The document discusses next generation advertising solutions. It notes that traditional media value chains are blurring as publishers become agencies, agencies become content creators, and brands create content. It also notes the proliferation of new media channels, the increasing scarcity of attention, mobile as the only growing media time, the shift to performance-based advertising, the rise of programmatic buying and native ads, and implications of neuroscience research for advertising theory. The author works at Sanoma Media Netherlands and discusses how their large portfolio of media assets can help clients succeed across different target audiences and parts of the customer journey.

1. Next generation Ad Solutions
Erik-Jan Gelink, CCO

2. Introduction

3. I have a background in leading teams and being a trusted
advisor for mainly media & telecom companies…Managementrole
Advisorrole

4. … and as of June 2014 I have joined Sanoma Media
Netherlands as Chief Commercial Officer (CCO)Managementrole
Advisorrole

5. Some observations

6. Some observations – it is getting quite complex outside
1 Lines are blurring in the traditional media value chain
2 There is an ever-increasing range of media channels
3 ‘Attention’ is an increasingly scarce resource
4 Mobile is the only media time that is growing
5 Performance based: a shift from selling audience to selling behavior
6 Robots are taking over the ad-buying process
7 Native advertising is a major driver of future Advertising sales
8 Neuroscience research had important implications for traditional theories of advertising

7. Some observations
1 Lines are blurring in the traditional media value chain
2 There is an ever-increasing range of media channels
3 ‘Attention’ is an increasingly scarce resource
4 Mobile is the only media time that is growing
5 Performance based: a shift from selling audience to selling behavior
6 Robots are taking over the ad-buying process
7 Native advertising is a major driver of future Advertising sales
8 Neuroscience research had important implications for traditional theories of advertising

8. Publishers become Agencies, Agencies become Content
Creators ( even Publishers), and Brands are Content Creators
Publishers
Agencies
Brands
Lines are blurring in the traditional media value chain
Agencies
Content
Creators
Publishers

9. Some observations
1 Lines are blurring in the traditional media value chain
2 There is an ever-increasing range of media channels
3 ‘Attention’ is an increasingly scarce resource
4 Mobile is the only media time that is growing
5 Performance based: a shift from selling audience to selling behavior
6 Robots are taking over the ad-buying process
7 Native advertising is a major driver of future Advertising sales
8 Neuroscience research had important implications for traditional theories of advertising

10. New media channels have allowed marketers to connect with
consumers in new ways, opening the minds of new audiences
The Paid, Owned & Earned Media ecosystem

11. And the media channel ecosystem is expanding with
innovations like Google Glass…

12. … Google Nest…

13. … smart watches…

14. …in-car screens…

15. …innovative projection solutions (Sony example), and so on..

16. Some observations
1 Lines are blurring in the traditional media value chain
2 There is an ever-increasing range of media channels
3 ‘Attention’ is an increasingly scarce resource
4 Mobile is the only media time that is growing
5 Performance based: a shift from selling audience to selling behavior
6 Robots are taking over the ad-buying process
7 Native advertising is a major driver of future Advertising sales
8 Neuroscience research had important implications for traditional theories of advertising

17. The fragmentation of media channels will confirm ‘Attention’
to be a increasingly scarce resource

18. Getting (or holding) the attention of target customers is on the
top of the US Marketers ‘marketing got complicated’ list
Source: eMarketer
Level of challenge for marketing factors according to US marketing executives (Feb 2014, % of total)

19. Some observations
1 Lines are blurring in the traditional media value chain
2 There is an ever-increasing range of media channels
3 ‘Attention’ is an increasingly scarce resource
4 Mobile is the only media time that is growing
5 Performance based: a shift from selling audience to selling behavior
6 Robots are taking over the ad-buying process
7 Native advertising is a major driver of future Advertising sales
8 Neuroscience research had important implications for traditional theories of advertising

20. Mobile is the only media time that is growing
Media time consumption share US 2009 2013
Source: eMarketer Business Intelligence – August 2013

21. Google and Facebook are dominating the Global mobile Ad
Revenu market with a combined share of 68,5% in 2014
Source: eMarketer
Net mobile internetAd Revenue share (%) worldwide by Company (2012-2014)

22. Some observations
1 Lines are blurring in the traditional media value chain
2 There is an ever-increasing range of media channels
3 ‘Attention’ is an increasingly scarce resource
4 Mobile is the only media time that is growing
5 Performance based: a shift from selling audience to selling behavior
6 Robots are taking over the ad-buying process
7 Native advertising is a major driver of future Advertising sales
8 Neuroscience research had important implications for traditional theories of advertising

23. Market conditions force companies to increasingly link
advertising expenditures to specific goals

24. Performance based advertising will extend itself outside
online, where most of the Advertising spend is

25. Some observations
1 Lines are blurring in the traditional media value chain
2 There is an ever-increasing range of media channels
3 ‘Attention’ is an increasingly scarce resource
4 Mobile is the only media time that is growing
5 Performance based: a shift from selling audience to selling behavior
6 Robots are taking over the ad-buying process
7 Native advertising is a major driver of future Advertising sales
8 Neuroscience research had important implications for traditional theories of advertising

26. Programmatic buying is a computerized system for buying
digital media advertising impressions automatically

27. Programmatic advertising increases share in the display
market; figure excludes Google and Facebook
Display advertising spend split into Manual and Programmatic trade
Source: IAB. Deloitte

28. RTB is most used as programmatic method in NL, spend
shows similar seasonality as the total online display market
Programmatic revenue RTB and Non-RTB (m€)
Source: IAB. Deloitte

29. Some observations
1 Lines are blurring in the traditional media value chain
2 There is an ever-increasing range of media channels
3 ‘Attention’ is an increasingly scarce resource
4 Mobile is the only media time that is growing
5 Performance based: a shift from selling audience to selling behavior
6 Robots are taking over the ad-buying process
7 Native advertising is a major driver of future Advertising sales
8 Neuroscience research had important implications for traditional theories of advertising

30. Native ads are more engaging than sponsored or banner ads,
which make them an effective tool for advertisers

33. Some observations
1 Lines are blurring in the traditional media value chain
2 There is an ever-increasing range of media channels
3 ‘Attention’ is an increasingly scarce resource
4 Mobile is the only media time that is growing
5 Performance based: a shift from selling audience to selling behavior
6 Robots are taking over the ad-buying process
7 Native advertising is a major driver of future Advertising sales
8 Neuroscience research had important implications for traditional theories of advertising

34. Recent discoveries in neuroscience and psychology have
important implications for traditional theories of advertising

35. Recent discoveries in neuroscience and psychology have
important implications for traditional theories of advertising
New world view
Emotional
and
rational
Getting
noticed
Relevant
associations
Refreshing
and building
memory
structures
Reaching
Salience
(remarkable
-ness)
Rational
or
emotional
Message
compre-
hension
Unique
selling
propositions
Persuasion Teaching Positioning
Past world view
Source: How Brands Grow, Byron Sharp (2010)

36. 1. Continuously reach all buyers of the category (communication and distribution) – avoid
being silent
2. Ensure the brand is easy to buy (communicate how the brand fits with the users life)
3. Get noticed (grab attention and focus on brand salience to prime the users mind)
4. Refresh and build memory structures (respect existing associations that make the brand
easy to notice and easy to buy)
5. Create and use distinctive brand assets (use sensory cues to get noticed and stay top of
mind)
6. Be consistent (avoid unnecessary changes, whilst keeping the brands fresh and interesting)
7. Stay competitive (keep the brand easy to buy and avoid giving excuses not to buy (i.e. by
targeting a particular group)
After several bruising rounds of marketing myth-busting, HBG
outlines 7 scientifically derived rules for brand growth
Source: How Brands Grow, Byron Sharp (2010)

37. How can we help?

38. My job at Sanoma is helping our clients and partners succeed
in achieving their business goals…

39. … by using our large portfolio of media assets…

40. … across all touch points along the customer journey.

41. For example, if your target group is Women, Sanoma SBS is
the partner for you…
Consumer Profile
• Female
• Married
• Age of print audience: 20-65yrs; age of online audience: 20-
49yrs; Net 5 audience skewed to 20-35yrs old women
• MBO-HBO educated. Higher education level for Linda & Flow
• Print audience often has young children in household; online
audience is more likely to live in one or two-person households
• Medium social class
• Employed; but not breadwinner
• High newspaper & magazine readership, high TV viewership
Selection of Women’s Interest Domain brands
TV Print Digital Events
Source: NOM average reach data 2013; DDMM survey data 2013

42. … our assets and key brands are able to reach out to different
target groups covering all age-and income groups
Predominant audiences per brand
Source: NOM audience monitor 2012 – PRINT and 2013- online
INDICATIVE

43. There are a lot of different ways to work with us…

44. New developments

45. Let me highlight a few categories of solutions we are
developing next to our core advertising products
Effectiveness
and efficiency
Owned and
earned media
services
Direct
Stakeholder in
(sales) results
advertiser
Build
infrastructure
for demand and
supply
Improved
advertising
(tools, ROI)
Content
marketing
Performance
partnerships
Domain
solutions
1 2 3 4

46. More information?

47. Visit www.adverterenbijsanoma.nl or download the iPad App

48. Deel je ervaring #SMM14