Data + Technology = A New Era of TV Think LA October 20, 2017 one2one Media is a Cross MediaWorks company
Who I am and what we do one2one media is a new independent Advanced Television ad company that provides a turnkey solution for brands and agencies across all areas of the emerging video landscape one2one Media is a Cross MediaWorks company 3
today s television marketplace is complex 3
Targeted TV comes in many tactical flavors [ household addressable ] [ zone-level Insertion ] [ device level Targeting] [ Programmatic Television ] opportunity to go beyond demography to target messages only to households in a brand s true target addressable ads are dynamically inserted, whenever/wherever the households is watching tv, if they meet the targeting criteria ability to leverage first/third party data to broaden the target by isolating zip codes and cable zones that over-index for a brand beyond the 210 DMAs, there are 2,877 zones that we have the ability to target individually extend the reach of addressable television via device (mobile/tablet) level addressable 500mm devices mapped to 100mm households ability to get true cross channel attribution The application of data to television content to determine the value of the networks, programs, and dayparts against segments more granular to Nielsen. Inventory can be purchased manually or through one of many automated platforms 60 MM HOUSEHOLDS 2,877 ZONES 500MM DEVICES 118MM HOUSEHOLDS 4
Maximum scale is achieved when aligning multiple ATV tactics ADDRESSABLE TV HAS SCALE +50% USTV HH COVERAGE 60 MM ADDRESSABLE USTV HHS + ADDRESSABLE TV (ADTV) EXTENSIONS TO DELIVER TARGETING WITH INCREMENTAL REACH + MOBILE + CTV (connected tv) + PTV (indexing) ALL TACTICS PROVIDE UNDUPICATED REACH BY EXCLUDING ADTV INVENTORY ADDRESSABLE TV + OTHER DATA DRIVEN TACTICS = MORE SCALE 85% USTV HH COVERAGE 500MM DEVICES MAPPED TO 100MM TV HHS + MOBILE 75% USTV HH COVERAGE 90MM CABLE HHS + PTV 60% USTV HH COVERAGE 50MM CONNECTED TVS + CTV 5
Industry projections for Targeted TV are not always accurate $3.50 $3.00 $2.50 $2.00 $1.50 $1.00 $0.50 $0.00 US Addressable TV Ad Spending, 2015-2019 billions, % change and % of TV ad spending $0.41 104.9% $0.76 84.8% 65.8% $1.26 $2.25 78.7% $3.04 35.3% 0.6% 1.1% 1.7% 3.0% 4.0% 2015 2016 2017 2018 2019 Addressable TV ad spending 140% 120% 100% 80% 60% 40% 20% 0% Note: targeted TV ads delivered on a home-by-home basis via cable and satellite boxes; includes video-on-demand (VOD); excludes connected TV, smart TV and over-the-top (OTT) Source: emarketer, July 2017 $4.00 $3.50 $3.00 $2.50 $2.00 $1.50 $1.00 $0.50 $0.00 US Programmatic TV Ad Spending, 2015-2019 $0.31 0.5% billions, % change and % of TV ad spending 201.5% $0.64 107.0% $1.13 $2.09 $3.80 75.7% 85.2% 82.1% 0.9% 1.6% 2.8% 5.0% 2015 2016 2017 2018 2019 Programmatic TV ad spending 200% 150% 100% 50% 0% Note: the use of software platforms to automate the buying, selling or fulfillment of live TV and VOD advertising, distributed through cable, satellite or broadcast networks Source: emarketer, July 2017 one2one believes emarketer s 2017 Addressable TV spend is inflated by up to 50% 2018 spend could come within 30% of the projected amount pending additional supply/distribution one2one agrees with emarketer that Addressable spend is higher than Programmatic spend Programmatic numbers are significantly inflated *source: emarketer 6
Proper activation of an ATV campaign is key IDENTIFY TARGET DEFINTIONS PREFORM MATCH PLAN & EXECUTE MEASURE IMPACT identify targeting criteria that aligns with brand s measurement goals reach only those households that are in the brand s true target, eliminating waste match addressable video inventory against selected data set (1 st, 2 nd or 3 rd party) Ads are sent only to specified households o2o leverages proprietary planning tool to plan addressable video campaign across supply-side targeting and measurement are standardized campaigns are built to optimal exposure levels to maximize performance impact using a test vs. control methodology, one2one measures the impact of the addressable campaign against key brand metrics measurement is standardized across providers and presented as one holistic report 7
ATV data is available for all categories to identify high value households for clients, we match multiple data sets against each individual subscriber file, device ID or IP address experian auto polk dmv registration data shopcom nielsen catalina 84.51o MasterCard experian or acxiom (demographics, psychographics, behavioral) set top box viewer data medicx, ims, or crossix rx diagnosis data propensity models 1st party client data experian or acxiom via double blind match AUTO SHOPPER PROPENSITY SET TOP BOX PHARMA FIRST PARTY hhs in-market for: luxury suvs, electric/hybrid cars heavy fast food goers cleaning product switchers small business owners hhs with dogs moms with kids 2-12 hhs that enjoy cruise vacations light/lapsed/heavy viewers of: specified programs or networks, competitive or existing allergy sufferers birth control users chronic migraine sufferers card members current/prospective members 8
closed loop analysis, align with brand s goals is essential in all ATV initiatives brand health study web traffic foot traffic sales lift measure the impact of addressable video on key brand health metrics including: ad awareness preference consideration leveraging pixel data, isolate the lift in web traffic test vs. control results can be broken out by day, daypart and top networks using mobile location data, measure the impact of addressable video (test vs. control) on in store visitations metrics also include: visitation to competitive set visitation by ad date exposure leveraging first or third party data, measure the lift in sales (test vs. control) that can be attributed to the addressable video campaign incremental sales can be used to calculate a true ROI 9
Automation is critical to all forms of Targeted TV optimized campaign planning DATABASE OF +5B IMPs / +550 ADDRESSABLE VIDEO EXECUTIONS MAPPED AGAINST CLIENT BUSINESS RESULTS plan recommendation data recommendation partner & targeting EXPERIAN AUTO LUXARY AUTO INTENDERS 8,658,012 HHS 12,982,996 DEVICES 10
OTT is very much in the ATV game Netflix remains the prominent SVOD service in the U.S. followed by Amazon and Hulu Disney cut ties with Netflix and started their own streaming service which will impact the SVOD business Amazon paid roughly $50MM to stream 11 NFL games and will sell adds during the local two minutes per hour like any MVPD DISH partnered with Amazon to incorporate the ALEXA ACR into their HOPPER STB HULU recently announced their SVOD service which is essentially a skinny bundle that will compete with Sling, DirecTV Now, etc. Apple has budgeted $1B for original programming, Google and Facebook have each committed to spending $3MM per episode for new series based content Facebook will broadcast one live MLB game per week and also bid $600MM to stream Indian Premier League Soccer for five years 11
ATV Case Study - Auto target households in market for a luxury automobile execution results: automotive closed loop analysis +31% sales lift 11:1 ROAS ratio* ROAS by channel 11:1 12:1 household addressable OTT addressable device addressable 4,456 total cars 670 incremental cars 8:1 9.4 MM qualified households/device targeted in campaign $25MM ROAS* +42% dealer traffic 15-18 optimal frequency 6.08% BUY RATE 12 *ROAS based on MSRP
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