buying platform smarter the

mobile rtb basics Paul Childs, Chief Marketing Officer and co-founder

Introducing Adfonic

Singapore

Munich

London

Paris

Madrid

New York San Francisco

• Access to 100 billion+ impressions per month

• Average of 6000 campaigns per month

• 250 million mobile unique users per month

• 100 mobile advertising experts

• 7 international offices

Our achievements

• National Business Awards 2012

Finalist: Small to Medium-Sized Business of the Year

• Red Herring 2012

A Europe Top 100 Company

• The Guardian Digital Innovation Awards 2012

Finalist: Best Startup Leader/CEO

• Startups Awards 2011

Winner: Angel or VC backed Business of the Year

Finalist: Mobile Business of the Year

• Effective Mobile Marketing Awards 2011

Finalist: Most Effective Mobile Advertising Platform / Network

• Mobile Entertainment Awards 2011

Finalist: Best Advertising Network

• Growing Business Awards 2011

Finalist: Digital Innovator of the Year

1) Process improvements

Paperwork, price negotiation, trafficking

2) Buyer efficiency

Advertisers pay market value

3) Price control

Advertisers set the price they are willing to pay

4) Instantaneous optimization

Changes effective immediately

5) Transparency

Advertisers choose publishers

Benefits from an advertiser’s perspective

1) Price negotiation

Removed

2) Inventory negotiation

Removed

3) Traffic availability

Immediately

4) Instantaneous optimization

Changes effective immediately

5) Low human touch

Automation and algorithms

Benefits from a demand platform perspective

1) Highest price (sometimes)

Competition for the same impressions

Coupled with retargeting and data

Price floors prevents low bidding tactics

2) Sets market price for publisher inventory

Competitive demand

3) More efficient use of inventory

Inventory not carved out into pots; no daisy chaining

All inventory is in effect “in play”

4) Attractive option for non-premium inventory

Potential to sell out remnant inventory

Benefits from a publisher’s perspective

7 x

3 x

Age Gender

Data availability RTB versus Non-RTB

Source : Adfonic

RTB

Non-RTB

June July August

Source : Adfonic

Click through rates RTB versus Non-RTB

0.00

0.50

1.00

1.50

2.00

2.50

On average, RTB delivered 59% higher CTR

Common retargeting use cases today

Acquisition Do not show banners to users who have

already installed the app

Installed base Target lapsed users to stimulate usage

Cross-promote other applications

1) Tap the best audiences

Align campaign with vertical usage

2) Reduce media wastage

High propensity to click and convert

3) Usage behaviour

Usage patterns uncover further data points

4) Control exposure

Global frequency capping

5) Socio-demographic

Mixing behaviour and socio-demographic data

Possible top uses cases for retargeting

Retargeting : impact on pricing

Predicted value for a travel ad

Base propensity

To click

Historical Interest for

travel

Usage behaviour

We have already exposed the user 3 times to ad

Socio-demo data, etc.

Bid price

Transparency into …

Pricing Publisher Brand safety

App/site

Private exchange

URL known

Channels

IAB categories

Market price

Pricing levels

Media costs

Margins

Content Verification Tools

What data sets are available

First party data

Second party data Third party data

e.g. publisher

e.g. behavioural e.g. Blue Kai

Inventory shifting quickly

Most SSPs/exchanges moving to RTB for at least some of their inventory

0%

5%

10%

15%

20%

25%

30%

35%

40%

Q1 Q2 Q3

RTB ad requests as share of quarterly total, Adfonic 2012

Thank you Paul Childs, Chief Marketing Officer and co-founder