Discussing best practices and learnings with the leading publishers in Spain using a case study from the Netherlands.

1. Programmatic
Selling at Ebay
Marktplaats Media
Private Exchange
Improve Digital CEO Dinner
by Joep Hutschemakers
March 2013
Madrid

2. The challenges for Marktplaats
“How can Marktplaats leverage its inventory and take
advantage of budget shifts towards the automated
channel, without harming premium sales and user
experience, in a market which is changing so rapidly that
an active involvement is necessary to keep up and
acquire insights in clients, users and technical
developments?”
“Innovation is the ability to see change as an opportunity – not a threat”. -
Steve Jobs

3. Need for a private
exchange is
driven by a
changing display
eco system
3

4. Rise of Sell Side Platforms (SSP’s) pushed back developments
from the demand side
Publishers can set up their private exchange with strict rules
4
Advertisers
Publishers
Agencies
Ad
networks
Sellside
platforms
Demandside
platforms
Programmatic restores the balance between publishers and advertisers

5. Why a Private Exchange?
Benefit from the ecosystem change and keep control in the
automated (programmatic buying) channel
5
RTB
Integration
Business
Rules
eCPM &
Optimisation
Data
Integration
Real Time
Bidding
Private
Exchange
Control
Yield
mgt
Data
1
3
2
4

6. How does our
private
exchange
work?
6

7. Overcoming resistance
7

8. Premium versus Private Exchange
Guarantees
• # views
• Umfeld
• Placements
Formats
• All display formats, rich
media, takeovers, VIP tabs
and custom content
integrations
Targeting
• In every way,
a.o. zipcode,
contextual,
BT, region, etc
Flexibility
• Campaign timings
• Lagging delivery actively
managed
Account Management
• Personal advice, before, during, after
• Reporting and evaluation
• Knowledge sharing
• Efficiency studies
Premium Private Exchange

9. Private Exchange Drivers of growth:
Demand, Floorprice, Supply
Active yield mgt will increase both revenues and eCPM
9
Constantly balanced out
Demand
Supply
Impressions
Floor
prices
Yield Mgt
Revenues
eCPM

10. Supply – 5 formats, but no premium placements
10
Homepage
Group pages
Category
pages
View Item
pages
Search result
pages
In Private Exchange Not in Private Exchange
Fullbanner
Leaderboard, Billboard
Medium rectangle
Roadblock, HTO (XL)
Fullbanner
Leaderboard*
Contentbanner, Medium
rectangle, GTO
Leaderboard/Fullbanner
Skyscraper
Wide skyscraper
Rubrieksbanner
Medium rectangle (except
in Cars)
Photo pop up
Text links
Leaderboard

11. Demand - 3 different buys in a Private Exchange
Type of buy Example
companies
Characteristics
Trading
desks / RTB
enabled
Trading desks
like Cadrian
(Digiloque),
Accuen (OMD)
Direct -
Client
T-mobile, ING
Bank
Direct – Ad
Network
Click District,
Specific Media,
MS Network
11
1
2
3
Negotiating
Pricing
Creative
SpendCommitment
Other

12. Floorpices – Experimenting with different floorprices
12
• Per group
• Per format
• Per placement
• Per demand partner
• Per type of bid
Homepage
Group pages
Category
pages
View Item
pages
Search result
pages

13. Where are we
(heading) with
the private
exchange?
13

14. Disruption is always around the edges,
never heads on
14

15. From a more tactical towards a more strategic implementation
Phase 1:
No active
publisher
participation
Phase 2:
Incorporate
multiple RTB
vendors into
monetization
partner suite –
testing phase
Phase 3:
Consolidate
vendor
strategy and
executes
private deals
and/or sales
with arbitrary
price floors
Phase 4:
Actively manage
smart, variable
floor price
informed by data;
managed by
strategic team
Phase 5:
Look holistically
at all sales
channels and
optimize yield
across both
direct and
indirect/ RTB
channels
15
strategic implementation:
- start using it as an intelligence tool to
manage Yield and inform pricing
- have a clear view and policies on Data usage
- understand how premium inventory can be
monetized through RTB
tactical implementation:
RTB essentially used as a
remnant ad play
Source: A commissioned study conducted by Forrester Consulting on behalf of Google, January to September 2011
Placing the best
marketing
message in the
channel most
relevant and timely
to the audience

16. Channel mgt – capturing all revenue opportunities
16
Premium
Programs
CPM
Direct Media
Sales Team
Customized
Content
Integration/
Sponsorships
RTB /(audience
targetting, re-
targetting)
3rd party demand partners (Ad networks, Ad Exchanges, affiliates
Direct buys/
Direct clients
Performance
Private
Exchange
In 1-2 yrs
“Premium” Standard
IAB Programs
In 0-1 yrs
using technology to
enable premium
guaranteed buys at scale
Premium Programmatic is not about bidding on quality inventory

17. Questions
17
jhutschemakers@ebay.com
http://twitter.com/JoepHutsch