Mindshare at DES: Programmatic: It's Not Really About Cheap Media

Perspectives on Big Data

Digiday Exchange SummitThe New Programmatic Advertising Economy

Austin, September 19, 2013

2 This document is confidential and proprietary to Mindshare. Do not distribute without permission.Source: Gartner

By 2017, CMOs will spend more on technology

then their counterpart CIOs

3 This document is confidential and proprietary to Mindshare. Do not distribute without permission.

A Few Observations

1. Programmatic and even Big Data are just ubiquitous industry terms. (What about DSP and DMP?)

2. Programmatic is not really about buying cheap mediaRegardless that 20% of US Display Spending will be

Automated3. Big Data has the potential to strategically solve complex

problems driving actionable marketing and business intelligence to improve both efficiency and effectiveness

4. Big Data is more about connecting structured and unstructured data not about volume Zeta bytes or petabytes


A Few Observations

1. Attribution of Big Data is driven by: Variety : normalizing intelligent connections

between structured and unstructured data types and sources

Velocity: Speed of Real-Time-Decisioning (addressing adaptive nature and responsiveness of data)

Volume : not about volume of data, but the right data

Requires New Approach, Talent, Structures, Algorithms and Skill Sets

Old Marketing New Marketing

This document is confidential and proprietary to Mindshare. Do not distribute without permission.5

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Big Data TerroirIdentify Predictive Patterns

Consumer as Patient Universe

Surgical/Forensic Approach to Targeting Across all Media

Connecting the Right Structured and Unstructured Data Sets

This document is confidential and proprietary to Mindshare. Do not distribute without permission.

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It’s About Active Discovery and MetadataActionable Insights come in all sizes (Sparks and Fuses)

DMP/Media PartnersPredictive algorithms

Dynamic/FractionalOptimizations


A flexible approach in which marketers respond quickly to their environment to align consumer and brand goals and maximize return on brand equity.

Achieved through the integrated use of fast- and slow-moving data sources to drive actionable insights to adapt product, pricing, distribution, and advertising.

This document is confidential and proprietary to Mindshare. Do not distribute without permission.8

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How Marketers Are Using Big DataNetflix

Netflix used data to retain customers and has reduced churn to under 4%

Netflix tracks what customers watch, search, their ratings, time of day, day of week and device(s)

75% of viewer activity is driven by their personalization algorithm



How Marketers Are Using Big Data

Target statistician Andrew Pole ran test after test, analyzing the data, and before long some useful patterns emerged:

Women on the baby registry were buying larger quantities of unscented lotion around the beginning of their second trimester.

In the first 20 weeks, pregnant women loaded up on supplements like calcium, magnesium and zinc.

Many shoppers purchase soap and cotton balls, but when someone suddenly starts buying lots of scent-free soap and extra-big bags of cotton balls, hand sanitizers and washcloths, it signals they could be getting close to their delivery date.

Target assigns every customer a Guest ID number, tied to their credit card, name, or email address with a history of everything they’ve bought and any demo information


Google Flu TrackerCrowd Sourcing Data

Google developed an predictive algorithm based on search trend data which was about two weeks faster than traditional CDC methods of tracking flu

This crowd source data enables CDC to be more responsive to distribution priorities of flu vaccines outbreak on a national and state level

The math works like this: people’s location + flu-related search queries on Google + some really smart algorithms = the number of people with the flu in the United States.

However the algorithm needed to be modified based on general interest and media which skewed data

Lyn Finelli, head of the CDC’s Influenza Surveillance and Outbreak Response Team, feels that such crowdsourcing techniques continue to evolve and show promise with other applications Flu Near You and GrippeNet.fr


How Twitter is Using Big DataSocial TV: Driving new Advertising Opportunities

Twitter acquired Bluefin and Trendrr both research companies focused on social TV data analytics and measuring Tweets Per Minutes (TPM). Miley Cyrus’ performance at recent

MTV VMAs generated over 300,000 TPM

If you tweet about a show while it’s airing on TV, chances are that you’re also seeing the ads

Media opportunity to target sponsored tweets to create digital extensions to the ads on TV

95% of the public social conversation around TV happens on Twitter.


How Agencies Are Using Big DataIn-view Attribution

Junior data analyst at Mindshare was working on some attribution research almost 3-years ago and discussed the concept of in-view attribution.

Mindshare contacted Adsafe and discussed creating the product.

Mindshare ran the first alpha test Following this trend: comScore,

DoubleClick, DoubleVerify, Moat, MediaMind


FB Sources to Drive New Levels of Efficiencies and OpportunitiesHow Agencies Are Using New Exchange Inventory

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1. Beta test for FBX produced over 20% increase in conversion rates

2. FB API Partners identified other affinities by “Serial Likers”. What are the other brands categories that your target audience also “Like”. This drove a series of affinity tests that

demonstrated positive results Creating advanced hyper-targeted knowledge bases

Actively optimize results and identify pattern changes including scale and “Sustainability” over time

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Sustainability Most case studies reflect

performance driven achievements, but are those results sustainable?

Sustainability: Programmatic Challenges and OpportunitiesRequiring New Data Driven and Analytical Approaches

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1. Demand for RTB inventory has greatly accelerated across all vertical including Automotive, Financial Services, CPG …

Project Higher media cost (more advertisers are bidding for same/similar inventory) What worked yesterday is not a guarantee of success tomorrow

“Complacency just doesn't work“

3. Test, Test, Test: leveraging big data, small data, but

“Fail smart and fail quickly“

Apply existing learnings to testing new and re-explore challenged opportunities


Sustainability: New Challenges and Opportunities

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4. Be relentless about solving problems

Keep trying different approaches

5. Focus on new opportunities to leverage Clients’ first –party data

6. Re-targeting is overused and delivers limited scale


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Perspectives on Big Data

Brian M. Decker Managing Director, Digital Client Leadership, MindshareGroupM Sherpa

[email protected]: briandecker6


mailto:[email protected]

0111010001101000011000010110111001101011001000000111100101101111011101010000110100001010(Thank you)


Mindshare at DES: Programmatic: It's Not Really About Cheap Media

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Transcript of Mindshare at DES: Programmatic: It's Not Really About Cheap Media