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Mobile Programmatic Advertising
Semiannual Statistics and Trends Report
2016 Asia Pacific
TABLE OF
CONTENTS
Overview of Mobile Ad Market
- Mobile advertising inventory
- Mobile advertising inventory – mobile web and app
- Market share of operation system
- eCPM
- Ratio of mobile advertising format
Observation of Brand-based Mobile Advertising
Observation of Performance-based Mobile Advertising
Observation of DMP Trends
Special Edition:
Targeting Chinese Travelers Through Programmatic Buying
About Vpon
Appendix – Terminology
Report Source
Contact Us
Overview of Mobile Advertising Market
3.90
0.95
0.29
0.02
2.64
1.24
0.20
0.45
0.88
0.91
3.68
2.05
0.59
0.06
Top 3 inventory sources (China, Indonesia, and Japan) take approximately
60% of total biddable inventory
Biddable Inventory In Asia Pacific
Source: Vpon Big Data Group
Greater China Northeast Asia Association of Southeast Asian Nations
South
Asia
Oceania
Unit: Billion per day
Mobile Web Mobile App
61% 67%
52% 52%
74%
56% 54% 53% 58% 63%
13%
38%
67% 63%
39% 33%
48% 48%
26%
44% 46% 47% 42% 37%
87%
62%
33% 37%
Web App
51% 49%
Mobile
APP
Mobile
Web
Mobile Web / Apps Mobile Web / Apps by Country
Source: Vpon Big Data Group
Greater China Northeast Asia Association of Southeast Asian Nations
South
Asia
Oceania
In Indonesia, 87% of the impression is dominated by mobile apps
s
Android iOS
49%
71% 64%
34%
47%
80%
63%
82% 77%
68%
93% 94%
40%
51%
51%
29% 36%
66%
53%
20%
37%
18% 23%
32%
7% 6%
60%
49%
Android iOS
Android accounts for more than 90% market share in India and Indonesia
31%
Android iOS
69%
Operation System Operation System by Country
Source: Vpon Big Data Group
Greater China Northeast Asia Association of Southeast Asian Nations
South
Asia
Oceania
Unit: USD
Macau has the highest eCPM, which is 7.5 higher than the lowest one (Thailand)
Source: Vpon Big Data Group
eCPM by country
Greater China Northeast Asia Association of Southeast Asian Nations
South
Asia
Oceania
Banner is the commonest mobile advertising format while native and video ads
have a greater growth momentum
Source: Vpon Big Data Group
Banner Native Interstitial Video
Ad Format Comparison Across APAC
Native 9%
Interstitial 5%
Video 2%
Banner 84%
*The IHS study anticipates in-app native advertising (exclude running on
Facebook) will be the fastest-growing ad format in digital advertising and will
grow at a 70.7-percent compound annual growth rate between 2015 and 2020
PMP (Private Market Place) is one step above open exchange in the programmatic
purchasing landscape, since only invited brands can take part in the auction, and the
inventory is typically more premium than in open exchanges. PMP is quickly gaining
traction with brand-based advertisers.
On the other hand, high-traffic apps and websites have been able to achieve higher
CPM (Cost-Per-Mille) by offering advertising placements through PMP, and their
relationships with advertising clients have grown stronger as well.
H&B
29%
Retail
14%
F&B
13%
Tech
10%
Finance
9%
Entertainment
6%
A&A
6%
Pharma
4%
Other
3%
Automobile
2%
Real Estate
2%
Travel
2%
H&B Retail F&B Tech Finance Entertainment A&A Pharma Other Automobile Real Estate Travel
Industry Comparison
Unit: Mobile ad budget in USD
Source: Vpon Big Data Group , statistic of programmatic buying mobile ads in Greater China, and Japan.
Apps in China / Hong Kong / Taiwan
Apps in APAC
Thanks to big data analytics technology and machine learning that enable
campaign optimizations, marketers who run performance-based mobile
campaigns can focus on their efforts to drive ROI.
Marketers cited the following benefits of programmatic buying as the most
important:
Source: Campaign Asia-Pacific
Better
Contextual targeting
Faster and
more efficient
execution
Real-time
optimization
Gaming industry evaluates campaign performance by various indicators: Cost Per Acquisition (CPA), Cost Per
Install (CPI), Cost Per Engagement (CPE), Customer Lifetime Value (CLV), Lifetime Value (LTV), etc. Gaming industry
is the main contributor to performance-based mobile advertising.
Industry Comparison
Game e-Commerce Emerging industry Travel Finance Others
e-Commerce 12%
Emerging Industry 12%
Travel 7%
Finance 6%
Others 3%
Gaming 60%
Unit: Mobile ad budget in USD
Source: Vpon Big Data Group , statistic of programmatic buying mobile ads in Greater China, and Japan.
20.00
20.00
0.00
5.00
10.00
15.00
20.00
$2-$6 $3-$9 $2-$4 6$-$10 $15-$19
Game
0.00
5.00
10.00
15.00
20.00
$3-$7 $4-$10 $3-$6 7$-$10 $16-$20
Android iOS
Customer Acquisition Cost
e-Commerce
Emerging
Industry Travel Finance
Unit: USD
$7-$10$6-$10
Game
Emerging
Industry Travel Financee-Commerce
Source: Vpon Big Data Group , statistic of programmatic buying mobile ads in Greater China, and Japan.
24%
19%
14%
14%
10%
0% 5% 10% 15% 20% 25% 30%
Improve ROI of marketing and advertising activities
Ability to turn data in insighht
First-party data integration
Reduce wastage in media buying
Data normalization
Reasons for implementing a DMP According to Media Buyers Worldwide
Source: Exhange Wire, “The Evolution of Data Management Platforms: Uniting Media Sellers and Media Buyers in a Quest for Effective Media in Association with Oracle, Sep 2015
Agencies and advertisers implement a DMP in order to integrate systems, merge cross-device data, and take
control of primary source data. With DMP, it is accountable to generate more holistic analytics and insights to
drive efficient marketing and communications.
Top prioirty Very important Average Not important currently Invest more Won't invest more Not sure/It depends
Source: Joint exploratory research between Zenith Optimedia and Nielsen of over 20 China-based marketing and media senior leaders
Getting a DMP in place has become critical for marketers in China - Asia Pacific’s largest programmatic
buying market
Degree of Importance of DMP Future Investment Intention
Very important
62%
Top priority
24%
Average10%
Not important
currently
5%
Invest more
62%
Not sure / it depends
29%
Won’t invest more
10%
Popular Tags Collected from Mobile Devices
- Gender
- Age
- Vocation
- Marital status
- Ownership of car
- Ownership of passport
- Country
- City
- District
- Frequently-visit location
- Digital footprint
- Brand
- Model
- Web
- Connection
- Telecom operator
- Screen resolution
- Installation
- Activation
- App ranking
- Category
- Browsing history
- Ads engagement
- Lookalike similarity
- Media preference
- Purchase preference
Demographic Location Device App Interest
Data Management Platform
Popular Audience Segmentations Adopted by Mobile Marketing Campaigns
Special Edition
Targeting Chinese Travelers by Programmatic Buying
X
Hong Kong
68%
Others
32%
The mobile device and programmatic buying have revolutionized the way that brands and consumers interact.
With the support of big data technology, brand can reach cross-border travelers via mobile devices more easily
and accurate than ever.
“Programmatic advertisement helps marketers deliver ads to travelers in different stages of their journey: pre-trip,
during the trip, and after the trip.” said Victor Wu, CEO at Vpon Big Data Group.
“Chinese travelers receive advertisements and also obtain information on their smartphones. It’s important for
brands to leverage mobile devices to connect with cross-border tourists.” said Roland Leung, Commercial Director
of APAC Market Opportunities & Innovation at GfK.
Now that technology and the internet have put the world in the palm of our hands,
it is high time for marketers to find the right ways to stay connected with global
consumers on a more personal level.
TRAVELERS SPENDING
The number of Chinese travelers will rise to
200 million by 2020
By 2025, China’s traveler spending will
increase to US$278.7 billion
0
20
40
60
80
100
120
140
160
180
200
China Outbound Travelers
(in million border crossings)
China Outbound Traveler Spending
(in US$ billion)
US$278.7
US$ 215
Source: World Urban Tourism Federation (WTCF); UNWTO (World Tourism Organization) Source: World Travel & Tourism Council (WTTC)
2010 2015 2020 2025
Shopping accounts for 27% of spending, while eating well and getting around account for another 20%.
Luxury brands are the pioneers when it
comes to targeting Chinese travelers.
Tourism-related industry shall seize the
revenue opportunities by approaching
cross-border consumers via mobile
throughout the journey.
Source: GfK survey
Q16:. In terms of Renminbi, how much did you spend in the following items in your last overseas trip?
Base: n=148
27%
24%20%
11%
6%
3%
9%
Shopping Travel expenses Accommodations
Food and beverages Sight-seeing Local transportation
Others
Banner
In terms of consumers' activities with smartphones in stores, the adoption rates of Chinese respondents are ranked
top 3 in the following categories.
43% 50% 54% 49%
Take pictures of
advertisement
product information
Scan barcodes or
QR codes to obtain
more information
Compare prices Take pictures of
actual products they
might buy
41%
Buy products through
the store's or another
website
39%
Buy products through an
app on their device
Source: GfK survey among 25,000+ mobile users (ages 15+) in 23 countries – rounded
Banner
Hong Kong Others
Hong Kong
68% Others
32%
Hong Kong
68%
1 Thailand
2 Hong Kong
3 South Korea
4 Taiwan
5 Macau
6 Singapore
7 Vietnam
8 Malaysia
2015 Q4 Top 10
Chinese Travelers Destinations
Source: China National Tourism Administration,
Q4, 2015
Mobile ads inventory generated
by Chinese Travelers during trip
New Zeland
4%
Indonesia
3%
Malaysia
3%
Vietnam
3%
Macau
7%
Singapore
7%
South Korea
10%
Thailand
10%Australia
10%
Taiwan
20%
Japan
23%
Banner
Attention and Planning
After TripBEFORE-TRIP DURING-TRIP
Retail Traffic
AFTER-TRIP
Retargeting
Deliver travel information to
create interests and attentions
Drive online traffic to physical
stores upon arrival at destinations
Retarget audience
for continuous purchase,
creating brand loyalty
Banner
Hong Kong
68%
Others
32%
Target audience: Tourists from Mainland China traveling to Japan
Creative: Ads with different communication messages to target tourists
traveling to different regions with different interests.
Campaign period: April – May, 2016
Location: Japan
Campaign is executed by Vpon Big Data Group
Multinational cosmetics and beauty group steps into cross-border tourists market
Background and objective of the campaign
To escalate the revenue in a regional level, the business group has decided to go beyond its geographic
boundaries. Instead of maintaining local market growth within each country in APAC region, this multinational
cosmetic and beauty company took a bold step into developing cross-border market. The primary aim is to
increase the transactions made by tourists and build a new revenue source to boost the revenue in a larger scale.
Campaign details
Hong Kong
68%
Others
32%
To encourage an immediate action, a strong incentive was designed to call for action.
When the Chinese travelers clicked the mobile ads, mobile-vouchers with exclusive offers were provided
to attract tourists to visit the physical stores and to make offline purchases at point-of-sale. The seamless
experience helps both parties: for customers, they can store the mobile voucher in their smart devices;
for advertisers, they can target the right audience and track ad performance easily.
Banner
.
In this campaign, travelers from Mainland China were categorized by Vpon into two groups:
1) travelers in Tokyo; and 2) travelers in cities other than Tokyo in Japan.
The travelers could be identified through the collaboration with the China-based SSP platforms, such as Baidu,
AMEX via data exchange. The features of audience tagging and location targeting allow ads to be timely delivered
and make the ads relevant to the audience even while they are abroad.
The advertisements of two
different cosmetics and
beauty brands could be
delivered based on the
location and user behavior
of the Chinese travelers.
The CTR was 35% higher than benchmark. Thanks to the
machine learning mechanism of the bidding engine, the CTR
was shown an obvious growth since week 2 after the
optimization of finding high potential Chinese travelers. The
CTR was improved by 41% and has remained in a constant
level after reaching the optimal point.
CTR (Click Through Rate)
The CVR of targeted mobile ads through Vpon DSP was
7.4 higher than that of display network ads and 1.4
higher than that of paid search.
CVR (Conversion Rate)
Paid Search Network display ads
5%
Conversion Rate (CVR)
Targeted mobile ads
through Vpon DSP
0.96%
7.10%
Strive the best performance by machine learning & RTB
To look for the potential audience who are most likely interested in beauty mobile-vouchers among the Chinese travelers
in Japan, Vpon’s bidding engine kicked off its machine learning process to find out the valuable target audience and then
automatically adjusted the real-time bidding (RTB) price to reach them. As a result, marketing budget was effectively
allocated to female shopping enthusiasts to deliver a better performance in this campaign.
Click-through Rate (CTR) Optimization
Before Optimization After Optimization
Vpon, an Asia’s leading Bid Data Technology company.
With extensive media resource reach
over 120 billion biddable inventory
across Asia Pacific and advanced big
data analytic technology, Vpon offers
solutions in the areas of cross-border
target marketing, driving transactions
for O2O and e-Commerce business, as
well as increasing awareness of brands.
Sources are from database of Vpon mobile DSP, DMP, VDAS SaaS, and several partners
including advertisers, ad networks, and some 3rd party data research companies. The report
is based on the findings from the campaigns run by all Vpon branch offices. Till June 30th,
2016, Vpon Mobile DSP has connected with dozens of mainstream media platforms, including
programmatic buying ad exchange, SSP, PMP, etc. and the coverage has reached 600 million of
unique devices across Asia.
Duration: January, 2016 – June, 2016
Ad Exchange
An ad exchange is a virtual marketplace where publishers auction ad inventory individually in real-time. Whenever a user loads an ad on a webpage or mobile app, ad
exchange generates an impression. Publishers can sell these impressions at the time they are generated by auctioning them to programmatic buyers on an exchange. Buyers
use algorithms to seek out and bid on auctions that match their criteria, in terms of the quality of the placement and whether the user viewing the ad is part of a target
audience. When an auction is completed, the winning bidder’s ad is delivered to the user via an ad server.
Data Management Platform, DMP
A Data Management Platform is a unified technology platform that intakes disparate first-, second-, and third-party datasets, provides normalization and segmentation on
that data, and allows a user to push the resulting segmentation into live interactive channel environments.” The First-party data refer to advertisers’ own data, second-party
data refers to a partner’s first-party data. Third-party data refer to any data that you can get your hands on, which isn’t first- or second-party data.
Demand-Side Platform, DSP
A Demand-Side Platform is a system that allows buyers of digital advertising inventory to manage multiple ad exchange and data exchange accounts through one interface.
DSPs apply audience targeting algorithms to search through a large supply of available impressions and find those that meet the buyer’s audience and placement criteria.
They also manage media delivery and report on campaign performance.
Private Marketplace , PMP
A Private Marketplace is an invite-only marketplace where high caliber publishers offer their advertising inventory to a selected group of advertisers. In order to be
approved, the buyer may need to pre-negotiate terms with the publisher, pay a sitting fee, or commit to a minimum spend on the platform. Typically, private exchanges host
premium inventory, which is more expensive and considered to be higher-quality than that available on open-access exchanges.
Supply-Side Platform, SSP
A Supply-Side Platform is a technology platform to enable app/web publishers to manage their advertising inventory, fill it with ads, and generate revenue.
www.vpon.com
sales.global@vpon.comAdvertisers
Publishers bd.global@vpon.com
Contact Us
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2016 Asia Pacific mobile programmatic advertising report by Vpon

  • 1. Mobile Programmatic Advertising Semiannual Statistics and Trends Report 2016 Asia Pacific
  • 2. TABLE OF CONTENTS Overview of Mobile Ad Market - Mobile advertising inventory - Mobile advertising inventory – mobile web and app - Market share of operation system - eCPM - Ratio of mobile advertising format Observation of Brand-based Mobile Advertising Observation of Performance-based Mobile Advertising Observation of DMP Trends Special Edition: Targeting Chinese Travelers Through Programmatic Buying About Vpon Appendix – Terminology Report Source Contact Us
  • 3. Overview of Mobile Advertising Market
  • 4. 3.90 0.95 0.29 0.02 2.64 1.24 0.20 0.45 0.88 0.91 3.68 2.05 0.59 0.06 Top 3 inventory sources (China, Indonesia, and Japan) take approximately 60% of total biddable inventory Biddable Inventory In Asia Pacific Source: Vpon Big Data Group Greater China Northeast Asia Association of Southeast Asian Nations South Asia Oceania Unit: Billion per day
  • 5. Mobile Web Mobile App 61% 67% 52% 52% 74% 56% 54% 53% 58% 63% 13% 38% 67% 63% 39% 33% 48% 48% 26% 44% 46% 47% 42% 37% 87% 62% 33% 37% Web App 51% 49% Mobile APP Mobile Web Mobile Web / Apps Mobile Web / Apps by Country Source: Vpon Big Data Group Greater China Northeast Asia Association of Southeast Asian Nations South Asia Oceania In Indonesia, 87% of the impression is dominated by mobile apps
  • 6. s Android iOS 49% 71% 64% 34% 47% 80% 63% 82% 77% 68% 93% 94% 40% 51% 51% 29% 36% 66% 53% 20% 37% 18% 23% 32% 7% 6% 60% 49% Android iOS Android accounts for more than 90% market share in India and Indonesia 31% Android iOS 69% Operation System Operation System by Country Source: Vpon Big Data Group Greater China Northeast Asia Association of Southeast Asian Nations South Asia Oceania
  • 7. Unit: USD Macau has the highest eCPM, which is 7.5 higher than the lowest one (Thailand) Source: Vpon Big Data Group eCPM by country Greater China Northeast Asia Association of Southeast Asian Nations South Asia Oceania
  • 8. Banner is the commonest mobile advertising format while native and video ads have a greater growth momentum Source: Vpon Big Data Group Banner Native Interstitial Video Ad Format Comparison Across APAC Native 9% Interstitial 5% Video 2% Banner 84% *The IHS study anticipates in-app native advertising (exclude running on Facebook) will be the fastest-growing ad format in digital advertising and will grow at a 70.7-percent compound annual growth rate between 2015 and 2020
  • 9. PMP (Private Market Place) is one step above open exchange in the programmatic purchasing landscape, since only invited brands can take part in the auction, and the inventory is typically more premium than in open exchanges. PMP is quickly gaining traction with brand-based advertisers. On the other hand, high-traffic apps and websites have been able to achieve higher CPM (Cost-Per-Mille) by offering advertising placements through PMP, and their relationships with advertising clients have grown stronger as well.
  • 10. H&B 29% Retail 14% F&B 13% Tech 10% Finance 9% Entertainment 6% A&A 6% Pharma 4% Other 3% Automobile 2% Real Estate 2% Travel 2% H&B Retail F&B Tech Finance Entertainment A&A Pharma Other Automobile Real Estate Travel Industry Comparison Unit: Mobile ad budget in USD Source: Vpon Big Data Group , statistic of programmatic buying mobile ads in Greater China, and Japan.
  • 11. Apps in China / Hong Kong / Taiwan
  • 13. Thanks to big data analytics technology and machine learning that enable campaign optimizations, marketers who run performance-based mobile campaigns can focus on their efforts to drive ROI. Marketers cited the following benefits of programmatic buying as the most important: Source: Campaign Asia-Pacific Better Contextual targeting Faster and more efficient execution Real-time optimization
  • 14. Gaming industry evaluates campaign performance by various indicators: Cost Per Acquisition (CPA), Cost Per Install (CPI), Cost Per Engagement (CPE), Customer Lifetime Value (CLV), Lifetime Value (LTV), etc. Gaming industry is the main contributor to performance-based mobile advertising. Industry Comparison Game e-Commerce Emerging industry Travel Finance Others e-Commerce 12% Emerging Industry 12% Travel 7% Finance 6% Others 3% Gaming 60% Unit: Mobile ad budget in USD Source: Vpon Big Data Group , statistic of programmatic buying mobile ads in Greater China, and Japan.
  • 15. 20.00 20.00 0.00 5.00 10.00 15.00 20.00 $2-$6 $3-$9 $2-$4 6$-$10 $15-$19 Game 0.00 5.00 10.00 15.00 20.00 $3-$7 $4-$10 $3-$6 7$-$10 $16-$20 Android iOS Customer Acquisition Cost e-Commerce Emerging Industry Travel Finance Unit: USD $7-$10$6-$10 Game Emerging Industry Travel Financee-Commerce Source: Vpon Big Data Group , statistic of programmatic buying mobile ads in Greater China, and Japan.
  • 16. 24% 19% 14% 14% 10% 0% 5% 10% 15% 20% 25% 30% Improve ROI of marketing and advertising activities Ability to turn data in insighht First-party data integration Reduce wastage in media buying Data normalization Reasons for implementing a DMP According to Media Buyers Worldwide Source: Exhange Wire, “The Evolution of Data Management Platforms: Uniting Media Sellers and Media Buyers in a Quest for Effective Media in Association with Oracle, Sep 2015 Agencies and advertisers implement a DMP in order to integrate systems, merge cross-device data, and take control of primary source data. With DMP, it is accountable to generate more holistic analytics and insights to drive efficient marketing and communications.
  • 17. Top prioirty Very important Average Not important currently Invest more Won't invest more Not sure/It depends Source: Joint exploratory research between Zenith Optimedia and Nielsen of over 20 China-based marketing and media senior leaders Getting a DMP in place has become critical for marketers in China - Asia Pacific’s largest programmatic buying market Degree of Importance of DMP Future Investment Intention Very important 62% Top priority 24% Average10% Not important currently 5% Invest more 62% Not sure / it depends 29% Won’t invest more 10%
  • 18. Popular Tags Collected from Mobile Devices - Gender - Age - Vocation - Marital status - Ownership of car - Ownership of passport - Country - City - District - Frequently-visit location - Digital footprint - Brand - Model - Web - Connection - Telecom operator - Screen resolution - Installation - Activation - App ranking - Category - Browsing history - Ads engagement - Lookalike similarity - Media preference - Purchase preference Demographic Location Device App Interest
  • 19. Data Management Platform Popular Audience Segmentations Adopted by Mobile Marketing Campaigns
  • 20. Special Edition Targeting Chinese Travelers by Programmatic Buying X
  • 21. Hong Kong 68% Others 32% The mobile device and programmatic buying have revolutionized the way that brands and consumers interact. With the support of big data technology, brand can reach cross-border travelers via mobile devices more easily and accurate than ever. “Programmatic advertisement helps marketers deliver ads to travelers in different stages of their journey: pre-trip, during the trip, and after the trip.” said Victor Wu, CEO at Vpon Big Data Group. “Chinese travelers receive advertisements and also obtain information on their smartphones. It’s important for brands to leverage mobile devices to connect with cross-border tourists.” said Roland Leung, Commercial Director of APAC Market Opportunities & Innovation at GfK. Now that technology and the internet have put the world in the palm of our hands, it is high time for marketers to find the right ways to stay connected with global consumers on a more personal level.
  • 22. TRAVELERS SPENDING The number of Chinese travelers will rise to 200 million by 2020 By 2025, China’s traveler spending will increase to US$278.7 billion 0 20 40 60 80 100 120 140 160 180 200 China Outbound Travelers (in million border crossings) China Outbound Traveler Spending (in US$ billion) US$278.7 US$ 215 Source: World Urban Tourism Federation (WTCF); UNWTO (World Tourism Organization) Source: World Travel & Tourism Council (WTTC) 2010 2015 2020 2025
  • 23. Shopping accounts for 27% of spending, while eating well and getting around account for another 20%. Luxury brands are the pioneers when it comes to targeting Chinese travelers. Tourism-related industry shall seize the revenue opportunities by approaching cross-border consumers via mobile throughout the journey. Source: GfK survey Q16:. In terms of Renminbi, how much did you spend in the following items in your last overseas trip? Base: n=148 27% 24%20% 11% 6% 3% 9% Shopping Travel expenses Accommodations Food and beverages Sight-seeing Local transportation Others
  • 24. Banner In terms of consumers' activities with smartphones in stores, the adoption rates of Chinese respondents are ranked top 3 in the following categories. 43% 50% 54% 49% Take pictures of advertisement product information Scan barcodes or QR codes to obtain more information Compare prices Take pictures of actual products they might buy 41% Buy products through the store's or another website 39% Buy products through an app on their device Source: GfK survey among 25,000+ mobile users (ages 15+) in 23 countries – rounded
  • 25. Banner Hong Kong Others Hong Kong 68% Others 32% Hong Kong 68% 1 Thailand 2 Hong Kong 3 South Korea 4 Taiwan 5 Macau 6 Singapore 7 Vietnam 8 Malaysia 2015 Q4 Top 10 Chinese Travelers Destinations Source: China National Tourism Administration, Q4, 2015 Mobile ads inventory generated by Chinese Travelers during trip New Zeland 4% Indonesia 3% Malaysia 3% Vietnam 3% Macau 7% Singapore 7% South Korea 10% Thailand 10%Australia 10% Taiwan 20% Japan 23%
  • 26. Banner Attention and Planning After TripBEFORE-TRIP DURING-TRIP Retail Traffic AFTER-TRIP Retargeting Deliver travel information to create interests and attentions Drive online traffic to physical stores upon arrival at destinations Retarget audience for continuous purchase, creating brand loyalty
  • 27. Banner Hong Kong 68% Others 32% Target audience: Tourists from Mainland China traveling to Japan Creative: Ads with different communication messages to target tourists traveling to different regions with different interests. Campaign period: April – May, 2016 Location: Japan Campaign is executed by Vpon Big Data Group Multinational cosmetics and beauty group steps into cross-border tourists market Background and objective of the campaign To escalate the revenue in a regional level, the business group has decided to go beyond its geographic boundaries. Instead of maintaining local market growth within each country in APAC region, this multinational cosmetic and beauty company took a bold step into developing cross-border market. The primary aim is to increase the transactions made by tourists and build a new revenue source to boost the revenue in a larger scale. Campaign details
  • 28. Hong Kong 68% Others 32% To encourage an immediate action, a strong incentive was designed to call for action. When the Chinese travelers clicked the mobile ads, mobile-vouchers with exclusive offers were provided to attract tourists to visit the physical stores and to make offline purchases at point-of-sale. The seamless experience helps both parties: for customers, they can store the mobile voucher in their smart devices; for advertisers, they can target the right audience and track ad performance easily.
  • 29. Banner . In this campaign, travelers from Mainland China were categorized by Vpon into two groups: 1) travelers in Tokyo; and 2) travelers in cities other than Tokyo in Japan. The travelers could be identified through the collaboration with the China-based SSP platforms, such as Baidu, AMEX via data exchange. The features of audience tagging and location targeting allow ads to be timely delivered and make the ads relevant to the audience even while they are abroad. The advertisements of two different cosmetics and beauty brands could be delivered based on the location and user behavior of the Chinese travelers.
  • 30. The CTR was 35% higher than benchmark. Thanks to the machine learning mechanism of the bidding engine, the CTR was shown an obvious growth since week 2 after the optimization of finding high potential Chinese travelers. The CTR was improved by 41% and has remained in a constant level after reaching the optimal point. CTR (Click Through Rate) The CVR of targeted mobile ads through Vpon DSP was 7.4 higher than that of display network ads and 1.4 higher than that of paid search. CVR (Conversion Rate) Paid Search Network display ads 5% Conversion Rate (CVR) Targeted mobile ads through Vpon DSP 0.96% 7.10% Strive the best performance by machine learning & RTB To look for the potential audience who are most likely interested in beauty mobile-vouchers among the Chinese travelers in Japan, Vpon’s bidding engine kicked off its machine learning process to find out the valuable target audience and then automatically adjusted the real-time bidding (RTB) price to reach them. As a result, marketing budget was effectively allocated to female shopping enthusiasts to deliver a better performance in this campaign. Click-through Rate (CTR) Optimization Before Optimization After Optimization
  • 31. Vpon, an Asia’s leading Bid Data Technology company. With extensive media resource reach over 120 billion biddable inventory across Asia Pacific and advanced big data analytic technology, Vpon offers solutions in the areas of cross-border target marketing, driving transactions for O2O and e-Commerce business, as well as increasing awareness of brands.
  • 32.
  • 33. Sources are from database of Vpon mobile DSP, DMP, VDAS SaaS, and several partners including advertisers, ad networks, and some 3rd party data research companies. The report is based on the findings from the campaigns run by all Vpon branch offices. Till June 30th, 2016, Vpon Mobile DSP has connected with dozens of mainstream media platforms, including programmatic buying ad exchange, SSP, PMP, etc. and the coverage has reached 600 million of unique devices across Asia. Duration: January, 2016 – June, 2016
  • 34. Ad Exchange An ad exchange is a virtual marketplace where publishers auction ad inventory individually in real-time. Whenever a user loads an ad on a webpage or mobile app, ad exchange generates an impression. Publishers can sell these impressions at the time they are generated by auctioning them to programmatic buyers on an exchange. Buyers use algorithms to seek out and bid on auctions that match their criteria, in terms of the quality of the placement and whether the user viewing the ad is part of a target audience. When an auction is completed, the winning bidder’s ad is delivered to the user via an ad server. Data Management Platform, DMP A Data Management Platform is a unified technology platform that intakes disparate first-, second-, and third-party datasets, provides normalization and segmentation on that data, and allows a user to push the resulting segmentation into live interactive channel environments.” The First-party data refer to advertisers’ own data, second-party data refers to a partner’s first-party data. Third-party data refer to any data that you can get your hands on, which isn’t first- or second-party data. Demand-Side Platform, DSP A Demand-Side Platform is a system that allows buyers of digital advertising inventory to manage multiple ad exchange and data exchange accounts through one interface. DSPs apply audience targeting algorithms to search through a large supply of available impressions and find those that meet the buyer’s audience and placement criteria. They also manage media delivery and report on campaign performance. Private Marketplace , PMP A Private Marketplace is an invite-only marketplace where high caliber publishers offer their advertising inventory to a selected group of advertisers. In order to be approved, the buyer may need to pre-negotiate terms with the publisher, pay a sitting fee, or commit to a minimum spend on the platform. Typically, private exchanges host premium inventory, which is more expensive and considered to be higher-quality than that available on open-access exchanges. Supply-Side Platform, SSP A Supply-Side Platform is a technology platform to enable app/web publishers to manage their advertising inventory, fill it with ads, and generate revenue.