Data from a variety of online and offline sources is used to target ads through real-time bidding (RTB). This data informs the bids buyers submit for each ad impression. More detailed data on users leads to higher bids. However, concerns remain about issues like viewability, fraud, and the large cut of spending that bypass publishers. Overall, while data targeting aims to improve efficiency and relevance, the complex RTB ecosystem still faces challenges around transparency, pricing, and metrics.

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Data & RTB
The role of data in programmatic online advertising
Hinweis: Die folgenden Informationen sind ausschließlich zu Präsentationszwecken gedacht. Keine Weitergabe an Dritte.
Oliver Pracel / November 2016

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The market for big data.......

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Why online advertising ????
Can’t find many (young) people anywhere else
Tracking / reporting
Interaction (Feedback channel)
“TARGETING”
Data

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Buying ad space should be simple.....
Advertiser Publisher
AD

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......but it isn‘t.....

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RTB vs traditional buying of online ads

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The RTB Eco system

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......the reality is rather complex.....

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Data
• anonymous information about a user (browser)
• Stored in a cookie
• Is THE criteria which defines how much buyers
bid on each impression

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Data defines the bid for each impression !!

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Where does „data“ it come from ?
Quelle: Yahoo interne Daten, weltweit
S E A R C H
D E M O -
G R A P H I E C O N T E N T S O C I A L
E - M A I L
A D - K L I C K S
M O B I L E
U S A G E
C R O S S D E V I C E
I D E N T I T Y
R E G I S T R A T I O N O F F L I N E I N F O G E O G R A P H Y

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Types of data
Behavioral/
Content
browsing
Search
Campaign
specific
(interaction)
Registration/
Self declared
Offline
CRM
GEO
Browser
Interest Intent
“Branding” “Performance”

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How DATA defines the bid of the BUYER in RTB
• Searched for
“flights to
Berlin”
yesterday
• No info on the
user
• Male
• 30-39
• Interested in
travel
Google
Rubicon
Pubmatic
Bid: $5.00
Lufthansa
campaign
DSP
No bid
Bid: $0,70
„Flights to
Berlin from 149
EUR“

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The SELLER gets the price of a 2nd price auction
1 Ad Impression
2.10 EUR
1.70 EUR
0.85 EUR
1.711EUR
Advertiser CPM Winning price Publisher

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Data: buy audiences, not placements
More relevant ads

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...RTB is about finding the audience-
wherever it may be…....
DSP
S S P s
E X C H A N G E S

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1 – 2 – 3nd party....?
2 n d P A R T Y
D A T A
3 R D P A R T Y
D A T A
1 S T P A R T Y
D A T A
C L I E N T D A T A
D A T A -
A G G R E G A T O R S

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Offline data:
untouched treasures to be set free !!
Offline
CRM

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Most client data is stored offline
30% 70%
More detailed data !!

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Offline data can be onboarded via DB match
– typical identifier is email address
Publisher Advertiser
Privacy laws compliance!!
• MATCH

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Promises of RTB
Automisation of costly processes
More efficient buying for advertisers
Better monetisation for publishers
“Better” ads for users

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Concerns about RTB
Brand safety Fraud/ Bots Viewability Too many middle
men

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Only 40% of advertiser spend ends up with the
publisher !!!!!

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Why RTB should bring prices up.....
Cherry picking through data usage
Private market places/ Preferred
deals
Viewability targeting
Header bidding

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Some big trends in digital media
Automatisation of processes
The rise of mobile advertising
Cross device targeting
Native advertsing

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Click rate – still misunderstood
• It’s the only metric which is immediately available
• it is not an indicator for a better conversion rate
• It is not a valid KPI for branding/awareness campaign
• “Click in the head” is often more relevant

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Thank you....!!