RSS FeedArchive for the ‘Data-Driven Thinking’ Category


Can Facebook Overtake Google And Fix Cross-Channel Marketing?

michael-caccavaleData-Driven Thinking" is written by members of the media community and contains fresh ideas on the digital revolution in media.

Todays column is written by Michael Caccavale, CEO at Pluris Marketing. 

Facebook is one of the biggest publishers in the world, but the company is still looking up at Google when it comes to digital advertising. Google has more than 31% of the global market for digital ads, with Facebook a distant second at 7.8%.

Two of Facebook’s recent business decisions aim to change that, as the company focuses efforts on becoming both an ad network and ecommerce platform. But is Facebook biting off more than it can chew?

Doubtful. The social network is making all the right moves. With its new Buy button and revamped ad network, Facebook is positioning itself well to sell ads inside and outside its walls.

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Programmatic Co-opetition: A Smarter Way For Insurers To Serve Ads

steve-yi"Data-Driven Thinking" is written by members of the media community and contains fresh ideas on the digital revolution in media.

Todays column is written by Steve Yi, CEO at MediaAlpha.

Cold feet, rate comparisons and digital noise are all common distractions that might stop a customer from doing business with a specific insurer. But that customer could still be a good fit for a competitor.

That may sound like bad news, but it really could be a benefit for all players. These days, an insurance company can turn into its own publisher and sell ad inventory to the competition at various points in the insurance-buying process, generating a secondary source of revenue.

You can call it the ultimate piece of the click-revenue pie.

There are sound reasons for insurers to engage in this process. On the sell side, a company might realize that it can’t offer competitive rates for a special type of coverage, or perhaps a national brand can’t underwrite in certain states. In either case, the insurance company can act as a publisher itself, selling ad space to competitors and allowing potential customers to click on a competitor’s display ad. The best-case scenario here would be to see those customers eventually come back to where they started, giving insurance companies a revenue double-dip from both co-opetition and conversion.

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How To Measure Native Advertising Performance

stevewickddtData-Driven Thinking" is written by members of the media community and contains fresh ideas on the digital revolution in media.

Todays column is written by Steve Wick, founder and president at MobSoc Media.

Native advertising is one of the fastest growing, most promising new methods of online marketing, but many brands are still trying to figure out the best way to measure its performance.

Does native advertising really work? How do we know what metrics to use?

One of the most common metrics used by publishers and advertisers to measure performance of native ads is engagement, which may include page views, clickthrough rates or time spent on the article. Others use traffic, social media sharing, brand lift and cost per click.

There are limitations to these methods of measuring native-advertising performance. Engagement does not always provide an immediate and measurable increase in sales or conversions. There are a few other methods to improve and measure bottom-line native-ad performance.

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As Election Nears, Location Targeting Can Help Deliver The Right Political Ads

loren-hillberg"Data-Driven Thinking" is written by members of the media community and contains fresh ideas on the digital revolution in media.

Todays column is written by Loren Hillberg, president at Thinknear by Telenav.

Geography and gerrymandering have conspired to create 435 congressional districts of distinctly irregular shapes and sizes, with extremely diverse populations.

Winners of The Washington Post’s 2011 “Name that District” contest, for example, christened Maryland’s 3rd Congressional District “The Praying Mantis” for its elongated shape and bulbous appendages. Other oddities include Pennsylvania’s 7th (“Goofy Kicking Donald Duck”) and Texas’s 45th (“The Upside-Down Elephant”).

These districts, which are holding elections next month, cause complications for political marketers as they reach out to citizens in the final days of the campaign. With Election Day upon us, digital marketers working in the political sphere need to be hyper-focused on targeting the right voters with the right ads.

Traditional advertising means taking a blanket approach to political ads based on the greater metropolitan area. That’s why someone in Manhattan might see TV ads for a congressman running for re-election in North Jersey. But digital advertising, specifically mobile, doesn’t operate on such a broad geographic boundaries. Mobile location tells us exactly which congressional district a person is in, at the exact moment we want to reach out to them – assuming they have enabled location tracking. Shouldn’t we use that information to target voters?

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With The Release Of Yosemite And Apple Pay, Apple Becomes Deterministic

davehendricksddtData-Driven Thinking" is written by members of the media community and contains fresh ideas on the digital revolution in media.

Todays column is written by Dave Hendricks, president at LiveIntent.

Whether you’re a fanboy or phandroid, you’ve got to hand it to Apple. During a week last month when tech giants stumbled in the market, Apple stock rose with the release of a phablet, a category that for once it didn’t create. For a company that never wrote a song, owned a record label or played a live concert, Apple has had an undeniable and disproportionate influence on the music industry.  And for a company whose own advertising tends towards the traditional – largely billboards, store displays and television commercials – Apple is having a similarly disproportionate impact on the ad-technology industrial complex, even if it isn’t a big player in mobile.

In both music and ad tech, Apple has disrupted itself programmatically. It systematically builds products, reaches critical mass, and then renders its products obsolete with one of its own inventions. It sounds crazy, until you realize it’s brilliant.

Self-Disruption

Where is your old iPod? The first and best example of Apple’s willingness to disrupt itself is the iconic standalone music player. Until 2001’s iPod, Apple was the iMac and MacBook. And then it was iTunes.

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A Margin Call For The Media Transaction Industry

hirsch"Data-Driven Thinking" is written by members of the media community and contains fresh ideas on the digital revolution in media.

Today’s column is written by Jeff Hirsch, president at CPXi.

The last decade has brought about significant change in the media landscape. As the market continues to steadily fragment, companies in the media transaction space are clamoring for larger slices of the revenue share.

Many of those that have successfully gone public seem to be accomplishing that goal; I recently took a look at the published gross profit margins for a few public media transaction companies in our space.

I found margin numbers ranging from a low of 49% up to an astonishing 81%, which is impressive. Maybe too impressive.

Gross profit margin is defined as the proportion of money left over from sales after accounting for the cost of goods sold, divided by revenue. In a simplistic sense, what value are these firms adding to media and what are they earning for that value?

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Facebook Advertising: Not For Cheapskate Marketers

david-serfaty“Data-Driven Thinking" is written by members of the media community and contains fresh ideas on the digital revolution in media.

Today’s column is written by David Serfaty, director of social advertising at Matomy Media Group.

Advertising on Facebook has undergone a dramatic transformation over the last year. It’s evolved from what was primarily an engagement-based platform to one that offers advertisers direct response and, ultimately, sales.

In late 2013, Facebook released a steady drip of more performance-based targeting options for advertisers. It pushed that further this year when it announced several new mobile ad initiatives at its F8 developer conference. And it went full bore with both on- and off-Facebook targeting and measurement capabilities with the relaunch last month of its Atlas ad server.

All of these changes and new advertising product launches point to one thing: Facebook wants to be marketers’ everything and everyday ad platform. Whether your brand wants to reach baseball fans in Kalamazoo, cricket players in Melbourne or dog sled racers in Fairbanks, Facebook is making the case for why it’s the only ad platform marketers need for engaging and acquiring consumers on Facebook or off.

But it doesn’t come cheap. One point seemingly missing from most marketers’ discussions about the power of Facebook advertising is this: You have to pay good money in order to engage with and acquire quality customers or users.

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Come Together: How The Advertising And Software Industries Are Converging

louismoynihan“Data-Driven Thinking" is written by members of the media community and contains fresh ideas on the digital revolution in media.

Today’s column is written by Louis Moynihan, vice president of business development at Demandbase.

If you have been in ad tech a decade or two, you’re probably sensing a major sea change.

Online advertising used to be the immature sibling disrespecting traditional logic as it quickly created new processes and revenue models. Less than a decade ago, Adobe was simply a creative software maker, Google did text-based search ads and Oracle was all about ERP.

Online advertising eventually grew up and bypassed many of the traditional channels, creating a whole new set of players. And now Adobe has integrated software with creative, analytics, advertising, data management and marketing automation. Google is the ad standard in display, mobile, video, programmatic supply and demand. Meanwhile, Oracle has ingested so many large software acquisitions that we need a new definition for ERP in 2015.

The ad tech industry should pay attention to how the large software makers are positioning themselves and the acquisitions they are making – not just the ad tech acquisitions. The largest global software companies have invited ad tech to the adult table and the stakes couldn’t be higher.

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Retargeting By Any Other Name Is Still Retargeting

justin-petty"Data-Driven Thinking" is written by members of the media community and contains fresh ideas on the digital revolution in media.

Today’s column is written by Justin Petty, vice president of global media and partnerships at dunnhumby.

We’ve all done it. Days after browsing a product online, maybe across several different sites, we see it out of the corner of our eye on the screen. “You know you want me. C’mon, just click this ad.”

For many of us, it works. We’re sold.

It’s similar to a friend saying, “You look great in that jacket, just get it.” We might not buy immediately; we‘re uncertain or think we might find it cheaper elsewhere. But we like instant gratification, so typically only wait a couple days at most before breaking down and buying. And that’s one of the reasons retargeting works.

Retargeting has always been a label applied to advertisements triggered by a consumer’s online behavior. In today’s world of big data, the lines are blurring between offline consumer behavior and online ad targeting. In essence, everyone can now retarget, even if it’s not labeled as such.

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The Early Word On Snapchat’s First Push Into Advertising

eddarmanin"Data-Driven Thinking" is written by members of the media community and contains fresh ideas on the digital revolution in media.

Today’s column is written by Ed Darmanin, chief revenue officer at 140 Proof. 

Ever since Snapchat crashed the social networking scene, the app has made social heavyweights fidget anxiously and spawned a long line of imitators. It recently began the inevitable journey towards monetization, in the only way social platforms know: selling advertising. Its first ad officially ran over the weekend.

This is Snapchat’s shot at becoming the next big thing not just for millennials, but also for the advertisers that want their attention. Does it have to get it perfect right out of the gate? No, and so far it has not, but its experimentation is a good thing. As details emerge about its initial efforts, there are some useful observations we can make from the understandable flaws in the experiment.

Disappearing Eyeballs, Disappearing Advertisers?

Snapchat isn’t dissimilar from Facebook a few years back when it was first pivoting to incorporate advertising. You can expect the audience to be unwelcoming. And so Snapchat is bending over backward to ease its audience into this advertising transition.

The ads will start out nestled within Snapchat “stories,” the 24-hour status updates that users provide friends. While consumers might like the stories function, they’re less apt to actively check in for status updates on the app as stories don’t generate an alert like a regularly received “snap.” The average user checks their account about 14 times a day, but it’s unclear how much users interact with stories, and much less how they might interact with branded stories. All of this means fewer eyeballs for the ads.

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