PROGRAMMATIC PLAYBOOKFALL 2016

3

Welcome to the autumn edition of our Programmatic Playbook. I can’t believe how quickly 2016 is flying by. The world of digital advertising continues to evolve at lightning speed and I for one am glad to be living in an age where data can be used to facilitate and enhance creativity.

In this edition, we look at why it’s time to rip up the rule book when it comes to marketing to the iGen, discuss how you can use programmatic to foster brand loyalty, explore the marriage of creativity and technology, as well as explain to you exactly what a Meta-DSP is. We also share some favourite autumn eats, including recipes in the digital version, from our team around the world to try out.

This time of year is one of my favourites, as it’s all about a refresh of ideas and energy. We hope this Playbook gives you some food for thought when it comes to your future marketing strategies and wish you every success in the run up to the holiday season.

Best,

Chris Dobson, CEO, The Exchange Lab

OPENING REMARKS

“THE WORLD OF DIGITAL ADVERTISING CONTINUES TO EVOLVE AT LIGHTNING SPEED”

CHRIS DOBSON CHIEF EXECUTIVE OFFICER

VEERLE DE LOMBAERDE VICE PRESIDENT, ENTERPRISE

FRANK GUZZARDO VICE PRESIDENT, US SALES

PENNY HARRIS SENIOR VICE PRESIDENT, INTERNATIONAL BUSINESS DEVELOPMENT

NIKKI HAWKE CHIEF MARKETING OFFICER, GLOBAL

MICHELLE HILDITCH VICE PRESIDENT, CLIENT SERVICES, GLOBAL

RICHARD JONES SENIOR VICE PRESIDENT, NORTH AMERICAN SALES

EDWARD LEE VICE PRESIDENT, NORTH AMERICA OPERATIONS & BUSINESS ANALYTICS

EMMA LOISEL CHIEF OPERATIONS OFFICER

GUY SCURFIELD CHIEF FINANCIAL OFFICER

TIM WEBSTER CHIEF STRATEGY OFFICER & CO-FOUNDER

OUR EXECUTIVES

WH

AT’S

INSI

DE

CELEBRATING THE MARRIAGE OF CREATIVITY & TECHNOLOGY

01

Nikki Hawke

WHAT IS A META-DSP & WHY SHOULD ADVERTISERS CARE?

05

Chris Dobson

THE LATEST ON VIDEO

09

Statistics

ON TOP OF THE WORLDZ

13

Justine Frostad

EMPLOYEE SPOTLIGHT

17

Autumn Eats

FIVE COMMON PITFALLS APAC BRANDS MAKE IN PROGRAMMATIC

23

Chris Packman

USING PROGRAMMATIC TO FOSTER BRAND LOYALTY

19

Chris Dobson

PRODUCT SPOTLIGHT

27

Email Targeting

WHY WE NEED TO RIP UP THE RULEBOOOK WHEN IT COMES TO

MARKETING TO THE iGEN

29

Nikki Hawke

WHY TRANSPARENCY ISN’T ABOUT KNOWING EVERYTHING, IT’S ABOUT

KNOWING WHAT MATTERS

33

Frankie Cote

1 2

CELEBRATING THE MARRIAGE OF CREATIVITY & TECHNOLOGY

BY NIKKI HAWKE, CMO, THE EXCHANGE LABOriginally published in The Huffington Post

Digital advertising has become an essential part of any overall marketing strategy, and with this evolution it has become clear that it’s less about pitting creative and technology against each other, and more about celebrating their convergence to deliver advertising as we’ve never seen it before. The possibilities that technology provides mean more compelling, relevant, and immersive brand experiences.

Looking at key themes from major marketing events this year, such as Cannes Lions, SXSW and Advertising Week, here are some of the major themes to emerge mid-year that can help to determine where the market is going.

Cancellations into Hotel Reservations” campaign. Using mobile location targeting and customized creative, Red Roof Inn was able to reach people whose flights had been cancelled and were looking for last-minute lodging more quickly than competitors, resulting in a 375% increase in conversion rates.

CREATIVITY AND CONSUMER ENGAGEMENT ARE THE ANSWER TO AD BLOCKINGAdvertisers, agencies and publishers need to come together to serve ads that provide a utility or some other added value to consumers. And the first step:

This means tailoring creative to different platforms. People interact with desktop and mobile differently, not to mention technical variances between the two, such as resolution or screen size. The bottom line: mobile ads

should be natively mobile, not repurposed from desktop creative. Platform-specific creative, less intrusive ad formats, and sophisticated targeting lead to higher levels of engagement and can stem the growth of ad blocking.

At its core, advertising is really about storytelling, and telling those stories in a way that resonates with the right people. As the technology available to marketers becomes more advanced, marketers are able to produce more impactful creative that, ultimately tell more engaging and meaningful stories. It’s not about championing technology or creative. Rather, the most successful advertisers are realizing that the most powerful stories—and campaigns—are born from the marriage of technology and creative.

3 4

“LOSE THE ANNOYING & DISRUPTIVE ADS”

SAY HELLO TO THE SPECIALIST AGENCY

Old school advertising agencies have been reinventing the most famous global brands for

decades. However, their biggest challenge yet may lie in reinventing themselves in response to the changing

digital landscape. Advertising technology is moving faster than ever, and successful campaigns require a number of specialized skill sets. While media and creative agencies

aren’t going anywhere thanks to their strategic

prowess and buying power for clients, they will increasingly team with specialist agencies (think search, social, etc.) to further amplify their

clients’ messages.

THE LINE BETWEEN ADVERTISING AND CONTENT CONTINUES TO BLURAttracting—and holding—consumer attention is growing increasingly elusive across all types of media, a 30-second TV spot or a full page print ad will no longer do the trick. As a result, brands need to get creative with their marketing efforts.

Burger King’s McWhopper campaign won big at Cannes this year—scoring the coveted Grand Prix distinction in both the “Media” and “Print and Publishing” categories—in no small part for its ability to seamlessly bridge the gap between advertising and content. In an open letter from Burger King (BK) to McDonald’s, BK made a peace offering to unite the Big Mac and the Whopper in honor of World Peace Day. McDonald’s refused the offer, spurring consumers to make their own burger mashups on social media and further amplify the campaign.

DATA REIGNS SUPREME ABOVE ALL ELSEData is a marketer’s best friend. With access to more sophisticated demographic and location data than ever before, brands are able to reach only the most relevant consumers with their offerings through highly targeted creative. One such example, Red Roof Inn’s “Flight

6

WHAT IS A META-DSP & WHY SHOULD ADVERTISERS CARE?

BY CHRIS DOBSON, CEO, THE EXCHANGE LABOriginally published in AdvertisingAge

Over the last 18 months, the term meta-DSP has become more widely used, but not necessarily understood. Forrester defines meta-DSPs as “ad tech platforms that have built a software layer on top of demand side platforms [DSPs] to centrally manage and operationalize campaign design, trafficking, tracking, and reporting across the DSPs it operates, with a high degree of automation.”

Many solution providers have the same claims when it comes to technology, saying they have a real-time system that works across multiple DSPs. So what do marketers need to know about this advertising model and how can you spot the difference between a real meta-DSP and a fake one?

5

7 8

META-DSP: WHO, WHAT, WHY, WHEN?A meta-DSP is not actually a DSP; it is an advanced trading and management platform that unifies multiple DSPs and technologies through one single entry point, creating a holistic view of the media ecosystem. Meta-DSPs aggregate data to provide clients with greater audience reach, scale, campaign insights and cost saving efficiencies.

The concept was born during the ad-tech boom when digital disrupters recognized a need to bring disparate DSPs (with different unique selling propositions) and data sets together under one roof. The approach allows marketers to simplify campaign execution and evaluate multiple vendors, increasing scale.

In a Forrester Wave study, 53% of marketers admitted to using four DSPs on average just to meet the needs of their video campaigns. Conversely, 85% said they believe in the value of a single stack rather than a series of solutions. Now more agencies are attempting to buy or build their own meta-DSPs, although some are more advanced than others. With everyone claiming to have the same technology, make sure dive deeper into the backend to see if this statement is supported by a genuinely integrated software (as opposed to an upmarket Excel spreadsheet).

There are a number of problems within the current digital advertising ecosystem—not least the amount of technologies available in market—as well as the speed of change and innovation. Meta-DSPs work to negate some of these issues, taking some pressure off an already time-consuming job for marketers in their search to find the right technology to achieve their goals.

CLIMB THOSE WALLED GARDENSThere’s an ad-tech war currently being waged—sometimes publicly, sometimes behind closed doors. Many large media suppliers are trying to entice marketers into their walled gardens, offering promises of juicy apples and cool new toys. Then there are the smaller independents that offer specialisms not available through other suppliers. When you run your campaigns through a meta-DSP, you don’t have to compromise—you can play in all the walled gardens and access the whole market—through one point. You also don’t have to worry as much about picking the wrong partner and paying the price because your brand gains access to the best part of each technology—rather than relying on one to provide benefits across the board.

MAKE YOUR LEGACY AND FUTURE PROOF YOUR BRANDIt can be a long process choosing a partner to move forward with, especially when the ad-tech ecosystem is so fragmented and you know there will be consolidation coming over the next few years. Marketers continue to be under increased pressure to choose the best partner(s). No one has ever gone wrong choosing some of the unicorn tech brands, but why choose one when you can increase performance, scale and reach and have all your preferred partners under one umbrella? It means you don’t have to gamble with your future and back-track on valuable research when this happens.

AROUND THE WORLD…IN 50 DSPSDSPs have different strengths and weaknesses, and some perform better in certain markets than others. For example, DSP A may have greater reach than DSP B in APAC, while DSP B may have richer targeting ability than DSP A in North America. If you’re a marketer looking to operate across several regions or even looking for a global overview if you operate DSPs separately, it’s difficult to get that overall view.

A meta-DSP brings everything together in one place, so you can keep your chosen DSPs by market but view the analysis on a global level. Marketers can also test other DSPs while continuing with their already chosen DSP technology.

BUT WHAT ABOUT BIDDING AGAINST YOURSELF?Bidding against yourself is a legitimate query, but the answer all comes down to math. If you are working with multiple media vendors, you may already be bidding against yourself, although the probability is extremely low—even with highly targeted buys across multiple DSPs, the chance of bidding against yourself is around 4%. By not utilizing a meta-DSP approach, you’re sacrificing 43% of incremental reach. In a world where marketers are increasingly forced to show ROI based on data that’s not something they can risk.

A meta-DSP is the path forward for marketers; it unifies the strengths of the strongest players in the Lumascape and it will ultimately be the backbone of all biddable media.

9

THE LATEST ON VIDEO

Over 6 billion hours of video are

watched each month on YouTube—

that's almost an hour for every

person on EarthSource: Wyzowl.com

10

12

12

TV & Digital join forces to engage consumers across screens, at scale

Using TV Sync, A&W wanted the campaign to drive consumer engagement and stimulate conversation around their

commitment to high standards.

The client received maximum reach and scale, ensuing KPI’s

were reached in every province.

A VIDEO CASE STUDY

Exceeded CTR expectations by 179%

2.6 million unique site and in-store visitors

Sources: Hubspot, CMO, Rubicon

KEY INSIGHTS

2.6 MVISITS179%

Marketers are turning to

programmatic video…

But why use digital video

now?

MORE PREMIUM INVENTORY: BETTER BRAND SAFETYOver 50% of publishers said they are currently making their premium video inventory available for sale via programmatic, up from 36% one year ago

EFFICIENCY: MORE MEASURABLE THAN TVFrom completion rate, viewability, click through rates to views, digital video offers accurate measurement

INCREASED SALES Shoppers who view video are 1.8 times more likely to purchase vs. non-viewers

Ensure your creative agency produces content solely for digital video - as opposed to repurposing a TVC

TOP VIDEO TIPSDon’t silo TV and video planning—consider utilizing TV Sync to join forces

Viewable completions can be a barometer for branding campaigns, take a consultative approach when setting KPIs

1 2 3

1211

14

ON TOP OF THE WORLDZ

BY JUSTINE FROSTAD, MARKETING & EVENTS MANAGER, NORTH AMERICA, THE EXCHANGE LABOriginally published in The Huffington Post

“We are the heroes,” exclaimed Katie Meyler, CEO and Founder of More Than Me, an organization that uses education as a catalyst for transformative social change for girls in Liberia.

It’s unusual to be moved to tears at conferences, however at the WORLDZ summit, put on by the PTTOW! (Plan To Take On The World!) organization, held against a Baywatch background in Los Angeles, it happened on more than one occasion—to many of the 750 attendees.

Here are the top takeaways from WORLDZ that can and should be applied to our everyday lives both at work and at home.

13

1616

PARTNERSHIPS THAT PROPEL CHANGE One collaboration celebrated at WORLDZ was the partnership between Discovery Communications, iHeart Radio and GoPro, who worked together to create the documentary on endangered species “Racing Extinction”, which has been viewed by over four million people.

It was shared as an example of how an unexpected partnership can grow audiences and achieve marketing goals, while also creating impetus for social change. The partnership included an ongoing forum that creates awareness around animals close to extinction, as well as offer donations and educational resources.

When brands think beyond their pre-tested marketing efforts, identifying unique partnership opportunities can lead to transformative business solutions.

BRANDS (& PEOPLE) THAT RISE ABOVE DIFFERENCES TO CREATE CONNECTIONSWe are moving closer toward “polyculturalism,” a term that Valeria Piaggio, VP, Head of Multicultural Insights at The Futures Company defines as the notion that all cultures’ are interrelated; every person is a product of their attitude, values, cultural influences and lifestyle rather than being defined by genetics or skin color. 78% of millennials believe that more companies should take a stand on important social issues.

One brand standing up for inclusion is Christian Louboutin who created a line of nude shoes in different shades, reflecting the fact that the color “nude” differs by ethnicity. Another company called Tru-Colour Bandages is based on the same inclusive concept, offering bandages in different shades and promoting “diversity in healing.”

No matter what your background is we all share brands, marketers have a huge opportunity to bring people together and overcome differences.

TURNING LESSONS INTO ACTIONS WORLDZ is the antithesis of a traditional conference where you quietly watch speaker after speaker; it promotes interaction, celebrates open emotion and truly inspires you to engage with the people around you—both in-the-moment and ideally long term via partnership.

THE ILLUSION OF A WORK/LIFE BALANCE For brands, tapping into the core values of their consumers is critical for making a lasting impact on them. In order to build an effective organization, you need to understand the community it can serve. Digital creative, event activations, merchandise and other traditional marketing efforts are really just vehicles for emotional connection.

Brands like TOMS and Warby Parker have built their brands on a foundation of giving back to communities in need through each purchase, so customers feel like they are a part of something bigger.

15

17 18

MARTIN WALSH Sales Director

New York

Who doesn’t like bacon? But not everybody likes brussel sprouts. A good fall recipe with both makes

eating brussel sprouts a little easier.

DANA TISCH Director, Strategic Partnerships

Montreal

As a mom of two, the crockpot is my best friend. You just throw all

your ingredients in, set it and forget it and then you’ve got a delicious, cozy meal at the end of the day!

TRUC NGUYEN Trader Toronto

My favourite fall dish is butternut squash soup because it’s so warm

and comforting. It’s also super easy to make and inexpensive

this time of year.

JAMES ROBINSON Business Director

London

My favourite autumn food would have to be Chilli con Carne using

brisket, served with loads of guacamole.

BEN ALPREN Head of Vendor Partnerships

London

I secretly fancy myself as a bit of a dab hand in the kitchen, and one of my specialities is this meatball dish shamelessly stolen from a cracking

John Torode cookbook.

CHLOE MILNE Graphic Designer

Toronto

My favourite fall flavour would have to be my grandma’s apple

crisp, with some vanilla ice cream and a slice of cheddar cheese.

EMPLOYEE SPOTLIGHT AUTUMN EATS

CLICK TO DOWNLOAD OUR RECIPE BOOK

19 20

Gaining brand loyalty among consumers has always been a clear end goal for marketers. However, the traditional loyalty programs that have worked for brands are no longer having the same impact with modern audiences who live across devices and are motivated to engage in different ways than years past.

A recent Colloquy survey found that more than half of loyalty program members in the U.S. don’t actively participate in the programs, perhaps joining initially for an in-the-moment-deal with no intent to participate beyond that transaction.

BY CHRIS DOBSON, CEO, THE EXCHANGE LABOriginally published in The Huffington Post

USING PROGRAMMATIC TO FOSTER BRAND LOYALTY

21 22

Fostering brand loyalty today is about far more than a points program and can be achieved or enhanced through smart, strategic digital marketing efforts.

GETTING TO KNOW YOUR AUDIENCE People have more control over the media they consume and how they choose to engage with brands than ever before. In order to reach audiences who are no longer beholden to appointment television, brands need to ensure they are utilizing the data available to them to learn more about their customers so they can create relevant engagement opportunities.

A test-and-learn approach remains a valuable part of an effective programmatic marketing approach, as tracking consumer engagement accurately across devices remains somewhat limited. The consumer calls the shots on whether or not they’ll entertain your message and what resonates depends on their lifestyle and age group.

Audiences from older generations are fragmented, but you can still connect with them in a more traditional way. How Generation Y and Z react to media and how they will react as they age is wholly different. They are not engaged with linear TV, they are self-scheduled, they know when they’re being advertised to so they can ignore whatever they don’t feel is relevant to them.

According to data from Neilsen, millennials are most likely to trust mobile advertising, in fact 1.5 times more likely than Baby Boomers. So when trying to reach that audience, marketers should consider that screen carefully. How will the functionality work? How do I ensure this is the best experience? It’s the more intimate screen so whatever you do should be relevant and engaging.

THE MESSAGE MATTERS According to a recent Marketo survey, consumers today appreciate personalized offers and messages, with almost 80% of shoppers saying they only engage with an offer if it’s related to how they previously interacted with that brand.

Every interaction with your consumers counts as another opportunity to build trust and enhance your relationship. Dynamic Creative Optimization (DCO) is a good example of an effective tool as it adapts messages and product images to deliver to the consumer based on their personal history.

OVERCOMING OBSTACLES While achieving a complete view of the consumer journey can be difficult in today’s media landscape, you can implement first-party data from email, the web, and mobile apps as well as CRM and POS systems to help complete the picture.

A Meta-DSP approach can help by providing brands with a holistic view of the media marketplace and automatically shifting dollars between platforms based on performance, this increases the likelihood of connecting with consumers likely to convert and increases ROI.

It’s vital for marketers to work with trusted and brand safe programmatic partners. Bad online marketing practices, such as serving poor creative and over retargeting, particularly after a consumer has made a purchase for the same item, erodes consumer trust and makes it difficult for people to look favorably on the brand again.

ALIGNING BRAND AND CONSUMER VALUESWhen a brand reflects a customer’s values and enhances their self-image their reason for buying that product or service transcends utility to loyalty. Your brand becomes an extension of their image and ideally, inspires them to spread the word about your product. The brand is a reflection of their values and who they aspire to be.

Many modern consumers truly appreciate brands that align with a specific cause such as Warby Parker or TOMS shoes, two brands that are known for giving back to those in need with every purchase. In these cases brand loyalty tends to increase because consumers

are able to show their support for a cause, in addition to showcasing their personal style. Brand loyalty is like a negotiation between a consumer and a brand—if you can give up something that is low cost to you but high value to your consumers that’s a win-win that will likely lead to a longstanding, loyal relationship.

ADAPTING FOR SUSTAINED SUCCESS Technology is evolving rapidly and the capabilities for brands to reach consumers are changing and improving daily. Brands that stay ahead of the curve and ensure they are paying attention to the ever-changing habits of their consumers, adapting their messaging and delivery of those messages are the ones who will reap the benefits.

Finding a reliable and future-thinking programmatic partner will ensure your brand is able to reach the right audience, on the right device, at the time they are most likely to have a positive reaction. An effective partnership will also ensure you get the best possible analytics and are able to adapt your strategy in near real-time to ensure your brand is learning and improving with every media dollar invested. Adapting strategy and messaging based on these key learnings will ideally help you gain lasting customer loyalty and ultimately advocacy in the form of long-term brand ambassadors.

“MILLENNIALS ARE MOST LIKELY TO TRUST MOBILE ADVERTISING”

23

BY CHRIS PACKMAN, SALES DIRECTOR, APAC, THE EXCHANGE LABOriginally published in ExchangeWire

Programmatic has been a hot topic in advertising over the past few years. Some brands dove in head first, whereas others have been more cautious, watching from the wings to learn from others’ mistakes. Here are five common mistakes made in programmatic, and how to avoid them.

FIVE COMMON PITFALLS APAC BRANDS MAKE IN PROGRAMMATIC

24

25 26

Many advertisers attempt too much with their campaigns. They could be running a video campaign and looking for completed views, clicks and conversions, all from the same campaign. While these metrics are related, the optimization strategy for each one is different and can often reduce campaign performance, confusing end results. Brands should identify the most important objective of their campaign, using clear KPIs. If this is sales, then employ a CPA; if it’s raising product awareness through video, then completed views or event based KPIs will lead to more accurate results.

Reaching the right audience will be ineffective if irrelevant creative is delivered. Brands cannot rely on volume or cheap impressions to make up for money saved on poor creative.

Take the time to ensure the right format is being shown on the best platform. High impact formats and 30 second videos may work well on display, but when translated to mobile, they can be intrusive and annoying. Plan your creative against the platform and maintain high quality standards throughout.

Some see programmatic as a quick fix and decide to test it with a small budget for one month. Placing $5k into one platform for one month is not sufficient to test effectively and will provide inaccurate, incomplete data. A three month period is ideal for collecting data, learning and evaluating what works for your brand. The size of your investment should be based on the size of your audience, the market and KPIs, among other factors.

If an advertiser decides to use multiple programmatic vendors independently of each other, the result will be a multiplication of tactics and targeting with no ability to evaluate how each part is affecting the others, positively or negatively. While testing new partners is important for the evaluation process, there needs to be clear parameters to establish what value each provider adds.

Many brands in APAC are still very cautious about tracking tools, using the last-click as their only measure of campaign success. Last-click methods alone do not provide the complete picture of how each media channel and tactic works independently. Brands can miss out on multiple opportunities to optimize and create efficiencies within their media plan by taking simple campaign results at face value. Make sure you explore multi-touch attribution models in order to hone in on the most effective media strategy for your brand.

The digital user base throughout APAC differs a great deal. A number of markets across APAC are mobile-first, something which comes with its own opportunities and pitfalls requiring careful planning. However, one truth remains globally—user behaviour and performance factors are ever-changing. What works today might not work tomorrow, which is why it’s vital to continually test and learn. Keep exploring and evolving your digital marketing approach. Programmatic efficiencies are there for your brand to take advantage of—in APAC and beyond.

EMPLOY MULTIPLE KPIs

NEGLECTING CREATIVE

INVEST & TEST

TESTING MULTIPLE VENDORS SUMULTANEOUSLY

LACK OF EFFECTIVE TRACKING

UNIVERSAL RULES

$

27 28

ENGAGE CUSTOMERS VIA EMAIL, ACROSS DEVICES Many people today are constantly connected to their devices, allowing email access everywhere they go. Due to media consumption habits, the time has come for the channel to be open for display advertising and therefore, operated seamlessly under the programmatic umbrella for brands and advertisers.

Programmatic email is an advertising tactic used across desktop and mobile that enables brands to engage with consumers who are subscribed to 1000+ premium UK and US publishers.

PRODUCT SPOTLIGHT: EMAIL TARGETING

BENEFITS

EXTEND YOUR BRAND’S DIGITAL ACTIVITY BY ADDING EMAIL TO YOUR MEDIA MIX.

HOW IT WORKS?

13

Think of media buying in email just like how you would buy media on the web

Emails are sent to people, when they open the email and click

“download images” the ad is served42Publishers place ad tags in the body

of their email newsletter

Impressions, clicks and conversions are tracked by the ad server and

reported to the client

• Customers are pre-subscribed to receive emails, ensuring ads are hyper relevant

• Fraud free: every impression is tied to a verified email address

• Advertisers are only charged when the user clicks “download images”

• Top performing newsletters: lifestyle, health, food, furniture finance and travel

• Seamlessly add programmatic email to a new or existing digital campaign

• All programmatic benefits and standard audience targeting are included

• All of these benefits are available through Proteus, the Meta-DSP

Check email while resting in bed or on vacation

Are engaged with their phone when walking

Check email while in the bathroom

Check email while watching TV

50% 60% 42% 70%

MEDIA high impactbillboardanimated gifetc.

Available formatsAD

download images

AD

29 30

BY NIKKI HAWKE, CMO, THE EXCHANGE LABOriginally published in The Drum

A new Ofcom research report released in August shows that TV viewing figures for the under 25s have fallen by a quarter, while it only fell 5% for 55-64 year olds over the same period.

Under 25s - Millennials and the Generation Z/iGen - have been brought up with greater social mobility and the independence to use media and communicate wherever and whenever.

WHY WE NEED TO RIP UP THE RULEBOOK WHEN IT COMES TO MARKETING TO THE iGEN

32

With TV advertising playing such an important role in forming traditional life-long brand associations from an early age, and branding lifecycles having to be more reactive, how does the move away from live TV shape future marketing strategies?

HELLO, I’M A CHATBOTUnder 25s consider instant messaging as the most important form of communication and platforms like WhatsApp and Facebook Messenger are currently the most popular.

While advertisers are currently unable to utilize WhatsApp, it’s likely that Facebook’s army of chatbots which are being developed for Facebook Messenger will make their way over to the other platform. Chatbots are artificial intelligence (AI) that can read and write messages - ways for brands to speak directly to customers for customer service purposes and an excellent opportunity for less intrusive marketing (if done correctly). As we’ve already seen with the use of over retargeting and invasive mobile ad formats, data driven advertising should be used with caution—over-use of push notifications is likely to negate the positive effects of the personal touch that chatbots offer and could become annoying.

CREATIVELY SOCIALIt’s no secret that under 25s use social networks more than older generations—9% compared to the average 3% for over 25s. iGens and Millennials are curators of content, from iMovies to music videos, as well as of their own brand. As Instagram recently launched a Snapchat-like feature which highlights the age groups need for a creative outlet to personalize photos and messaging. An example of this in action is Mondelez Australia’s TimeOut campaign from 2015. The brand partnered with Snapchat to form a competition, attracting young consumers and encouraging them to use the platform’s drawing tools to create new pictures that included a picture of the TimeOut chocolate bar. The brand received thousands of entries and highlights why marketers need to think three-dimensionally—let them interact with your brand on their terms rather than showing them static images.

BREAK THE MOULDAs a marketer, I know that it will be increasingly important to brands to ensure they allow this generation to lead and communicate with authenticity. In 10-20 years’ time traditional advertising formats will either no longer exist or will be unrecognizable from their original format. I want to ensure I lead brands into the future with promise and success. That means ensuring safe testing of new formats and technologies on the fly and in the meantime - keeping my finger on the pulse of the iGen.

“Under 25s consider instant messaging as the most important form of communication”

31

I know I do

34

BY FRANKIE COTE, DIRECTOR OF STRATEGIC BRAND PARTNERSHIPS, THE EXCHANGE LABOriginally published in The American Marketing Association (AMA)

You are approached by two vendors on the street, who try to sell you their wares.

The first offers you a beautifully carved wooden bird for $30, you smile and appreciating the value, you tell them that you will think about it. The second vendor approaches you with a piece of wood and tells you that they will carve you a custom wooden bird, to your exact specifications, for the same cost of $30. You smile and take up the second vendor’s offer.

WHY TRANSPARENCY ISN’T ABOUT KNOWING EVERYTHING, IT’S ABOUT KNOWING WHAT MATTERS…

33

35 36

Within an hour you have a beautiful crafted wooden bird in your hand. You understand the value as you have been actively involved in the creation process. Equally, in knowing how it was created, you have valuable tools to help others. You could in fact, with these new skills, set up your own wooden bird whittling business. In any case, you will always recommend the second vendor over the first, as the second has added more value. Additionally, you may also pay a premium to go to the second vendor again, should they raise their rate, as you appreciate the openness and customization.

The second vendor, in this humble narrative, is transparent in the way that he/she operates and this negates any extra work that may have been done,

behind the scenes, by the first vendor. Whether in fact the first vendor spent a week delicately carving the bird doesn’t matter. We perceive more value within the second, therefore we attribute it more value.

I work with a lot of marketers, from SMEs (Small to Medium Enterprises) to major global businesses, building programmatic solutions and I see the same concerns about transparency raised over and over again. Within programmatic, the definition of transparency is also somewhat mired in debate. Many marketers consider transparency to be purely numerical. In this sense, the conversation remains about margin and other relevant, but perhaps narrowed focuses.

Transparency is about education into the processes that facilitate online marketing”

Arguably, what should be held more valuable, assuming performance is strong, is transparency on exactly how strategies are assembled, why they perform and what can be done moving forwards to increase efficiencies. The real transparency that marketers should be clamoring to uncover is centric to lasting business growth-as opposed to historical analysis of spend that has already slipped through the net; or will do in the preceding months. Equally, within partnerships and strategic relationships, margins can be fixed and the conversation can be shifted away from this to more pertinent areas needing transparency.

It is also important to note that transparency is not about knowing everything, it’s about knowing what matters. Transparency is about education into the processes that facilitate online marketing, with particular focus on how these very processes are used to achieve a client’s end goal. Real transparency opens up significantly enriched conversation lines between all parties involved and produces far better–and more meaningful-results.

As with the second street vendor, who showed us how they whittled the wooden bird, the value is found in equal parts in the final product and the journey taken to achieve this end. In some ways, a beautiful analogy for life.

VALUEJOURNEY FINAL PRODUCT

Many marketers consider transparency to be purely numerical.”

“

“

38

GET NOTICED

DON’T RISK BEING OVERLOOKED

Proteus, the world’s first programmatic Meta-DSP provides increased audiences, efficiencies

and results—at scale, across devices.

In today’s crowded marketplace it has become increasingly difficult to connect with your audience.

contactus@theexchangelab.com

NORTH AMERICAEUROPE

ASIA–PACIFIC

theexchangelab.com@exchangelab