Tag Archives: Vivaki

Rubicon 2nd Annual Agency Trading Desk / Adweek questionaire

The latest Adweek Europe – Rubicon 2nd Annual Trading Desk panel was preceded by a questionaire covering growth, strategy and the odd personal question! The panel showed again that there is no slowing in the programmatic business although everyone is approaching it slightly differently. The most extreme being Xaxis who have moved away from being an ATD and becoming more an Ad Network.Image

 

SEARS: What flavor ice cream best describes your management style?

BERTOZZI: Cookies and cream – you have to take the crunchy and the smooth.

SEARS: On average in the EMEA market — out of each $1.00 spent on media (all media, not just digital) by one of your advertisers, how much today is spent on automated or programmatic channels?

BERTOZZI: $0.04. Definitions of programmatic vary wildly so making comparisons between organizations can be difficult.

SEARS: What will this number be in 2015?

BERTOZZI: $0.08

SEARS: Describe how most media (all media, digital + non-digital, non-programmatic media) is bought and sold today.

BERTOZZI: Planning and buying is still largely a non-automated business in the context of digital exchange trading. All channels use technology to facilitate processes — DDS in TV as an example. The true interaction of buyer and seller through a tech platform is limited to Search, API work across Facebook, Twitter and LinkedIn, etc. and exchange trading.

Planning is still being driven by offline systems that set the picture to be interpreted online. The shift to programmatic means advertisers are creating portraits in real data that we can immediately execute across the digital ecosystem. The Data advertisers own online and CRM data, combined with publisher data and the tech to join them up will drive the next stage of data planning.

SEARS: Tell us the about the EMEA operations of VivaKi:

BERTOZZI: VivaKi is the global leader in digital advertising solutions working with Publicis Groupe agencies to help them and their clients navigate the evolving and chaotic media landscape. We focus on the three areas of Addressability, Dynamic Interaction and Data. Our EMEA operations span 17 markets and are delivered through a combination of people on the ground locally, supported by a central Activation Centre based in Amsterdam and regional leaders of our Platform and channels.

SEARS: Please tell us:

SEARS: Percentage increase, managed budget (media spend) 2013 vs. expected 2014 for EMEA:
o BERTOZZI: 70%

SEARS: How many employees are there in EMEA?
o BERTOZZI: We have a total of 90 people working across 17 markets in EMEA

SEARS: What countries are you entering in 2014?
o BERTOZZI: We realized very aggressive growth plans for 2013 launching two regional Activation Centers — firstly in Amsterdam to scale AOD across EMEA with the launch of an Activation Center in Singapore towards the end of 2013 to drive growth of AOD across Asia Pacific.

We have seen significant growth through the Activation Centers and have a number of further market launches lined up this year. In addition we are also planning to expand the number of markets across UAE through our Activation Center in Dubai.

SEARS: What are VivaKi AOD’s three biggest initiatives in EMEA for 2014?

BERTOZZI:

1. 2013 saw us implement aggressive global growth plans with rapid expansion across a number of markets and 2014 will see continued investment in developing these markets into programmatic leaders. Every market from London to Moscow is on a curve of programmatic sophistication and so we are running at different speeds across each of them. Education of agencies, publishers and shared knowledge through the AOD Platform helps everyone accelerate.

2. We are launching a major development of VivaKi Verified, our proprietary process that rigorously reviews all media, data and technology partners across client critical needs to ensure the highest level of brand safety, consumer privacy and client data protection. We will create our own Quality index across every one of our URLs and as an example will combine leading data suppliers in the area of viewability. This will continue to provide reassurance for advertisers as well as a whole new way of targeting campaigns day-to- day.

3. SkyScraper is our Groupe data warehousing proposition — a single data store with 95% of Publicis Groupe spend data, adserving data, DSP data and third party data. This is an infrastructure we have been working on for a number of years and will become very much front and centre of operations in 2014 as we continue to grow out data sophistication.

SEARS: By 2015, what percentage of total media spend in the EMEA region across your holding company will be programmatic?

BERTOZZI: We estimated at around $0.08.

SEARS: To reach a higher adoption of direct order automation and use of the programmatic channel, what are the major impediments to overcome?

BERTOZZI: I believe that there are many companies who are pushing for direct deals / programmatic premium or whatever the latest buzz word is. I actually don’t think things have moved forward much in 12 months. The idea of private market places has moved forward very fast and is a large part of what we do in AOD, but the idea of a single IO line item being delivered to a single media owner at a set CPM is less prevalent.

There still needs to be tech development and alignment. For example there have been a couple of occasions where AOD wanted to push a large block of spend across some premium publishers and we could not get the money away as the publishers were not ready to accept it. Part tech issues, part inventory.

SEARS: How are RFPs used between your operating agency clients and your trading desk? What does a “Programmatic IO” or a “Programmatic RFP” look like?

BERTOZZI: I think we are in danger of building this unique process and infrastructure around programmatic. We need to remember this is still planning and buying and ultimately starts with an advertiser and a brief. Initially briefs are focused on our clients’ challenge and it is our job to build out a strategy that answers that. The tools and techniques we use vary, real-time data instead of offline static data etc. but the goal is the same.

As we work with advertisers we work on deeper and deeper strategies that move away from a line item to a platform for their digital advertising. The sooner we do that, the better the results.

SEARS: What should top comScore publisher CROs do to build their direct order automation and programmatic selling with your trading desk and operating agencies?

BERTOZZI: First of all every publisher needs to break down their own siloes. It is vital that they set up their internal adservers to manage the sale of inventory to the best bidder, not carve off inventory to direct sales and then pump the rest out. We as buyers in programmatic should compete with their internal teams for the best of the best.

Publishers need to align inventory and creative product development with the programmatic space from the outset. Start to shape the business around it early in the planning cycle so the company slowly evolves over time.

Publishers need to know their data intimately; they need to value it so they can have discussions with a real stance on how they think they stack up versus the market and where possible have evidence to back it up.

Employ the right talent to be able to do all of this. There are still too many companies with the wrong balance of people calling the shots. Agency trading desks, independent trading desks and others are all tooling up in this space so if publishers don’t they will be at a disadvantage.

SEARS: Why is direct order automation so important? Is it important?

BERTOZZI: Being able to combine a Publisher’s first party data, with advertiser data across premium inventory is going to be very important for this business to evolve. Managing where and how spend is delivered has always been important to advertisers but I believe there is still a lot of hype in this space and mainly generated by those with the most to gain.

SEARS: What countries in the EMEA region are the leaders and laggards in programmatic?

BERTOZZI: There are no laggards; there are countries that live with different pressures to others and those that have a particular client base. We have seen the UK and France expand rapidly. This time last year we were all bemoaning Germany but we have seen considerable expansion there as well now.

We are expanding with new markets, all hungry to be part of the revolution which is very exciting, but in every market we have to take our time and move as fast as market conditions allow, all the time educating and demonstrating benefits.

Tell us a bit more about you:

SEARS: If you could choose a movie star to be the global head of your trading desk, who would you choose and why?

BERTOZZI: That’s easy. It would need to be a superhero. Let’s keep it simple and call it Superman. They have to fly around a lot, be able to resist the slings and arrows of the industry but never tire and want to change the world for the better! The X-ray vision would come in useful to see through the bullshit.

SEARS: If you could travel for pleasure anywhere in the world, to a place you have never been, where would you go?

BERTOZZI: There are too many places, but somewhere remote, with sea and mountains, and ideally somewhere without a connection so I can for once switch off from the emails!

SEARS: If you were trapped alone on a desert island and needed to choose one ad holding company CEO to accompany you ( other than your own holding company CEO), which CEO would you pick and why?

BERTOZZI: That would have to be John Wren, for rather obvious reasons!

SEARS: What is your favorite restaurant in the world?

BERTOZZI: It has to be the crazy, authentic restaurant in my home town of Cesena that I have been eating at all my life.

- See more at: http://www.mediabizbloggers.com/rubicon-project/Marco-Bertozzi-of-Publicis-VivaKi—-The-Jay-Sears-Interview.html#sthash.SeUTbeJa.dpuf

 

Benefits of the Unified stack, a byline for Google / Think Insights

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As the global leader in digital advertising solutions, VivaKi needs to stay on top of—or ahead of—digital marketing trends. New trends bring new tools, new techniques and new data that VivaKi can use to help its clients. The company’s integrated marketing platform provides it with a unified solution for cross-channel digital marketing, and Executive Managing Director Marco Bertozzi explains why that’s such a big deal for both company and client.

Display advertising has changed dramatically over the years. And with innovation comes complexity. There are more formats, channels and devices than ever before, providing almost countless ways for brands to connect with consumers. This level of opportunity is exciting but also daunting. Fragmentation is a huge issue. Advertisers and agencies need to figure out how to create, launch and manage integrated campaigns efficiently.

At VivaKi, one of the world’s largest media counsel and buying groups, we feel these challenges keenly. To help our clients find effective ways to access and leverage their customer data, we’re turning to technology platforms. But there are many questions we need to ask when evaluating them. Will it make us more efficient? Will it drive a better experience for the consumer? Will it provide more opportunities to reach that targeted customer? Will it deliver better results?

This is where a platform—a unified solution for digital marketing—can be extremely valuable. However, this is not to say that once you’ve committed to a platform, you can set it and forget it. Shifts in the industry will always necessitate adaptation. As your clients’ needs evolve, so does your quest to find the right tools. Recently, for example, this has increasingly involved the practice of retargeting—the idea of driving visitors back to your site with targeted messaging.

As an early adopter of an integrated platform, at scale, we’ve been quite pleased, and the benefits for our clients have been significant. Here I’ve detailed some of the major features we’ve come to value as well as some of the results our clients have experienced because of its implementation. In our case, the solution we’re describing is DoubleClick Digital Marketing.

Multi-channel support. We use the data from search campaigns and from social, display, video and mobile channels to power an extended dialogue with consumers, and this goes beyond using search ad performance to improve results. For example, in any given search campaign, you convert a percentage of leads, but the rest remain visitors who have not bought or done anything. On an integrated platform, reconnecting with these unfulfilled leads is easy because display and search campaigns are on the same platform.

Building brand response. Facebook, YouTube and the like provide a real opportunity for brand building, and we’re now able to seamlessly connect brand activity with lead generation. Consumers are very engaged on YouTube, and an integrated platform makes it possible to reconnect or continue the conversation with this highly engaged audience.

Insights from analytics. Imagine the range of actions people conduct on your site. If you dig into this data and gain understanding from the site analytics, you can then use this information to reconnect consumers. It allows you to turbo-charge the sophistication of your messaging, seamlessly aggregating insights to design creative that’s immediately applicable across the web. One size definitely does not fit all when it comes to campaigns, and advertisers now have the ability to adapt their creative strategy easily and quickly, using a single, unified platform.

Real-time response. The term “real time” is often overused, but it has a specific meaning when applied to the bid process and programmatic buying. Here, recency and frequency are key: The ability to deliver a tailored message to a consumer quickly after a site visit is vital to today’s campaigns. Our platform lets us schedule an ad to run within the first two hours after a site visit. We can incorporate an aggressive call to action, and we can set the frequency at high. The research window is often small—the time it takes a consumer to research car insurance plans online, for instance. That consumer might look at only five sites, with a strong intent to purchase, so it’s important to act quickly and efficiently. Using a single stack has allowed us to bring this to life, providing a new opportunity for advertisers to react fast.

Real-time data. “Real time” also has a specific meaning when applied to generating insights. Take conversion data, for instance; our platform removes the pain point of waiting to reconcile and mash up conversion reports to get a full view of our performance across channels. Because everything is happening on the same platform, we can make up-to-the-minute decisions using real-time conversion information.

Better workflow. Workflow is incredibly important, as is knowledge sharing among teams. The platform brings together so many different disciplines—search, display, mobile, analytics—all working together for a single purpose: the client. The process of using paid search signals and applying them to our bidding activity is seamless and immediate. There’s no cumbersome uploading and downloading to deal with or spreadsheets to manipulate. We now have a single user interface for all of our experts to work with and share across agency teams.

Increased performance. There is now a smarter, easier and faster way to make media-buying decisions. Results are what matters, and our integrated platform has provided us with many new ways to generate insights that drive results. For example, we’ve seen a better than 60% improvement in CPA across our travel and auto advertisers when they have incorporated their paid search signals into their display activity, using display remarketing from search ads. And when we used our stack for the U.K.’s first video retargeting campaign, we smashed all of our KPIs.

In this forever-changing landscape, a common mistake is assuming that merely implementing technology is the answer to everything. In reality, it’s the questions you ask of the technology that make the real difference. Asking the right questions—those that can make you more efficient and provide nuanced messaging for consumers and better results for clients—is a step in the right direction. For us, and many others, choosing an integrated platform that brings together all advertising activity was a good first step.

 

CES : My review of the 2014 show – Just because you can, does not mean you should

 

 

This article was first published on The Drum link here

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The annual pilgramage to CES this year created quite an impression. The big themes were relentless connectivity and tracking, the concept of the Internet of Everything from Cisco, basically the intersection of humans, objects and technology and finally wearable technology.

These themes provided us with huge opportunity and some not inconsiderable challenges as humans, businesses and marketeers. This year felt a little like companies were connecting things just because they could; objects were transmitting data, even though they did not know what to do with it. As a marketeer you were left scratching your head, knowing that somewhere in all this incredible innovation there was opportunity, but just did not know where to start.

Even as a self proclaimed tech enthusiast I was still overwhelmed by the range of companies that want you to invest from both a money and time perspective in their ecosystems. Although the end result could sometimes be fantastic, such as the house you could entirely control from your phone, the lack of cross system interoperability leaves you wondering if we will be able to cope with the plethora of apps needed to manage all this and whether it will be safe, especially as regards the connected home.

So all that said, I wanted to have a look at some of those big themes and try to eek out the challenges and opportunities for us all whether as a connected consumer or a business trying to benefit from it.

Technology designed for simplicity, creating complexity
CES looks to the future, identifies innovation and on that basis we should embrace all it has to offer us. At the same time it leaves the head spinning, trying to understand how to manage the plethora of ecosystems. Even as things stand we are all coping with the battle of the operating systems, more and more we are being encouraged to package our lives into Apple,Android or Microsoft. Just looking at the art of watching TV we are provided endless choice on how and where to watch content. Roku, Netflix, smart TVs, Apple TV, Chromecast and on and on, but after a few days here you realise that there is more to come, a lot more.

The connected home has allowed companies such as LG, Samsung, ADT, DISH and others to offer the ability to hook up your whole house all the devices talking together. The problem is none of these systems are talking to each other, they are building closed systems. Yes it is incredibly clever but this has to work for us and has to have an element of open source wiring so we can consolidate different streams of data and functionality. Interestingly, companies such as Cisco and Intel may hold the key as they create smaller, faster chips that can go in multiple devices they may help us join the dots a little and perhaps find ways of at least consolidating data into a single dashboard. Apart from complexity of devices and systems there is also a cost perspective, how many different 200 pound devices and systems can we sustain?

Just because you can does not always mean you should. It feels at CES that the technology is coming first and the consumer second in some regards. Let’s take the amazing 4K televisions with this year’s big twist – the introduction of curved screens. People were left a little cold by curved sceens, an innovation that lacked a real consumer demand and required a change in our approach to viewing. The suggestion from excitable sales people was that even on an 80-inch TV you need to sit close to it to enjoy it. That fails on a number of levels – not least big TVs go in big rooms and you dont want to be crowded around a TV like you are warming yourself around a fire. Secondly, I don’t want my kids sat on top of a massive screen. The other relatively important area is that none of the broadcasters have any content that is delivered in 4k. Instead of enhancing, sometimes the viewing experience is diminished – even on good old HD we still don’t have all content delivered in this fashion, so pretty as they were, I would not rush out and buy one.

Similarly with features such as iBeacon from Apple – the idea that you can be fired messages from retailers and merchants as you browse stores sounds great but first you have to download an app from that retailer to be able to receive the messages. I for one do not want 50 Apps on my phone dedicated to retailers, as well as one for the Samsung fridge, cooker, the one for my BMW i3 outside and another for my ADT home security set up. Some how we need to link this together and make it user friendly and applicable.

We need guardians of our data
Data is a word that comes with a very wide remit, but one thing is for sure, we are creating it at a horrifying rate. Wearable technology, the smart home, the Internet of Everything, means this is both a positive and a negative for us all to consider. Imagine sensors on your body or clothes sending data to your health provider, your home consumption data being linked directly to retail stores, home utilities controlling themselves based on weather data, traffic data giving you immediate ways to avoid the latest gridlock. The opportunities are endless. Individuals become nodes on the internet transmitting data constantly to the internet. Much as we focus on the devices, let’s not forget we are being tracked. We will be tracked in every way possible and we have to make our peace with that.

The best example of this was ‘Mother’, an object that sits at home and comes with many small sensors called cookies. You place these cookies anywhere you want to understand what is happening around your home – how often and long are you brushing your teeth, footfall through the door, how much coffee are you drinking… the list is endless. Those cookies then relay all this data back to Mother for you to analyse it. As with many things at CES, there seems to be a lack of clarity on exactly how this will all help, tracking for tracking sake. But at the end what we are doing is passing incredible amounts of data to third party companies. This data is becoming ever more intimate and needs to be carefully controlled. The most important area is the ability to decide what happens to that data – many of the devices do not allow you the opportunity to influence what is happening with it as it gets passed to the company servers. One commentator at CES also pointed out the fact that even among family members or flatmates there should be the ability to have more ownership of your information and set it apart from that of others in the family or home, again something not possible right now.

As with all Wi-Fi data services the final consideration is the ability of hackers and tech thieves to access sensitive data from your life, or indeed in the case of the connected home, be able to easily hack into your ecosystem. These are all solvable issues and should in no way slow progress but as individuals we need to take control and encourage these companies we are entrusting our lives with to help us do that.

Marketing will become evermore native
As I toured the conference floor and we explored all these opportunities I was with a number of advertisers who were expressing their clear concern about how this was going to impact them. We already talk a lot about story telling and content. The proliferation of personal devices and tracking technologies means that each one of these companies – whether it is LG, BMW, Samsung – are all going to want to create their own ways of allowing advertisers to engage with people.

Native advertising is a hot topic but will become increasingly relevant, bringing complexity to marketing and advertising as they have to work across a multitude of different ecosystems and platforms. We already mentioned the iBeacon technology; how will BMW or Audi want to deliver messaging in car to their passengers? The upside for large advertisers is that the more forward thinking may have an opportunity to work directly with tech partners higher up the food chain and scope how they can be integrated closely into this development. But all that requires time, people, cost and the old methods of advertising will become evermore distant, increasing pressure on wholesale reinvention.

The tight rope they will need to walk will be avoiding too much disruption or even intrusion in the consumer’s experience. Tempting as it will be to use the incredible amounts of data available, people will be wary of that and given the intimacy of some of this data will expect it to be treated with respect.

CES is not about advertising but we are reaching a crossroads where marketing and technology will need to work closely together. It currently resides a firm second to technological advancement from a utilitarian perspective. It does however promise much for marketeers as long as they realise more than ever they will need to deliver value. Value can come in many guises, but if you want me to download your app then I need something for that because there will be significant competition.

Mobility technology reaches the car
The big standout this year was the rise of technology in the car. A flurry of launches at CES shows that this event is becoming very popular for car manufacturuers. There seems to be two directions manufacturers are moving in: the open platform based on Android or Apple where your car and phones are linked or proprietory technologies in the cars such as Audi that will turn your car into an intelligent hub. The car becomes the brain, it is able to make decisions based on commands and external data. As an example you could look up directions in the house and send them to the car, the car automatically plots that route using latest data and finds you an optimum route. Perhaps you are heading to a meeting and the car realises you are going to be late so it emails your meeting organiser with your current telemetry showing where you are and how far to go with an ETA.

Since your journey will now be forever linked to the wider net, showing you relevant ads, perhaps for the next coffee house, petrol station or relevant shops to you based on previous journeys will be common place. Cars will also become social – with linkages between you and your friends as we see with recommendations – if you travel to a new town for example your friends recommendations can be presented to you – or even their route for getting there. The opportunities are endless and we will see the car completing the triangle between you, your home and your car.

The final frontier is of course the self-driving car. All we have seen in this space has been the Google work but then up pops Audi and explains they have a self driving car up to 40mph, legal in Nevada. When did that happen? Well it has and even more than that it can find you a parking space, park it for you and if you want you can programme it to avoid red lights by adjusting its speed based on the traffic light data base that it has connected. As we mentioned earlier though that comes with limitations, not least you may find yourself driving very slowly as it seeks to avoid the next red light. I would suggest this is not for driving fans.

Some of this connectivity will be useful though as you can start your car from the comfort of your own home and in winter make sure the windows are defrosted and the seats nice and warm as well as wider beenfits, I can see that being a winner for sure and with some clear upsides for advertisers.

An incredible array of innovation, fantastic product explosion, and an inevitable and unstoppable march towards the Internet of Everything. As marketeers we will have to develop an incredibly open mind to reaching consumers. We will look to these companies to be guardians of our data using the highest level of integrity. As humans we are going to be linked inexoribly to the cloud and as Cisco say ‘be nodes’ of the Internet through our connected homes, cars and objects. There is so much to work out, but the future is exciting and we should embrace it.

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2013 – A year in review – BertozziBytesize

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2013 passed in a blur, the way the industry was evolving and our own business here at VivaKi meant we saw a frenetic pace from start to finish.  It seems a world away that VivaKi restructured to be more out facing to the wider Groupe, the question marks on how we would survive and adapt answered by the end of 2013 and the future opportunity laying itself out ahead of us into 2014 is a positive one.

VivaKi now works with more agencies than ever in the Groupe and we have pulled together representatives from all media and creative agencies to work on our Ventures team, our focus as a product, data and services team in Publicis is really bearing fruit now with the incredible data warehousing solution of SkySkraper and the AOD platform now working with all the VivaKi Verified DSPs being accessible to all. The VivaKi data story has evolved at an incredible pace and having road tested on some of the world’s largest advertisers I know we are on to a good thing.

On a personal note the combination of new business, new markets, AOD growth generally and VivaKi representation at some of the major events from Istanbul to Google’s CAB in San Francisco meant that the days remained full to the brim. Just how I like it. The range of events this year has been more varied,  I somehow ended up missing the main programmatic season in September but it was great presenting at both Client Advisory Board events for Google, OMMA RTB event, more recently the Future of TV event and a really enjoyable session at Marketing Society in Ireland amongst others. The programmatic bug reached Istanbul at Webit where we talked RTB at their big event as well as a few London sessions and a turn at Festival of Media.  As well as industry events we held publisher days in Amsterdam, Milan, Istanbul, Madrid. The pace of change amongst publishers in RTB is significant across the region and these events are important to keep up good dialogue.

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As the year progressed I think the most enjoyable trend was one of growth into more creative ways of using programmatic. Audience On Demand spend has leapt forward on the back of brand advertisers moving into the space and seeing the opportunity. Larger formats, the ability to combine data, viewability and fantastic inventory across all channels has opened up a massive opportunity for everyone. Brand advertisers can now see the benefits and are getting behind it, it is so great to see.

VivaKi and Audience On Demand launched three global Activation Centers in Amsterdam, Singapore and Dubai, creating a new way of providing first class product and service to our major advertisers. The Activation Center in Amsterdam now carries campaigns from 10 markets, that is from something we set up in May! The world is adjusting and I am proud of this particular development because we have not just done what we always do, we rewrote the rules and it’s working.

The press has been in overdrive with stories of clients doing everything themselves, taking it in house etc. It has been the busiest I have ever known it. I am sure those themes will continue on into 2014 and we will see some companies either try and do something themselves or use there parties like DSPs to support. People will experiment, as far as I am concerned Audience On a Demand need to have an offering we believe in, we want to work closely with publisher partners and agency partners and then the rest will play out. The scope of what we are building gives me a lot of confidence that we can show advertisers all the reasons they need to work with us. Part of that is transparency and again I am sure there will be more on that. My understanding is that ISBA will be doing more in this space which is great. 

The incredible pace of IPOs and sales in 2013 has been mind boggling, lots of the big names have taken the plunge and so I imagine we will continue to see a lot of press and growth from them as they justify their business models, the 60+% margins now all on show in accounts helps to demonstrate how they are running versus our own offerings when talking with advertisers,
Especially those who continue to offer blind, flat cpc, cpm offerings. Finally I think more advertisers are understanding the market now so I hope to see some rules often applied to trading desks, at least AOD anyway, being applied to these companies. That can only be a good thing.

Apparently 2014 is going to be the year that advertisers only pay for Ads that are watched or seen. This is a great step forward, I hope this applies to newspapers and TV and outdoor? I assume it will be since that would be unfair advantage! Perhaps that explains the total imbalance of pounds spent on newspapers vs their share of consumption?  I am all for viewability, let’s just agree how and what because we have the answer to why. Many different providers, tech companies, more pivoting than the Royal Ballet makes life complicated for everyone, we need to see a concerted effort to try and create some standards.  Talking of standards the Digital Trading Standards Group sprang back to life at the latter end of 2013 which I hope is a good thing. I have been involved for many months and it all appeared to be getting a little out of hand, some common sense and reason has returned to make it something palatable for most so I expect to be seeing and hearing more in 2014.  In the same vain ISBA wants to work with some parties to evaluate the whole trading desk area. If they lead then we are happy with that, one thing that will be questioned strongly will be the involvement of an auditor and a main competitor to the trade desks as advisors, that’s not an ideal scenario and should really not involve anyone with skin in the game. That’s for 2014 I guess, it will go on the list of challenges!

All in all though 2013 was a fantastic year, the VivaKi, AOD teams have grown in size and strength and we are working with more advertisers than ever and seen 100%+ growth. I am personally excited to be working closely with markets like Turkey and Eastern European markets that are on a steep trajectory. The leaders of VivaKi across EMEA are shaping the market and doing a fantastic job which gives us great strength and depth. 

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We enter 2014 with an early flight to CES, the largest most diverse and tech driven conference of the year. VivaKi as ever will be leading their VivaKi Bright Lights agenda, and all of our partners will descend for a 24/7 packed few days.  As we move through the year I am sure the POG agenda will accelerate and I think that will be incredibly exciting and I am so pleased to be working through such a mammoth event, a landmark in advertising and media history. It will create opportunity, buzz and of course the world’s largest advertising and media business!  I am looking forward to VivaKi involvement throughout.

What else will the year hold for us all?

Less buzz more substance
Transparency debate affecting Independant RTB networks more strictly
Mobile growth on the back of equalisation of all the point solution offerings
RTB becoming all media not just performance with most brand opportunities such as homepage takeovers etcetera becoming the norm

It’s been another amazing year in digital. Thanks to all the VivaKi teams, thanks to all our partners, and basically all the great people we work with across the business. Our agency brands have been incredible as ever at ZenithOptimedia, SMG, LBi, Razorfish and we are really looking forward to 2014.

Videonet interview on Programmatic video

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Broadcasters are currently resisting the march of programmatic buying and its sub-set, Real-Time Bidding (RTB), as a mechanism for selling their online inventory. While in some cases they may be right to fear it, they should understand that this is the way that most digital inventory is going to be sold, so should try to get ahead of the curve and at least start experimenting with RTB. That is the message from Marco Bertozzi, Executive Managing Director, EMEA, at VivaKi, the independent unit within the Publicis Group focused on addressable and dynamic advertising.

The main objection broadcasters have to selling through online advertising platforms that use RTB is loss of control, he says. “Traditionally they have 110% control over how advertising is delivered and reported, and they have direct deals with agencies. This technology takes away a lot of that control from them. They are uncomfortable with the idea that a platform like our Audience on Demand system would decide which advertisement is shown at any given moment. They are not keen on the idea that one of maybe ten advertisers could take a spot. They want to be the ones that decide which advertisement goes where.”

There are other objections, outlined below, but Bertozzi is convinced they need to put them all to one side and start giving advertisers access to their inventory through systems that use RTB. “The horse is bolting and there is no way anyone is going to get it back into its box. More broadcasters will find that the pressure will start mounting from buyers to engage in this form of advertising.

“Today broadcasters are very reticent to get involved in this area,” he continues. “They can resist RTB and maybe they are right to resist; they know their business better than anyone else. But the question is whether they should get on the front foot with this approach and learn about it, get better insights from it and deliver better commercial returns as a result. Pretty much all digital spend based around delivering an advert into spaces, whether that is a pre-roll or a banner, is going down this road. The broadcasters need to understand that.”

Bertozzi points out that what is happening online today on the laptop and tablet will become increasingly relevant to advertising on television screens as more TV sets are linked to the Internet and set-top boxes also become an extension of the online video ecosystem. He thinks consumers will actually come to expect more personalized advertising, too.

RTB is a process that brings together buyers and sellers of advertising for digital (e.g. online) inventory. It started life in display advertising and is now being used for advertising around online video, including for non-broadcaster premium content.

In very simple terms, when you use RTB a publisher site tells would-be advertisers that someone has entered its website on a particular page. It issues a request for an advertisement. Advertisers can assess whether the user is in their target audience based on various data points, then decide if they want to bid for the advertising opportunities on that page, which could include a pre-roll video advertisement, for example.

As the name suggests, Real-Time Bidding means an advertising platform, acting as a proxy for an agency and their advertising client, can bid on every impression, one by one. This requires a huge amount of automation. Bertozzi says the process of receiving an ad request, matching the user data against campaign requirements, making a bid and then delivering an advertisement takes 30-50 milliseconds, so this is all happening as the webpage loads.

VivaKi provides a service for advertising brands and agencies to plan and deliver their digital/online advertising requirements. It has its own proprietary Audience on Demand (AOD) platform to run at least part of those campaigns through a variety of Demand Side Platforms (DSPs) that in turn use RTB to flag and buy online inventory that could be relevant to advertisers. VivaKi also works direct with publishers and the company pools together consumer data from many first-party and third-party sources into its system so it can make the best possible judgements about who makes a good advertising target.

According to Bertozzi, there are a number of components that make one programmatic buying system better than another and which make AOD stand out from the crowd. AOD leads with its VivaKi Verified process, a dedicated team focused on the verification and evaluation of technology, data and inventory. “It is vital for advertisers to have trust in what their partners are doing in a world full of shiny new objects,” he says.

Then there is the quality of the data. VivaKi works with publishers direct to get first-party data and places more emphasis on this than some companies. The quality of the data, wherever it comes from, is key. Third is the quality of the inventory, so again, it comes down to which publishers you are working with, directly or indirectly.  “Viewability and brand safety are crucial from an inventory perspective and VivaKi Verified invests people and time in making sure advertisers can relax,” Bertozzi, declares.

The quality of technologies used by the partner Demand Side Platforms and Ad Exchanges that bring the inventory to the surface in AOD is another difference, VivaKi says. AOD is not wedded to any single Demand Side Platform but has all the big ones plugged in, and clients can choose which ones to use if they want. “No one else has gone to the same lengths to verify and stack-rank the industry’s best data and technology partners,” Bertozzi argues.

He points out that beyond these points, you need to look at the people behind the systems and their experience working in this market. “Audience on Demand launched in 2008 when most other operations were three years from fruition.”

There is a widely held conviction among the supporters of RTB that it increases advertising efficiency because of its better targeting. Bertozzi points out that a company selling mobile phones will bid higher for a 16-34 female who has recently looked at mobiles then an advertiser that just wants to hit 16-34 females. So in an auction-driven open market, each piece of ad inventory should find its true value, with that value determined by how valuable the consumer is to a given buyer at a given time. You can also adjust campaigns as you go, depending on the results from previous inventory purchases.

Bertozzi thinks broadcasters, who can already sell-out their online inventory using direct agency relationships, fear that the only way their pricing can go is down. He acknowledges that in some instances CPM (cost per thousand) rates could fall but in others they will rise because good targeting will make inventory more valuable. Scarcity drives price up. As most broadcasters explain how they are oversold, that should benefit them, he thinks.

“Today an advertiser might want to target a programme that has a high conversation rate for 16-34 year-old men. It could be football but maybe 30% of the audience is actually women. You could instead sell to males and sell to females and I would argue that you could probably get a higher CPM for those specific audiences.”

This is where we start to see the introduction of Dynamic Advertising Insertion (DAI), which splits ad break audiences and delivers different advertising copy to those different audiences. RTB/Programmatic plus DAI are the foundation stones for what could become a major shake-up in television advertising over the next few years.

Bertozzi says some broadcasters are starting to move towards a more data-driven advertising world but usually within their own walled garden and still stopping short of opening their inventory to RTB-based platforms. He points to Channel 4 as a good example.

The UK commercial broadcaster is now selling very specific audiences in their online VOD. “They have enhanced their data insights and are selling those to agencies so they have taken a step towards acknowledging that data will be the thing that informs their inventory,” he explains. “So that is stage one: engaging with data at that level. Stage two is making that data available to more external buying platforms and trading desks as the norm and that is the sticking point today.”

Referring to broadcasters generally, Bertozzi says they might stick at this position for a while but eventually will have to take that second step

Four years ago today…

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I wrote my first blog. I had no idea what I was getting into and where it would lead. It appears that four years later I have written 196 posts, most of them home grown content, I could never have imagined that four years ago I would start writing an average of one a week for four years, but I have loved it. Anyone who blogs regularly knows that it is slightly addictive and becomes a vehicle for venting. The Ad tech space has been a perfect muse and there are so many baddies to talk about!

I think I am perhaps best known for venting although I try and keep it constructive. I have had at least three CEOs complain to my bosses, I have had my bosses complain to me a few times too with an exasperated Head of Comms Europe in Claire Ballard and Global Cheri Carpenter asking me politely to ‘let them know when I intend to publish something contraversial.’ I have had good supporters in Adexchanger, Digiday, Mediatel, Mediaweek, The Drum and others in republishing content. I have also had guest posts from Simon Birkenhead (now famous script writer for Hollywood), Paul SIlver, Danny Hopwood, our new recruits and others.

I have had people in 121 countries read my blogs, every continent and even places I did not know existed, amazing the power of digital and the web to be able to have that kind of reach. After four years, my top charting blog remains – ‘Trading Desks are in for the long haul, not just the sale’ if you want to read it click here. A time when the Ad tech space seemed so much simpler but there was a lot of tension created by the shift in balance of power between Ad Nets, agencies and new tech companies. It was an exciting time.

Anyway, thanks for the readers and support and comments and sharing etc it has been a lot of fun and I hope to continue for many more years.

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Persistent Identity – holy grail available to some..

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I am Just back from meetings in Seattle and San Fran with the Big 4. Big 4 you ask? Well in todays world of data connectivity, mobile innovation and growth as well as digital commerce the big 4 has changed. Facebook, Twitter, Google, Amazon are now gunpowder and bullet. The others more and more the barrel.

The message that is coming out loud and clear is that these players in their own varied ways are out to maximise the insights they have on their users and customers through a single themed approach of ‘Persistent Identity.’ I heard it a few times over the time I was out there, I have seen it mentioned in the odd article. But when you get to spend three days with all these market leading companies it becomes loud and clear that the data they hold on consumers is the key to their future and the single most valuable asset.

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Persistent Identity is a fancy way of saying ‘we know who you are, we know where you are and we know what device you are on, the holy grail of data. The kind of data and insights advertisers are crying out for. What strikes me about this data is how much more powerful it is than third party data sold by any number of companies, data which is slightly worn out, like an old apple at the bottom of a bag, still edible but just not as fresh and juicy as when it was picked.

The ability to recognise you, add insights to your iD, serve ads depending on which device you are on, understand you through your behaviour by device, friends, clicks and links is so powerful, so powerful in fact you can see the likes of Facebook being the defacto judge of what is good or accurate data instead of the traditional players. That has already started of course but I think will gather momentum. Watch out panel data.

When you take a step back and realise what data they have you can understand why they are reticent to share it or risk it being stolen, putting up walls of protection around it. Amazon with their marketplace, Facebook only allowing access through API, Twitter pulling info from Google, these are the actions of companies with hidden treasure. These businesses dont need all the old methods of tracking whether it is panels of adserved cookies, they know their people, signed in, registered people at scale.

Persistent identiity is powerful and logical, the only problem is that you have to stack up on these solutions. Like having a car and pulling up at the fuel station and putting 3 or 4 different petrols in to be able to get the car going. I want to recognise everyone through the ability of joining up these players – I would love to spot a FB user who has been updating a status about an iPod, browsing on Amazon and nail them with a promoted Tweet or video Ad to close the deal. I know it is too much to ask to have all these companies reveal their secret source but targeting would be fun..

Either way, data businesses will need to work hard and fast to justify their models in the face of the biggest digital players in the world starting to pull up their sleeves and flex their guns, because be under no illusion they are big guns.