Transforming Modern Marketing With People Data

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Transforming Modern Marketing With People Data Tom Chavez, CEO & Co-founder, Krux Yasuko Nagamatsu, Project Manager Expert

description

"The future of advertising is not about social, not about viral videos, not about mobile, not about any new medium or any new ad unit – but about data. Those who know what to do with this will be the new kingmakers, the new rulers of Madison Avenue – or the creators of a new avenue of media" - Michael Andrews of AKQA Transforming Modern Marketing with Data was presented by Tom Chavez, CEO, Krux and Yasuko Nagamatsu, Global Business Strategy, Cyber Communications Inc. (CCI, subsidiary of Dentsu) at #adtechasean.

Transcript of Transforming Modern Marketing With People Data

Page 1: Transforming Modern Marketing With People Data

Transforming Modern Marketing With People Data

Tom Chavez, CEO & Co-founder, Krux Yasuko Nagamatsu, Project Manager Expert

Page 2: Transforming Modern Marketing With People Data

“I want it PERFECT!” “I want it

NOW!”

“I want it

PERSONAL!”

Enterprises want to communicate with

customers who operate in a ‘new normal.’

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Our digital lifestyle generates a torrent of data.

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Mobile

App

Location

Content

(Owned)

App

Web

Social (Earned)

Twitter

Facebook

Pinterest

Offline

Sales

Registration

ERP CRM

TV

Coupons

Online

Influencer identification &

engagement

Media (Paid)

Set Top Box

Browser

Search

Blogs

In-Store

Marketing in the new world order…

… is about capturing and harnessing people data to power

smarter, more personal experiences

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People data powers effective marketing.

“The future of advertising is not about social, not about viral videos,

not about mobile,

not about any new medium or any new ad unit –

but about data.

Those who know what to do with this will be the new kingmakers, the

new rulers of Madison Avenue – or the creators of a new

avenue of media”

- Michael Andrews of AKQA

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Successive cycles of disintermediation fueled by other people’s data

Emergence of

Ad Networks

• Pixels enable

rudimentary audience

tracking and

measurement

• Cookie pools enable

first-level audience

segmentation

• Publishers

disintermediated

Traditional

• Content =

Proxy for

Audiences

• Driven by

models, indexes,

inferences, and

approximations

Emergence of DSP’s

• Real-Time Bidding gives

rise to programmatic

buying and selling

• 3rd party data takes

root

• Retargeting driven by

publisher data

• Ad networks

disintermediated

How did we get here?

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Digital Marketing is now Data-Driven

Traditional

Ad

Networks

DSP

Data Era

• First-party data captured at huge volume and

velocity

• Second-party data emerges

• Online, offline, CRM data is unified into a single

view of customer

Security and governance rise in importance

• Piping and connectivity becomes table stakes

• DSP’s are disintermediated (or become DMP’s)

We are in the beginnings of the “Data Era”

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First-Party Data

• Site-site data including

behavior, history,

frequency and more.

• CRM data, such as user

registrations, loyalty,

purchase data.

• Ad serving data including

clicks, view, interactions.

Full ownership

Highest value

Second-Party Data

• 1st party data from a

source such as a media

or business partner.

• Shared in a secure

policy-managed fashion

between parties.

Shared ownership

Extends the power of

first-party data

Third-Party Data

• Audience segments

acquired through a

data provider

No ownership

Least value

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A Taxonomy for Data

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DMP: Marketing Control Center

Data Management

• CRM Data

Marketers

• Purchase Data

• Loyalty Data

• Campaign Data

• Site Data

Publishers

• Subscription

Data

• Registration

Data

• Site Data

Higher CPM’s

Improved sell-through

Stickier Ad Products

Personalized engagement

Actionable customer insights

Higher ROI on marketing

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Advertiser & publisher merged data via Krux platform to create 10M+ segment

Use case 1: CPG Manufacturer & Publisher unlock new value via 2nd-party data sharing and

data management

Krux

• Large CPG

• Multiple food brands

Large CPG

Manufacturer

• Robust food

buyer, loyalist

and media data

Premium

Publisher

• Multiple female

sites & large

recipe site

• Very rich 1st-party

data set of food

enthusiasts

Publisher Benefits

• 8 figure media deal

• Sticky relationship with global

advertiser

• Relevant high-quality ads

Marketer Benefits:

• Precision targeting at scale to measurably improve sales

• Insights about what customers want and how they engage

• Increase frequency by programmatic audience extension

17:33:33

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Use Case 2: Cyber Communications, a technology-driven digital

communications company

11

A

d

v

e

r

t

i

s

e

r

Over 500

Ad Agency

Over 500

Publishers

media buying

product & biz dev.

tech solutions

consultation

media planning

tech solutions

trafficking

analytic

and others… and others…

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Enrich Service

Towards

Demand-side

Strengthen Growth

& Quality

Enhance Service

for Supply Side

Strengthen Demand

Side Service

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Use Case 2: Our Core Vision: CCI as Media Growth Partner

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Content/Creative

Customization

CRM Offers

PC/Browser

Mobile

Social

Analytic

Ad Network

Programmatic

CRM loyalty card

Panel User

Premium Publishers

+ local DSPs

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Use Case 2: Krux-CCI Partnership

100MM+UB

1,000+ Categories

30 Data Providers

Aggregate audience data from data providers.

Sell our segmented data to data buyers via PrediX

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Benefits for Publishers • Create new revenue

• Monetize inventory

• Expand reach

• Increase unique

users

Benefits for agencies

& advertisers • Establish premium

environment

• Expand audience

• Unified audience view

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Publisher

Advertiser

Ad Tech Agency

Use Case 2: Our Data Business

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Use Case 3: Use people data to eliminate

marketing waste

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Use Case 3: Eliminating marketing waste

Major brand marketer runs

100’s of campaigns. Campaigns

run across more than 20>

media and programmatic

channels every month

Audiences were being targeted

with severe audience

duplication across channels

Sought to create a global

control mechanism that

allocated impressions and

spend to optimize overall

frequency-per-user

0

2

4

6

8

10

12

14

1 2 3 4 5 6 7 8 9 10 11 12

Too little

Sweet spot Too much

Marketers’ desired frequency vs. spend allocation

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Use Case 3: Eliminating marketing waste

With Krux, generated holistic

and granular media reporting at

the user level, campaign level

and publisher level to measure

frequency & audience overlap.

Globally managed frequency using Krux as the control center and

Reduced Media Waste: Identified media execution partners with problems to enforce T&C’s.

Improved ROI: By optimizing under-performing partners & audiences.

Reduced Cost: By eliminating over-saturation on a per-user basis

Discovered frequency distribution problem

Reduced waste by 10X. Under 3% overage

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The future is here, it just isn’t evenly

distributed yet

Source: Neustar

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Krux is helping leading brands around the world unlock value from people data

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Thank you

[email protected]