freakout dewina indonesia launch event 10th feb

May the‘Native’

be with you.

“Look up at the stars and not down at your feet. Be Curious….”-Stephen Hawking

OUTLINE

0.The future of ad tech and digital marketing in

Asia

ScientistSpecialized in Physics, Chemistry and Biology. Worked in biochemistry laboratory in the US and Japan.

Software EngineerStarted software coding in 6 years old.

MusicianProfessional composer of commercial music for about 2 years.

Before Ad Technology Business

Yuzuru HondaFounder&CEO

Yuzuru HondaFounder&CEO

“Brainer” 　　　 A contents matching ad company established in 2005. Sold to Yahoo!Japan in 2008 in accordance with setting up project on interest matching ads, which is predecessor of YDN (Yahoo Display Network).

InvestorInvested more than 30 companies so far.

“FreakOut”Established in Oct. 2010, and impacted Japanese digital advertise market introducing first-ever DSP system.After only 3 and a half years, got listed on Tokyo Stock Exchange as the first company specializing in ad technology company.

In Ad Technology Business

OUTLINE

The fastest growing company in 2013

IPO in 3 and a half years

OUTLINEHills Garage (FreakOut office)

usually used for FreakOut people.

Peter Thiel’s lecture for students(founder of PayPal

and the author of “Zero to One”)

OUTLINE

オフィスが斬新すぎて、取材されまくり。

sometimes used like this..

Audition for fashion models.

A pool in office?

It’s my desk

“What are important abilities for entrepreneurs and investors?”

to forecast the future(precisely)

the forecast has to be unique(not like other people’s way of thinking).

“Why did you do the same business as Google does?”

It’s challenging! The market is super huge.

People don’t want to do first.

To make a strong digital marketing company. And its core value has to be “Technology”.

To make tight relationships with other Asian players to make a unique ecosystem which US/Euro players cannot easily break into.

My missions

1. FreakOut Group

FREAKOUT AT A GLANCE.

Japan’s first and largest DSP

Listed on theTokyo Stock

Exchange by June 2014

Global marketing technology company

developing towards Asian market

PT. FreakOut dewina Indonesia, established in Sept

2015

Marketing Technology Company from Japan.Founded : October 2010 （ IPO June 2014 ）

# The First Demand Side Platform/Real Time Bidding in Japan# The Largest Data Management Platform in Japan# Listed a stock in 2014# The Largest Native Ad Platform “Hike” from 2014

CEO – FounderHonda Yuzuru

• Founder of Brainer Inc. which created Contents Matching for Ads former Yahoo’s Interest Matching service (like Adsense) in 2005

• Brainer was acquired by Yahoo Japan in 2008• Founder of FreakOut Inc. in 2010

COO – CEO M.T burnSato Yuske • Former Google Japan

• Founding member of FreakOut team• M.T. Burn CEO

CFOYokoyama Kotaro

CTOAkashi Nobuyuki

• Joined Brainer in 2006 　

• Joined Yahoo Japan in 2008• Joined FreakOut in 2011

• Former CTO of Yahoo• 13 years experience at Yahoo! Japan • Joined FreakOut in 2014

Corporate Officer Muto Yoshihiko • Former Corporate Officer of Yahoo

• Former UNITED CINEMA Inc. CEO • Joined FreakOut in 2014

BOARD MEMBER.

Apps

Offline

Native Ad

DMP

OUR PRODUCT.

3rd Party

1st Party

Full-Stuck Platform

The 1st Native Ad Platformin Indonesia

OUR AD FORMAT: NATIVE IN-FEED.

• Image: 640x320• Title: 60 character• Description: 140

character• “Promoted by (brand

name)”

• Image: 114x114• Title: 60 character• Description: N/A• “Promoted by

(brand name)”

Mata Indah Mempesona Sepanjang HariSPONSORED BY KATE

Weekend To Do List: Menyambangi Lahan Off Road di Jakarta

SPONSORED BY JEEP

OUR AD FORMAT: IN-FEED NATIVE AD.

Growth of Hike in JapanMore than 1,000 media join our Hike network.

More than 1,000 advertisers use our Hike network.

PARTNERSHIP

2. What’s Native Ads?

THE GROW OF NATIVE ADS

WHAT IS NATIVE ADS

THE FOUT • FORM + FUNCTION

• IN STREAM

• NATURAL EXPERIENCE

THE FOUT

Kenapa Kadang Kita Malu Mengungkapkan Rasa Cinta Kepada Mama?Sponsored

• MORE CLICKS

BANNER ADS NATIVE ADS

WHAT IS NATIVE ADS

Ini Harga dan Spesifikiasi Samsung Galaxy A3 dan A5

PLATFORM BASEDEditorial Native Ads

Social Native AdsNative Ads in Apps

IAB FORMATIn Feed

Promoted ListingCustom Unit

Recommendation Widget

TYPES OF NATIVE ADS

EDITORIAL NATIVE ADS

SOCIAL NATIVE ADS

NATIVE ADS MOBILE APPS

IN-FEED NATIVE

PROMOTED LISTING CUSTOM UNIT RECOMMENDATION

WIDGET

IAB NATIVE FORMATS

3.The Challenge ofMobile Advertising

DIGITAL ADS CHALLENGES

AD BLINDNESSPEOPLE DON’T CLICK ADSPOOR USER EXPERIENCETHE RISE OF AD BLOCKER

Banner blindness is a phenomenon in web usability where visitors to a website consciously or subconsciously ignore banner-like information,

which can also be called ad blindness or banner noise. -Wikipedia

AD BLINDNESS

AD BLINDNESS

Ad Blindness: Heat map

Desktop

Mobile

AD BLINDNESS: HEATMAP

*Jacob Nielsen’s Eye Tracking Usability

NO BANNER AD WITH BANNER AD

Tablet

Tablet

AD BLINDNESS: HEATMAP

*Sharethrough Study

PEOPLE DON’T CLICK ADS

PEOPLE DON’T CLICK ADS

Jan-11 Jan-12 Jan-13 Jan-14 Jan-150

0.05

0.1

0.15

0.2

0.25 0.230.21

0.17

0.12

0.06

Indonesia CTR Benchmark

CTR

INDONESIA CTR TREND

http://www.richmediagallery.com/tools/benchmarks

UP TO 50% OF CLICKS ON MOBILE BANNER ADS ARE

ACCIDENTAL

ACCIDENTAL CLICKS


POOR USER EXPERIENCESLOW LOADING SITES

UNNECESSARY NAVIGATIONDISTRACTING ADSPOOR DESIGNED

POOR USER EXPERIENCE


THE RISE OF ADBLOCKERPUBLISHER’S REVENUE

BROKEN ECOSYSTEMTHREAT TO INFORMATION

DEMOCRACY

THE RISE OF ADBLOCKER

Comscore Data, September 2015


4. What Native can do

OUR MISSIONCREATE A BETTER MOBILE

ADVERTISING ECOSYSTEM

1.

AD BLINDES

S

2.

3.

4.

PEOPLE DON’T CLICK

POOR AD

EXPIRIENCE

THE RISE OF AD

BLOCKER

PEOPLE DON’T

LIKE ADS

HOW TO

MAKE PEOPL

E CLICK?

WHY PEOPLE CLICK?

THE FIRST EVER BANNER AD

October 27, 1994hotwired.com4 months, 44%CTR

Source: Joe McCambley, The Guardian.com, Dec 2013

WHY SO MANY PEOPLE CLICK ON IT?• AROUSED CURIOUSITY• GREAT EXPERIENCE• CREATED WITH ONLY GOOD

INTENTIONS TOWARDS CONSUMERS

HOW TO

MAKE PEOPL

E CLICK?

• ADDING MORE BANNER AD

• MAKE THE ADS MORE PROMINENT

• MAKE THE AD MORE DISTRUPTIVE

MOBILE ADVERTISING

MADE SIMPLE.

MOBILE NATIVE AD IS

SIMPLE.

PUBLISHER

CONSUMER

ADVERTISER

SEAMLESSAD

EXPIRIENCE

LESS DISTRUPTE

D

MORE BENEFITS

LESS DISRUPTED CONSUMER

PUBLISHERHIGHER VALUE

OF YOUR INVENTORY

$0.20

$0.35

MOBILE BANNEReCPM

MOBILE NATIVEeCPM

75%HIGHER eCPM

ADVERTISERHIGHER

AD EFFECTIVENESS

CTR BOUNCERATE NEW USER

75%

50%

38%

80%

0.10%

0.25%

PEOPLE DON’T

LIKE ADS

PEOPLE DOES

LIKE ADS

4. Japanese Case Study

Japanese Case

for Publisher

Date

4 / 234 / 244 / 254 / 264 / 274 / 284 / 294 / 305 / 15 / 25 / 35 / 45 / 55 / 65 / 7

GET 200% PERFORMANCE in CTR 4/23 – 4/30 5/1 – 5/7

1.50 % 1.55 % 1.57 % 1.83 %

GET HIGHEST PERFORMANCEwith CUSTOMIZED NATIVE AD

JapaneseCase

for Advertiser

生協の宅配パルシステムたまご好き必見！人気フードコーディネーター SHIORIさんの最新たまごレシピ公開中☆

Comparison of Bounce Rate.Client : Recipe siteGoal : Awareness

Client : AirlinesGoal : Awareness

国内線割引運賃最大約 85% 割引！スーパー先得を使って格安で国内旅行！

Comparison of New User Rate.Display vs. Native

72%

93%

国内線運賃がお得！

6. Hike Indonesia

OUR FELLOW PUBLIHSER’S

AND MORE …

Octorber November December January

Monthly Impression of Hike Network

Apps2016 Q1

OUR AD FORMAT: CUSTOMIZED NATIVE AD.

Retargeting

2016 Q2

???

2016 Q3 - Q4

Creating a better ecosystemon mobile advertising

May the‘Native’

be with you.