effectiveness of digital ads 2015 update by augustine fou
TRANSCRIPT
marketing.scienceconsulting group, inc.
Effectiveness of Digital Ads2015 Update
July 2015Augustine Fou, PhD.http://linkd.in/augustinefou
acfou @ mktsci .com 212. 203. 7239
July 2015 / Page 2marketing.scienceconsulting group, inc.
Dr. Augustine Fou
100 million impressions - 60% bots / NHT
Source: Incapsula, Dec 2014
40 million impressions - 60%
~10 million impressions
ad-blocked by userSource: PageFair, Sep 2014
Paid $0.45 CPM on 100M impressions ($45k) and got 10 million productive impressions = $4.69 eCPM
Avg. $0.45 CPM
10X higher effective cost
16 million impressions - 40%
Source: Turn Oct 2013
Display ads: Programmatic and RTB
Distil Networks says 59% bots, May 2015
40% in-view (RTB)Source: DoubleVerify, Q1 2015
July 2015 / Page 3marketing.scienceconsulting group, inc.
Dr. Augustine Fou
Three firms corroborate webwide bot levels: ~60%
Distil Networks May 2015 – 59% botsIncapsula Dec 2014 – 56% bots
SolveMedia Jan 2015 – 56% bots
July 2015 / Page 4marketing.scienceconsulting group, inc.
Dr. Augustine Fou
Viewability rate of Programmatic, Exchanges, RTB: ~40%
Source: Sizmek, Apr 2015
Source: DoubleVerify April, 2015
Source: Vindico April, 2015
July 2015 / Page 5marketing.scienceconsulting group, inc.
Dr. Augustine Fou
100 million impressions - 2% bad bots
Source: Marketing Science July 2015
98 million impressions - 40% 60% in-view (publisher direct)
Source: Sizmek, Apr 2015
35 million impressions
ad-blocked by userSource: PageFair, Sep 2014
Paid $0.45 CPM on 100M impressions ($45k) and got 35 million productive impressions = $1.28 eCPM
Avg. $0.45 CPM
59 million impressions - 40%
Source: Turn Oct 2013
Display ads: Premium Publishers
“premium publishers typically earn around $1.35 CPM from open exchanges” Source: DCN, May 2015
July 2015 / Page 6marketing.scienceconsulting group, inc.
Dr. Augustine Fou
Premium publishers have real human visitors and low bots
confirmed humans77% overall average
confirmed bots2% overall average
declared / search bots1% overall average
Note that 1% confirmed bots does not mean 99% humans; and vice versa 87% humans does not mean 13% bots. Using a deterministic approach, there are visits that cannot be sufficiently, accurately labeled and hence are marked uncategorized.
July 2015 / Page 7marketing.scienceconsulting group, inc.
Dr. Augustine Fou
Viewability rate of premium publishers: ~60%
Source: Sizmek, Apr 2015
Source: DoubleVerify April, 2015
Source: Vindico April, 2015
Source: Marketing Science, July 2015
Directly measured, onlypremium publishers (60)
60% viewable
July 2015 / Page 8marketing.scienceconsulting group, inc.
Dr. Augustine Fou
100 million impressions - 60% bots / NHT
Source: Incapsula, Dec 2014
40 million impressions - 46%
~13 million impressions
ad-blocked by userSource: PageFair, Sep 2014
Paid $10 CPM on 100M impressions ($1M) and got 13 million productive impressions = $77 eCPM
Avg. $10 CPM
8X higher effective cost
21 million impressions - 40%
Source: Turn Oct 2013
Video ads
54% in-viewSource: Google, May 2015
July 2015 / Page 9marketing.scienceconsulting group, inc.
Dr. Augustine Fou
Three firms corroborate webwide bot levels: ~60%
Distil Networks May 2015 – 59% botsIncapsula Dec 2014 – 56% bots
SolveMedia Jan 2015 – 56% bots
July 2015 / Page 10marketing.scienceconsulting group, inc.
Dr. Augustine Fou
Viewability rate of video ads webwide: ~54%
Source: Google, May 2015
July 2015 / Page 11marketing.scienceconsulting group, inc.
Dr. Augustine Fou
Top priorities for increasing digital ad productivity
Served ad impressions
-11%Display ads
-23%Video ads
-52%
NH
T (“
bots
”)
Sourced trafficSource: WhiteOps / ANA Dec 2014
Display ads
Source: Google Nov 2014
-36% Average NHT (bots)
View
abili
ty
-56%Video ads
-80%Views Source: RealVu 2014 “1 in 5 ads are viewable”
-26%Ad Block usage Source: Marketing Science 2014
-34.5%Display adsSource: PageFair 2014
Ad B
lock
ing
-54% Source: comScore Jun 2013
-60% Average Viewability
July 2015 / Page 12marketing.scienceconsulting group, inc.
Dr. Augustine Fou
Dr. Augustine Fou – Digital Consigliere
“I advise clients on optimizing their advertising, across offline and online channels. I assess ROI by analyzing the measured productivity of different forms of advertising and advise on re-allocation of budget to the most productive types of ads or channels.”
FORMER CHIEF DIGITAL OFFICER, HCG (OMNICOM)
MCKINSEY CONSULTANT
CLIENT SIDE / AGENCY SIDE EXPERIENCE
PROFESSOR AND COLUMNIST
ENTREPRENEUR / SMALL BUSINESS OWNER
PHD MATERIALS SCIENCE (MIT '95) AT AGE 23
ClickZ Articles: http://bit.ly/augustine-fou-clickzSlideshares: http://bit.ly/augustine-fou-slidesharesLinkedIn: https://www.linkedin.com/today/author/84444-augustinefou