Mani Iyer, CEO of Kwanzoo, gave a presentation on display advertising for demand marketers. The presentation covered display advertising concepts and terminology like CPM, CPC, CPA, and CPL. It explained the display advertising ecosystem including ad networks, exchanges, and real-time bidding. It also differentiated between brand advertising and demand generation goals and metrics. Additionally, the presentation provided guidance on how to plan a display campaign, secure budget, and measure success through A/B testing and optimizing targeting and bids.
2. Today You Will Learn
• This presentation is for demand generation
professionals who understand how to generate leads
on their website or how to run email campaigns but
are new to display.
• Learn display advertising concepts, and how to
advocate for your needs and priorities with
colleagues in corporate marketing, brand advertising,
or at your media agency.
3. About Me: Mani Iyer, CEO of Kwanzoo
• Previously founded a software business acquired by
Oracle/PeopleSoft.
• Serial entrepreneur & industry speaker on demand
generation, pipeline acceleration, multi-channel
marketing and B2B interactive marketing and
advertising.
• Speaker at leading industry conferences including
OMS, Leadscon, Ad-tech, Conversion Conference,
Social Email Marketing, DemandCon, TiEcon and
Virtual Edge Summit.
4. Agenda
1. Display advertising terminology – CPM, CPC, CPA, CPL and more
2. Display advertising ecosystem – Ad networks, Exchanges, RTB &
Ad platforms
3. Brand versus Demand – Making Sense of all the Jargon
4. Prospecting and Re-targeting - How are they different?
5. Putting together a display campaign – What does it take?
6. Budget - How to secure budget for display ad campaigns
5. Display Advertising Terminology
• Advertiser = The business that
placed this ad (e.g. SAP)
• Publisher = Forbes.com
• Media Agency = works for the
advertiser in designing the ad
(creative), then buying ad
placements (media buying),
and determines ad budget
(media spend)
• Inventory = how many
impressions of the ad are
available through a specific
publisher
6. Buying Ads
Ads are bought in units of:
1. Impressions, in units of 1000 (CPM)
Impression = each view or showing of the ad
e.g. $1 CPM = 1000 impressions for every $1
$2 CPM = 500 impressions for every $1
2. Clicks or Click-throughs, with a cost per click (CPC)
e.g. $5 CPC = each click on the ad costs $5
3. Leads, with a cost per lead (CPL), sometimes cost per (user) acquisition
(CPA)
Risk shifts from advertiser to publisher as we go from CPM -> CPC -> CPL / CPA
“As an advertiser, your lowest risk is buying leads - IF you are confident of the
quality of the lead that you will get”.
7. Types of Display Ads
Ad Formats
• banner ads / image ads / flat ads - simple images (PNG, JPG)
• rich media ads - Flash-based or Dynamic HTML-based. Ads can have forms
for lead capture, polling, social sharing, etc.
8. Ad Sizes
There are many standard sizes defined by the Interactive Advertising Bureau
(IAB):
• leaderboard (728x90) = 728 pixels wide, 90 pixels high
• medium rectangle (300x250)
most available inventory across ad sizes
• Other common sizes
• 300x600
• 160x600
• 180x150
• mobile ad sizes (iPhones, Androids, iPads)
• 468x50
• 300x50
• 320x50
10. Placing Ads
Ad Platforms: where you log-in, upload ads, and they serve the ads
Placing Display Ads – Your options:
• Direct Media Buy - you would pay for placing 1 or more ad sizes on a
specific publisher website, and a specified # impressions, for a period of
time.
• e.g. 200,000 impressions per month on Forbes.com from July to Dec
2013.
• You can have more rules around your ad buy such as:
• Viewable impressions - they must be “Above the Fold”, 60% of ad
visible in a viewable area or in-focus page for at least 1 sec
• Time of Day - Ads shown during specific hours (e.g. 9 AM to 6 PM PST)
a.k.a. “Dayparting Display Ads”
11. Ad Network Buy
Each ad network (e.g. GDN) will have an inventory of impressions available by:
• Type of Audience - Demographic (B2C), Firmographic (B2B)
• Demographic - Male/Female, Income, Location, Interests (News, Fashion,
Movies, etc.)
• Firmographic - Industry, Job Function, Company Size, Company Revenue,
Location
Ad Exchanges + Buy Side Platforms with Real-time Bidding
• Google DoubleClick Bid Manager (DBM)
• AppNexus
• MediaMath
• TheTradeDesk
• Set caps on price, define targeting rules (on what sites / places / to which
audiences will the ad be served)
Broader List of Ad Networks and Platforms:
http://www.kwanzoo.com/solutions/display-retargeting/supported-networksexchanges/ (constantly updated)
13. Brand vs. Demand
Brand Marketers
• Brand Recall - how many of the consumers who are surveyed recall your
brand with its key attributes.
• e.g. BMW = performance, Toyota = innovation
• Brand Lift - did the display ad campaign increase brand recall, and by how
much
• Engagement - what % of users clicked on the ads, or engaged with the
brand via the ad
• Click-through - visits to the Company’s website as a result of the brand ads
• View-through - users view the ad, and visit your website directly without
clicking on the ad
• E.g. View-through at 9X of click-through the ad.
14. Demand Generation Terms
Demand Marketers
• Conversion - turning an unknown user into a known prospect
(first name, last name, email, company, etc.)
• Landing Pages - where conversions typically happen today
• user clicks on a flat ad, then redirected to the landing page in a new
browser window
15. Cost per Lead
Calculating Cost Per Lead
• 1 month display ad campaign
•
•
•
•
•
$5,000 media buy @ $5 CPM
You would serve 1 million impressions (1,000,000)
If your click-through rate on the ads is 0.1%
You would generate (1,000,000 x 0.001) = 1000 clicks
Landing Page Conversion Rate = 5%,
1/20 of your clicks result in a form fill on the Landing Page
• Each form fill on the Landing Page = A lead capture
• # Leads = 1000 clicks x Landing Page conversion rate
= 1000 clicks x 5%
= 50
Your cost per lead = $5000 / 50 = $100
Goal = As many high quality leads as possible, for your media spend
16. A/B Testing
A/B Testing - running different versions of the ads (brand or demand) to test
which messages and offers resonate the most with the audience, and drive the
highest results (i.e. lead conversions)
17. In-Banner Lead Forms
Banner
Ads:
Traditional
Place ad on 3rd party site
Disrupt user by redirecting them to
branded landing page
New Way
Collect info
in CRM/MAP
Engage & gather insights with rich
media ads (ex: banners, polls,
videos)
Capture lead in the ad with
in-banner forms behind banners,
polls, videos – store lead in MAP
18. New Prospecting vs. Retargeting
New Prospecting
• Prospects NOT already in the advertiser’s database. Reach new “watering
holes” and place ads to attract new prospects, get them to opt-in into further
conversation.
Re-targeting
• Already a bit familiar with the brand. Visited your site and bounced.
• Conversion rates for re-targeting = typically higher than for new
prospecting.
19. How Retargeting Works
Your Website
Organic
Search
Email
Social
Ad Network
PPC &
Display
Retargeted Ads
Example:
•
•
Visitors get tracked
for retargeting (cookie’d)
Tracking works beyond your
website across the web
10,000 website visitors
20 impressions / visitor / month
•
Total of 200,000 retargeted
impressions per 30 day period
20. Putting Together a Display Campaign
1.
Define the goal - brand awareness ? demand creation? both?
2.
Target audience - Persona(s)? Buyer needs messaged via the ad?
3.
Budget - finalize number based on goals re: brand – reach, engaged,
or demand – leads
4.
Placement - targeting, media buying. In-house, outsource?
5.
Creative - copy, design, messaging, content offers, brand guidelines
6.
Execute & Review - analytics, reporting, key metrics
7.
Campaign Management –
•
•
•
Targeting - update sites, audience segments, etc. based on what works
Bid Management – set bid prices to meet volume goals (daily/weekly)
Creative updates - changes in mid-flight based on engagement / lead capture
metrics
21. Securing Your Pilot Display Budget
1.
Speak the same language - as your brand colleagues / agency
2.
Understand ultimate business objective e.g. sales and revenues
• Be ready to discuss how display will contribute to final objective
e.g. Display will generate 200 new leads / month.
• Display will deliver 30 new marketing-qualified-leads (MQLs) per
month via follow-on email nurture campaigns
• 30 MQLs => 3 new closed-win deals/month
with $50K Annual Contract Value (ACV) per deal
3.
Ask for pilot budget, prove success, and seek larger budget
• Define a pilot budget of say 100 leads/month, that is then further
measured with a lead => MQL conversion goal that is validated in
follow-on months
• As soon as you see acceptable CPL / CPA and lead => MQL conversion
rates, increase your media spend to scale your closed-win
deals/month.
22. Sample Kwanzoo Pilot Campaign
Monthly Fixed:
• Tech Fee = $999 per month
Monthly Variable:
• Impression Fees = $1000 (1 million impressions) per month
• Campaign Management Fee = $1050 ($15% of media spend)
• Media Spend = $7000 paid to Ad Networks & Exchanges
Total: $10,049 per month (plus one-time creative dev fees)
Goals:
• Generate 30% higher lead conversions versus typical banner ads
(e.g. 100 leads with banner ads => 130 leads with Kwanzoo tech.)
• Generate more leads for same media budget
• Demonstrate same / better quality of leads via strong lead => MQL
conversion rates in follow-on months
• Leverage real-time bidding (RTB) to spend on media more wisely, and open
up new audiences to your products / services
23. Questions?
For more information, contact:
Phone:
Email:
Twitter:
408-216-7025
info@kwanzoo.com
@kwanzoo
@iyermani
Resources: http://www.kwanzoo.com/solutions/displayretargeting/
25. Try any of these tactics to learn more….
1. Build an ad with in-banner lead form. Compare
conversion rates for the in-banner form, when it’s
placed on a high-traffic content page vs.
conversion rate for a landing page form on your
own website.
2. Log into your Google Adwords account. Calculate
your current conversion rate and cost per lead,
by reviewing data from previous text/PPC and
Google banner display campaigns.
Move The Needle
26. Key Takeaways
- Display advertising terminology and key concepts
- Key metrics for brand vs. demand generation
display campaigns
- New ways to increase lead conversions with inbanner lead forms, integrated with MAP/CRM
- Planning & executing a display campaign
- Piloting and scaling new demand generation
display campaigns