iMedia Brand Summit 2012 - Kelloggs Keynote

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iMedia Brand Summit 2012 - Kelloggs Keynote

  1. 1. Brand Marketing via programmatic buying or How to have your cake & eat it tooHow to have your cake & eat it too Bob Arnold Associate Director Global Digital Strategy @BobbyArnold
  2. 2. 50% of digital media buyers list audience targeting capabilities as one of the most important things they look for in display ad buys 30% list low CPMs Forrester Research, “The State of the Digital Media Buyer, July 2011 30% list low CPMs
  3. 3. 3 Have your cake… Maximize cost efficiency Eat it too… As effective as other buys
  4. 4. First a little background… Publisher Direct Website Website 1 “Traditional” way of digital media buying… 4 Ad Network Ad Network Ad Network Website 1 Website 2 Website 3 Blind 1 Blind 2 Blind 3
  5. 5. Programmatic buying Sends request Web Site Solicits bids Demand Side Platform (DSP) Goes online Ad Exchange Automated bid price optimization of media 5 Web Site (DSP) Places bidAwards bid Brief Sees the ad Exchange
  6. 6. Why is Kellogg's investing in programmatic buying? Question: Can programmatic buying be aCan programmatic buying be a more cost-efficient and effective means of buying? Answer: Yes, 5X+ improvement in ROI
  7. 7. The Programmatic Branding Recipe • The right strategy & targetingtargeting • The right measurement • Fine tuning
  8. 8. The Right Strategy & Targeting Right Message Right Consumer Right Moment
  9. 9. The Right Measurement Short Term Success Metrics: Drive campaigns to hit audience on-target, Long Term Success Metrics: Drive demonstrable brand lift and brand effectivenessaudience on-target, on-screen viewability and frequency metrics lift and brand effectiveness
  10. 10. Fine Tuning Use Data to Keep the Recipe Fresh & Tasty • Management of data is key• Management of data is key • Determine 1st and 3rd-party data best practices for the brand • Drive performance improvements
  11. 11. How We Had Our Cake... 71.00% 72.00% % of Ads "In View" Getting Ads to the Right Audience +134% 90.00% 100.00% % Increase of On-Target Impressions vs. Non-Programmatic Baseline 64.00% 68.00% 60.00% 62.00% 64.00% 66.00% 68.00% 70.00% Brand 1 (Q1) Brand 2 (Q2) Brand 3 (Q2-Q3) +105% +88% 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% 90.00% Brand 1 (Q1) Brand 2 (Q2) Brand 3 (Q2-Q3)
  12. 12. How We Had Our Cake... 1.00 0.90 1.00 Effective CPM* Efficient Rates for Audience Views 0.71 0.48 0.00 0.10 0.20 0.30 0.40 0.50 0.60 0.70 0.80 0.90 Brand 1 (Q1) Brand 2 (Q2) Brand 3 (Q2-Q3) *Effective CPM calculated using overall CPM, on-target impressions, and % of ads in view. Values are indexed.
  13. 13. ... and Ate it too And Ate it Too… Brand 1 ROI 5X Brand 2 ROI 6X Improved ROI from Two Market Mix Models Year 1 Year 2 1H Year 3 ROI 2X 5X Year 1 Year 2 1H Year 3 ROI 3X 6X
  14. 14. What's Next for Programmatic? • More Inventory • More Formats • Better Measurement• Better Measurement • Real-time Signals
  15. 15. Thanks! Questions? @BobbyArnold

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