Programmatic Advertising IS3150 AY 24/25 PDF

Programmatic Advertising IS3150 AY 24/25 Sem 1 Professor (Adj) Lai Kok Fung Programmatic Advertising Learning Outcome Pricing models of digital advertising Programmatic & Real Time Bidding Related issues 2  Interacted digitally with you...

Programmatic Advertising IS3150 AY 24/25 Sem 1 Professor (Adj) Lai Kok Fung Programmatic Advertising Learning Outcome Pricing models of digital advertising Programmatic & Real Time Bidding Related issues 2  Interacted digitally with you Recap: Display & Retargeting 3 Ad Network Which of the following can be considered as “publisher” in a display advertising network? ✅ i. A personal finance site displaying advertising banner from Criteo ii. A fitness app displaying full-screen animated video by an Margin ~ ❌ advertiser sourced by its own ad sales team 40% ✅ iii. A financial app displaying full-screen animated video as a third-party partner from a social media platform iv. A game app displaying advertising banner for another ✅ game developer by embedding a software development kit (SDK), without dealing with the said game developer directly. v. A e-Commerce site displaying advertising banner of its ❌ own related sales item 4  Aggregation = Scale Advertisers – efficiently market to a large pool of audience Margin ~ 40% Publishers – get earnings from otherwise inaccessible advertising dollars Ad Networks Specialized Aggregators: & Aggregators Unity Games Development Platform à Ads Only 3% of gamers pay for Retargeting games. Small developers Mainly eCommerce rely on Ads Quiz (2023): Display Advertising 1. Why is it important to enable visitors to distinguish between editorial calendar & advertisement? Reputable media companies do that to demonstrate editorial independence 2. How advertiser place advertising banner in this space? Normally go through display advertising network like Google, Criteo, etc.. Only place directly with publisher when it is a large placement deal ($$$, pop up etc.) 3. How display advertising network can ensure Accuracy and quality of ad displayed – ad vetting Relevance of displayed ad to the site’s content Site classification by ad network Targeting options provided to advertiser when Editorial Content Advertisement placing ads Matching of above to (publisher) site contents 6  Digital Ads Pricing Model Programmatic Google SEM Affiliate (Display, Social) 7  The Evolution of This was how display By 2017, the digital ecosystem Display advertising landscape looked has developed from direct buying Advertising like in 2012 and selling into an increasingly complex environment with data https://www.youtube.com/watch?v=1C0n_ now powering real time bidding 9DOlwE and selling. https://www.youtube.com/watch?v=efHVOWc NJZo Instead of targeting “inventories”, programmatic target the viewer of the ad. 8  Majority of Display Ads are now placed via Programmatic Real Time Bidding (RTB): Basics https://www.youtube.com/ https://www.youtube.com/watch? watch?v=XSRlKl8jg6Q v=ylhKJSrxutM 10 RTB: Step by Step How an Ad is Served with Real Time Bidding Older video but explains in detail https://www.youtube.com/watch?v=-Glgi9RRuJs 11 Google Ad I visit this website Which ad should appear? Platform: A: Advertiser Behind the which bids the highest Scene may pay via second-price auction More on Programmatic Advertising Second-price auctions: A model wherein the buyer pays $0.01 (CPM) more than the second highest bid for an ad impression. Price Floor: The minimum price a publisher will accept for its inventory- ignoring all bids below that price. Clearing Price: The final price paid for an impression. Header Bidding (vs Waterfall model): technology for more efficient bidding process. https://www.publift.com/adteach/what-is-header-bidding-and-why-should- you-care 13 Advertiser bid potential customers who fit the targeting profiles high for data Examples: Determined Demographic by Data Interests Past visits, i.e., re-targeting Predictions High Stake Games. Recap: …. Chrome Cookie Policy Change Facebook vs Apple 14  your own Types of Data shared with you eg. from Google & Facebook 15 Second Party Data: Example on Facebook Second Party Data = Someone else’s First Party Data 16 Programmatic Advertising: Complex Landscape https://adtagmacros.com/programmatic-display-advertising-technology-landscape/ 17  Google Ads Adsense / Admob Consolidation Performed by Google / Facebook Ad Platform Leaving little rooms for smaller companies 18 Opaque Programmatic = fully automated Bidding With big money flowing, many issues begin to surface. 19 Next Lecture Topics