Are You Ready for the Bionic Age of Digital Media?

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Presented at the October 2013 Digiday Agency Summit in Miami. As we approach the 19th anniversary of the first banner ad, Digital Media Planning is entering its third age. First, we had the “Guilded” Age. Then came the Machine Age. Recent announcements by AOL, Yahoo and Microsoft herald the start of a new era: the Bionic Age. As with every seismic shift, there will be winners and losers.

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Are You Ready for the Bionic Age of Digital Media?

  1. 1. Are You Ready for the Bionic Age of Digital Media?
  2. 2. Hotwired served up the first banner ad for AT&T on Oct. 27, 1994
  3. 3. The “Guilded” Age Advertising inventory was purchased in large batches at negotiated rates expressed in contracts called insertion orders, just like in print. These early digital media artisans soon joined together and established the guilds that became known as digital media agencies. Like medieval guilds, they closely guarded their trade secrets and only passed them down to their apprentices.
  4. 4. Media plans were made in Excel
  5. 5. 42-step manual process
  6. 6. What is a DSO? (hint: it came before DSPs)
  7. 7. Digital Switchboard Operators
  8. 8. Ad Serving Research Buying / Billing Email Excel File Sharing
  9. 9. Ad Network Source: Right Media
  10. 10. 500 Ad Networks Source: Right Media
  11. 11. Daisy Chaining $5.00 $1.00 Source: Right Media
  12. 12. Ad Exchanges Source: Right Media
  13. 13. April 2007
  14. 14. April 2007
  15. 15. July 2007
  16. 16. The Machine Age The Machine Age introduced astonishing efficiency through real-time bidding on ad exchanges. Instead of humans taking weeks to plan and execute a campaign through an insertion order, machines purchased impressions at auctions that took place in the milliseconds before a browser loaded your Web page.
  17. 17. early trading machines were crude
  18. 18. Algorithms got Smarter
  19. 19. they created new revenue streams
  20. 20. hundreds of companies making machine parts
  21. 21. machines threatened to break the guilds
  22. 22. $8billion Direct $2billion RTB
  23. 23. $8billion Direct $2billion RTB ?
  24. 24. Sutton Pivot That’s where the money is. Why do you rob banks?
  25. 25. RTB RTB Direct Buying It’s not real-time There’s no bidding
  26. 26. “The cost of not having a connected business is costing the [digital advertising] industry $3.6 million dollars per hour.” Neal Mohan, Google’s Vice President of Display Advertising Products at Google’s thinkDoubleClick June 2013 event.
  27. 27. Source: AdExchanger
  28. 28. Programmatic Direct
  29. 29. The Bionic Age We use computers to automate the repetitive, mundane tasks to free us humans to do what we do best: be creative and strategic.
  30. 30. Man versus Machine Man and Machine
  31. 31. Humans + Automation = Achieve Super-Human Results
  32. 32. Productivity
  33. 33. Speed
  34. 34. Listening and Optimization
  35. 35. New Insights
  36. 36. Step 1 to becoming Bionic: Get a t-shirt
  37. 37. Step 2 to becoming Bionic: Replace Excel with a real media workflow system
  38. 38. Ad Serving Workflow Research Buying / Billing
  39. 39. Big Announcement (for us, anyway ;-)
  40. 40. is now known as…
  41. 41. www.bionic-ads.com Chris Adele Mark Joe Chris O’Hara Co-Founder & CRO Adele Pellicane VP Sales Mark Winberry Director of Product Management Joe Pych Co-Founder & CEO

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