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DMEXCO Night Talks – The Rise of RTBBen Barokas, Founder & Chief Revenue Officer<br />5, April 2011 - Munich <br />
About Us<br />Founded in 2007<br />Exclusive focus on premium publishers<br />The only SSP run by publishing veterans<br /...
Circa 2000: The Ad Network Emerges<br />Privileged & Confidential © 2010, AdMeld Inc. All Rights Reserved.<br />Direct Buy...
Faster internet connections<br />More engaging websites (i.e. Facebook)<br />More ways to go online (mobile, iPhones)<br /...
Circa 2005: The Ad Exchange Emerges<br />Privileged & Confidential © 2010, AdMeld Inc. All Rights Reserved.<br />Direct Bu...
The Ad Network Daisy Chain<br />5<br />Privileged & Confidential © 2010, AdMeld Inc. All Rights Reserved.<br />2% of Inven...
Circa 2007: Enter The Ad Network Optimiser<br />Privileged & Confidential © 2010, AdMeld Inc. All Rights Reserved.<br />Di...
Higher revenues, more online ad spend<br />A central point of contact for programmatic demand<br />More transparency and c...
Late 2008: Media Buying Goes Real Time<br />AgencyTradingDesks<br />Agencies<br />Ad Networks<br />YieldOptimisers<br />€<...
9<br />Privileged & Confidential © 2009, AdMeld Inc.   All Rights Reserved.<br />Real Time Bidding simplified<br />Graphic...
Real Time Optimization<br />Advertiser gets booked impressions delivered<br />Fixed price<br />Fixed volume<br />Targeting...
Price varies for each impression
Increased bid density per impression
DSPs set targeting criteria
Advertiser, URL and CPM are exchanged in less than 100ms</li></li></ul><li>For Publishers<br />Full Control<br />Block lis...
Price per user or per segment
Granular Targeting
Data infused bidding
Floors
Improved efficiency through programmatic buying</li></li></ul><li>Factors Driving Increases in Ad Spends<br />58%<br />39%...
13<br />Privileged & Confidential © 2011, Admeld Inc.   All Rights Reserved.<br />January 2010<br />Global Spend on the Ad...
14<br />Privileged & Confidential © 2011, Admeld Inc.   All Rights Reserved.<br />January 2011<br />Global Spend on the Ad...
15<br />Privileged & Confidential © 2010, AdMeld Inc.   All Rights Reserved.<br />RTB spend in 2010<br />
Source: Forrester, Q4 2010<br />16<br />Privileged & Confidential © 2011, Admeld Inc.   All Rights Reserved.<br />Forreste...
17<br />Privileged & Confidential © 2011, Admeld Inc.   All Rights Reserved.<br />Auction Pricing Factors, December/Januar...
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Ben Barokas Presents "The Rise of RTB" at Dmexco Night Talks

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Ben Barokas, Admeld's Co-founder and Chief Revenue Officer presents "The Rise of RTB" at Dmexco Night Talks in Munich, Germany on April 5th, 2011.

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Ben Barokas Presents "The Rise of RTB" at Dmexco Night Talks

  1. 1. DMEXCO Night Talks – The Rise of RTBBen Barokas, Founder & Chief Revenue Officer<br />5, April 2011 - Munich <br />
  2. 2. About Us<br />Founded in 2007<br />Exclusive focus on premium publishers<br />The only SSP run by publishing veterans<br />Process 40+ billion transactions per month<br />Offices in NYC, London, SF, Berlin & Toronto<br />Consistently first to market with innovations in programmatic buying<br />1<br />Privileged & Confidential © 2010, AdMeld Inc. All Rights Reserved.<br />
  3. 3. Circa 2000: The Ad Network Emerges<br />Privileged & Confidential © 2010, AdMeld Inc. All Rights Reserved.<br />Direct Buys<br />Direct<br />Premium<br />Ad Networks<br />Bulk Buys<br />Unsold<br />2<br />
  4. 4. Faster internet connections<br />More engaging websites (i.e. Facebook)<br />More ways to go online (mobile, iPhones)<br />3<br />Privileged & Confidential © 2010, AdMeld Inc. All Rights Reserved.<br />Circa 2004: Unsold Inventory Begins To Spike<br />+<br />+<br />=<br />More unsold inventory for publishers to monetise<br />
  5. 5. Circa 2005: The Ad Exchange Emerges<br />Privileged & Confidential © 2010, AdMeld Inc. All Rights Reserved.<br />Direct Buys<br />Direct<br />Premium<br />Ad Networks<br />Bulk Buys<br />Unsold<br />4<br />
  6. 6. The Ad Network Daisy Chain<br />5<br />Privileged & Confidential © 2010, AdMeld Inc. All Rights Reserved.<br />2% of Inventory Very Good CPM<br />Network 1<br />Unsold Inventory<br />13% of Inventory OK CPM<br />Network 2<br />85% of Inventory<br />Poor CPM<br />Network3<br />Sub-Optimal Revenues<br />Extremely Labor-Intensive<br />Difficult To Integrate & Test New Networks<br />
  7. 7. Circa 2007: Enter The Ad Network Optimiser<br />Privileged & Confidential © 2010, AdMeld Inc. All Rights Reserved.<br />Direct<br />Premium<br />Direct Buys<br />Exchange<br />$.98<br />300+<br />Ad Nets<br />Network<br />€.68<br />€.40<br />€.17<br />Bulk Buys<br />€.30<br />Network<br />$ 1.55<br />Network<br />$ 3.40<br />Unsold<br />€.50<br />€.70<br />Network<br />€0.55<br />Network<br />€1.15<br />6<br />
  8. 8. Higher revenues, more online ad spend<br />A central point of contact for programmatic demand<br />More transparency and control<br />Increased targeting capabilities<br />7<br />Privileged & Confidential © 2010, AdMeld Inc. All Rights Reserved.<br />What This Meant For Publishers<br />
  9. 9. Late 2008: Media Buying Goes Real Time<br />AgencyTradingDesks<br />Agencies<br />Ad Networks<br />YieldOptimisers<br />€<br />€<br />Demand Side Platforms<br />OmnicomMedia<br />€ <br />€<br />€<br />€<br />€<br />AEGIS<br />Data Providers<br />8<br />Privileged & Confidential © 2010, AdMeld Inc. All Rights Reserved.<br />
  10. 10. 9<br />Privileged & Confidential © 2009, AdMeld Inc. All Rights Reserved.<br />Real Time Bidding simplified<br />Graphic courtesy of <br />
  11. 11. Real Time Optimization<br />Advertiser gets booked impressions delivered<br />Fixed price<br />Fixed volume<br />Targeting criteria defined by publisher<br />No interaction between supply and demand sides<br />10<br />Privileged & Confidential © 2010, AdMeld Inc. All Rights Reserved.<br />Real Time Optimization vs. Real Time Bidding<br />Real Time Bidding<br /><ul><li>Advertiser sees every single impression
  12. 12. Price varies for each impression
  13. 13. Increased bid density per impression
  14. 14. DSPs set targeting criteria
  15. 15. Advertiser, URL and CPM are exchanged in less than 100ms</li></li></ul><li>For Publishers<br />Full Control<br />Block list<br />Floor Pricing<br />Full Transparency<br />Advertiser<br />Bid price<br />Win ratio<br />3rd party data provides insight on user base<br />11<br />Privileged & Confidential © 2010, AdMeld Inc. All Rights Reserved.<br />Advantages of RTB: Both Parties Win<br />For Advertiser<br /><ul><li>Full Flexibility
  16. 16. Price per user or per segment
  17. 17. Granular Targeting
  18. 18. Data infused bidding
  19. 19. Floors
  20. 20. Improved efficiency through programmatic buying</li></li></ul><li>Factors Driving Increases in Ad Spends<br />58%<br />39%<br />31%<br />
  21. 21. 13<br />Privileged & Confidential © 2011, Admeld Inc. All Rights Reserved.<br />January 2010<br />Global Spend on the Admeld Platform<br />
  22. 22. 14<br />Privileged & Confidential © 2011, Admeld Inc. All Rights Reserved.<br />January 2011<br />Global Spend on the Admeld Platform<br />
  23. 23. 15<br />Privileged & Confidential © 2010, AdMeld Inc. All Rights Reserved.<br />RTB spend in 2010<br />
  24. 24. Source: Forrester, Q4 2010<br />16<br />Privileged & Confidential © 2011, Admeld Inc. All Rights Reserved.<br />Forrester: RTB To More Than Double in 2011<br />
  25. 25. 17<br />Privileged & Confidential © 2011, Admeld Inc. All Rights Reserved.<br />Auction Pricing Factors, December/January 2011, US<br />
  26. 26. 18<br />Privileged & Confidential © 2011, Admeld Inc. All Rights Reserved.<br />RTB Activity Pacing, Q1<br />1 trillion bid requests<br />34 live bidders<br />1 Trillion Bid Requests!<br />
  27. 27. "It comes down to having good ideas and good insights… brand matters but you have to have technology cause if you just have brand that's not enough anymore.”<br />- Jeremy Steinberg, VP, Digital Sales & Business Development, FOX News<br />"We'd be very happy to pay a lot for that inventory and be able to do it through the mechanics we're talking about” - Adam Cahill, EVP, Media Director, Hill Holiday<br />“For us the initial hysteria over RTB with sales people thinking they're going to be replaced by blinking lights on a server had a lot to do with helping us understand what our business is.” - Peter Longo, CEO, IDG<br />The opportunity that we can bring our own data, biddable transactions and pay fair value for them…it's a great evolution for the industry.” <br /> - Zack Rogers, SVP, Sales Strategy & Operations, CBS Interactive<br />19<br />Privileged & Confidential © 2011, Admeld Inc. All Rights Reserved.<br />What Are Publishers Really Saying? <br />
  28. 28. 20<br />How the Acceptance of RTB Developed in The U.S.<br />
  29. 29. 21<br />Privileged & Confidential © 2011, Admeld Inc. All Rights Reserved.<br />RTB Continues to Evolve the Marketplace<br /><ul><li>Successful companies will be those who bring the most amount of efficiency to the transaction process – intermediaries will lose ground
  30. 30. Actionable data and the ability to target will accelerate growth
  31. 31. Publishers will see higher CPMs, more control and more transparency
  32. 32. The industry is no longer one sided – the evolution of buyers, caused sellers to evolve, causing buyers to further evolve</li></li></ul><li>Thank You!Follow @admeldVisit admeld.com<br />
  33. 33. Private Exchange<br />
  34. 34. Media Buyers<br />The majority of the infrastructure and algorithms we use for the online display are directly transferable to the mobile space.<br />300+ Ad Networks<br />Tags<br />PublisherInventory<br />35+ DSPs<br />RTB<br />Ad Servers, Ad Storage and Trafficking<br />API/Tags<br />3rd Party Data <br />2011: Mobile Evolves<br />Privileged & Confidential © 2011, Admeld Inc. All Rights Reserved.<br />

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