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Programmatic advertising - overview
- 1. SSP (Publishers) DSP (Agency) Purchase ad inventory (display, video, search, mobile) in an automated fashion from mul=ple publisher sites and AD networks and exchanges Open Network Closed Network Ad Network SSPs pool inventory from Publisher owned web sites (and partners), then op=mizes yield based on defined CPMs and preferred buying arrangements AKA: Yield Op=miza=on plaJorms • Protect yield • Aggregate and manages rela=onships with mul=ple networks • Dictate who can buy and at what rate: closed networks offer preferen=al rates to individual Agencies and adver=sers, based on annual buying agreements. Open network: • Can be used to traffic campaigns: serve and track delivery • SSP partnerships include: Pangaea Alliance: Guardian, FT, Reuters, Economist pooling inventory using the Rubicon Project plaJorm Supplies inventory to • Allows buyers to manage mul=ple ad exchange and data exchange accounts in one place • Allows buying of narrow audience segments at scale • Analyze and purchase impressions based on aTributes: cost, where served, specific users, behaviour… Key supply side plaJorms SSPs: • Google • OpenX • Pubma=c • Rubicon Project • AppNexus • Right Media • AOL • Prices oXen determined by Real Time Biddng (RTB) DSP Benefits over ad network: • Ad Networks include a markup, DSPs charge a simple fee for facilita=ng transac=on • Ability to buy, serve, track and op=mize ads using one central tool Ad Networks, originally created to collect mass inventory to simplify buying process and support publishers with limited display sales capability • Closed group of privately traded ads • Aggregate and sell adver=sing on behalf of publishers. Some focus on quan=ty (sell cheap) others quality (premium) • threatened by rise of DSPs, so most offer some sort of DSP: buy up inventory repackage and resell at premium • line is increasingly blurred between ad networks and DSPs) . DSPs the next gen of Ad networks Example DSPs • Vendors: Google Invite media, MediaMath, Turn, DataXu • Agency trading desks using the above Example agency trading desks: • Havas – Adne=k • IPG -‐ Mediabrands Audience PlaJorm • Omnicon – Accuen • Publicis – Audience on Demand • WPP -‐ Xaxis Data Management PlaJorm (DMP or Data Aggregator) Collect on and offline data to enrich targe=ng • Manage cookie IDs and audience segments • DMP work with DSPs and SSPs to inform and segment buying/selling op=ons • DSP providers oXen include DMPs • Example DMPs Adobe, Krux, BlueKai, Coreaudience, Kno=ce, X+1 Ad Exchanges (adver=sing automa=on plaJorms) DMP Data Mangt. PlaJorm Web site 1 Web site 3… Web site 2 Web site 1 Web site 3… Web site 2 Evolving and increasingly blurred line between Ad Exchanges and SSPs, in broad terms both offer an automated adver=sing plaJorm for buyers and sellers • Compared to Ad Networks, Ad Exchanges collect inventory from mul=ple publishers and networks providing open bidding / RTB op=ons with variable pricing to aid transparency • Variety of trading op=ons: real =me spot; yield op=misa=on; forward and futures; behavioural / retarge=ng and contextual • Examples: AdECN, Rubicon Project, RockeJuel, Google Display Network / Doubleclick Bid Manager, Facebook Ad Exchange (Live Rail acquisi=on), TapAd (cross device DSP), AdMob (ad network for mobile/tablet Apps) Owned / proprietary sites Supplies inventory to Supplies inventory to Retarge=ng specialist plaJorms • Buy inventory and offer retarge=ng based on audience behavior (products viewed etc) • Examples: Criteo, AdRoll, Retargeter and search to display retargeters like Simplifi, Chango, Magne=c Supplies inventory to