My Digital Hero with New Digital Age

The ebullient Marco Bertozzi, Vice President, Europe at Spotify, has been one of the driving forces in digital for almost twenty years, with claims to fame including setting up Publicis Groupe’s programmatic operation Audience On Demand in Europe in 2010.

Who is your digital hero?

The late, great Curt Hecht. He was the original CEO of VivaKi Nerve Centre, the digital innovation hub at Publicis Media, and he founded Audience on Demand.

What did he do to win hero status in your eyes?

Curt was the first leader to instil in me the importance of getting out of the office and attending events, talking to companies and learning from the people around you. At a time when CES or Cannes were considered by many to be nothing other than ‘jollies’ he used to argue that if all you did was get your information third hand from a Google rep, then you were not interesting to clients.

A client is going to be far more interested to hear that you just came back from Cupertino yourself, than hearing what someone else told you they heard there. At the time that was hugely refreshing and in a world that is becoming slightly too local, I feel it was an important lesson in looking outwards, not inwards.

How has their heroism helped drive digital?

I would argue that Curt was The Godfather of the Trading Desk.

When VivaKi Nerve Center announced in 2008 that we were launching a platform to allow buyers access to all the top inventory partners at the time – Google, AOL etc, he was a mile ahead of the curve.

His work spawned not just the biggest trading desk in the world, it started the whole programmatic ecosystem and all the amazing data and targeting opportunities we now have access to.

On top of that, he never took no for an answer and would routinely come to countries in Europe and berate the CEOs for being so slow in adopting RTB and Audience on Demand. He had no qualms about doing this, even when they were Global CEOs, he just knew where he was heading and wanted to bring others along with him.

What are the biggest challenges in digital we need another hero to solve?

Digital needs to simplify. It needs to declutter, we need to go back to basics.

Our expectations of digital media are so low. Someone watching an ad for 2 seconds – or worse, a person watching an ad for two seconds and partially in view – is just not acceptable anymore. Advertisers need to demand more and pay more for higher quality.

I would like to see premium publishers banish the clickbait and move to premium solutions with real viewability, significant share of voice and quality parameters in place. That’s why I’m now proud to work at Spotify, where we offer that kind of quality solution for clients, as well as a great deal for fans.

We now need an advertiser or two to stand up and raise the bar so high that it starts a revolution instead of this race to the bottom in terms of quality and price like we’re now seeing.

What is your most heroic personal achievement so far in digital?

I started Audience on Demand in Europe in 2010. Back then it was just me and a laptop and it became a multi-million-Euro, multi-market operation at a time when the world was still in love with ad networks.

At the time I had some help and support, but also many detractors, most of whom reversed their opinions over the course of 5-6 years. That was really satisfying to eventually see, but it was frustrating it took so long.

The management team of Audience on Demand during those years, 2010-2014, they know who they are, were a great group and we achieved so much together.

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My Shiny new object podcast & Interview with The Drum

A first for me on this blog is a link to a podcast I featured on with Tom Ollerton a few months back.  Here the Drum has a summary of the interview, first published Here

The podcast itself can be found here on Spotify

Spotify’s European sales chief, Marco Bertozzi talks about the latest marketing technology on the Shiny New Object podcast with Tom Ollerton, AI consultant and the former innovation director at We Are Social.

“No-one is going to remember my career” states Marco Bertozzi , VP of Europe Sales at Spotify.

Despite this seemingly self-effacing statement about his career, Bertozzi bubbles with positivity and is powering a mini-movement that celebrates the wonderful parts of our industry in the form of the #LoveAds campaign.

Despite his hippie ideals about adland, Bertozzi is one of the most successful sales guys out there – but getting there wasn’t easy. He confides with the audience that he once sent his pitch team to the client’s office for a pitch whilst simultaneously asking the client to come to the agency for the same pitch. This kind of gaffe would send me into a spiral of self-loathing but Marco seems to draw strength from his miss-steps. He happily chirps that “I’m really good at not worrying about things I can’t do anything about.” He tells us that in the evenings and at the weekend there’s not much he can really do to change anything, so why worry?

However, life isn’t all about work for Marco and he was keen to talk about his love of running – though he warns of doing “junk miles.” where a person repeats their regular exercise and don’t push them self. If this behaviour becomes the norm then it tends to hold back their development.

When asked about how he finds time to run sales at Spotify and keep fit – he insists you have to go to the gym during the working week – forcing people to go at lunchtime is an “archaic model.”

Marco’s shiny new object is “Marketing in a Screenless World” – and he’s on a mission to draw marketers attention away from visual marketing. He claims that “The marketing world is obsessed with video” and tells us of the seismic changes in the industry that Voice Tech and Audio will bring.

I agree with Marco that “People are looking for opportunities not to look at their screens” – with connected speakers, podcasts and audiobooks quietly changing the media landscape. But what is the opportunity for brands in this screenless world? In a word – intimacy. When a consumer is listening to audio on headphones cut through is guaranteed with no distractions. Spotify’s ad suite is taking advantage of this – giving brands the opportunity to make dynamic audio ads that are responsive to the audience in real-time. Snickers used this to powerful effect by spotting when a listener’s music habits took an unusual turn – and served up an ad that called this behaviour out.

If you get the chance to meet Marco then I urge that you do. Or of course, you can just listen to this podcast on Spotify.

The reason behind #loveAds at Spotify

 

LoveAds started as an internal campaign idea ahead of the annual Spotify Europe advertising sales team conference. It was a simple message that we devised for the entire advertising team, Spotify for Brands, to express their pride in our ad products.

Our brand partners are often subscribers to Spotify themselves and can forget that the majority of our users listen to Spotify for free (109 million globally, to be specific), in turn hearing and seeing ads.

We know we have great ad products that work for our users and our brand partners, so why not wear that as a badge of honour?

Although it started as a European initiative, it soon travelled. #LoveAds became a movement within the company, with all Spotify ad sales teams globally now proudly taking part.

The hashtag has given us a common language to highlight campaigns we’re proud to have worked on, ideas we want to push forward and outstanding results delivered for clients.

Tough decisions

However, the campaign is not just a hashtag and has also involved tough decisions.

For example, we used to give Spotify Premium gift cards to our advertising clients, but we’ve decided to bring this to an end. Why prevent our partners from hearing and seeing how great their ads are on Spotify? We think it’s important that our partners experience the excellence of Spotify’s ad-supported service.

As we started to share the #LoveAds hashtag outside of Spotify on social media, we saw people take notice and express an interest in what we were doing. We realised our internal movement could be something bigger and more interesting.

In an industry that continually beats itself up, with negative headlines and competing channels attacking each other, our simple theme of #LoveAds is resonating.

It is our hope that #LoveAds becomes a positive message that the whole community can get behind, reminding us all why we should be proud to work in a dynamic, creative, valuable and innovative industry.

We are now working on new ideas to expand the proposition and hopefully find plenty of advocates who want to talk positively on the topic. The opportunities are unlimited, just as the great work we all do is. We just don’t talk about it enough.

Spotify for Brands is going to celebrate what we do and we hope others get behind it, creating a focus for good in our industry.

Please join us and tag all your favourite ads, celebrations of achievement and reasons why you love advertising – #LoveAds.

Marco Bertozzi is vice-president of sales, Europe, at Spotify

Interview with M&M on Global trends pre Festival of Media

What are the key trends and insights driving global media in 2018?
The key insight is that not everything is as it seems. We have come to question so many things around digital media and we are seeing erosion of trust across the board. No one can ignore this as a trend. The positive trend though is a thorough reevaluation of
where advertisers place media. This is encouraging for those who love this industry versus those who just want to make high margin revenue. It means that premium advertising environments are becoming far more sought after and the belief that context and environment are not important is slowing fading and becoming a distant memory. I hope we see this trend continue and the blind, low CPM retargeting networks fade away.

What is the toughest challenge the industry faces?
We have to get ourselves out of the vicious cycle of pitches begetting lower and lower CPM campaigns. This type of behaviour means agencies squeeze publishers, only looking for low cost inventory, and then find themselves at a higher risk of fraud, which then creates mistrust. We need agencies to charge properly for their services, clients to pay for quality service from whomever is best placed to provide it and then we will see a move away from opacity. We are still confronted by too much of a ‘we have to pay less than last year’ attitude. It is a path that leads nowhere for all involved.

What does success look like for you in 2018?
Spotify is on a very exciting journey. My role was to re-look at the European business and accelerate positive momentum and a strong proposition in market. We are well on our way to doing that, and it has been a lot of fun. 2018 is a year in which the topics of audioand programmatic are converging, so we look forward to working with key advertisers and partners on bringing this innovation into the mainstream. Success stories leveraging data and dynamic audio creative suggest this is just the start of a fabulous year.

The second area I will be focusing on is showing the industry that we have some of the best video advertising inventory in town. We only sell completed video impressions, with 100% viewability. Audio has traditionally been our bread and butter but video is a large part of our business and we want more brands to enjoy its benefits. Our current customers all report strong results so we hope the education we are doing across the industry will be music to people’s ears.

What is the key to winning new business?
I  don’t think that has ever changed, whether on the agency or publisher side. All you need to ask yourself is whether you are helping the advertiser grow their business. New business needs to be built on insights that unlock something fundamental (and often
very simple) that will create a reaction in consumers. Too often in new business one gets carried away with internal structures and technology. Keep it simple and customer-focused and you can win.

What do you find clients want more than ever?

There is still an eternal hunt for the new thing, the first thing etc, but actually if you just come up with great ideas those usually win out. As I mentioned there is a trend for better environments and contexts taking us back to the basics of advertising. Note
that 2017 was a very strong year for traditional channels like radio, outdoor etc. At Spotify we continue to innovate, which is what makes the company an exciting place to be. And where we develop innovations our partners get to be the first to try things
out, which makes selling a whole lot easier.

How does the industry develop measurement standards for digital that are universal?
Sucha big question.. The only possible answer is relentless collaboration involving both the biggest and smallest players and this is going to be even more true with the GDPR implementation. My view is to worry less about common measurement and keep focused on common standards. Some of the basic requirements are very low in terms of viewability etc. I believe we should raise the bar significantly as a starting point. ‘Three seconds partially-in-view’ inventory should not be the benchmark.

How important is inclusivity to your business?
Inclusivity is enormously important to Spotify. As you might expect from a Swedish business, inclusion is at the core of the Spotify culture and values, and we are putting a great deal of focus on D&I initiatives. Indeed, just this week we held our annual, global, Diversity and Inclusion Summit at Spotify’s Stockholm headquarters, which was an opportunity for members of staff from all over the world to discuss ideas and opportunities to drive change and innovation where needed at Spotify and to make us even more of a leader in this space.

How do media owners and tech companies capitalize on the changing media landscape?
Combine good environment, trustworthy inventory and clever use of technology and data. Technology has a bad rep at the moment, but it is not technology that is the problem, rather how it is used. Used correctly you can achieve great things.

Audio is seeing a resurgence and we are very happy about that, but that’s not about traditional ‘radio’. Across connected cars, homes, voice assistants, speakers, TVs, fridges, you need an audio strategy that is future proof. However, we believe the real opportunity is in combining audio formats with video to generate the greatest impact. The media landscape is definitely changing and Spotify is in a great place to be at the heart of it.

Marco will be speaking at Festival of Media Global next month and Spotify is one of the key partners of the event.

Advertising industry is mirroring global politics. Retreating into localization.

Eight years ago, I was hired by Curt Hecht. The Global CEO of VivaKi Nerve Center and probably the biggest influence on my career. It is hard to work out what he influenced the most or which bit of his teaching had the biggest impact but he did. He definitely had some things in common with me, he was opinionated, he said what he thought, he challenged a lot. I loved that.

He was the first boss who encouraged me as EMEA MD of VivaKi Nerve Center to go out and learn. He wanted me to go to Cannes, CES, Dmexco, 4AAA you name it. He argued that without the impact of meeting new people, seeing new things and engaging in global content, I was the same as everyone else in London.

He said ‘ Do you think clients want to hear from someone who just came back from Cupertino and chatted data with Apple, or someone who heard from the new UK Apple agency lead, who heard from the Europe lead who got sent a memo from the US? This hit me like a train, it was the antithesis of everything I had been told. I had been force fed a diet of going on conferences being a jolly. If you went to Cannes, it was a rolled eyes and yeah whatever..

So this takes me into two other areas that keep coming into my consciousness. Since I made my move to Spotify and have been hosting (up for debate, depending on who you talk to) at Cannes, CES and Dmexco we have experienced the big draw back from agencies and clients to these events. It has been interesting to see from both internal and external perspectives. Externally we are obviously keen to meet with external partners at these events and selfishly feel like we would actually benefit from it, and in my experience that small one to one experience would be good for all. Now, less and less people are going to events.

As I think about that and what Curt Hecht said to me, it makes me think that perhaps we are going down a path of localization. If you speak to some teams in Germany, they have decided that Dmexco has become an International event and they should pull back a little. Spotify for now has not done that, others have. On the flip side, International teams have said that Dmexco is too German. Cannes is now 100% an International event that less and less local market people go to, so what are we left with?

We are in danger of an industry that does not embrace, value or support International collaboration which I find a little depressing. Every local market has its own micro community of people and influences. London focuses on London. If you work as I have done in regional jobs, even when it included London teams, it is not the same as the person who owns a London only team. The closeness of the Paris media scene, or Madrid media scene is important and as a company that has been hiring in all those markets, we see first hand the power of that local marketplace and relationships there in. BUT..let us not all withdraw from learning from each other.

Many companies are embracing country CEOs vs regional management, local market teams dont go to International festivals of media and marketing, try finding a UK CEO at Festival of Media in Rome, boundaries are being drawn up around what is valuable or not, and who should benefit from it. To me this is the decline of the industry. We should embrace global influence and it feels that right now we are retreating. Dare I say it, along with global politics and everything we rally against.

This industry more than any needs to look outwards and embrace globalization, not retreat. Let us celebrate different people, we should encourage learning at events and not become too focused on what the person down the street thinks, but the person who comes from a totally different world.

BertozziBytesize: I LOVE CES.

There, I said it.

I am a proud CES attendee since 2010. Every year between late December and early January my mind flitters to thoughts of Vegas and CES. Depending on how depressing the weather has been or how much fun we have had determines whether I dwell for a longer or shorter period of time!

Part of this comes from the fact that I still thank my lucky stars for the fact I can travel to Las Vegas, stay in amazing hotels, see so much and do so much as part of my job. I have a persistent gratefulness for the opportunity, same goes for Cannes and all the other events I attend. We are a fortunate group.

On top of that though, is still the feeling of excitement that I got the first year I attended as part of the VivaKi Nerve Center, part of the Curt Hecht, Sean Kegelman, Kurt Unkel crew. I had just left a very depressing role in a depressing company and had the chance, in fact was positively encouraged to come to Vegas, embrace CES and learn everything I could. That first year was an amazing year and we had a great time, That feeling has never left me.

When I hear or read people saying ‘ Oh no, I am not going to CES, that would be the last thing on earth I would choose to do’ I always think the same – Oh come on! followed by the thought that they were not invited or you are not doing CES right. CES is a massive opportunity to learn. Over the years I have written about my experiences – this one in 2013 on TV Measurement or in 2014 I wrote about the fact that data capture and usage was getting out of hand with my post about ‘Just because you can, does not mean you should. Also in 2014 I wrote about the in car tech that was flooding the conference. It was the first time that car manufacturers started to appear in droves. That post called ‘The one piece of tech you cant fit in your pocket.’ Featured in M&M. In 2015 I wrote for the Drum about how advertising feels like it is becoming out paced by technology and hardware driving consumer choices, like the fridge that orders for you and therefore could choose the contents for you. It turns out that Alexa and Dash buttons have taken that role!

You get the idea, this show is FULL of fascinating trends, companies, hardware and you can soak it all up, you can learn from it and you can bring it back to base. If you dont attend these shows everything you hear is 18th hand, you hear it from some guy, who was sent it by another person, which was released by their marketing team. You see and hear things you would never expect to and you become a more knowledgeable person for it. People often ask me one of my biggest lessons I have learned from someone and I always reference Curt Hecht who once said to me, if you dont go to these events but work in a company like the Vivaki Nerve Center which is meant to be future facing, then you are no different to the local digital guy from London who heard it all from their Google, Facebook, Twitter rep. Advertisers want to meet people who have just met Apple at their HQ or spent time with a product manager in Palo Alto. He wanted us to go off and learn, I loved that, because at the time the prevailing sentiment was that going to these things was just a jolly and a waste of time. They can be, if you dont do anything with them.

This year is my second with Spotify. The first year was my first week at the company! You can imagine that was a little crazy, this year I am so excited to be part of this amazing crew and we have a great set up in the C-Space that is designed to help people like me of the past to come and learn something about culture, how we fit into culture, how we use data and understand people through music. We will talk about how voice enabled devices and connected hardware are impacting our lives and where Spotify will fit in that, it is fascinating what’s going on right now and CES has never been more relevant and informative as hardware powered by data and AI is changing our day to day, I hope those who come to the C-Space will walk away having learned a little more.

As someone who works for a specific company, I dont get to see all the interesting behind  the scenes stuff I used to on the agency side, I see and learn different things now about advertiser businesses, agency businesses, our own hardware partners etc, so for those who genuinely do have a choice as to whether or not to come and chose not to, dont  make the same mistake again. CES is the most relevant conference for our industry and understanding culture, you just have to know where to look. If you want to come see Spotify, let me know, it is a pretty cool story!

Programmatic advancement? : Just look to Amsterdam

A few years back, around 2012/13 we discussed how we could grow Audience On Demand more quickly in the region. How could we support all those smaller markets that could not sustain headcount dedicated to programmatic and yet wanted to be part of the picture. Back then we set up the ‘Amsterdam Hub’ for AOD and the very talented Anke Kuik came in to run it for me. We quickly built a buzzy and vibrant business servicing 10+ markets and successfully growing the programmatic footprint of AOD.

As was widely reported, VivaKi eventually decentralised all these teams and so the hub was no more.  Soon after that, I worked on global programmatic strategy across top clients and had the chance to see, hear and contribute to their progress. In almost all cases the advertisers were going back to basics and evaluating their tech, strategies, data plan and more, they wanted to set some common guidelines to many markets. As a result of many of these pieces of work we saw the re-emergence of the hub. Amsterdam is a particular favourite but I think it is fair to say you can find them all over, in London, Paris, US and so on, point being, the Hub is back.

However the big difference with the new hubs, either at a client or agency level are they are there to support ALL markets, big or small. They are there to support tech, data and media buying across a whole range of markets and with that you see a huge shift in how media is being traded, more so than ever before. The true potential of these hubs is becoming a reality, something that has been promised now for some years but is really taking shape and with that shifting the way we all do business. On my side having been a founder of a hub and now on the other side and working with them, it creates a fascinating dynamic as you have to work on many different levels. You need local expertise talking to local countries. You need local people talking to central hubs, you need International teams talking to the hubs. Wow, thats a lot of talking. It is all work and needs lots of coverage of teams, especially where hubs are at an advertiser level.

The thing is, these all take work to start with, but the benefits very quickly become apparent, as the rhythm settles in and people get used to the system, create a list of key partners, know where to go for certain inventory, on the sell side you start to see the benefits, especially where you have such strong, brand safe inventory as Spotify. Suddenly the much vaunted efficiencies of programmatic become apparent and we all start to benefit. Once the heavy lifting is done on the agency side or clients side and all their markets are adjusted to this new way of working then they can spend less time on execution and more on increasing sophistication of offering. Creating trusted market places of inventory, consolidating inventory decisions, partner selection, data strategy can all become the primary focus areas rather than the previously disjointed, inefficient work that happened five years back.

With every passing year this model is really starting to come together and I thoroughly enjoy seeing it, in some ways, even more from the Spotify side. I think we are going to see rapid acceleration (as if it can get faster) in programmatic. The clients and agencies are doing a great job of organising around this new world and I am excited to see how it progresses in the next five years!