Black boxes are becoming white elephants. It is better to buy than build, says David Smith. Will media planning and buying be automated? The algorithm trumps all. With the right algorithms, machine learning will eliminate the need for media planning and buying. But, as David will show, there is no panacea media technology. Speaker: David Smith, founder & CEO, Mediasmith

1. Digiday Hypebuster
Welcome to the Modern Media Era
© Mediasmith 2012

2. Hype
Media planning & buying
will be automated!

3. Corollary
The algorithm trumps all!
With the right algorithms,
machine learning will
eliminate the need for
media planning and
buying!

4. Some Truths
There is no panacea media
technology
Google, Microsoft, WPP, MediaOcean
(Donovan/ MediaBank) & others have
been trying for years
Most “proprietary” tech is in fact a white
labeled solution by someone else (e.g.,
DSP’s used by holding companies)
…and solves only one of the PAIN
POINTS

5. Pain Points
• RFP’s
• Lack of inventory hold mechanism
• Manual and fax handling of Orders
• Ts & Cs negotiations
• Production QA by media
• Rekeying of info all through the process
• Discrepancies
• Reporting not automated
• Optimization constant
• Two sets of numbers
• Billing late, inconsistent, under detailed

6. Marketing Tech Complexity
Gartner Group:
“By 2017, a CMO will spend more on
IT than the CIO.”

7. Data Today
Ajay Agarwal (Bain) on data today:
Businesses can mine thousands of signals from prospects
Marketers can link spending on customer acquisition
directly to customer actions via web, device or physical
location
Consumers are conveying their intent by scanning codes,
downloading mobile coupons or walking into a store with
their location-aware device
Social networks are providing a new source of
demographic data that, combined with Facebook Open
Graph, offer marketers a new treasure trove of information

8. Media Tech Planner
Enter a new job: The Media
Tech Planner
Evaluates new media tech for
inclusion in agency Tech Stack
Considers various options from the
Tech Stack for campaigns
Drives integration of various
components to create a bespoke
tech stack for each campaign

9. Job Description
The Media Tech Planner
needs to be able to:
Identify pain points
Evaluate potential solutions
Understand what solutions to
integrate to provide the right tech
stack for the client
Talk to engineers and direct them
in tweaking their development
Motivate the disparate solution
companies to work together

10. Background
Media planning did not always
exist
Before the late 60’s, AE’s and the
Media Director decided what to do
and executed
The advent of Nielsen, Simmons,
ARB and other data on mainframes
created the opportunity for media
planning
The media tech planner job will
evolve out of the complexity
exhibited by Lumascapes and other
tech lists

11. Point of Reference
Mediasmith reached the
tipping point in 2011
We now see more tech
companies than media
publishers to get our jobs
done

12. Mediasmith Tech Stack
Audience Definition
Data Collection & Audience Segmentation Contextual Targeting
Buying Platforms
Inventory Sources
Ad-Serving & Dynamic Creative Tagging Brand Protection
Brand Survey Data Collection Data Visualization & Attribution

13. Enabling Trends
Failure of the third party ad
servers to extend services
Proliferation of standardized
APIs
Use of visualization tools,
enabling “beyond the
spreadsheet” reporting

14. There’s More
Constant change afoot
with funding from:
Venture Capital
Angels &
Super Angels

15. Buy or Build?
It is better to buy than build
Investing in an infrastructure that
continues to change is a waste of
time and resources
As new media are introduced, we
will need new media metrics and
solutions
There must be fluidity in this
process and the ability to add new
technologies to the stack without
tearing everything down

16. Black Boxes ARE
becoming White
Elephants!

17. David L. Smith
smith@mediasmith.com
@mediadls
© Mediasmith 2012