MESSAGE
| DATE | 2015-08-16 |
| FROM | mrbrklyn@panix.com
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| SUBJECT | Subject: [NYLXS - HANGOUT] Double Talking Bullshit
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Read this crap from Double Clicks website. Everytime I talk to someone
about technology now it sounds like this:
Published July 2015
Publishers’ growth in programmatic revenue is outpacing traditional
direct sales for desktop and mobile across display and video
advertising. New technologies like “programmatic guaranteed” are further
blurring the lines between direct and programmatic channels. Despite
these trends, recent research done at The Boston Consulting Group found
that many publishers are failing to appropriately capitalize on the
programmatic opportunity.
The reasons for this are many starting with publishers failing to take a
strategic approach to programmatic. They treat programmatic as an
incremental rather than core source of sales, and leave increasing
amounts of revenue on the table as a result. Another reason is that they
do not organize themselves to realize the most value from their
programmatic efforts. The study found that less than 25 percent of
programmatic team time is spent on value-creating activities, and that
publishers use nowhere near the full range of technology tools that can
increase programmatic sales and profit margins.
As the marketplace evolves, and outmoded distinctions lose meaning,
best-in-class publishers increasingly view programmatic as core to their
businesses. These companies continue to grow traditional direct sales
and increase total CPMs. They also leverage programmatic technology to
outperform the market and improve overall profitability.
Best-in-class publishers see up to 24% higher CPMs and 30% greater
efficiencies with simpler, unified ad tech stacks
- The Boston Consulting Group, "The Programmatic Path to Profit for
Publishers", July 2015
One publisher in the study has built programmatic revenue to more than
50 percent of its digital revenue while increasing direct sales and
total CPMs. These outperforming companies employ increasingly
well-defined approaches to achieve their success. Much more than others,
they:
Deploy a cross-channel data-driven sales strategy that encompasses
both traditional direct and programmatic sales and is tailored to the
publisher’s market position and market dynamics.
Understand what advertisers value in terms of inventory and
audiences and why, and leverage technology and data to match audiences
to buyers and achieve higher prices.
Assemble the right technology, both as an efficient way to access
demand and as a decision engine to maximize revenue.
Develop the right capabilities (particularly in sales and yield
management) and realign their organizations and incentives to support a
cross channel strategy and programmatic sales goals.
It’s clear that publishers lacking in an aggressive cross-channel
strategy that includes programmatic risk loss of revenue,
commoditization of inventory, and lower market share in the future. On
the other hand, those that position themselves to deliver value to their
advertisers in the programmatic market will both increase revenues in
the near term and have a big and growing advantage over their
competitors as the digital market grows and evolves.
The report outlines the four best practices that best-in-class
publishers follow to create this strong path to profit.
--
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http://www.mrbrklyn.com
DRM is THEFT - We are the STAKEHOLDERS - RI Safir 2002
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Being so tracked is for FARM ANIMALS and and extermination camps,
but incompatible with living as a free human being. -RI Safir 2013
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