Emma StorbackaCEO, Avaus@emmastorbacka

All about in-housingSpeed, control and long-term brand building

Data & Technology

Experience Design

AlgorithmicExperiences

Avaus facts: 150 experts // 3+1 offices // Revenue 2017: 16,1 MEUR

3

Hygiene or future-proof?

Technical Backbone

Way-of-working

Customer Experience

Business Impact

Algorithmic Experiences

Decisions Based on Insights

Efficient Targeting & Personalisation

Hygiene

Targeted

Orchestrated

The journey towards algorithmically orchestrated experiences

What we do:

Capability creation

● Marketing Technologies

● Data Science & AI

● Way-of-Working

Value Realization

● Growth Hacking

● Marketing Operations

● Omnichannel Performance Marketing

Future vision

Innovation: AvausX

● Vision & Strategy

● Roadmaps

● Transformation programs

We are all seeing a trend...

In-housing - not only of media buying

62%Of brands say that they will take all programmatic media buying in-house by end of year 2022

Source: Adobe, December 2017

27%27% of brand say they don’t get any help from outside agencies (up from 13% in 2016)

Source: Society of Digital Agencies, 2015

45%Of brands in IAB USAs survey have completely or partially created in-house programmatic capabilities

Source: IAB, May 2018

In-housing of programmatic advertising:

Control and transparency of advertising spend as the main benefit drivers

8Source: Iab USA - Programmatic In-Housing

More than a trend - a matter of survival

● From local channel optimization to audience optimization

● AI & Machine Learning: Not only incremental improvements

● Brand advertising becoming programmatic and 1:1

● Individual customer strategy: sell, serve or retain?

#algorithmic_experiences

Personalization done right will deliver up to 10x marketing ROI

Case: Lenovo

Algorithmic retargeting

Source: Lenovo at Adobe Summit (Link)

Systems that learn changes what data means for marketing

● AI / Algorithmic Orchestration of customer experiences will need all the data

● Own or publisher-/media agency owned algorithms?

● “Big Brain” vs “Small brain” AI and Analytics

>> In the big scheme of things - this is not a question of advertising efficiency

#algorithmic_experiences

● Omnichannel marketing enables personalization

● Personalization at scale and in omnichannel environment puts high demands on orchestration across channels (paid and own)

● Analytics / Algorithms will do the decisioning (no human can)

● Channel silos must first be teared down → In-housing not only media buying but all “experience orchestration”

#algorithmic_experiences

The complexity of omnichannel orchestration demands the end of the siloed marketing org

● Technical & Analytical understanding ever more important

● Paired with strategic understanding of how to apply technology

● Not a question of long-term sales activation but cumulative brand building

● (Typical) Agency model does not allow for proper strategic long-term thinking and development

● New breed of insourced inhouse agencies born out of this need

#algorithmic_experiences

Creating business impact will require math men, not mad men

...and the usual reasons (but these should only be considered additional pluses)

Regulation (ePrivacy, GDPR)

Security (Owning & Managing your own data)

Walled Gardens (Google, Facebook)

Media business model (media spend main driver)

Inhousing puts more demands on you

Not all of it is easy - what to manage “in-house”?

17Strategy Legal / Relationships Hands-on work Tech & Data

18

How to avoid the

Ferrari in the Garage syndrome?

19

Marketing organizations do not fail because ofTechnologyProcessesPartnersTalent

They fail because of lacking strategy and /or lacking leadership to execute on the strategy

Thank you!Material and links to sources / reading on my LinkedIn!

linkedin/emmastorbacka