Programmatic Decoded: Questions to Ask Ad Tech Vendors
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Presented at Digiday Hot Topic: Media Buying in the Age of Transparency. Presented by Grace Kaye, Chief Strategy Officer, Brainlabs Digital.
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Programmatic Decoded: Questions to Ask Ad Tech Vendors
- 1. linkedin.com/in/danielgilbert1/ First things first: I love ad techI LOVE AD TECH I love ad tech.
- 2. Brainlabs is a tech-driven marketing agency
- 3. linkedin.com/in/danielgilbert1/ Let’s not forget Ad tech companies have opened up the internet to advertisers.
- 4. linkedin.com/in/danielgilbert1/ Love them or hate them... Facebook and Google are pioneers.
- 5. linkedin.com/in/danielgilbert1/ Programmatic is complex for a reason.
- 6. linkedin.com/in/danielgilbert1/ In fact, the internet itself is complex. Do you feel confident in explaining how it all works?
- 7. linkedin.com/in/danielgilbert1/ Programmatic advertising is a work of technological brilliance “Is this the number for buying ad inventory?”
- 8. linkedin.com/in/danielgilbert1/ But...I don’t love all ad tech I don’t love all ad tech.
- 9. linkedin.com/in/danielgilbert1/ Don’t think about ad tech before you understand yourself.
- 10. linkedin.com/in/danielgilbert1/ First of all... How does programmatic display fit into your wider marketing strategy?
- 11. linkedin.com/in/danielgilbert1/ Secondly... What are your values as a business?
- 15. linkedin.com/in/danielgilbert1/ There are some general rules I would recommend to any programmatic advertiser.
- 16. linkedin.com/in/danielgilbert1/ Rule #1 Simplify your tech stack as much as possible.
- 17. linkedin.com/in/danielgilbert1/ I mean really simplify it. One DSP only.
- 18. Rule #2 Own your contracts. Ensure complete access to the platforms you use.
- 19. The Anatomy of In-Housing (Illustration: Anatomy of in-housing)
- 20. Rule #3 Measure the value of your ad tech.
- 21. Three takeaways Work out what matters to you. Own the technology you use. Make trust unnecessary.
Editor's Notes
- Brainlabs is a tech-driven marketing agency We’re not an ad tech vendor, but we use and create advertising technology to drive remarkable results for our clients
- Before diving into a talk a premised on the untrustworthiness of ad tech vendors, let me say this: I have a lot of respect for the achievements of ad tech companies. Ad tech companies have opened up the internet to advertisers. This has been the most useful and significant development in the history of advertising. Despite the theme of today’s event, they have given a massive boost to transparency. Compared to the pre-digital era, we now have a much better sense of the performance, audience, and value of advertising.
- Google and Facebook, love them or hate them, are pioneers They have driven ridiculously fast progress in transparency, measurability, targeting, testing and learning, and utilising big data
- The internet itself is pretty complex – does anyone here feel confident in explaining how it works?
- Programmatic advertising is a work of technological brilliance Instead of purchasing display inventory by phone (which is how it used to be done, and still is in some cases), we can automate this process, bidding on countless live auctions for every ad served on every site – lowering the prices, greatly improving the efficiency, and opening up the internet to advertisers Ad exchanges serve billions of bid requests per second The digital infrastructure of programmatic advertising – DSPs, Exchanges, Ad Networks, SSPs – enable millions of advertisers to purchase ad inventory automatically across the vast ocean of inventory accessible via the internet – and to target these ads to very precisely defined audiences, and track their response It’s quite amazing, and necessarily complex
- Some ad tech companies exploit this complexity to make extra profits through non-transparency Some ad tech companies provide services that are, for most advertisers who pay for it, unnecessary Some ad tech companies are rubbish Hence this event, and the two or three years of intense industry discussion about programmatic’s transparency issues
- There are two questions you should ask yourself before anything else
- Google and Facebook offer access to pretty much the entire world of internet users For display, GDN covers about 90% of internet users The longtail of the internet is perhaps overrated, or seems to be, by the industry This is not to say that programmatic display doesn’t hold an important position in any digital marketing strategy – of course it does; I’m just advising you to make sure you are giving it a proportionate emphasis – we are liable to get swept up in media frenzy: we forget, sometimes, the channels that have been steadily providing excellent service
- How important is brand safety to you? How important is growth? What are the things you absolutely must have control over? Every business will have different answers to these questions. Being completely clear about your own answers to these questions will help you to get the most out of your relationships with ad tech vendors, as well as agencies like mine
- Most decisions depend on trade offs, such as control vs efficiency Most ad tech, in itself, decreases your control and increases your efficiency: it does the work for you, but you may not fully understand how, have full access to the platform, the data generated within it, or the commercials (if managed by an agency)
- As you broaden your reach, you increase brand risk User generated content platforms, such as YouTube, Facebook, Instagram, give you access to billions of users, but also include content that cannot realistically be policed to nearly the same extent as channels like print, TV, or Radio You can pay extra for more thoroughly vetted inventory, or indeed ad tech that helps to safeguard against inappropriate content
- How do you maximise coherence? Do it all yourself; keep everything in-house. Or, at the other end of the spectrum, you can hire specialists for every activity within digital advertising: a PPC agency, an SEO agency, ad tech to improve attribution, a blockchain startup to create smart contracts, etc etc
- We are in an era where trust is no longer needed: we have something far better now; it’s called data Data lets you measure performance, and, by proxy, value So long as you establish 100% visibility of the platforms you use, then you no longer need to rely on trust when it comes to any partnership with an ad tech vendor It’s up to you to be informed and vigilant, comparing your partners’ performance against your expectations
- Work out what matters to you. Own the technology you use. Make trust unnecessary.