1. Inventory + Ad Serving Christina Faurie Manager, Asset Management 2. Sales + Pricing Troy Somero...
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Transcript of 1. Inventory + Ad Serving Christina Faurie Manager, Asset Management 2. Sales + Pricing Troy Somero...
1. Inventory + Ad ServingChristina FaurieManager, Asset Management
2. Sales + PricingTroy SomeroDirector, Sales Planning
1. ESPN Digital Inventory & Ad Serving
What is Inventory?
Why is it Managed?
How is it Managed?
What is Inventory?
Assets (stuff with value) that are ready or will be ready for sale
Unique Viewer
Display & Mobile Ad Server
Video Ad Server
Display, Mobile & Video Data Tracking
Page View
Display Ad Impressions
1st PARTY
3rd PARTY
Why is Inventory Managed?
The ESPN Pie
4.5+ Billion(Impressions/mo.)
The ESPN Pie
55+ Billion(Impressions/yr.)
The ESPN Pie
Homepage
NFL
MLB
NBA
College Football
College Basketball
NHL
Golf
Fantasy
Other
The ESPN Pie
Display
Mobile
Video
The ESPN Pie
How is Inventory Managed?
AD SERVING
DATA ANALYTICS
REPORTING
Inventory Management Tools
Forecast Considerations• Historical Data
• Site Design
• Page Design
• Ad Serving
• Ad Execution
• Programming Changes
• Current Events
Mon Tues Wed Thurs Fri Sat Sun0
1,000,000
2,000,000
3,000,000
4,000,000
5,000,000
6,000,000
7,000,000
8,000,000
Wk 2, June '08
Year 1 Event Delivery Curve
Mon Tues Wed Thurs Fri Sat Sun0
1,000,000
2,000,000
3,000,000
4,000,000
5,000,000
6,000,000
7,000,000
8,000,000
Wk 2, June '08Wk 2, June '09
80% traffic decrease
Yr. 1 vs. Yr. 2 Event Delivery Curve
Mon Tues Wed Thurs Fri Sat Sun0
1,000,000
2,000,000
3,000,000
4,000,000
5,000,000
6,000,000
7,000,000
8,000,000
Wk 2, June '08Wk 3, June '09
35% traffic decrease
Year 2 Event, Schedule Adjusted
500% capacity swing
Mon Tues Wed Thurs Fri Sat Sun0
1,000,000
2,000,000
3,000,000
4,000,000
5,000,000
6,000,000
7,000,000
8,000,000
Wk 2, June '08Wk 2, June '09Wk 3, June '09
Value of Schedule Adjustment
The U.S. Open Golf ChampionshipYear 1• 2008 Championship• Tiger Woods outlasts Rocco Mediate in Playoff
(Monday) despite ailing left knee• June 12-16
Year 2• 2009 Championship• Lucas Glover won (Phil Mickelson runner-up) despite
heavy rain throughout• Tiger Woods finish T6, 35% decrease in traffic to
section• June 18-22
2. ESPN Digital Sales and Pricing
Who does ESPN sell to?• Traditional media agencies• Advertisers directly• Direct Response• Ad Networks? Not really
Anyone with an advertising budget that wants to buy our inventory
How does ESPN determine pricing?• Advertiser history• Product/inventory being requested• Timing and seasonality• What will get the deal done?
At the end of the day, it is supply and demand
How does ESPN divide up inventory?
• By sport• By delivery mechanism (Sponsorship, Rotational)• By ad execution (Display, Mobile, Video)• By device (Tablet, Handset)
Whatever the platform is that a client wants to advertise on, ESPN will find a way to fulfill the need
What type of “targeting” does ESPN offer?
• Geo • Age• Gender• Time• Device• Browser• FRM• Third-party segmentation
All of these targeting capabilities allow ESPN to present the same inventory to clients in a variety of ways to be in the best position to make the sale
How is ESPN Sales evolving with industry change?
• Selling Digital Video to TV agencies• Bundling sponsorships together across mediums and
devices• Using the strength of the Live Sports TV marketplace
to help push Digital initiatives• Opening up internal systems to external
enhancements• Flexibility of pricing due to TV/Digital convergence
ESPN’s broad inventory pool and unique place in the industry as an inelastic property for the Male demo allows the Asset Management team to be flexible in the changing marketplace