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Programmatic In-housing: Why you should own your buy technology?

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In-Housing Programmatic is the latest frontier for CMOs, and we tried and simplified it in a webinar. Do share your views and questions to us in comments.

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Programmatic In-housing: Why you should own your buy technology?

  1. 1. Presented by: Raghavendra Agarwala CTO TorcAI Digital Prashant Dixit Director Sales TorcAI Digital
  2. 2. Agenda • What is Programmatic In-Housing • The Building Blocks and its Extensions • The CXO Perspective • Owned Audience Data Connecting Dots • Supply Path Optimization • Intelligent Buying • Accountability and Transparency • Challenges 2 Bringing programmatic in-house is a tough choice
  3. 3. What is Programmatic In-Housing ? 3 • Mostly talks about getting the programmatic buy operations to be done in-house • Talks about hybrid and pure models but no clear characteristic Programmatic In-Housing E2E: The TorcAI Way • Own the tech stack • Run programmatic buy operations • Use Exchange, SSP or aggregate level supply • Use one, none or multiple 3rd party data sources • Align tech and operational capabilities to CMO’s KPI • The Data Science personals taking care of customer experience and CRM also extends the biz knowledge into media buying © 2018 Interactive Advertising Bureau
  4. 4. Publisher 1 Publisher 2 Publisher 3 Publisher 4 Bidder Campaign Manager Buy Algorithms Data Management Programmatic In-housingCRM BI Data Science The Building Blocks 4 Exchange SSP 3rd Party Data 3rd Party Data Publisher 7 Publisher 6 Publisher 5
  5. 5. CEO •One consolidated stack ensures accountability •In the world of bots and frauds, quality needs to be ensured from in-house sources •Need to innovate on digital front beyond CRM & CMS is now. The next frontier is acquisition & churn. CMO •Can’t handle the ever increasing complexities •Need to see the real numbers •Need honesty and transparency in the process to deliver sustainable ROI CTO •With 50% internet traffic as bot /fraud traffic, organization is at a great risk of loosing money and credibility •Need to innovate •Need to see holistic view of acquisition, engagement and churn •Need tech solution to deliver current requirements of media buy CFO •Bringing media- buying in-house brings down the cost by up to 50% •Sustainable spends and ROIs •Understand that the current ecosystem promotes fraud and opaque pricing: if an agency gets paid % of media buy, then there is no incentive left to deal with frauds The CXO Perspective 5
  6. 6. CONNECTING DOTS • Ad-tech works on cookie • CRM works on UID, usually system generated • There are times during the user session when we can overlap this info by combining the two user ids USING DATA • The data can be used for prospecting, re- targeting, etc. for reach • Internally this data can be used for understanding and determining user life cycle, customer engagement thresholds, etc. Owned Data Connecting Dots DATA SOURCES CRM RTB Stream 3rd Party Data 6
  7. 7. Current Scenario • Today, invariably, every supply is available to every DSP / Bidder. • The inventory aggregation system works like a mesh • The advanced prebid.org and similar systems pump the inventory into multiple channels to get the maximum value Supply Path Optimisation • Between TagID, Domain, IP, Exchange and SSP an inventory has multiple channels to reach the bidder. • SPO selects the right channel from which the scale and price band can be attained • Optimise media cost by 30-70% SPO: Supply Path Optimisation 7
  8. 8. Data Activation • When buying becomes an internal process multiple data sources can be deployed to do buying using deep analytics • The data led media buy enable to maintain long term engagement, custom micro user segments, custom retargeting etc. Measuring Incremental Impact of Media Buys • Custom BI dashboards can measure KPI on biz specific params • Measuring trends on KPI enable a consolidated view on incremental impacts. Campaign Measurement & Analytics • Various metric on CPM, CPC, viewability, bounce, reach, etc. can be measured Enables Intelligent Buying 8
  9. 9. Accountability & Transparency • Understanding the ecosystem helps in signing right partners and balance the rights and responsibility matrix • Controlling the buy process at event level helps not only optimize the buy but also helps attain brand safety and various compliances e.g. GDPR, COPPA, etc. • Internal resources are more focused on revenue and profitability to attain brand KPIs • Achieve strict KPI parameters and transparency on quality, scale and KPIs. 9
  10. 10. Challenges • Organisational Consensus - CXO led • Long Range Planning - Time & Efforts • Right Talent • Right Technology • Transition and Coexistence 10
  11. 11. Key Takeaways • Programmatic in-housing is “the” alternative to DBM, MM, TDD, AppNexus, etc. • Programmatic in-housing will require CMO & CTO to work together • Programmatic in-housing will lead to achieving brand KPIs and higher ROI over time • Brings in a culture of accountability and transparency, with shared knowledge and execution 11
  12. 12. 12 Questions & Answers Thank you for your time. Happy to discuss more over a cup of coffee. pd@torcai.com

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