Two-Pronged Data Marketing

Data Fork

Finding the best audience requires marketers to use a double-sided data approach: behavioral data and profile data.

In his article on the subject Richard Kidd, ‎VP, head of business development, EMEA at OpenX, defines behavioral data “as information relating to past consumer activity, and subsequent inferences about needs, wants, and future intent. It consists of multiple content-consumption data sources (such as site visits, video views, ad clicks, app usage, and social media interactions) blended to create a detailed view of what individual users do.”

Kidd contrasts profile data as being “based on tangible characteristics, such as consumer age, gender, ethnicity, and product ownership [often] drawn from more reliable sources – like voter registrations, censuses, and home-ownership records.”

While profile data is more accurate, it’s third-party data that’s hard to match up with trackable activity by specific people.  There is the value of behavioral.  Kidd notes, “Only 30-45% of cookies generated outside walled gardens – where users are authenticated by logins – can be successfully linked to offline profiles.”

In both cases accuracy and quality will improve results.  His advice: To get better quality, know your partners and filter the data to eliminate people who, for example, have already purchased the product or service.  Source: Exchangewire.com

First-Price Auction Round Table

Round table

 

Chip Schenck, vp of programmatic sales and strategy, Meredith   “With second-price auctions, the buyer mentality is to win an auction because advertisers know that even if they bid the highest price, they will end up paying less. But with first-price auctions, media buyers pay based on what they believe an impression is worth — they have the incentive to lower their bids because they are supposed to pay the amount they bid – nobody wants to overpay for an impression.”

Paul Bannister, evp of strategy, CafeMedia   “Early testing of first-price auctions shows good signs, yielding better CPM win rates.  Moving cautiously.

Paul Bannister, evp of strategy, CafeMedia   “If everybody just uses Google AdX, then second-price would be fine, but header bidding destroys the waterfall structure. I like the idea that with first-price, advertisers can bid the true value of an impression and win the auction.”  Hasn’t tested it yet.

Jana Meron, vp of programmatic and data strategy, Business Insider    “The reason people are moving to first-price is because of transparency. Over time, first-price auctions will help buyers understand the true value of an impression.”

Source: Digiday

Encouraging the Next Jack Ma

Schoolroom

Chinese Schools are changing from the bottom up. In 2010 the government released a 10-year educational reform plan that’s slowly seeping out to the masses. It is intended to change the massive Chinese education machine from a ridged, pressurized, rote memory challenge to an exploration of knowledge that is more prevalent in the best of western schools. It is the kind of learning environment that fosters creative thinkers.

To understand the change one must envision the classroom like the one we all experienced in which the teachers was in front of rows of students. But add to it the image one in which the highest ranked kids are in the front rows and the slower learners are in the back. Class rankings were posted. Imagine an alphabet of 10,000 characters, 3,500 of which must be committed to memory by middle school. It is hard to imagine a better way to squeeze the thrill of learning out of children and a way to demoralize the kids in the back of the room.

Today, as a result of the new approach, some schools are able to build up to 20% of their own curriculum. The eight hour school day, followed by tons of homework, are being peeled back and class sizes are being limited to 25.

The goal is long-term and strategic. Develop a sub-population of entrepreneurs. Change China from a country that follows orders to one in which some people are free to create new commerce. These changes are predictable and are welcome, still China is not a liberal democracy and it is moving with caution.  Source: New York Times

 

53% of Advertisers View Agencies as Untrustworthy

Advertiser v. Agencies

 

The programmatic world is relatively new and, like in other spheres, the newness imposes relationship adjustments for both advertisers and the agencies they engage.  A survey of more than 200 programmatic marketers from across the world reveals the breadth of the required adjustment.

Stark reality: A majority of advertisers do not trust their agencies.

Martin Kelly, CEO and co-founder, Infectious Media, the author of the study prescribes the following, “Advertisers could – and should – begin demanding a better deal, which means revisiting contracts and inserting audit clauses, or switching to partners that grant full data access. For agencies, there’s an urgent need to proactively address advertisers’ concerns by offering full transparency and working with partners that can effectively prove the value of programmatic.”

Source: Exchangewire

Beyond Cookies and Pixels

Wisdom from Nic Travis

 

  • Transparency as a result of “programmatic is increasingly becoming about audiences rather than cookies and pixels. [This] people-based marketing approach has the power to tip the whole industry on its head.”
  • “Success is the incremental between the impressions we serve that don’t get viewed and the impressions that do get viewed. That shows us the true performance of our display advertising.”
  • “Programmatic is a strange field in that it increasingly requires numbers people, but ultimately the output for all those numbers and analysis – the segmentation that you are running – is still creative and requires creative people.”
  • The challenge for the industry on the messaging side is: “helping people feel a bit better about marketing by delivering marketing that is more aligned to their wants, needs and interests.
  • The challenge for the industry on the technical side is: Connecting the people-based dots through “cross-device marketing.”

Source: Marketing Week

Finding the Balance

Unsure Marketers

 

A survey of 228 advertisers in August and September, 2017 by Taykey in cooperation with Digiday reveals that marketers are not sure of themselves in this quickly evolving advertising world.  When trying to balance scale verses quality no strong majorities emerge a marketers try to define what makes for a quality market or when they try to identify the best content optimization tool.  Even in their defenses against fraud majorities are sure that choices must be made, yet they are not convinced that white lists are any better than private markets.

Taykey co-founder & CEO, Amit Avner reflected on the survey results by asking, “How do you successfully balance quality inventory with scale? That’s the big question advertisers face with their programmatic media spend. The success of one is often at the other’s expense.”  It will be interesting to see if this survey firms up a year from now.  Source: AdTech Daily

Fighting Ad Spoofing with a Third Party White Lists

Generic Website

As the demand-side gets more and more concerned about buying fraudulent impressions, particularly ad spoofing where a low-life operator steps in front of a legitimate publisher’s domain to skim ad dollars, there a new defenses. The Interactive Advertising Bureau (IAB) has established Ads.txt as a bulwark against this kind of fraud. Some DSP’s are refusing impressions from sites that are not registered on the Ads.txt whitelist.

Publishers can easily set-up their site by adding a simple text file to their servers, which can be integrated into programmatic platforms to add one more layer of security. The logic is simple: collect the money others are scraping from your identity and don’t be left behind as big boys like Google have already joined up. Source: Media Post

Three Rules for Banner Advertising

Simple Stupid

There are two things banner ads lack. One is time and the other is space.  Turns out Einstein’s theories don’t apply in advertising.  Banner ads have a blink of the eye to attract and limited real estate to communicate, which suggests three rules for advertising success:

  1. The message must be simple, declarative and bold.
  2. The background must be bright and vibrant

Cluttered language will be unreadable in the time available while too much background noise will detract from the message.

  1. A/B tests are best when only one element is tested at a time. Test a tag line without changing the background or visa versa.

“The bottom line: keep you banners simple, beautiful, and readable, don’t include any elements that are not strictly necessary and don’t over-complicate your testing.“  Source: reTargeter

A Call to Arms Against Fraud

Fraud Triangulation

 

After a bad experience with bot fraud and domain spoofing, vice president of programmatic and data strategy at Business Insider, Jana Meron articulates the need for all elements of the advertising world to “commit to enforcing higher standards.”

Responsibilities

  • Exchanges must police their buy-side partners to assure they are not reselling inventory.
  • Supply-side platforms need to enforce their contracts with buyers. Turning a head when there’s suspicion does injustice to those who are footing the bill.
  • Publishers must fight unauthorized reselling of their inventory and join IAB Tech Lab’s Ads.txt initiative.
  • Demand-side players must resist ads that “appear too good [read: cheap] to be true.” Best practices say one should use third party fraud tracking and blacklists to reduce bad actors while seeking exchanges that actively search for fraud.

Source: AdExchanger

Cutting through the Haze

TrustX logo

At a recent Advertising Week panel the subject of regaining trust in the current advertising market was discussed. It was David Kohl, president and CEO of TrustX who turned the conversation when he said, “Ultimately it’s all about the consumer. You’re in the business of putting content in front of consumers, and we need to stop being in the business of monetizing the consumer. We must aim at creating an experience that’s respectful of the consumer’s time and engagement. It is our job to offer an experience that works for our consumers. Only then can we build that trust.”  That statement cuts through the haze yielding unusual clarity.  Lesson learned.   Source: CampaignUS