Embracing Change: An Insider s Guide to Programmatic. Robert Franke Manager Markplaats Agencies & Exchange

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1 Embracing Change: An Insider s Guide to Programmatic Robert Franke Manager Markplaats Agencies & Exchange

2 Ebay Inc: a snapshot Marketplaces Marktplaats. nl Mobile.de Kijiji Gumtree etc

3 Our Position & Our Offering Our Position Our Offering Premium Display Largest website in the NLs (Source STIR/Comscore) 6.5M unique visitors a month 45% reach Data Revenue Integrated / Custom concepts Private Exchange

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5 Agenda 1. What have we done so far and why? 2. Now 3. (near) Future

6 Advertisers Publishers Agencies Early days till the online display landscape was simple Simple eco system, similar to Search Only Search eco system stayed simple

7 How did it start? 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

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9 The Resurrection of Display Advertising

10 Titel

11 Strong growth in display advertising Bron: Adweek

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

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

14 Now what are we doing now?

15 From a tactical to a strategic implementation tactical implementation: RTB essentially used as a remnant ad play 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 Placing the best marketing message in the channel most relevant and timely to the audience 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 Source: A commissioned study conducted by Forrester Consulting on behalf of Google, January to September 2011

16 Developments within Automated Trading 1. More sizes via the exchange Selected nr of ad sizes All IAB Sizes

17 Developments within Automated Trading 2. More focus on umfeld (context) Black box More transparancy

18 Bidding within our channels

19 Floorprices Experimenting with different floorprices Homepage Group pages Per group Per format Per placement Per demand partner Per type of bid Category pages View Item pages Search result pages

20 Performance to date programmatic volume and revenue have grown >300% since our 2011 launch Launched Marktplaats Media Private Exchange Strong focus on quality ads Direct campaigns and external demand gets access with CPC/CPM/CPA & rev-share Q4 RTB kick-off Via programmatic advertising, MMPE gets access to >165 additional buyers Introduction of PMPs in Q3 12 (Channels) Floorad available via MMPE Better sorry than save approach Further loosening of floorprice strategy New formats: Billboard and Half Page Ad availability Introduction of High Mobiel In-app offering Impact Formats Data focus Continued focus on PMPs Increased transparency MMPE: expansion of team

21 Where are we (heading) with the private exchange?

22 Looking Forward: New tools. Continuous change PRICING CONTROL CENTRE

23 360 Platform: Pricing Control Centre Comprehensive price management dashboard Highly configurable, rules-based price floors, mapped to specific product and demand scenarios Intuitive and efficient process and workflow At-a-glance monitoring and analysis 23

24 So Is this it?

25 From Purchase funnel to pretzel

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27 Questions? Robert Franke Tel: Linkedin: