School Players, look for • Buy previously unseen media based on commonalities with the background of commonality with seen media that performs mature players who now have good well against our new target metrics “different metrics” 12
  • 33. MONEYADSTHE STRATEGYBaseball Digital AdvertisingWe might want to buy runs, but we benefit We want to drive consumer action, but we canfrom players who get on base benefit by growing our remarketable audience • Purchase Established Players based on • Target campaigns to optimize audience different metrics – OBP vs. HR acquisition rather than actions, which demands a lower premium per impression • Selectively draft College Baseball players • Find pockets of inventory that we know rather than High School Players – stable from historical data will deliver high-quality statistics click-based audience at low cost • Buying High School Players, look for • Buy previously unseen media based on commonalities with the background of commonality with seen media that performs mature players who now have good well against our new target metrics “different metrics” 12
  • 34. THE “EFFICIENT FRONTIER”DISPLAY ADVERTISING - DELIVERY - WINNING MEDIA Delivery=Spend/Budget 1.5 1.1 0.8 0.4 $1.60 $1.30 $1.00 $0.80 0 $0.60 $0.40 CPC Bid($) $0.20 $0.00 2nd Price Auction Model Google KW CPC Delivery 13
  • 35. THE “EFFICIENT FRONTIER”DISPLAY ADVERTISING - DELIVERY - WINNING MEDIA Delivery=Spend/Budget 1.5 1.1 0.8 0.4 $1.60 $1.30 $1.00 $0.80 0 $0.60 $0.40 CPC Bid($) $0.20 $0.00 2nd Price Auction Model Google KW CPC Delivery 13
  • 36. THE “EFFICIENT FRONTIER”DISPLAY ADVERTISING - DELIVERY - WINNING MEDIA Delivery=Spend/Budget 1.5 1.1 0.8 Diminishing Returns 0.4 $1.60 $1.30 $1.00 $0.80 0 $0.60 $0.40 CPC Bid($) $0.20 $0.00 2nd Price Auction Model Google KW CPC Delivery 13
  • 37. THE EFFICIENT FRONTIERDISPLAY ADVERTISING - PERFORMANCE 4.00 1/CPA Perf 3.00 2.00 1.00 $5.50$6.00 $4.50$5.00 $3.00 $3.50 $4.00 0 $2.00 $2.50 $1.50 $1.00 Bid, CPC ($) $0.50 $0.00 14
  • 38. THE EFFICIENT FRONTIERDISPLAY ADVERTISING - PERFORMANCE 4.00 1/CPA Perf At low bids, we 3.00 win low quality impressions that have low CTR and 2.00 convert poorly 1.00 $5.50$6.00 $4.50$5.00 $3.00 $3.50 $4.00 0 $2.00 $2.50 $1.50 $1.00 Bid, CPC ($) $0.50 $0.00 14
  • 39. THE EFFICIENT FRONTIERDISPLAY ADVERTISING - PERFORMANCE At high bids, we buy premium 4.00 impressions that result in high CPC and CPA 1/CPA Perf At low bids, we 3.00 win low quality impressions that have low CTR and 2.00 convert poorly 1.00 $5.50$6.00 $4.50$5.00 $3.00 $3.50 $4.00 0 $2.00 $2.50 $1.50 $1.00 Bid, CPC ($) $0.50 $0.00 14
  • 40. THE EFFICIENT FRONTIERDISPLAY ADVERTISING - PERFORMANCE At high bids, we buy premium 4.00 impressions that result in high CPC and CPA 1/CPA Perf At low bids, we 3.00 win low quality impressions that have low CTR and 2.00 convert poorly 1.00 $5.50$6.00 $4.50$5.00 $3.00 $3.50 $4.00 0 $2.00 $2.50 $1.50 $1.00 Bid, CPC ($) $0.50 $0.00 14
  • 41. EFFICIENT FRONTIERFINDING POCKETS OF HIGH PERFORMANCE EVEN IN UNSEEN MEDIA 15
  • 42. EFFICIENT FRONTIERFINDING POCKETS OF HIGH PERFORMANCE EVEN IN UNSEEN MEDIA • We use predictive models to discover statistically similar media to media not previously run 15
  • 43. EFFICIENT FRONTIERFINDING POCKETS OF HIGH PERFORMANCE EVEN IN UNSEEN MEDIA • We use predictive models to discover statistically similar media to media not previously run 15
  • 44. EFFICIENT FRONTIERFINDING POCKETS OF HIGH PERFORMANCE EVEN IN UNSEEN MEDIA • We use predictive models to discover statistically similar media to media not previously run • This allows us to identify optimal combinations of media sources, budgets to apply and bidding delivery and performance curves 15
  • 45. EFFICIENT FRONTIERFINDING POCKETS OF HIGH PERFORMANCE EVEN IN UNSEEN MEDIA • We use predictive models to discover statistically similar media to media not previously run • This allows us to identify optimal combinations of media sources, budgets to apply and bidding delivery and performance curves 15
  • 46. EFFICIENT FRONTIERFINDING POCKETS OF HIGH PERFORMANCE EVEN IN UNSEEN MEDIA • We use predictive models to discover statistically similar media to media not previously run • This allows us to identify optimal combinations of media sources, budgets to apply and bidding delivery and performance curves • At each node of the tree we have both spend, initial bid, delivery and performance models 15
  • 47. EFFICIENT FRONTIERFINDING POCKETS OF HIGH PERFORMANCE EVEN IN UNSEEN MEDIA • We use predictive models to discover statistically similar media to media not previously run • This allows us to identify optimal combinations of media sources, budgets to apply and bidding delivery and performance curves • At each node of the tree we have both spend, initial bid, delivery and performance models 15
  • 48. EXAMPLEADVERTISING EMPLOYING THE STRATEGIES• These models are estimated dynamically and used to learn quickly 1.50 $300.00 $276.45 1.13 $225.00 Delivery=Spend/Budget $165.98 CPA($) 0.75 Commonality-Based $150.00 Intelligent Initial Bid $127.89 (Bid=$2.20) $69.15 0.38 $75.00 0 $0 1 2 3 4 5 6 7 8 9 10 11 12 13 Data Points Delivery CPA 16
  • 49. EXAMPLE Delivery=Spend/BudgetADVERTISING EMPLOYING THE STRATEGIES• These models are estimated dynamically and used to learn quickly 1.5 1.50 $300.00 $276.45 1.1 1.13 $225.00 Delivery=Spend/Budget 0.8 $165.98 CPA($) 0.75 0.4 Commonality-Based $127.89 $150.00 Intelligent Initial Bid (Bid=$2.20) 0 $69.15 0.38 CPC Bid($) $75.00 0 $0 1 2 3 4 5 6 7 8 9 10 11 12 13 Data Points Delivery CPA 16
  • 50. EXAMPLEADVERTISING EMPLOYING THE STRATEGIES• These models are estimated dynamically and used to learn quickly 1.50 $300.00 $276.45 First Bid Optimization (Optimize Delivery Bid=$3.85) 1.13 $225.00 Delivery=Spend/Budget $165.98 CPA($) 0.75 Commonality-Based $150.00 Intelligent Initial Bid $127.89 (Bid=$2.20) $69.15 0.38 $75.00 0 $0 1 2 3 4 5 6 7 8 9 10 11 12 13 Data Points Delivery CPA 16
  • 51. EXAMPLEADVERTISING EMPLOYING THE STRATEGIES• These models are estimated dynamically and used to learn quickly 1.50 $300.00 $276.45 First Bid Optimization (Optimize Delivery Bid=$3.85) 1.13 $225.00 Delivery=Spend/Budget $165.98 CPA($) 0.75 Commonality-Based $150.00 Intelligent Initial Bid $127.89 (Bid=$2.20) $69.15 0.38 $75.00 0 $0 1 2 3 4 5 6 7 8 9 10 11 12 13 Data Points Delivery CPA 16
  • 52. EXAMPLE Delivery=Spend/BudgetADVERTISING EMPLOYING THE STRATEGIES• These models are estimated dynamically and used to learn quickly 1.5 1.50 $300.00 $276.45 1.1 First Bid Optimization (Optimize Delivery Bid=$3.85) 1.13 $225.00 Delivery=Spend/Budget 0.8 $165.98 CPA($) 0.75 0.4 Commonality-Based $127.89 $150.00 Intelligent Initial Bid (Bid=$2.20) 0 $69.15 0.38 CPC Bid($) $75.00 0 $0 1 2 3 4 5 6 7 8 9 10 11 12 13 Data Points Delivery CPA 16
  • 53. EXAMPLE 6.00ADVERTISING EMPLOYING THE STRATEGIES• These models are estimated dynamically and used to learn quickly 1/CPA Perf 1.50 4.50 $300.00 $276.45 First Bid Optimization (Optimize Delivery Bid=$3.85) 1.13 $225.00 Delivery=Spend/Budget 3.00 $165.98 CPA($) 0.75 Commonality-Based $150.00 1.50 $127.89 Intelligent Initial Bid (Bid=$2.20) $69.15 0.38 0 $75.00 Bid, CPC ($) 0 $0 1 2 3 4 5 6 7 8 9 10 11 12 13 Data Points Delivery CPA 16
  • 54. EXAMPLEADVERTISING EMPLOYING THE STRATEGIES• These models are estimated dynamically and used to learn quickly 1.50 $300.00 $276.45 First Bid Optimization Second Bid Optimization (Optimize Delivery Bid=$3.85) (Optimize Performance 1.13 /Delivery Trade-Off, Bid=$2.00) $225.00 Delivery=Spend/Budget $165.98 CPA($) 0.75 Commonality-Based $150.00 Intelligent Initial Bid $127.89 (Bid=$2.20) $69.15 0.38 $75.00 0 $0 1 2 3 4 5 6 7 8 9 10 11 12 13 Data Points Delivery CPA 16
  • 55. MONEYADSFROM BASEBALL TO DISPLAY ADVERTISING 17
  • 56. MONEYADSFROM BASEBALL TO DISPLAY ADVERTISING• Batter Up! 17
  • 57. MONEYADSFROM BASEBALL TO DISPLAY ADVERTISING• Batter Up!• Get on base! 7 ways! 17
  • 58. MONEYADSFROM BASEBALL TO DISPLAY ADVERTISING• Batter Up!• Get on base!• Batter Up! 17
  • 59. MONEYADSFROM BASEBALL TO DISPLAY ADVERTISING• Batter Up!• Get on base!• Batter Up!• Get on base! 17
  • 60. MONEYADSFROM BASEBALL TO DISPLAY ADVERTISING• Batter Up!• Get on base!• Batter Up!• Get on base!• Get the Slugger up!!... 17
  • 61. MONEYADSFROM BASEBALL TO DISPLAY ADVERTISING• Batter Up!• Get on base!• Batter Up!• Get on base!• Get the Slugger up!!...• ...and run them in! !!! 17
  • 62. MONEYADSFROM BASEBALL TO DISPLAY ADVERTISING 18
  • 63. MONEYADSFROM BASEBALL TO DISPLAY ADVERTISING 18
  • 64. MONEYADSFROM BASEBALL TO DISPLAY ADVERTISING • Construct the media plan... • ...to efficiently acquire retargetable audience 18
  • 65. MONEYADSFROM BASEBALL TO DISPLAY ADVERTISING • Construct the media plan... • ...to efficiently acquire retargetable audience • Keyword Campaigns - optimized for click- generation Many ways! • Site Targeted Campaigns - targeted to placements optimized to get clicks for advertiszer 18
  • 66. MONEYADSFROM BASEBALL TO DISPLAY ADVERTISING • Construct the media plan... • ...to efficiently acquire retargetable audience • Keyword Campaigns - optimized for click- generation • Site Targeted Campaigns - targeted to placements optimized to get clicks for advertiszer • Look-a-like Users/Behavioral Segments • Social Media and Search 18
  • 67. MONEYADSFROM BASEBALL TO DISPLAY ADVERTISING • Construct the media plan... • ...to efficiently acquire retargetable audience • Keyword Campaigns - optimized for click- generation • Site Targeted Campaigns - targeted to placements optimized to get clicks for advertiszer • Look-a-like Users/Behavioral Segments • Social Media and Search • Retarget! 18
  • 68. MONEYADSFROM BASEBALL TO DISPLAY ADVERTISING • Construct the media plan... • ...to efficiently acquire retargetable audience • Keyword Campaigns - optimized for click- generation • Site Targeted Campaigns - targeted to placements optimized to get clicks for advertiszer • Look-a-like Users/Behavioral Segments !!! • Social Media and Search • Retarget! • ..and convert the audience! 18
  • 69. MONEYADSFROM BASEBALL TO DISPLAY ADVERTISING • Construct the media plan... • ...to efficiently acquire retargetable audience • Keyword Campaigns - optimized for click- generation • Site Targeted Campaigns - targeted to placements optimized to get clicks for advertiszer • Look-a-like Users/Behavioral Segments • Social Media and Search • Retarget! • ..and convert the audience! 19
  • 70. MONEYADSFROM BASEBALL TO DISPLAY ADVERTISING • Construct the media plan... • ...to efficiently acquire retargetable audience • Keyword Campaigns - optimized for click- generation • Site Targeted Campaigns - targeted to placements optimized to get clicks for advertiszer • Look-a-like Users/Behavioral Segments • Social Media and Search • Retarget! • ..and convert the audience! 19
  • 71. MONEYADSFROM BASEBALL TO DISPLAY ADVERTISING Conventional Approach • Construct the media plan... Targeted Campaign • ...to efficiently acquire retargetable audience • Keyword Campaigns - optimized for click- Impressions generation Driving traffic through to one-time conversion. • Site Targeted Campaigns - targeted to placements optimized to get clicks for advertiszer Treat first-time and returning visitors the same • Look-a-like Users/Behavioral Segments Clicks • Social Media and Search • Retarget! • ..and convert the audience! Actions 19
  • 72. MONEYADSFROM BASEBALL TO DISPLAY ADVERTISING MoneyAds Approach • Construct the media plan... Broad Audience Acquisition Followed by • ...to efficiently acquire retargetable Retargeting audience • Keyword Campaigns - optimized for click- Driving Traffic -> Building Impressions generation Retargeting Pool • Site Targeted Campaigns - targeted to placements optimized to get clicks for advertiszer • Look-a-like Users/Behavioral Segments Retargeting established cookie pool, with message contextualized Clicks/Cookies • Social Media and Search to previous site visits, to drive conversion • Retarget! • ..and convert the audience! Actions 19
  • 73. EXAMPLECONVENTIONAL APPROACH Site Content Impressions Retargeting Campaign on Campaign current cookie pool eCPM: $1.50 eCPC: $1.09 Clicks eCPA: $184.92 eCPM: $2.92 eCPC: $2.36 eCPA: $73.02 Actions 20
  • 74. EXAMPLEMONEYADS APPROACH 21
  • 75. EXAMPLEMONEYADS APPROACHAudience Acquisition Campaign Impressions eCPM: $1.50 eCPC: $1.09Retargeting campaign on Clicks/Cookiesexpanded cookie pool eCPM: $2.92 eCPC: $2.36 eCPA: $73.02 Actions Conversion Rate: 3.23% 21
  • 76. EXAMPLEMONEYADS APPROACHAudience Acquisition Campaign Impressions Overall Performance eCPM: $1.50 eCPC: $1.09Retargeting campaign on CPCacquisition + CPCretargeting Clicks/Cookies eCPA =expanded cookie pool Retargeting Conversion Rate eCPM: $2.92 = $106.95 eCPC: $2.36 eCPA: $73.02 Actions Conversion Rate: 3.23% 21
  • 77. TAKEAWAYS 22
  • 78. TAKEAWAYS 22
  • 79. TAKEAWAYS1 - Focus on metrics that count towards a more balanced view ofmarketing success - value all the methods for getting on base. 22
  • 80. TAKEAWAYS1 - Focus on metrics that count towards a more balanced view ofmarketing success - value all the methods for getting on base. 22
  • 81. TAKEAWAYS1 - Focus on metrics that count towards a more balanced view ofmarketing success - value all the methods for getting on base.2 - Be measured about what you buy - buy college rather thanhigh-school players. 22
  • 82. TAKEAWAYS1 - Focus on metrics that count towards a more balanced view ofmarketing success - value all the methods for getting on base.2 - Be measured about what you buy - buy college rather thanhigh-school players. 22
  • 83. TAKEAWAYS1 - Focus on metrics that count towards a more balanced view ofmarketing success - value all the methods for getting on base.2 - Be measured about what you buy - buy college rather thanhigh-school players.3 - Diversify your talent - not everyone can afford to buy A-Rod! 22
  • 84. TAKEAWAYS1 - Focus on metrics that count towards a more balanced view ofmarketing success - value all the methods for getting on base.2 - Be measured about what you buy - buy college rather thanhigh-school players.3 - Diversify your talent - not everyone can afford to buy A-Rod! 22
  • 85. TAKEAWAYS1 - Focus on metrics that count towards a more balanced view ofmarketing success - value all the methods for getting on base.2 - Be measured about what you buy - buy college rather thanhigh-school players.3 - Diversify your talent - not everyone can afford to buy A-Rod!4 - You don’t need to spend a lot to be successful - use focusedstrategies and robust data. 22
  • 86. THANK YOU!odowns@adready.com @mathandporsches 23