5. The only SSP run by publishing veterans Founded in 2007 More than 400 premium publisher clients 45 billion transactions per month More than 100 team members worldwide Offices in NYC, London, SF, Berlin & Toronto 2 About Us
11. Revenue Management Emerges/Evolves Commercial Airline Timeline American Airlines Launches Super Savers Distribution Models Change with OTAs Quantum Leap in Computing Capability 1980 1990 1970 2000 2011 Deregulation Other Industries Begin Adopting Low Fare Carriers Emerge
12. Multiple Approaches to Managing Revenue Assume a flight leg of 2,100 kilometers; capacity = 200 seats Load Factor Emphasis 0 13 14 55 68 150 75% $ 25,960 $ 173 Class Y M Q B V Seats Sold Load Factor Total Revenue Average Fare Yield Emphasis 20 23 22 30 15 110 55% $ 28,940 $ 263 Average Fare $420 $360 $230 $180 $120 Revenue Emphasis 17 23 19 37 40 136 68% $ 31,250 $ 230
So, for today’s discussion I will essentially be building on our previous presentation where Thomas did a great job of setting the stagefor how advertisers and publishers are quickly evolving with their use of Supply Side Platforms, Demand Side Platforms and how they are shaping a particular sector of the media industry.I will spend a few minutes touching on that topic relative to where I currently work as a Supply Side Platform solution and our company focus.I will then set up some context for similar trends that we have seen in the airline industry which can help paint a picture for what we might see in the near future.Finally, I will also spend a couple of minutes touching on what the publishing community is doing to respond and where do we go from here.
As Anitra mentioned, I currently work as the Chief Media Officer for Admeld which serves as a leading Supply Side Platform helping publishers manage this new tier of revenue and clients as their strategy and investment continues to evolve at an extremely rapid pace.A couple of quick facts about Admeld: - We take A LOT of pride in the fact that we are a company founded by and managed by a group of publisher veterans that can speak directly to the challenges and opportunities that a publisher faces. - One such member of our leadership team here in Germany -- Thomas Mendrina, who recently joined us from Axel Springer will also be speaking later today on a panel discussing the fate of DSPs and Ad Networks so I encourage you to stick around for that as well. - In total, we work with over 400 publishers around the world, are going on our 4th year and passed through 100 team members this year - We spent the early stages of our company managing/optimizing ad networks for publishers and have since evolved into enabling RTB connectivity/mgmt. directly with Demand Side Platforms and have also supported large media companies with their own private exchange platform solutions and strategy which I will touch on later.
We work with a healthy cross section of publishers across the ecosystem and our primary goal again is partnering with publishers from a technology, service and strategy perspective as this industry continues to experience a rapid transformation often making it difficult to understand what to do, how to do it, and why.
Just to set some background, prior to media I spent 10+ years within the airline industry working across 3 different US startups with the most recent being Virgin America in San Francisco.Having the opportunity to work for the Virgin Brand and build the best airline in the US from scratch was one of the most rewarding experiences I have had in my career. It was during this time building this airline out 5 years ago that really brought to light just how far the traditional supply and demand relationship had evolved in recent years and how it closely relates to media. Demand, in the traditional sense had evolved a long way in the past 10+ years evolving from using a travel agent getting a paper to ticket to leveraging any number of distribution channels requiring a significant investment in both technology and people capable of managing that technology. It was clear that we had to use technology and leverage every distribution channel available in order to compete effectively with the large set of incumbent suppliers.A great example is the travel agent…
You had to call one of these to get one of these…Something virtually unheard of today and the very same thing can be said about the level of in-efficiency still present within certain areas of the online advertising industry.I expect that the very manual and process driven approaches to transactions will also go by the way side. Joe Zawadzki article reference…
You had to call one of these to get one of these…Something virtually unheard of today and the very same thing can be said about the level of in-efficiency still present within certain areas of the online advertising industry.I expect that the very manual and process driven approaches to transactions will also go by the way side. Joe Zawadzki article reference…
Sell through vs. eCPM vs. total revenue
JK – not sure if this is what you meant. If not, let me know.
Same is true for marketers and agencies.I was at an iMedia conference recently and 90% of agencies small and large were either currently using Demand Side Platforms currently or testing them.
Even in the US RTB needed some month to really get into mainstream. Now Germany is in a simliar situation than the US End of 2009 or Q2 2010. IN Q1 2011 the product features represent the reality: prioritized bidding to reflect volume buys or floor prices on user segments
This is exactly what has been happing within the online advertising industry over the past 10 yearsPublishers have been slow to invest and innovateIntermediaries with technology have stepped in within significant investment resulting in publishers and advertisers getting pushed further and further apart losing control of the relationship3rd parties get so big that media companies begin making investments in technology and people to get back control of this relationship in response to client needs and capabilities (USE: Michael Zimbalist Adage article]One such example of this investment came from a company called Quadrant One which is x, y, z. [USE: the CNBC clip]