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IAB	
  AdTech &	
  Data	
  	
  	
  	
  |	
  	
  	
  	
  Joanna	
  O’Connell,	
  CMO	
  MediaMath
Trending	
  and	
  Here	
  to	
  Stay
The	
  Reign	
  of	
  Programmatic
©2016	
  MediaMath	
  Inc.	
  	
  2
“It	
  no	
  longer	
  makes	
  
economic	
  sense	
  to	
  
send	
  a	
  message	
  to	
  
the	
  many	
  in	
  hopes	
  of	
  
persuading	
  the	
  few.”
-­‐ Lawrence	
  Light
Former	
  CMO,	
  McDonald’s
©2016	
  MediaMath	
  Inc.	
  	
  3
“Why	
  would	
  I	
  not	
  buy	
  
media	
  in	
  a	
  way	
  that	
  I	
  
can	
  get	
  data	
  back	
  and	
  
use	
  it	
  to	
  make	
  smart	
  
decisions?”
-­‐ Bonin	
  Bough
VP,	
  Global	
  Media	
  &	
  
Consumer	
  Engagement,	
  
Mondelez International
©2016	
  MediaMath	
  Inc.	
  	
  4
“It’s	
  silly	
  that	
  ‘programmatic’	
  is	
  this	
  
special	
  thing.	
  [More	
  efficient	
  targeting]	
  is	
  the	
  
most	
  useful	
  thing	
  for	
  us.	
  We	
  won’t	
  spend	
  less	
  money.	
  
We’ll	
  spend	
  more in	
  digital.	
  We’ll	
  get	
  a	
  better	
  ROI.	
  
It’s	
  a	
  virtuous	
  cycle.”
“There’s	
  a	
  little	
  bit	
  of	
  laziness	
  and	
  a	
  little	
  bit	
  of	
  fear	
  on	
  
[the	
  big	
  media	
  agencies’]	
  side	
  and	
  on	
  the	
  sites’	
  side	
  
that	
  programmatic	
  will	
  ruin	
  them	
  – I	
  don’t	
  think	
  
that	
  at	
  all.	
  Not	
  understanding	
  it	
  is	
  what	
  
will	
  really	
  ruin	
  them.”
From	
  the	
  
mouth	
  of	
  a	
  
real	
  marketer	
  
(honest)
©2016	
  MediaMath	
  Inc.	
  	
  5
But	
  what	
  IS Programmatic?
Humans using	
  the	
  automation of	
  process and	
  
decisions,	
  driven	
  by	
  data and	
  powered	
  through	
  
machines,	
  to	
  deliver	
  business	
  outcomes
©2016	
  MediaMath	
  Inc.	
  	
  6
Some	
  Context	
  May	
  Help…
©2016	
  MediaMath	
  Inc.	
  	
  7
Mid	
  – Late	
  
1990s
Mid	
  – Late	
  
2000s
Present	
  
Day
The	
  Future
Coming	
  Soon
In	
  the	
  US,	
  it	
  all	
  started	
  in	
  the	
  90s
©2016	
  MediaMath	
  Inc.	
  	
  8
Evolution	
  of	
  Programmatic	
  in	
  US	
  Transformed	
  Five	
  Big	
  Areas	
  
AudienceMedia Intelligence Talent
Platform
©2016	
  MediaMath	
  Inc.	
  	
  9
Evolution	
  of	
  Programmatic	
  in	
  US:	
  Audience
3P	
  Behavioral	
  
and	
  Contextual
1P	
  Onboarding
2P	
  Coop
IdentityDemographics
Audience
©2016	
  MediaMath	
  Inc.	
  	
  10
Evolution	
  of	
  Programmatic	
  in	
  US:	
  Media
Bulk
Media	
  Buys
Exchanges/SSPs
DSP
Private	
  Deals	
  
&	
  Curated	
  
Marketplaces
CDN	
  Infrastructure
Header	
  Bidding
Pub	
  Buys
Media
©2016	
  MediaMath	
  Inc.	
  	
  11
Evolution	
  of	
  Programmatic	
  in	
  US:	
  Intelligence
Integrated	
  
Attribution
Last	
  Click	
  
Optimization
Standalone	
  
Attribution
Incremental	
  
OutcomesMachine	
  Learning
Publisher-­‐defined	
  
Metrics
Intelligence
©2016	
  MediaMath	
  Inc.	
  	
  12
Evolution	
  of	
  Programmatic	
  in	
  US:	
  Talent
Domain
Expertise
Arbitrage	
  
Outsource
Transparent	
  Managed
Outsource Triumvirate
Talent
In-­‐House	
  
Expertise
©2016	
  MediaMath	
  Inc.	
  	
  13
Evolution	
  of	
  Programmatic	
  in	
  US:	
  Platform
Multi-­‐Tennant	
  UI
APIs	
  &	
  Customizable	
  
Interface
Single	
  Tenant	
  UI
Platform	
  &	
  
Operating	
  Partner
Platform
©2016	
  MediaMath	
  Inc.	
  	
  14
So	
  What	
  Does	
  All	
  of	
  This	
  Mean	
  For	
  Buyers?
©2016	
  MediaMath	
  Inc.	
  	
  15
From	
  publisher	
  driven… to	
  marketer	
  driven
$20	
  VPM
$12	
  VPM
$2.50	
  VPM
$.75	
  VPM
$4.25	
  VPM
$6	
  VPM
$6	
  CPM
©2016	
  MediaMath	
  Inc.	
  	
  16
From	
  random	
  guesses… to	
  true	
  audience	
  targeting
©2016	
  MediaMath	
  Inc.	
  	
  17
From	
  siloed… to	
  unified
Programmatic	
  Software
©2016	
  MediaMath	
  Inc.	
  	
  18
From	
  display	
  only… To	
  omni channel	
  and	
  
omni platform
©2016	
  MediaMath	
  Inc.	
  	
  19
Brazil’s	
  Opportunity
Good	
  news	
  -­‐ some	
  of	
  you	
  have	
  already	
  made	
  the	
  leap!
AudienceMedia Intelligence Talent
Platform
Shift	
  from	
  ad	
  networks	
  
to	
  curated	
  markets	
  via	
  
PMPs	
  
Inheritance	
  of	
  mobile	
  as	
  
dominant	
  strategy	
  
Activation	
  of	
  1P	
  data	
  via	
  
DMPs;	
  reduced	
  reliance	
  on	
  
3P	
  data
Shift	
  from	
  click-­‐centric	
  
measurements	
  to	
  true	
  
business	
  KPIs
Embrace	
  of	
  programmatic	
  
training	
  and	
  certification
Insistence	
  on	
  a	
  unified	
  view	
  
of	
  customers	
  across	
  devices
Client	
  demand	
  of	
  transparency	
  and	
  results	
  right	
  from	
  the	
  get-­‐go
Emergence	
  of	
  multi-­‐
relational	
  model
©2016	
  MediaMath	
  Inc.	
  	
  20
Where	
  We’re	
  Going
©2016	
  MediaMath	
  Inc.	
  	
  21
Source:	
  AdExchanger.com 9/28/15	
  
“Magna	
  Global:	
  Programmatic	
  Will	
  
Eat	
  Half	
  Of	
  Display	
  And	
  Video	
  Ad	
  
Budgets	
  By	
  2019”
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
2014 2015 2019
Global	
  Programmatic	
  	
  Penetration
Programmatic Non-­‐Programmatic
76%
24%
69%
31%
50%
50%
Programmatic	
  continues	
  its	
  global	
  growth…	
  look	
  at	
  2019!	
  
©2016	
  MediaMath	
  Inc.	
  	
  22
Key	
  Brands	
  Are	
  Vowing	
  to	
  Go	
  Programmatic	
  First
“ Telstra already	
  has	
  65%	
  of	
  its	
  digital	
  spend	
  
going	
  through	
  programmatic…Their	
  
ambition	
  is	
  to	
  have	
  80%	
  going	
  through	
  
some	
  sort	
  of	
  programmatic	
  capacity	
  by	
  the	
  
end	
  of	
  the	
  year.
“
“ American	
  Express	
  would	
  like	
  to	
  transform	
  
their	
  Display	
  Media	
  Channel	
  to	
  become	
  
100%	
  programmatic.
“
“ Procter	
  &	
  Gamble	
  wants	
  to	
  buy	
  70%	
  to	
  
75%	
  of	
  its	
  U.S.	
  digital	
  media	
  
programmatically	
  by	
  the	
  end	
  of	
  this	
  year
“
“ We’ve	
  [Kellogg’s]	
  seen	
  tremendous	
  results	
  
when	
  using	
  programmatic	
  buying.	
  
Depending	
  on	
  the	
  brand,	
  the	
  digital	
  media	
  
ROIs	
  have	
  increased	
  as	
  much	
  as	
  six	
  times
“
©2016	
  MediaMath	
  Inc.	
  	
  23
Ad	
  Tech	
  and	
  Mar	
  Tech	
  will	
  converge
The	
  convergence	
  of	
  
Ad	
  Tech	
  and	
  Mar	
  Tech	
  is	
  
connecting	
  the	
  dots	
  between	
  
paid	
  media	
  and	
  marketers’	
  
owned	
  channels
©2016	
  MediaMath	
  Inc.	
  	
  24
“Programmatic	
  Marketing”	
  will	
  power	
  the	
  full	
  range	
  of	
  marketing	
  
touchpoints,	
  whatever	
  a	
  marketer’s	
  goal,	
  in	
  whatever	
  channel
• Display
• Video	
  
• Mobile
• Paid	
  Social
• Search
• TV
Targeted	
  Reach	
  and	
  Frequency	
  
+
Ensuing	
  
anonymous	
  
action(s)
Engagement	
  
with/across	
  
brand(s)
Conversion	
  to	
  
customer
Loyalty,	
  
cross-­‐sell,	
  
upsell
First	
  
anonymous	
  
digital	
  touch	
  
point
Managing	
  A	
  Consumer’s	
  Journey
©2016	
  MediaMath	
  Inc.	
  	
  25
So	
  What	
  Should	
  You	
  Do	
  TODAY	
  to	
  
Be	
  A	
  Part	
  of	
  That	
  Future?	
  
©2016	
  MediaMath	
  Inc.	
  	
  26
Scale	
  by	
  creating	
  a	
  virtuous	
  cycle
A	
  simple	
  formula!
Increase	
  Marketer	
  ROI,	
  
reduce	
  LOE
Focus	
  on	
  win-­‐wins:	
  
share	
  in	
  ROI	
  in	
  order	
  
to	
  incentive	
  partners	
  
to	
  expand	
  footprint
Expand	
  programmatic	
  
footprint	
  (more	
  
touchpoints,	
  better	
  
data	
  =	
  quality	
  
decisions)
©2016	
  MediaMath	
  Inc.	
  	
  27
Scale	
  by	
  investing	
  in	
  success	
  AND	
  innovation
80%	
  
Proven	
  &	
  Scalable
20%	
  
Innovation
©2016	
  MediaMath	
  Inc.	
  	
  28
In	
  Summary
§ A	
  prescription	
  to	
  accelerate	
  and	
  scale
§ Fully	
  embrace	
  Programmatic;	
  learn	
  from	
  the	
  past
§ Follow	
  the	
  virtuous	
  cycle
§ Invest	
  for	
  the	
  future

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Evento AdTech & Data 2016 - The Reign of Programmatic - Joanna O'Connel - MediaMath

  • 1. IAB  AdTech &  Data        |        Joanna  O’Connell,  CMO  MediaMath Trending  and  Here  to  Stay The  Reign  of  Programmatic
  • 2. ©2016  MediaMath  Inc.    2 “It  no  longer  makes   economic  sense  to   send  a  message  to   the  many  in  hopes  of   persuading  the  few.” -­‐ Lawrence  Light Former  CMO,  McDonald’s
  • 3. ©2016  MediaMath  Inc.    3 “Why  would  I  not  buy   media  in  a  way  that  I   can  get  data  back  and   use  it  to  make  smart   decisions?” -­‐ Bonin  Bough VP,  Global  Media  &   Consumer  Engagement,   Mondelez International
  • 4. ©2016  MediaMath  Inc.    4 “It’s  silly  that  ‘programmatic’  is  this   special  thing.  [More  efficient  targeting]  is  the   most  useful  thing  for  us.  We  won’t  spend  less  money.   We’ll  spend  more in  digital.  We’ll  get  a  better  ROI.   It’s  a  virtuous  cycle.” “There’s  a  little  bit  of  laziness  and  a  little  bit  of  fear  on   [the  big  media  agencies’]  side  and  on  the  sites’  side   that  programmatic  will  ruin  them  – I  don’t  think   that  at  all.  Not  understanding  it  is  what   will  really  ruin  them.” From  the   mouth  of  a   real  marketer   (honest)
  • 5. ©2016  MediaMath  Inc.    5 But  what  IS Programmatic? Humans using  the  automation of  process and   decisions,  driven  by  data and  powered  through   machines,  to  deliver  business  outcomes
  • 6. ©2016  MediaMath  Inc.    6 Some  Context  May  Help…
  • 7. ©2016  MediaMath  Inc.    7 Mid  – Late   1990s Mid  – Late   2000s Present   Day The  Future Coming  Soon In  the  US,  it  all  started  in  the  90s
  • 8. ©2016  MediaMath  Inc.    8 Evolution  of  Programmatic  in  US  Transformed  Five  Big  Areas   AudienceMedia Intelligence Talent Platform
  • 9. ©2016  MediaMath  Inc.    9 Evolution  of  Programmatic  in  US:  Audience 3P  Behavioral   and  Contextual 1P  Onboarding 2P  Coop IdentityDemographics Audience
  • 10. ©2016  MediaMath  Inc.    10 Evolution  of  Programmatic  in  US:  Media Bulk Media  Buys Exchanges/SSPs DSP Private  Deals   &  Curated   Marketplaces CDN  Infrastructure Header  Bidding Pub  Buys Media
  • 11. ©2016  MediaMath  Inc.    11 Evolution  of  Programmatic  in  US:  Intelligence Integrated   Attribution Last  Click   Optimization Standalone   Attribution Incremental   OutcomesMachine  Learning Publisher-­‐defined   Metrics Intelligence
  • 12. ©2016  MediaMath  Inc.    12 Evolution  of  Programmatic  in  US:  Talent Domain Expertise Arbitrage   Outsource Transparent  Managed Outsource Triumvirate Talent In-­‐House   Expertise
  • 13. ©2016  MediaMath  Inc.    13 Evolution  of  Programmatic  in  US:  Platform Multi-­‐Tennant  UI APIs  &  Customizable   Interface Single  Tenant  UI Platform  &   Operating  Partner Platform
  • 14. ©2016  MediaMath  Inc.    14 So  What  Does  All  of  This  Mean  For  Buyers?
  • 15. ©2016  MediaMath  Inc.    15 From  publisher  driven… to  marketer  driven $20  VPM $12  VPM $2.50  VPM $.75  VPM $4.25  VPM $6  VPM $6  CPM
  • 16. ©2016  MediaMath  Inc.    16 From  random  guesses… to  true  audience  targeting
  • 17. ©2016  MediaMath  Inc.    17 From  siloed… to  unified Programmatic  Software
  • 18. ©2016  MediaMath  Inc.    18 From  display  only… To  omni channel  and   omni platform
  • 19. ©2016  MediaMath  Inc.    19 Brazil’s  Opportunity Good  news  -­‐ some  of  you  have  already  made  the  leap! AudienceMedia Intelligence Talent Platform Shift  from  ad  networks   to  curated  markets  via   PMPs   Inheritance  of  mobile  as   dominant  strategy   Activation  of  1P  data  via   DMPs;  reduced  reliance  on   3P  data Shift  from  click-­‐centric   measurements  to  true   business  KPIs Embrace  of  programmatic   training  and  certification Insistence  on  a  unified  view   of  customers  across  devices Client  demand  of  transparency  and  results  right  from  the  get-­‐go Emergence  of  multi-­‐ relational  model
  • 20. ©2016  MediaMath  Inc.    20 Where  We’re  Going
  • 21. ©2016  MediaMath  Inc.    21 Source:  AdExchanger.com 9/28/15   “Magna  Global:  Programmatic  Will   Eat  Half  Of  Display  And  Video  Ad   Budgets  By  2019” 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 2014 2015 2019 Global  Programmatic    Penetration Programmatic Non-­‐Programmatic 76% 24% 69% 31% 50% 50% Programmatic  continues  its  global  growth…  look  at  2019!  
  • 22. ©2016  MediaMath  Inc.    22 Key  Brands  Are  Vowing  to  Go  Programmatic  First “ Telstra already  has  65%  of  its  digital  spend   going  through  programmatic…Their   ambition  is  to  have  80%  going  through   some  sort  of  programmatic  capacity  by  the   end  of  the  year. “ “ American  Express  would  like  to  transform   their  Display  Media  Channel  to  become   100%  programmatic. “ “ Procter  &  Gamble  wants  to  buy  70%  to   75%  of  its  U.S.  digital  media   programmatically  by  the  end  of  this  year “ “ We’ve  [Kellogg’s]  seen  tremendous  results   when  using  programmatic  buying.   Depending  on  the  brand,  the  digital  media   ROIs  have  increased  as  much  as  six  times “
  • 23. ©2016  MediaMath  Inc.    23 Ad  Tech  and  Mar  Tech  will  converge The  convergence  of   Ad  Tech  and  Mar  Tech  is   connecting  the  dots  between   paid  media  and  marketers’   owned  channels
  • 24. ©2016  MediaMath  Inc.    24 “Programmatic  Marketing”  will  power  the  full  range  of  marketing   touchpoints,  whatever  a  marketer’s  goal,  in  whatever  channel • Display • Video   • Mobile • Paid  Social • Search • TV Targeted  Reach  and  Frequency   + Ensuing   anonymous   action(s) Engagement   with/across   brand(s) Conversion  to   customer Loyalty,   cross-­‐sell,   upsell First   anonymous   digital  touch   point Managing  A  Consumer’s  Journey
  • 25. ©2016  MediaMath  Inc.    25 So  What  Should  You  Do  TODAY  to   Be  A  Part  of  That  Future?  
  • 26. ©2016  MediaMath  Inc.    26 Scale  by  creating  a  virtuous  cycle A  simple  formula! Increase  Marketer  ROI,   reduce  LOE Focus  on  win-­‐wins:   share  in  ROI  in  order   to  incentive  partners   to  expand  footprint Expand  programmatic   footprint  (more   touchpoints,  better   data  =  quality   decisions)
  • 27. ©2016  MediaMath  Inc.    27 Scale  by  investing  in  success  AND  innovation 80%   Proven  &  Scalable 20%   Innovation
  • 28. ©2016  MediaMath  Inc.    28 In  Summary § A  prescription  to  accelerate  and  scale § Fully  embrace  Programmatic;  learn  from  the  past § Follow  the  virtuous  cycle § Invest  for  the  future