DataXu CEO Mike Baker's keynote presentation from DigiDay: ON MEDIA. This presentation includes some of the key findings from the recent "State of the Industry in Digital Advertising" Study sponsored by DIGIDAY and DataXu.
92% think advertising is going through a seismic shift to 100% digital! Need to change the game now. Clearly something big going on in regards to consumer behavior and use of digital media. You might have thought you knew your target audiences before but with all of these connected devices, consumer behavior is changing and you can’t find them.Searching on Google changed research .. Travelocity and the ability to compare prices changed travel.Seismic shift in consumer behavior across digital – the shift changes advertising how its bought sold, how you engage and find them consumers. Gillette you may know who your consumers are but can you find them on digital.
92% think advertising is going through a seismic shift to 100% digital! Need to change the game now. Clearly something big going on in regards to consumer behavior and use of digital media. You might have thought you knew your target audiences before but with all of these connected devices, consumer behavior is changing and you can’t find them.Searching on Google changed research .. Travelocity and the ability to compare prices changed travel.Seismic shift in consumer behavior across digital – the shift changes advertising how its bought sold, how you engage and find them consumers. Gillette you may know who your consumers are but can you find them on digital.
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What percentage of your campaigns will contain mobile, online, and video?
Everyone says the have a holistic approach. 78% of agencies, 60% of brands. But do you have confidence in that strategy?
85% of Agencies, and 94% of Brand say there campaigns with include MOBILE ! Ironic, due to the small dollars allocated. Agencies say 70% or RPFs will have online, video and mobile.
85% of Agencies, and 94% of Brand say there campaigns with include MOBILE ! Ironic, due to the small dollars allocated. Agencies say 70% or RPFs will have online, video and mobile.
85% of Agencies, and 94% of Brand say there campaigns with include MOBILE ! Ironic, due to the small dollars allocated. Agencies say 70% or RPFs will have online, video and mobile.
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Let us geek out here... A&B agree: Real Time Bidding is least important. This is a lesson for you Ad Tech Geeks. Performance is what is rated high. End results.
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Overwhelmingly, B & A both agreed on Digital is..75% effective for branding. (big shift in brand use of digital! 58% (agency) 72% (brand) for direct response. 100% of brands will use a mix in 2011 and 94.1 % of agencies will use a mix.Once upon a time - Internet was viewed as DR, ecommerce, clicks. Now big brands Verizon, P & G - they are now using online but looking for the same metrics as performance.
Strong agreement between B&A: Better performance is where it is at. Whole world would move budgets over to Branded Performance (a blend of the two categories) if they could prove it works.
In 2011, all signs point to a new Branded Performance category. Agency:Branding oriented: 38% (2010) -> 23% (2011) Performance oriented: 26% (2010) -> 30% (2011)Mix: 53% (2010) -> 73% (2011) Brand side: Branding oriented: 36% (2010) -> 24% (2011) Performance oriented: 66% (2010) -> 12% (2011)Mix: 42% (2010) -> 73% (2011)
In 2011, all signs point to a new Branded Performance category. Agency:Branding oriented: 38% (2010) -> 23% (2011) Performance oriented: 26% (2010) -> 30% (2011)Mix: 53% (2010) -> 73% (2011) Brand side: Branding oriented: 36% (2010) -> 24% (2011) Performance oriented: 66% (2010) -> 12% (2011)Mix: 42% (2010) -> 73% (2011)
Shift in spending. Both Brands and Agencies... Big increases in budgets from 2010-2011. Yet big decrease in general ad network spend (50%drop) Increase in demand side platforms and social ad networks
Brands and agencies are both aligned in moving spend away from ad networks & premium publishers to DSPs and Social Ad networks
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What are DSPs best at? Agencies think that DSPs are best at Direct Response Brands disagree. See DSPs as say prospecting tool, and direct response. Are agencies threatened by this?
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Both Brand and Agencies: want TRUST and ALIGNMENT with buy side interest Technology - Trust and Alignment - human qualities remain what is scarce even in this world of technology.
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B&A Agreed that Targeting effectively is the greatest concern. 2nd: Measurement tools 3rd: Inventory quality
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Most effective for ROI: World is big on audience buying, yet B&A both agree that Performance Based Optimization is the best. 1st Gen DSP were good at audience buying 2nd gen are good at audience discovery. Why is everyone buying cookie lists? Most effective for ROI – The industry is big on audience buying (cookies which should manifest itself in the behavioral category) yet both brands and agencies agreed that Performance based optimization is the most effective for high ROI (question 38) First generation DSPs are good at cookie buying, second generation on audience discovery =performance based optimization.
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Agencies and Brand both would be willing to spend more for Analytical Insights. Both 89% would spend for 1 – 30% more for deeper analytics into consumer behavior Make more money from analytics than from media fees.
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Analytics can be improved with more Actionable Insights. 1st there was reporting, but it was post facto. NOW, we can apply insights while the campaign is going on.
Analytics can be improved with more Actionable Insights. 1st there was reporting, but it was post facto. NOW, we can apply insights while the campaign is going on.
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Even with the proliferation of technology – Brand still view agencies will still be used for Ad planning and buyin. Wake up agency - brands still (only?) view this as your best attribute.