"Understanding your data asset. What’s out there, what it means and why it matters"

Stuart Colman, Athens 28th June 2012

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What’s it like in a world with no targeting?

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Today, the Indexed Web contains at least 8.04 billion pages…

Thursday 28th June 2012A day in the life of the internet…

… and enough information will be consumedby internet traffic to fill 168 million DVDs.

294 BILLION emails will be sent today…(it would take 2 years to process that much snail mail in the US)

… and 2 million blog posts will be written, which is enoughto fill Time Magazine for 770 years.

172 million different people will visit Facebook, generating in excessof 10 billion minutes of viewing time…

… and 864,000 hours of video will be uploaded to YouTube…(22 million hours of tv and movies will be watched on Netflix)

… with the average person spending 14.6 minutes looking at porn.

18.7 million hours of music will be streamed on Pandora…(If a single computer started streaming this in 1AD,

it would still be streaming now)

and today, more iPhones will be sold than babies born (378k vs 371k).

Every 2 days, we create as much information as we didfrom the dawn of civilisation up until 2003

Thanks Eric Schmidt and Matt Silvermann

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So, why does this matter, and what have we possible forgotten…?

People buy products…

Not technology…

Not channels…

Not fads…

Not gimmicks…

People buy products…

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Data Management

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audience data comes from many places…

Online behavior

Workplaceattributes

Ad views

Transactions

Registration

Searches

Geo/DMA

3rd party partners

Offline data

Understand your data…

Intent

Interest

Recency

Soft

Hard

Implied

All data is created equal…?

Steel

Aluminum

Plastic

Rubber

Glass

Leather

Same ingredients, different results

The Importance of Data Management Platforms (DMP)

Email List

Advertiser On-Site

Behaviour

Offline Registration

Data

3rd Party Microsite Facebook

Page

Search Data

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Your audience is in silos

Email List

Advertiser On-Site

Behaviour

Offline Registration

Data

3rd Party Microsite Facebook

Page

Search Data

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Single view of your audience

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Defining precise audiences

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BMW, who is going to buy your car?

Audience:• Male• Professionals• High incomes• 34-55 yrs.• University educated• Adventurous aspirations

Audience:• Viewing car related content on

sites • Reading reviews on BMW, Audi,

Aston Martin, Porsche • Searching on terms to find

executive cars • Getting insurance quotes• Carrying this out 8 times in the

last 3 weeks

In-Market Executive Car Buyers

Attribute the right valueto your data…

Data Management

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3rd-Party Data Sources

AudienceScienceSegments

2nd-PartyPartners’ Sites

ProprietaryData

Datalogix

Targus

Nielsen

Bluekai

And MORE

Over 300 standard audience segments representing the entire purchase funnel

Website partners

Affiliated sites

Offline database

Social media fan pages

Website traffic

Registration

Commerce

Offline data

E-mails

Geo

Searches

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Don’t just take my word for it…

“The future [of advertising] will be about people and we should put people at the core.Because people are analog and we have feelings, hopes and desires, successful marketing will combine art and science, media and message, paid, owned and earned and a lot of combinations of the analog and digital world.”

– Rishad Tobaccowala Chief Strategy and Innovation Officer, VivaKi

Huffington Post, 3 October 11

The issue of performance…

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When was the last time you clicked on an ad…?

0.1% - average campaign click thro’ rate...

NATURAL BORN CLICKERS STUDY

Age Level Indices against Total Internet

Non-Clickers Light Clickers Heavy Clickers

Income Level Indices against Total Internet

Non-Clickers Light Clickers Heavy Clickers

2-11 12-17 18-24 25-34 35-44 45-54 55-64 65+

50

75

100

125

150

175

200

2-11 12-17 18-24 25-34 35-44 45-54 55-64 65+

Social NetworkingHeavy Clickers

Heavy Clickers

Age Level Indices against Total Internet

Natural Born Clickers: Headline Results

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YOU are the Network

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YOU are the Network

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YOU are the Network

The Inventory Pyramid

Premium Known Brand

Longer tail non-Brand

Gaming and Chat

Low CTR & High Conversion

High CTR & Low Conversion

So if it’s not about clicks, where is the value…?

• Goal– Multi-channel home furnishings retailer wanted to gain a deeper intelligence of their

customers’ on site activity and use this information to build audience segments that garnered the best Return on Investment (ROI)

• Results– ROI improved by 160% when compared to the previous non-targeted campaign

– Advanced Targeting Segments out performed Site Re-Targeting by 185%

– After revising creative and landing pages to accurately reflect targeted audience, the custom targeted segment experienced a 225% increase in ROI compared to the previously used contextual buy

– Main Objective in Campaign was for 10:1 ROI. Total ROI exceeded 30:1 meaning every Euro spent returned €30 in revenue!

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Major RetailerEnhancing campaign ROI

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People buy products…

So what do those people really think abiout advertising and targeting?

12 April 2023

Consumers & Online Privacy: 2012

Users understand the need for advertising…

TV Cha

nnel

s

Radio

Sta

tions

Mag

azin

es &

Prin

t New

spap

ers

News a

nd e

nter

tain

men

t web

sites

Retai

l web

sites

Searc

h Eng

ines

Socia

l Net

workin

g sit

es

48%43%

52%44% 47%

43%37%

34%39% 38% 40% 38% 39%

44%

18% 18%

10%16% 15%

18% 20%

Happy Neither Unhappy

Apart from BBC services (which are paid for by the licence fee), lots of media use advertising to enable them to provide you with TV programmes, newspaper articles and websites. To what extent are you happy or unhappy to see advertising on these media, given the services it helps provide? Base: All Adult Internet Users in the last month (2001)

How happy, or unhappy, are people to see different forms of advertising on different media?

Only one in ten internet userswould pay for ad free content

None of these

I would be happy to pay for websites that I currently use for free if they removed the advertising from their sites

I didn't know that advertising paid for much of the content I see online

I didn't know that paid for results on search engines mean that I can use them for free

I'm happy to see advertising on the internet because it makes it possible for me to use websites

I expect a large proportion of the internet would disappear without advertising

8%

10%

22%

25%

52%

61%

65

Differing perspectives depending on age

13% - 16-248% - 55+

Websites like Google, Facebook and MailOnline (Daily Mail Online) are able to provide content for you because they make money from advertising. Please choose the statements that you agree with. Base: All adult internet users in the last month (2001)

61% expect of people think that a large proportion of the internet would disappear without advertising

Users expect advertising online and majority find it helpful

I have purchased a product or service because of an advertisement I saw online

Advertising on the internet can be helpful

I notice advertising on the internet

I expect to see advertising on the internet

47%

14%

19%

5%

22%

28%

19%

17%

31%

58%

62%

78%

Disagree Neither Agree

A third of people claim to have made a purchase because of an online Ad

Over three quarters of internet users agree that they expect to see advertising on the internet

Still thinking about advertising, to what extent do you agree or disagree with the following statements?. Base: All adult internet users in the last month (2001)

Which types of online advertising, if any, do you find useful? Base: All adult internet users in the last month (2001)

Ads that give special offers are most useful

42% liked “Ads that give me special offers”

23% liked “Ads that are entertaining

and well designed”

20% liked “Ads that offer me the chance to click through and find more info”

14% liked “Ads that remind me of advertisements that I’ve seen in other media – for example TV ads”

30% liked “Ads that

remind me of products or

services that I’m interested in”

Younger users have a greater propensity towards advertising…

74% 68% 81%

40%65% 61%

79%

35%57% 49%

77%

23%

49% 52%75%

24%

16-24 25-44 45-54 55+

% Agree

Still thinking about advertising, to what extent do you agree or disagree with the following statements?. Base: All adult internet users in the last month (2001)

Over half prefer to see ads that are relevant to their interests

Seen increasing amount of relevent advertising

Would like to know more about how online advertising is made more relevant

I accept that for free services companies need access to my online behaviour info

Advertising on sites I visit is usually completely random

Rather see advertising online that is relevant to my interests

I'd rather see a low number of relevant ads online than a high number of less relevant ads

31%

29%

29%

20%

11%

7%

39%

39%

31%

35%

35%

34%

30%

33%

40%

45%

55%

59%

Disagree Neither Agree

Thinking about online advertising, to what extent do you agree or disagree with the following statements? Base: All adult internet users in the last month (2001)

Most internet users would rather see a low number of relevant ads online than a high number of less relevant ones

People are happy to see relevant ads in exchange for quality content

Information used to show me advertisements relevant to my interests does not identify me

I am happy for advertisers to show me relevant advertisements based on my previous web browsing activities

I am happy to see relevant advertising if it means the sites I visit give me quality content

14%

24%

12%

43%

31%

33%

43%

45%

55%

Disagree Neither Agree

Showing advertising that is relevant to you can be done by using web browsing information. The information used does not identify you as an individual; it just matches categories of online activities (e.g. visiting car websites) with possible advertisements (e.g. for new cars) To what extent do you agree or disagree with the following statements?. Base: All adult internet users in the last month (2001)

Happy to see relevant adsif I get quality content

16-24 yrs 55+ yrs

61% 51%

58% 38%Happy to see relevant adsbased on browsing

• 16 – 24’s happy to see relevant ads in exchange for quality content

• Over 55’s less accepting of relevant ads based on browsing history

Attitudes to advertising differ by age group

Users understand the needfor advertising online

• Internet users are generally happy to see advertising across all media

• Internet users expect to see advertising online and understand the need for advertising to provide the content they want

• The majority think that online advertising can be helpful and prefer to see relevant advertising

• Younger age groups are more positive about advertising and more likely to be happy for their browsing activities to be used

What to remember from my presentation…

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