Data equals dollars

Audience data = dollars

How can you use your data to grow your revenue?

Presented by Yali Sassoon, Principle, Keplar, LLP

Twitter Hashtag: #OXwebinar

Audience data

• Why should publishers collect and develop audience data?

• How can publishers collect and develop audience data?

• How can OpenX Enterprise help?

04/10/2023 Audience data 2

Don’t miss! Next OpenX Enterprise Demo Oct 5th at 10 am PST. Go to OpenX.com to register

Audience data is valuable

04/10/2023 3Audience data

2009 2010 2011f0

1

2

3

4

5

6

7

8

6.16.4

6.7

1.5

2.2

2.9

Display ad spend per year on websites and au-dience segments, 2009-2011f

WebsitesAudience segments

Dis

play

ad

spen

d, U

SD b

illio

n

CAGR2009-11f

5%

39%

Where the growth is

Source: The Jordan Edmiston Group IAB Mix 2010 report (Sept 2010)

Publishers should leverage audience data

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Direct relationship

Knowledge of audience

• Audience insights drive product development already…lots of experience to draw on

Audience data

• Audience publisher relationship is direct

• Audiences are comfortable with data collection from publishers

+

Use audience data to grow revenue

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Grow sell-through

rates

Grow CPMs

• Better response rates means advertisers are willing to pay more

• Make ‘run-of’ or secondary inventory more targeted and attractive

Audience data

How do I develop my audience data?

• Start with what you already know of your audience

• Take a hypothesis-led, iterative approach to developing your audience data

• Work in partnership with your advertisers

• Use 3rd party data to develop your 1st party data


What do you already know about your audience?


Tacit & anecdotal knowledgeFormal, quantitative knowledge

CRM BI Web analytics

Examples:

• People who spend time reading the financial section after 11am are more likely to be wealthy senior business people or wealthy individuals

Form an initial hypothesis


Hypothesis Design

Analyse Test

• Customers who are referred to an auto site from an affiliate site are more cost conscious than those referred from other sources (e.g. review sites, car magazines, search)

Design a way to test your hypothesis


Hypothesis Design

Analyse Test

1. Use your data to define an audience segment (“test segment”)

2. Define a control group

3. Decide on one or more ad campaigns to test

4. Decide how to measure the response of the test segment against the control segment eg:

• Click through rate (Limited)

• Brand impact / awareness

• Index against a 3rd party vertically-focused metric (e.g. propensity to buy a luxury car)

Run the test: run campaign against two segments (1/2)


Hypothesis Design

Analyse Test

1. Segments defined in ad server

MY WEBSITE

Consumer Web browser

Publisher website

COOKIE ID AD CREATIVE

PUBLISHER SYSTEMS

Ad server

1. Consumer enters website

3. Ad server determines if

user is in target or control

segments and serves ad

accordingly

2. Ad request made to ad

server, includes web page,

visitor geoIP transmitted to

ad server

4. Consumer shown ad

Run the test: run campaign against two segments (2/2)


Hypothesis Design

Analyse Test

2. Segments defined in separate system

MY WEBSITE

Consumer Web browser

Publisher website

COOKIE ID

PUBLISHER SYSTEMS

CRM Ad server

1. Consumer enters website

2. Publisher system (e.g.

CRM) determines if consumer belongs in a

particular target or control

segment

3. Cookie dropped on browser to identify the consumer

as belonging to

particular audience segment

5. Ad request

made to ad server,

includes cookie ID

4. Cookie identified on consumer’s web

browser

COOKIE ID

6. Ad server responds by targeting ad (based on cookie ID)

and sending the

appropriate creative to the website

AD CREATIVE

7. Consumer shown ad

Analyse the results


Hypothesis Design

Analyse Test

• How did the audience segment perform relative to the control group?

• Significant difference in response rate / brand awareness / index relative to vertical indices?

• Consistent differences? (E.g. across different ad campaigns / parts of the site / geographies / other variables?)

• How valuable is the segment to advertisers?

• Are there ways to grow its value e.g. introduce new criteria?

Iterate the segment -> develop new hypotheses


Hypothesis Design

Analyse Test

• How big is the segment?

• Are there ways we can expand its size? (E.g. introduce broader criteria, or look for similar characteristics elsewhere?)

Work in partnership with advertisers throughout the process


Hypothesis Design

Analyse Test

What audience segments matter to your advertisers?

What test results would impress an advertiser?

Are the results compelling for your advertisers?

Use 3rd party data to augment 1st party data

• Identify more highly targeted segments– Users that match criteria defined using

combination of 1st and 3rd party data e.g. Regular visitors to my site (1st party) AND 21-35 year old female (3rd party)


• Validate segments created using 1st party data

– Index segment generated using your 1st party data against a 3rd party source trusted by your advertiser to demonstrate the value of your new segment

Live Demo

Audience Segmentation

Data equals dollars

Technology

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