Post on 12-May-2015
The Past, Present and Potential of Display
Advertising
A4U Expo
Peter Gowrie-Smith Managing Director Magnetise Group
Farzad JamalCommercial Director EMEA, OpenX
1. Introduction
2. Where we were / where we are
3. Reasons for resurgence:I. Major players
II. New formats
III. Retargeting
IV. Ways to buy
V. Rise of data
VI. New pricing models
VII. Ways to measure
4. Where it’s heading next I. Challenges
II. Opportunities
III. Close and questions
Agenda
Who We Are - Magnetise
Portfolio of bespoke, highly scalable performance advertising and engagement solutions.
tbc
Marketing technology company delivering solutions for the creation and management of advertising, marketing and lead generation campaigns.
Lead management and analytics consultancy and technology for multi-channel campaigns.
AdExchange
RTB increases non-guaranteed
CPMs with full controls
Sell direct across all formats
(Display, mobile, email, video) Ad
Server
YieldOptimizer
All buyers complete in
the ad server to max yields
Who We Are - OpenX
From Old World to New World
Are You Feeling Lucky?!
• 2012 global display market is forecast at $33 billion , share of online ad spend will be 41% by 2014 (ZenithOptimedia)
• Display is now growing 20% annually (Forrester)
• Display is growing faster than search (IAB Europe) & will overtake search by 2015 (eMarketer)
The $200 Billion Dollar Gorilla
The Display Ecosystem
• Microsoft - Bought aQuantive in 2007…plus Skype in 2011• Has 4.5% of 2012 US display ad market
• Facebook - Bought Rel8tion in 2011, Instagram and Face.com in 2012• 14.4% of 2012 US display ad market
• AOL - Bought advertising.com in 2004, Pictela in 2010 …plus TechCrunch in 2010, HuffPo in 2011 • 3.6% of 2012 US display ad market
• Yahoo! - Bought Right Media in 2007, Dapper in 2010• 9.3% of US 2012 display ad market
• Google - Bought DoubleClick 2007, AdMob 2009, AdMeld in 2011 …and YouTube in 2006• 15.4% of the 2012 US display ad market
• WPP Group… Bought 24/7 Real Media in 2007
The Major Players
Global Agency Network Map
Digital Advertising Industry Ecosystem
New Formats
The Evolution of Ads
FUNCTIONALITY & ENGAGEMENT
CONTENT PERSONALISATION
New Engagements
Source: IAB / PwC Online Adspend 2011
Growth of Display Formats
Image credit: Search Engine Land
Targeting to Retargeting….
ADVERTISER PUBLISHERDIRECT
Ways to Buy
ADVERTISER PUBLISHERDIRECT
NETWORK
Ways to Buy
ADVERTISER PUBLISHERDIRECT
NETWORK
OPENX EXCHANGE
Ways to Buy
ADVERTISER PUBLISHERDIRECT
NETWORK
OPENX EXCHANGE
ATD
DSP
SSP
Ways to Buy
OXL
Why There is Rapid Growth in RTB
Data will grow by a factor of 44 between 2009 to 2020 (IDC)
Image credit: Krux
The Rise of Data
The Billion-Dollar Challenge: Monetizing the Digital Opportunity
New Pricing Model
New Ways to Measure
New Ways to Measure
• Complexity• Consolidation• Effectiveness• Accountability• Privacy• Legislation• New platforms
Challenges Ahead
• Billboards / OOH• Infrastructure – spending doubles to $5.2 billion from 2011-2016 (MagnaGlobal)
• Appetite - by 2020 90% of OOH will be digital
• Targeting• Interactive mirrors – ‘try before you buy’
• Facial recognition – tailoring display to the physical audience
• Search retargeting
• Mobile• Mobile media accounts for 23% of consumer time, but 1% of ad spend (Flurry)
• NFC – in 20% of smartphones by 2014 (Juniper Research)
• Integration & Innovation• Social channels
• Real-time rich media
Opportunities Ahead
More Facts on Trends Coming Up….
• Display is a completely different beast to 18 years ago
• New formats, engagement options, pricing models, measurement metrics, ways to buy and the rise of data all play their part
• The future is looking rosy, but the industry must be mindful of growing privacy issues
• Mobile, billboards and innovations in display will deliver a $200 billion industry within the next 10 years.
Conclusion
Thank you!
Any questions?
Peter Gowrie-SmithManaging Director, Magnetise Grouppetergs@magnetisegroup.com020 7078 8298
Farzad JamalCommercial Director EMEA, OpenXfarzad.khorsandjamal@openx.com020 7855 0202