Simply ACM Multimedia Conference_nov2010_Florence

Putting you first for online advertising www.simply.com

DATA-DRIVEN BEHAVIOURAL

ALGORITHMS

ACM MULTIMEDIA CONFERENCE 2010 FLORENCE


What is performance advertising?

“Online advertising is a form of promotion that uses the Internet and World Wide Web for the expressed purpose of delivering marketing messages to attract customers.”

Wikipedia

ONLINE ADVERTISING = FREE INTERNET A few examples: 1. Google 2. Facebook 3. Myspace 4. Twitter 5. Mobile apps 6. Online newspapers


Performance Advertising is a new model of online advertising where the advertiser pays if and only if the target user “reacts” to the promotion message. Two macrocategories of performance advertising business models: 1. Pay per click: the advertisers pays if the user clicks on the ad and visits his site 2. Pay per action: the advertisers pays if the user visits his web site and executes a defined action, for example a sign up or a purchase As a consequence, in performance advertising the critical need is to get the right target of users

What is performance advertising?


What is Behavioural Targeting?

One of most widespread buzzwords of the last two years in the Internet advertising market is “behavioural targeting. The basic idea is that if an advertiser is able to reach a user who seems to be interested in the same products or who is searching for a good which is sold by the advertiser, the probability of a click and of a conversion on the advertiser web site will be much higher The general strategy of most of these platforms is to provide audience pixels by “a priori” human defined tree categories, not based on performance data


Data-driven behavioural algorithm

" As opposed to behavioural targeting which tends to start with a behavioural theory for advertising performance, Cluster™ targeting starts from the pure empirical performance of users

" Click through and conversion performances of ads are analysed and grouped in to different levels

" Each of these groups is then analysed to understand the behavioural journeys of users across the Simply Network (previous sites visited and search terms used) and on the site itself



" Groups are refined according to the relative strength of performance versus behaviour. If a behaviour group within a cluster shows particularly strong performance, it is separated in to a new and unique cluster. This will depend, however, on whether this performance is more significant than the relative performance of the parent cluster versus others.

" When a new advertiser signs up to Simply and creates a new campaign, the campaign is tested using each cluster group

" Performance is analysed over 1-2 days and the highest performing cluster is assigned to the campaign

" When a new publisher signs up, we analyze the users of his site and after 4-5 days we assign them to the correct clusters



" When a new publisher signs up, we analyze the users of his site and after 4-5 days we assign them to the correct cluster

" The user behaviour on the new site is also analysed to refine the clusters or develop a new cluster

" Meanwhile clusters are continuously analysed and refined


Results

Last 30 days ecpm


Results

Last 30 days CTR


Simply ACM Multimedia Conference_nov2010_Florence

Business

advertising performance

wikipedia online advertising

performance data

internet advertising

new cluster

cluster group performance

relative performance

online newspapers