Programmatic Buying Reach and Acquire High Value Customers at Scale
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Programmatic Buying Reach and Acquire High Value Customers at Scale
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Programmatic Buying Reach and Acquire High Value Customers at Scale
- 1. Programmatic Buying Reach and Acquire High Value Customers at Scale
- 2. Keren Katz Programmatic Lead | New York
- 3. Connect the world’s professionals to make them more productive and successful
- 4. 61M senior-level influencers 40M decision makers 10M opinion leaders 6M C-level execs 22M Mass Affluent 4M IT decision makers 414Mprofessionals are on LinkedIn The Largest Global Community Of Professionals
- 5. LinkedIn Members are the Most Influential & Affluent Audience on the Internet Higher buying power index vs. comparable business and social sites 28% More business decision makers than comparable business site 2.8X
- 6. LinkedIn elicits trust amongst professional users Social Network association with “a trustworthy source of professional content” among frequent/occasional professional users LinkedIn 71% 40% 31% Facebook Twitter Source:LinkedIn/Millward Brown Mindset Divide Study, 2014
- 7. LinkedIn members are highly motivated to maintain their professional profiles and keep their job details current… B2B marketers who purchase LinkedIn’s ad solutions will be able to tap into users’ high quality profile data for very accurate targeting. Kim Celestre, Forrester Analyst
- 8. Accurate Targeting Across Numerous Parameters Including Industry, Function and Seniority Industry Retail Size 5000+ Company Sainsbury’s Connections 500+ Function Finance Occupation Finance Director Groups The Finance Executive Finance Today Geo London, UK Seniority Director Publications Financial News Skills Strategy Restructuring Name Iain MacMillan Education King’s College London Gender Male
- 9. Members first approach allows advertisers to confidently reach the audiences that matter and maximize their advertising investments Why LinkedIn for Display Advertising? Quality Audience 4 out of 5 members drive company business decisions High Viewability Low ad load means more of your impressions are viewable Brand Safe and Secure Log-in requirement eliminates click fraud concerns
- 10. Advertiser Agency Male 18-35 Male 18-35 Male 18-35 Publisher 1 Publisher 2 Publisher 3 Once Upon a Time…
- 11. Advertiser Programmatic Advertising Publishers Programmatic advertising is the automation of buying and selling using data and technology. That helps advertisers and sellers operate at scale using a single platform. A Better Way for Advertisers and Publishers to Work Together
- 12. The Programmatic Advertising Supply Chain Advertiser Selects budget, targeting and creative DSP / Trading Desks Purchases inventory for advertiser in real-time Ad Exchange Brokers deals between advertiser / publisher Publisher Chooses available inventory and pricing
- 13. Advertise more efficiently Engage customers based on identity and intent Gain real-time performance insights Take control and scale your Display Ads programs with auction-based pricing Precisely target high-value customers using your own data or LinkedIn audience segments Leverage your platform to measure performance across a variety of objectives Reach Premium Audiences at Scale
- 14. *Source: ZenithOptimedia, “Programmatic Marketing Forecasts 2015”, eMarketer calculations Dec 7 2015” **http://www.emarketer.com/Article/More-Than-Two-Thirds-of-US-Digital-Display-Ad-Spending-Programmatic/1013789 +34% projected worldwide programmatic ad spend growth in 2016* +72% of online media will be bought programmatically by 2017** Programmatic Advertising is Exploding in Growth
- 15. But with growth, comes complexity +98% Growth in display technology providers 2015 vs. 2014* *Source: Chiefmartec.com 2015 Marketing Technology Landscape, January 2015
- 16. Display Advertisers Face New Challenges *Source: AOL Platforms, “7 Things You Need to Know About Programmatic Right now”, Aug 13, 2014” **Source: Association of National Advertisers (ANA) and Forrester Consulting, “2016 Programmatic Media Buying Survey”, March 3, 2016 In light of increasingly complex technology and publisher ecosystem, programmatic advertisers now struggle to ensure their advertising dollar reaches “the right” audiences 61% cite low inventory quality as a leading challenge* 63% see low viewability as a significant obstacle** believe ad fraud poses a performance issue** 69%
- 17. Efficiency Control Measurement Programmatic Buying Quality Audience High Viewability Brand Safe Environment Reach Quality Audiences at Scale in a Premium Context Programmatic buying for LinkedIn Display Ads combines efficiency and control with quality inventory
- 18. Demand-Side Platforms (DSPs) Trading Desks Leverage Your Preferred Programmatic Buying Platform Choose from more than 100 approved buying platforms to purchase inventory including:
- 19. Your Data (Purchase Intent) LinkedIn Audience Segments* (Professional Identity) *Disclaimers: LinkedIn audience segments are subject to change at any time and targeting with LinkedIn audience segments is only available through LinkedIn Private Auctions; Homepage-only placement option is not available with LinkedIn LinkedIn audience segment targeting; LinkedIn LinkedIn audience segment targeting cannot be combined with targeting using your own data DMP Audiences CRM Contacts Website Visitors OR Example LinkedIn audience segment categories Life Segments Seniority Professions Company Size Target Audiences Based on Intent or Identity Choose the targeting option that works best for your business
- 20. Open Auction LinkedIn Private Auctions Primary Advertising Use Case Reaching a specific audience across a broad set of publishers Reaching a specific audience on a specific publisher Target members using your own data across LinkedIn’s Run of Professionals (ROP) ✓ ✓ Target members using LinkedIn programmatic audience segments ✓ Requires advertiser to be whitelisted Yes Yes Programmatic Buying Options LinkedIn Display Ad inventory can be purchased through open or private RTB auctions
- 21. Our clients value our viewability score of over 75% and the differentiation of our data What Are Our Customers Saying About Us? “Accessing LinkedIn programmatically has given Essence access to quality inventory, at scale, while allowing us to monitor performance in-house, in real time. Not only can we efficiently reach our desired target audiences – such as SMBs; we’re able to leverage our own tools, leading to high viewability and performance across LinkedIn”. Agatha Isabel Programmatic Media Planner Essence
Editor's Notes
- Our mission statement at LinkedIn is simple. LinkedIn presents a truly unique opportunity for brands. Before I deep dive into how our mission statement not only directly relates to our advertising business – LinkedIn Marketing Solutions but actually is the reason it makes LMS so compelling for advertisers, I wanted to poll the audience. I promise I will take your questions later but if everyone could help us get a sense of the audience we have listening in,
- So, LinkedIn is where by far the largest number of professionals gather to stay connected and informed, advance their career and work smarter. Over 414 million professionals are on LinkedIn. These are the decision makers, influencers, the leaders of today and tomorrow -- the people you want to target, all in one place. On LinkedIn, we have <customize these stats to your audience> 61 million senior-level influencers 40 millions decision makers 10.7 million opinion leaders 6.8 million C-level execs 3 million MBA graduates 22.8M Mass Affluent 6.3M Small Business Owners plus 1 customizable vertical-specific slides (e.g., 4.1 million IT decision makers)
- Those are just the numbers, but we also think about context and other variables. The mindset variable is one we think about a lot and one that I think is important not to overlook. When people go on LinkedIn they invest time. Think about the mindset of your target audience when they are on various social platforms. When I am on a personal social network, I am in a personal mindset and looking for information of personal interest. Things like how Trump is going to bring a lot of Americans to Canada, trying to understand Pokemon Go, what happened on last night’s episode of Unreal… . Now think about the mindset of you or your target audience when they are on LinkedIn and in a professional context. I know I go on LinkedIn and I am thinking about my career and my future. I look for content that is going to make me more informed, stay in sync with the industry and just generally make me a better professional. Our analytics team tells me I am not the only one – this is how most people use LinkedIn.
- And because of this mindset, our members see us differently – they see us as a credible social network and trustworthy source of professional content. This is why our mission statement is so critical to the success of our entire eco-system and why I didn’t want to just start today with talking about our marketing solutions department. It’s because of our mission and the trust our members have in us that our marketing solutions platform is so effective. We engage in a reciprocal relationship with our members. Because the content is meant to make them more successful and productive, they trust what they read on our platform.
- From a marketing standpoint, this breadth of audiences we have coming to the site, the ‘trust’ context with which they are coming and the level of data detail that they share with us gives us an opportunity to get pretty granular when it comes to targeting. We have the most up to date data on all our members. When you switch jobs, cities, get a promotion the first thing you do is update your profile and our data is based on real time member level information
- We offer powerful targeting capabilities that allow you to target just the right people among that audience of professionals. On this slide here, I’ve outlined just a few examples of filters you can use.
- Members first approach creates a premium ad environment – \ - Unlike other publishers (I wont name names)– LinkedIn is the only publisher with a large professional audience that also puts its members first before advertisers. This may seem like a strange thing to highlight here, but it actually has a very powerful message when told in the right context – Especially to programmatic buyers. For programmatic advertisers, it’s always been about reaching quality buyers at scale. But more recently, publishers have been under fire for serving ads that are not viewable and also doing a poor job with click fraud. - The downstream effect of having a members first philosophy for our platform allows us to really set ourselves apart in all three of these categories and create a premium environment for advertisers. For example: o By putting members first ahead of advertising revenue, we have been able to attract the massive, highly engaged audience of influential professionals mentioned previously. In fact 4 out of 5 members drive business decisions. Advertising on LinkedIn, advertisers know they are getting their business in front of the right people who ultimately drive sales o Also, because we offer a relatively low ad load compared to other major publishers and only serve ads that are above the fold, we have a very high viewability rate, which is something all advertisers care about. Approximately 80-90% of our impressions are viewable which is double the industry average Finally, because of our log in requirement, we’re able to keep bots and other computer programs that generate ad fraud off our site helping us deliver a brand safe and secure environment for our advertisers with a click fraud rate of a fraction of a percent, well above the industry average Ok, so now that I have talked through our mission, our user base and our diverse targeting options, I want to talk to you all about programmatic. But in order to talk about programmatic, I need to take us back to before programmatic. Way back when to about 2007. Or, in the case of our display business, till about 2015.
- “Traditional” or “direct” media buying required advertisers to work through agencies to purchase inventory from individual publishers catering to broad audiences.
- The better way (3 slide build) There had to be a better way for both sides right? Enter in the concept of programmatic buying, which is defined as the automation of media buying and selling using data and technology that transacts in real-time. Unlike with direct to publisher buying method I just described, with programmatic buying, technology is at the center of digital advertising experience for both media buyers and sellers rather than humans. And its through programmatic buying technology that advertisers are able to buy from thousands of websites at once and publishers can sell to thousands of buyers all at once and therefore operate at a much larger scale than could ever be achievable through direct purchasing – All with more accurate, data driven targeting, more sophisticated optimization and better reporting insights.
- Like the financial trading market, programmatic advertising relies on technology that helps advertisers purchase and publishers sell inventory at scale
- Benefits of programmatic buying programmatic buying offers a number of benefits to more traditional media buying approaches. o First, programmatic buying helps advertisers buy media more efficiently so they can scale their campaigns more easily, with greater control. Unlike traditional media buying, which requires advertisers to manually purchase inventory directly through a publisher, programmatic buying channel advertisers use technology platforms to start and end campaigns and shift budgets effortlessly in a self-serve manner. Programmatic buying channels leverages auction-based pricing advertisers can more easily control the balance between volume and performance o Secondly and perhaps most importantly, programmatic buying offers advertisers greater flexibility with their audience targeting and allows advertisers to reach customers by both intent and identity using either their own first or third party data or through proprietary LinkedIn audience segments. The fact that we are allowing advertisers to use their own data is a massive step forward for us and something that many advertisers are wildly excited about because it allows us to help with use cases like website retargeting or using 3rd party data segments from data management platforms. Regardless of the approach advertisers want to take – using their own data or publisher first party data o Finally, programmatic buying offers advertisers a way to achieve real-time performance insights which they can measure across a wide range of objectives including leads, revenue and ROI. Whereas traditional display advertising is typically better suited for achieving brand awareness objectives, programmatic buying is done through sophisticated technology platforms that are typically able to track revenue and conversions in addition to impressions and clicks and bid to any objective the client is interested in achieving - Whether its brand awareness OR demand generation. - Programmatic offers three key benefits – Efficiency, flexible targeting, and performance measurement and which helps them reach the premium audiences at scale.
- And it’s because of these benefits that, as I am sure many of you know, programmatic advertising is growing. More advertisers than ever are signing up with platforms to buy programmatically. Programmatic advertising is predicted to grow 34% YoY in 2016, which is the fastest growth rate of any channel. And by 2017 72% of online media will be bought programmatically. Chances are most of your advertisers are either buying programmatically today or are thinking of getting started with programmatic buying soon if they aren’t already. I am guessing that is why the registration was so high for today’s session – programmatic has been entrenched as the new way to buy digital media.
- But with this growth has come complexity However, for all the benefits of programmatic, due to the profound growth of the channel over the years, the ecosystem in which advertisers need to operate within has become increasingly complex. I think we’ve all seen this lumascape image before and what’s astounding about it is that every year it becomes bigger and bigger. In fact, the number of technology providers that an advertiser might need to consider as part of their display advertising program has increased by 98% just over the past year. What this means for advertisers is that in order to achieve some of the great benefits we talked about in the last slide, you need to operate within an environment with many many many layers between you and the publisher your ad is ultimately serving on – DSPs, ad exchanges, ad networks and so on – making it harder and harder to identify where your ad is actually appearing across potentially thousands of publishers at once.
- Display Advertisers Face new challenges The complexities and often times opaqueness of the “new” digital advertising ecosystem has created a new set of challenges to overcome for digital advertisers. While the digital advertising community has been primarily focused on using achieving scale across publishers for the past several years, we are seeing the industry as a whole now coming full circle, and start to place quality and transparency of their ad placements as primary needs. Which is why it was the key time for us to dive deep into programmatic. While advertisers are on board with programmatic & the value add is clear, publishers have been slower to adopt programmatic – fear of sales team cannibalization, reducing CPM value & ultimately, subjecting themselves out to any advertiser. To that end, there are some problems matching premium demand with premium supply. The pressure we have gotten from advertisers to go programmatic over the past several years tells us that. They tell us that they are concerned with the quality of the inventory that they are seeing on the exchange. They tell us that their ads are showing up below the fold, or buried in a page with 8 other ads in view. Obviously bot traffic etc is also a concern. · 61% of advertisers now cite inventory quality as their leading concern with display advertising, a signal that perhaps they have scaled their programs as far as they can go across quality publishers, and as a result, are now being exposed to lower inventory quality sources, which ultimately hurt their performance · In addition, advertisers are now faced with notable viewability issues whereby they are being charged for impressions that website visitors never actually see and can’t be verified easily because of all the layers we talked about in the previous slide · And finally, we’re seeing ad fraud emerge as a serious concern for programmatic advertisers whereby “bots” or malicious computer scripts are clicking on ads served on low quality websites and charging advertisers for illegitimate traffic. In other words, the programmatic advertising world, while still in its infancy may have now reached an inflection point where it’s not just a numbers game anymore. It’s about using the inherent benefits of programmatic to target the right people at the right time …… and do so by investing in quality sites that deliver quality impressions.
- And that’s why I’m pleased to tell you that we see the value of programmatic and we want to meet that premium demand in the market. We are not only open for business today but starting January 1st 2017, our display inventory will only be able to be purchased programmatically. We are 100% programmatic. When we started thinking about the industry challenges with regards to audience, viewability & brand safety, it was clear that this was the ideal time for market traction fit. There is a need in the market and the downstream effect of having a members first philosophy for our platform gives us a unique advantage in each of these areas: By putting members first ahead of advertising revenue, we have been able to attract massive, highly engaged audiences of influential professionals mentioned previously. In fact 4 out of 5 members drive business decisions, so unlike alternative programmatic buying options, with LinkedIn advertisers know they are getting their business in front of the right people who ultimately drive sales We have one banner ad per page & we and only serve ads that are above the fold. To that end, we have a very high viewability rate – last a client shared with us, it was over 90% more than double industry average Finally, because of our log in requirement, we’re able to keep bots and other computer programs that generate ad fraud off our site helping us deliver a brand safe and secure environment for our advertisers with a click fraud rate of a fraction of a percent, well above the industry average We allow advertisers to reach high quality audiences at scale through programmatic buying, in the premium advertising environment that only LinkedIn can offer with the world’s largest, most engaged professional audience. Advertisers can now buy LinkedIn inventory directly through their preferred buying platform and experience the combined benefits of efficiency, targeting and performance measurement inherent to programmatic advertising and be confident that they are reaching quality audiences with highly viewable impressions without any concerns of fraudulent traffic. By entering the programmatic space, we believe we can set a new standard for the programmatic industry and prove to advertisers that they can in fact get advertising scale and quality at the same time.
- Programmatic partners - Ok so I’ve covered all the awesome things about us being available programmatically, but where and how can you actually purchase programmatic LinkedIn display inventory? Remember when I showed you the Lumascape earlier? Via our SSP integrations with Google AdX & AppNexus, we have partnered across all the major DSPs & Trading Desks and are accessible through each of those. You have the flexibility to choose between more than 100 leading programmatic buying platforms that have access to our inventory through Google’s Ad Exchange today. To maintain a premium experience for both our advertisers and members we’ve selected the top demand side platforms and agency trading desks in the industry who have demonstrated a high standard for targeting and data management. This slide represents just a small snapshot of the buying partners we have approved for buying LinkedIn display inventory today and we expect this list to grow further over time. Chances are one of your customers is already using one of our approved platforms today. It’s our goal to make things easy for advertisers to get started and enable them to be able to buy programmatically the way they want to buy through whatever platform is best suited for their business.
- Targeting Options - And now lets shift to a topic that you may be particularly interested in – Targeting options. Targeting has premium audiences in a professional context has always been central to our value proposition, but with programmatic we are able to broaden the story even further and enhance this narrative by allowing advertisers to reach our members not just based on their professional identity using LinkedIn’s targeting options but also based on purchase intent using their own first or third party data. With programmatic buying, customers have the flexibility to choose one of two targeting options based on which one better meets their business needs and the goals they are trying to accomplish. Let’s break down the two options a bit further, starting with targeting based on intent using your own data. - One of the primary things that advertisers have historically struggled with is reaching the right customer at the right time with the right message. One way you can accomplish this is to target audiences that have previously expressed intent to purchase. For example, people who have visited certain parts of your website, your newsletter subscribers, your existing customers that you can identify in your CRM, or audience lists of prospective buyers you get from 3rd parties managed in your DMP. With programmatic buying, we provide advertisers with the option of using their own data through their programmatic buying platform to reach these types of audiences the premium environment of LinkedIn. This is an especially good option for advertisers with retargeting use cases that are geared towards demand gen or performance objectives. - In addition to intent based targeting, advertisers buying through our Private Auction option can reach customers based on their professional identity and leverage a number of our “Standard” programmatic audience segments that fall into professional targeting categories that they are already familiar with including company size, seniority, industry profession, job title and lifestyle. This is a great option for advertisers who already have a solid understanding of the target audience they want to reach and are primarily focused on prospecting new buyers at the early or middle stages of the buying cycle. - Just a few caveats about using LinkedIn audience segments for programmatic buying - 1. Our audience segments are aavailable through private auction buying option 3. For data security reasons, LinkedIn LinkedIn audience segment targeting cannot be layered on top of an advertiser’s first party data. Our targeting options are either or, they can’t be used together. This is definitely a question you will be asked so want this to be clear.
- Our inventory is currently available to purchased through two ad exchanges Google AdX – Advertiser can purchase through both Open and Private Auction options only AppNexus – Advertisers can purchase through Open Auction open only until about Q3 2016
- Members first approach creates a premium ad environment (why LinkedIn for programmatic?) - LinkedIn is certainly not the first publisher catering to a professional audience to allow its display advertising inventory to be bought programmatically, and frankly advertisers have a number of options to choose from. So what specifically, what sets us apart? - Unlike other publishers on the market that cater to a business professional audience – Forbes, NYTimes, Inc. magazine, etc – LinkedIn is the only publisher with a large professional audience that also puts its members first before advertisers. This may seem like a strange thing to highlight in a sales discussion, but it actually has a very powerful message when told in the right context – Especially to programmatic buyers. For programmatic advertisers, it’s always been about reaching quality buyers at scale. But more recently, publishers have been under fire for serving ads that are not viewable and also doing a poor job with click fraud. As discussed previously, these issues are top of mind for advertisers. - The downstream effect of having a members first philosophy for our platform allows us to really set ourselves apart in all three of these categories for programmatic buyers and create a premium environment for advertisers. For example: o By putting members first ahead of advertising revenue, we have been able to attract the massive, highly engaged audience of influential professionals mentioned previously. In fact 4 out of 5 members drive business decisions, so unlike alternative programmatic buying options, with LinkedIn advertisers know they are getting their business in front of the right people who ultimately drive sales o Also, because we offer a relatively low ad load compared to other major publishers and only serve ads that are above the fold, we have a very high viewability rate, which is something all advertisers care about particularly those buying programmatically. Approximately 80-90% of our impressions are viewable which is double the industry average o Finally, because of our log in requirement, we’re able to keep bots and other computer programs that generate ad fraud off our site helping us deliver a brand safe and secure environment for our advertisers with a click fraud rate of a fraction of a percent, well above the industry average