programmatic buying in india
TRANSCRIPT
Programmatic buying in India2016 Indian media spends forecasts are out, India market continues to look
promising on YOY growth as ad spends as % of GDP have been on lower
side. The only market where print ad spends continues to grow at the back
of regional and vernacular editions. TV is also forced to look at split runs,
besides growth in FCT to drive growth.
Jumping straight to the digital media where we see YOY 40%+ growth, key
drivers for last 2 years have been seen as Mobile and Video and for the
first time forecasts mentioned about Programmatic media in India.
Programmatic buying in India is likely to witness triple digit growth in 2016, Why not? After all Advertisers, publishers and ecosystem partner all are likely to benefit out of this and it’s in early stages.
In this article, I would focus on how publishers can benefit a lot by getting a
few things right and needless to say they form key component of
programmatic buying eco-system in India. Let me rename this post as
Programmatic buying in India: How publishers can make best out of it
First and foremost, let’s get this fear out that it’s going to cannibalise your
yield or conflict your premium direct sales channel.
I do not know of any large publisher where inventory sell thru averaged
over a year or even at quarter level has crossed 50-60%, except the month
of March or December where demand peaks up for known reasons. If you
are not using any outside demand, there are fair chances that first 45 days
of every quarter, you would have much lower demand coming it thru
premium sales force.
So far most of the publishers have tried google ad network, native ads to
sell the inventory left over post what their field sales could sell at the
premium CPMs. The difference in yield between both in some cases have
been as high as 8-10X, some publishers have further gone ahead and
created more ad slots per page and opened up the inventory to open
exchanges to realise avg CPM of 0.3-0.5$,
This exactly is a recipe of disaster, More ads per page leads to poor user
experience, poor ad engagement, response and eventually leading to drop
in the effective CPM as buy side evaluates you for CTRs, Viewability &
view thru conversion. For some buyers this was actually a first time trial of
your site thru open exchange before considering your site for a large
volume PMP deals, while in short term we may see a lift in overall revenue
per page, at the same time poor user experience will lead you to spend
marketing $$ to get users back or acquire new users, end result is only
marginal revenue lift. Leaving your sales team with no other options but to
even further clutter your website with large format annoying ads.
Let’s look at how publishers can best prepare to get the most out
of Programmatic buys:
User behavioural data & Segmentation:
This is your biggest friend, use multiple sources of users engagement like –
pages/sections visited, ads clicked, searches done, social, CRM data and
bit of data modelling to come up with interest (also known as affinity) and
intent ( in-market) buckets of audiences, you can see some more content
around it here
Every website has few sections which are in high demand & and perhaps
booked for entire month and a few are where hardly anyone cares to buy,
In India RON is something people don’t attach any premium to. Using
the audience data we can showcase ads to in-market audience even at
lesser known pages of your website at a relatively better CPM.
Let’s take an example from a Comscore top 5 publisher, On finance section
their CPM are 3$ and mostly sold out throughout the month. Same
publisher has 10x time the inventory across the site (read RON) which is
lying unsold even at a CPM of 0.4 $. How about if they offer us in-market
finance audience ad across their site (RON) at 1$ CPM, wouldn't that
benefit both buyer and publishers?
Not only that, if you have a high quality audience data, we would love to
evaluate it and use your data to target relevant audiences and you earn $$
for data alone.
Opening up your data & inventory channels to trading desks like AMNET,
will lead to much more new advertiser trials as it gives buy side flexibility to
keep evaluating your inventory with different advertisers in a dynamic
environment, without having to stress as we won't have to do manual
labours of getting fixed price physical RO for fixed property every time,
neither this approach gives us flexibility to make changes to the campaign
in terms of supply selection on the fly.
If you are a publisher with premium inventory, data and header bidding,
please write to us.
If you are still contemplating making this move, please go thru this article
for in depth information Programmatic path to publishers for profit
If you are convinced and ready to take your first step, you may write
to Sudipto @ Pubmatic or Liam @Rubicon.
If you are a medium to large publisher and wants to make best use of
complete stack, you may connect with Prabhvir @doubleclick
I would love to hear your views, comments and do watch out for my next
post on Programmatic buying in India for the advertisers
Should you have any questions/ require any help, please feel free to
write to me- [email protected]