The big picture of header bidding, Hot Topic: Header Bidding, Feb 2017
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Chip Schenck presentation at Hot Topic: Header Bidding in NYC, Feb 2017
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The big picture of header bidding, Hot Topic: Header Bidding, Feb 2017
- 1. The Header Bidding Revolution Digiday WTF Programmatic Chip Schenck VP of Data & Programmatic Solutions February 7, 2016 1
- 2. Meredith reaches 82mm women at every life stage and across her passions kraftrecipes.com comidakraft.com Meredith Digital
- 3. Meredith continues to invest in and acquire publishers & technology platforms to deliver scaled and quality audiences. REACHING 100MWOMEN 82MMONTHLY UVS 63%MILLENNIALS 2 3HISPANICS OUT OF 800DATA POINTS PER PERSON 100MCONSUMERS DATABASE OF MAGAZINE ACQUISITIONS & LAUNCHES MXM EXPANSIO N DIGITAL TECHNOLOGY DIGITAL DATA A Media Powerhouse
- 4. now future Ad Networks Ad Exchanges & SSPs DMPs Search 1990s Private Exchanges Automated Guaranteed Offline Targeting • Direct Mail • List Rental Email Marketing Reserved Display Content Exchanges Vertical Exchanges now future1990s PROGRAMMATIC PREMIUM DIRECT SOLD / GUARANTEED / RESERVED INDIRECT / PROGRAMMATIC / UNRESERVED Data Evolution Header Bidding on the scene
- 5. HEADER BIDDING: The ability to have bids considered concurrently – rather than consecutively – within the ad server, by applying a piece of Javascript to a publisher’s page
- 6. Near-Term Results Increased yield for pubs Increased consternation for agencies who promised programmatic as ‘price- efficient’ Increased opportunity for inventory access for clients
- 7. How Are Pubs Using Header Bidding Successfully? Changing demand prioritization1 2 3 Creating opportunities for preferred clients – “Biddable Guaranteed” Insights tool into latent demand and yield opportunities
- 8. Publisher Ad Server Different potential set-ups Ad Call PREMIUM DIRECT STANDARD DIRECT PREMIUM PROGRAMMATIC OPEN PROGRAMMATIC Monetizatio n Partner HEADER RETURN—STANDARD $30 $24 $20 $16 $12 $8 $7 $6 $5 $4 $3 $2 $1 Is Open Competing with All? PMP set up as price or preference? What settings are the line items? a.k.a “The Waterfall”
- 9. How Are Pubs Using Header Bidding Successfully? Changing demand prioritization1 2 3 Creating opportunities for preferred clients – “Biddable Guaranteed” Insights tool into latent demand and yield opportunities
- 10. Key Takeaways Here to Stay– we will build on the concept of concurrent decisioning, not consecutive decisioning Adjust your product and selling strategy – identify how to make it work for you AND your partners Identify new opportunities – what else can we do with header style enablement 1 2 3
Editor's Notes
- Thank you to Digiday - Learn so much from peers Spoke and limited myself to one mention of HB… not so much today From HB to concurrent decisioning enablement - CDE
- Meredith has undergone transformation Huge growth in past couple of years, up to 82MM monthly uniques, nearly 20% growth y/y Some of world’s leading lifestyle and women’s brands
- Quietly been building out our tech stack, ad stack, and data capabilities I joined to help build a new data practice… Key aquisitions to make us among the most forward-thinking, leading publishers
- The Data Evolution is very much underway… Context of innovation timeline is critical to seeing HB’s position The most important thing to focus on is that the pace of change is accelerating 20 year time chart – 15 years to get to RTB, but ony 4 years to get to HB penetration/stack avoidance Need to stop talking about header bidding, and start talking about full bid enablement since HB is just the tech
- Important to simply define HB – it is about enablement What HB is not: --Prioritized automatically --An efficient way to run an auction What HB is: --A near term solution to work around waterfall of descending price, --An opportunity to generate incremental yield and/or client prioritization HB has taught industry more ways to work with demand partners
- Its impact to date has been one of mixed results, depending on what side of the desk you are coming from… Increased oppty is witnessed in the huge jump in queries per second that DSPs
- Changing your selling strategy/demand prioritization (e.g. When we launched 3 years ago, we immediately used it as a preference tool, not a yield tool) Creating separate business initiatives for preferred clients – Biddable guaranteed An insights tool into latent demand and yield opportunities (demand overhang reports – visuals attached)
- An insights tool into latent demand and yield opportunities (demand overhang reports – visuals attached)
- 1) HB in current form just the beginning– Google Exchange Bidding, S2S by other large tech players will build on the concept of concurrent decisioning, not consecutive decisioning – but remember, the ad server priortization capability (the waterfall) plays an important part based on your strategy)Not a panacea – has its worts, and should be used as part of a buying/selling strategy – USE AMAZON TOO (SERVER-TO-SERVER) 1) Instead of the ad server, but will also move to S2S (happening on the page (move to S2S, e.g., by Google, Amazon) – a real threat to the major ad servers of today, makes a DSP as ad server quite an interesting play 2) Big boys get smart and recognize an opportunity to re-assert dominance – like a horror film where you know the character is going to get it and they continue to make the same mistakes again and again. ‘don’t go in the house!’ – the equivalent is ‘ build it for the market’ and stop figuring out how you will own it The pendulum swings both ways – pubs are currently driving prices higher, but the market will figure out a way to balance out, and ultimately pubs who are relying on increased yield only as the opportunity from HB will be in for a rude awakening. buyers will eventually figure out a way to create price efficiency