Is It The Death Or Rebirth Of Digital Advertising?

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The Death of Digital Advertising?Brand Summit 26th November 201511

Adreaction: Video Creative in a Digital World

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Survey research was conducted in 42 countries (19 countries in Europe) among 13,500+ 16-45 year old Multiscreen users.Parallel copy testing research (TV vs. online vs. mobile) was conducted for 20 ads in eight countries.

#MBrandSummt @MB_Turkiye @vincentblaney

3My History of Digital in a few slides

Presentation Notes 12/1/2015#

A perspective4


But a pair shoes is still a pair of shoes

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Look at these shoes!

You have been looking at these shoes

You are thinking about shoes



In a way we are still just chasing numbers

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Impression

CTR

CPA

CPM

CPV

Like


I am not a number7

0.020.040.06

50% curious / 50% a mistake0.08


Ted McConnell is exec VP-digital for the Advertising Research Foundation recently reported a little experiment he conducted in AdAge: http://adage.com/article/digital/incredible-click-rate/236233/

He and some associates ran six blank ads in three IAB standard sizes, and two colors, white and orange. The average click-through rate across half a million ads served was 0.08%, which would be good for a brand campaign, and so-so for a direct response campaign. When asked half the clickers said they were curious, the other half admitted to a mistaken click.

As McConnell admits the experiment is not realistic, after all it was a blank ad, but he states,

At a minimum, the data suggest that if you think a click-through rate of 0.04% is an indication of anything in particular, you might be stone-cold wrong.

So if half the people who click on an ad do so by mistake what does that imply about the value of online advertising? ROI calculations based on click through start to look even more dubious than they do now. And yet we know that the overall effect of an online ad is far greater than immediate behavior would imply.


Programmatic advertising is exploding

Surely this will save the day

8PROGRAMMATIC


How well are we really targeting9

#AdReaction @millward_brown @vincentblaney


Some initial Dos and Donts

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Dont let investment targets define your strategy to see how it performs in the mix

Do define a clear role for digital in your campaign

Dont allow creative that has not taken consumer mindset and context into account

Dont limit your creative agencies with short lead times and small budgets

Do hold your creative agencies accountable when they are given the brief and time

Dont be fooled by the magical world of optimisation


11Everyone is talking about Video

We are certainly all doing it!

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3.4 Hrs

2.9 HoursGLOBALEUROPE3.7 HoursAMAP3.4 HrsNorth America4 HoursLatam

3.2 Hrs

Turkey falls in the bottom half of markets in terms of total video viewing an area dominated by European markets, actually only Japan and South Korea stand out as they fall into some of the lowest consumption globally.


Video views are truly cross device

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GLOBALEUROPE3218181022341919919

Around 50% of all video viewing on a digital deviceLIVE TVON DEMAND TVLAPTOPTABLETSMART PHONE

So what about device usage

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LIVE TVON DEMAND TVCOMPUTERTABLETSMARTPHONE

Share (%)

How much to age play a role?

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SMARTPHONE

ON DEMAND TV

COMPUTER

LIVE TVTABLET

Average time spent (daily minutes)

A different picture in Turkey

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SMARTPHONE

ON DEMAND TV

COMPUTER

LIVE TVTABLET

Average time spent (daily minutes)

However we are struggling to cross the device

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Houston we have a receptivity problem

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Live TVOn Demand TVLaptopTabletSmartphone

-25-43-43-44-48

NA-2-25-30-28-34

LATAM+12-15-17-17-23

AMAP+18-3-6-6-11

EUROPENet figure (+ve minus -ve)

-3-34-34-33-37

Who do we need to convince

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Live TVOn Demand TVLaptopTabletSmartphone

-9-47-47-48-53

25-34-1-31-25-23-24

35-45+2-16-28-27-31

16-24

20How do we agree the best deal with our consumers

A greater feeling of control leads to better receptivity

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Logit Transformed r2=0.55; r=0.74 (95% Confidence Band)Ad ReceptivityControl30 40 50 601020304050

FrancePolandCzech RepublicNetherlandsDenmarkSwedenChinaCanada (French)AustraliaFinlandNew ZealandUK (English)CanadaGermanyHungaryNorwaySlovakiaRussiaSpainGreeceArgentinaVietnamUSSouth AfricaIrelandJapanColombiaItalyTurkeyHong KongKenyaSaudi ArabiaIndiaTaiwanSouth KoreaThailandMalaysiaBrazilMexicoNigeriaPhilippinesIndonesia

Greater control formats are viewed more positively

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-7

-13

-7

-22

-3

-33

-19

-47

-37

With more demand for control creativity is more important than ever

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24DONT JUST COPY AND PASTE YOUR TV AD

The online video world is very complex

Back to the age of the silent movie

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Beware the cliff capture attention in the first few seconds

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Viewer share (%)Duration of ad (seconds)Video Playback Behaviour0 10 20 30 40 50 60 70 80 1009080706050403020100

Integrate the brand in the first few seconds

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GERMANYUSA

Just like its important to engage people in the opening seconds, its also critical to integrate the brand. Unlike ads on TV, if you dont feature the brand within the first few seconds of digital video, the brand is unlikely to benefit from any positive impact. These two examples are great examples of intergrating the brand early in the ad without taking away any magic. In the maggi ad, we open up on the brand with them choosing the product to cook with. Begginn is an ad which is effectively a rap specific to the brand combined with humorous close ups of the dog and what he is doing over a day whilst also dribbling and enjoying getting his beggin treats. Beggin opens up with the rap by including the brand name with the brand name also on screen.


Be mindful of the click to play challenge

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The first frame is key

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UKUSA

Keep it short

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GERMANYAUSTRALIAUSA

Finally, we talked about this last year when we looked at video content from 6 seconds to 6 minutes. We said that story telling is of course a great way to engage and ensure key associations can connect to the brand but its critical the story is told as just the right length. Not too long, not too short for the key elements or intrigue. In an online environment where people can skip, length is even more important. Shorter ads on the whole were far more likely to keep people until the end. The maggi and IGA ads worked well and straight to the point. The Beggin ad which people loved was too long for many. Show: Maggi digital, IGA, and Beggin


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Low volume high cost to high volume low cost

It is more important than ever to focus on all the right things

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right personright messageright time



33Lets finish with two potential futures


The future as we see it34


Our current vision of the future has been played out to us this feels like the direction we are heading


Potentially as the consumer sees it - Adblockalypse now!

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The Death of Digital Advertising?Brand Summit 26th November 20153636

Is It The Death Or Rebirth Of Digital Advertising?

Marketing

Transcript of Is It The Death Or Rebirth Of Digital Advertising?