This document provides 5 mind-blowing facts about programmatic advertising in Canada: 1) Programmatic spending in Canada has increased exponentially from 2013 to 2016, especially on mobile devices. 2) Canadian agencies contribute more to programmatic demand compared to other countries around the world. 3) Canadians were quick to adopt programmatic advertising, catching up to adoption rates in the UK and US within only a year. 4) For Canadians, contextual advertising remains important as they utilize programmatic channels to support contextual objectives. 5) Data is driving the next wave of growth in programmatic advertising in Canada as the use and assessment of data increases.

1. 5 mind-blowing facts
you probably didn’t
know about
programmatic
advertising in
Canada…
RJ Pauloski
Sales Director, Microsoft
advertising.microsoft.ca

2. $4.07
$8.14 $8.48 $8.52
$1.11
$2.53 $3.31$0.80
$3.87
$8.57
$-
$5.00
$10.00
$15.00
$20.00
$25.00
2013 2014 2015 2016
Programmatic by Transaction Method
($Billion)
Open Exchange Private Marketplace
Programmatic Direct
$0.08
$0.08
$2.92
$5.62 $6.52 $6.26$1.33
$4.44
$8.36
$14.15
$-
$5.00
$10.00
$15.00
$20.00
$25.00
2013 2014 2015 2016
Programmatic by Device ($Billion)
Desktop/Laptop Mobile
Programmatic spend is increasing at an exponential rate
The definition and spend against different programmatic products does vary, but growth is a common theme
@MSAdvertisingCA

3. More Data = Better Insights
Brazil
New
Zealand
Australia
Canada
US
Spain
Italy
France
Belgium
Netherlands
United
Kingdom
Norway
Sweden
Denmark
Germany
Americas
 Canada
 France
 US
 Brazil
Asia
 Australia
 New Zealand
Europe
 United Kingdom
 Spain
 Netherlands
 Norway
 Sweden
 Denmark
 Belgium
 Germany
 Italy
FY13 ‘The Original 15’
Asia
 Japan
 South East
Asia
 Hong Kong
 Taiwan
 India
Latin America
 Mexico
 OLA
Europe
 Switzerland
 Austria
 Finland
 Turkey
 Portugal
 Russia
FY14 Expansion
Europe
 Ireland
FY15 Expansion
Asia
 China
 Korea
@MSAdvertisingCA

5. @MSAdvertisingCA

6. 0%
20%
40%
60%
80%
100%
July
2012
Feb
2015
AGGREGATE STRIP RATE
UNITED STATES | UK | CANADA
Fall 2013
Source: Microsoft MAX 07-12 to 02-15
Canadians caught up to
the UK and the United
States in only 1 year.
1 Canada was slow to adopt, but caught on fast!
@MSAdvertisingCA

7. Agency/Atd demand
contribution
APAC
FRANCE
Source: Microsoft MAX 09-14 to 02-15
46%
45%
29%
27%
27%
26%
25%
19%
19%
6%Latam
United States
Japan
Grand Total
UK
Germany
France
APAC
Western Europe
Canada
Canadian agencies
contribute the most to
demand compared to
rest of the world.
2 Canadian agencies are in the driver’s seat…
@MSAdvertisingCA

8. 32%
30%
19%
17%
15%
13%
8%
4%
2%
0%
Canadians lead the
world in percentage of
RTB Revenue driven via
Deal IDs.
Deal ID %
Source: Microsoft MAX 09-14 to 02-15
Latam
France
UK
APAC
Germany
Western Europe
Grand Total
United States
Japan
Canada
3 Canadians really like Deal IDs…
@MSAdvertisingCA

9. Source: Microsoft MAX 03-15
0%
10%
20%
30%
40%
50%
60%
0
50
100
150
200
250
300
US CA DE UK NO SE FR IT BE DK
Live Deals % In Use
Canadians utilizing
programmatic channels
to support contextual
objectives.
Contextual deal
setup/usage
4 For Canadians, context is still important.
@MSAdvertisingCA

10. DMP
Data and Deals
Value of Data
Publisher, Adv, or 3P
Insights and ROI
Privacy Policy
G
E
H
SL
SN
AL
Source: Microsoft MAX Global Insights
Canadians are
beginning to assess,
utilize and take
advantage of data
across programmatic
platforms.
5 Data in driving the next wave of growth.
@MSAdvertisingCA

11. And a few more
unbelievable trends
and observations…

12. +
6 Premium inventory is exploding.
Canadian publishers are
bringing traditionally
non-programmatic
products into the
exchange marketplace.
@MSAdvertisingCA

13. Providing richer and
more powerful
buying opportunities
across all devices.
7 Cross-device Universal ID is making things easier.
@MSAdvertisingCA

14. 8 Viewability and brand safety are still major issues.
Transparency and
verification will
soon be the price
of entry.
!
This website has
been reported as
unsafe
We strongly recommend to discontinue the
use of this website.
Register your computer’s security software
The website has been reported to Microsoft for containing
threats that might steal personal of financtial information from
your computer.
@MSAdvertisingCA

15. 9 Programmatic is disrupting resource models.
Publishers, agencies,
marketers are
rethinking how they
staff, hire and operate.
@MSAdvertisingCA

16. Mind
blown

17. Thank you!
RJ Pauloski
Sales Director, Microsoft
advertising.microsoft.ca