The Case for Geo-Targeted Display Advertising Growth
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The case for establishing an Audience Extension program for digital media publishers
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The Case for Geo-Targeted Display Advertising Growth
- 1. The Case for Audience Extension Lorren Elkins Granite Broadcasting Corp. l.elkins@granitetv.com @lorren_elkins
- 2. Audience Extension Benefits • Expand publisher reach • Enable audience targeting • Automate buying process
- 3. The market for geo-targeted display ads is poised for aggressive growth over the next few years As early as 2009, targeted ads were predicted to be in high demand 2009 2011 2012 2013 2014
- 4. “The big driver will be targeted display” In 2011 Borrell mentioned targeted ads as a growth driver 2009 2011 2012 2013 2014
- 5. In 2012 Pew predicted targeted display would grow far faster than other ad formats “Targeted display will overtake all other local online ad formats” 2009 2011 2012 2013 2014
- 6. In 2013 SMBs got into the game 2009 2011 2012 2013 2014 “13% of US SMBs planned to spend $ on targeted display ”
- 7. Borrell in 2014 2009 2011 2012 2013 2014 “targeted display ”
- 8. Kelsey predicts mobile targeted display will grow from 32% of buys to 43% by 2019 Source: BIA/Kelsey, November 2014 32% in 2014” 43% in 2019”
- 9. U.S. Local Video Advertising Revenues Source: BIA/Kelsey, November 2014 The other major growth area has been online video 7% of all video in 2014” 19% of all video in 2019” 2009 2011 2012 2013 2014 2015 2016 2017 2018 2019
- 10. eMarketer points out higher video CPMS “What’s at stake here is a lot of money”
- 11. We’re also reminded that pure plays dominate local digital share Source: Borrell Associates Pure-Play Newspaper YP TV Magazine Radio Cable
- 12. Given these trends, it was important for us to: • Combat pure-play competitors • Consider ROI vs other sales programs • Develop targeted audience capabilities • Find an outsourced solution
- 13. Our Approach
- 14. Audience Extension is one of many sales programs
- 15. Onboarding the Sales Team • Provide targeted display capability • Enable more inventory • Develop training program • Establish Ad Ops procedures • Create marketing materials
- 16. Challenges • Selling audiences instead of impressions • Explaining and delivering targeted audiences • Added expense of targeting • Questions about observable impressions & sites • Need for transparent reporting • Pricing the program properly
- 18. Revenue Impact 0 20 40 60 80 100 120 Q1-14 Q2-14 Q3-14 Q4-14 # of Audience Extension Campaigns Run Display Video
- 19. How often do you include/plan to include audience extension on campaign proposals? Source: 2014 Digiday sample of 226 publishers at the Director level or higher “48% include audience extension on most campaign proposals”
- 20. Digiday says audience extension helps win business Source: 2014 Digiday sample of 226 publishers at the Director level or higher “42% have won new business”
- 21. Things to Consider • If you’re big, it’s likely you already have your own direct solution • If you’re smaller, audience extension is still possible • Many third-party vendors offer access to exchanges. Ask them about: • reporting • site transparency • best practice case studies • their staff turnover • order entry process • # of platforms they use • flexibility in creating new audience segments • Use your own program name rather than that of your vendor