Yahoo @ oi15

1

Michael Bevans

Digital Marketing Nirvana – we there yet?

2 Yahoo 2014 Confidential & Proprietary. 2

Digital Marketing Nirvana


Advertisers need to follow consumers as media consumption shifts to digital The changing media landscape

•  PC to Mobile

•  TV to Online Video •  Display to Native and Online Video

•  Cross-Format / Cross-Device

•  Data-Driven Programmatic Buying

Consumer Shifts Advertiser Shifts


Mobile devices have overtaken PCs for digital content consumption globally Shift: PC to Mobile

4

Daily consumption (minutes)

0 50 100 150 200

UK

DE

USA

Global

Smartphone PC

Source: Millward Brown AdReaction 2014


Smartphone use is dominant and consistent throughout the day Media consumption varies by device

TV

Tablet PC

Smartphone

Source: Milward Brown United Kingdom 2014

6 Yahoo 2014 Confidential & Proprietary.

88% OF MOBILE TIME SPENT IN APPS

Users overwhelmingly prefer apps

Users are spending more time than ever in mobile apps and

are downloading on average nine apps per month.


Mobile is personal, ads should be too Your app signature is more distinctive than your DNA

410 x

1093 1M

apps in the both App Store and Google Play

20 apps per person

possible combinations of apps per platform

(there are about 8M possible chromosome combinations)

x =


Shift: Video Consumption More people. More content. More places to watch than ever before.

*Sources: Nielsen Cross-Platform Report, Q2 2014 + eMarketer, September 2014

YoY increase in digital video watching in 2014 by

18-34 yo

+53% 210M

Digital video viewers by 2016

Where people consume Video is changing

More content drives user fragmentation Average mobile video

apps used

+13%

Average PC streaming sites visited

+23% Average TV channels

viewed

-3% Mobile becoming the platform of Choice

of total time spent viewing digital video occurs on

mobile devices

50%


88% Use mobile for some other activity

while watching TV

Mobile usage during TV % use always/often

77% Use mobile for something related to

what they’re watching

Even more use mobile during TV viewing for personal, social, business reasons

3 in 4 TV viewers access mobile devices for additional show content

Source: Yahoo Smart TV Digital Living Room Study, January, 2014


The promise of digital marketing?

•  Data

•  Programmatic

•  Cross Device/Cross Format


Overhyped or real? Big Data


The Internet of Things

Source: Goldman Sachs


Actionable Data

Insights for Strategic Planning

Campaign Performance Measurement

Audience Targeting


Turning Big Data into Smart Data

Understanding of Customer Behavior

Audience Discovery and Engagement

Personalization

Optimization of Marketing Channels


Smart Data powers programmatic

Programmatic does not mean Automatic

“GIGO” Principal applies

Programmatic provide Brands with a very “Audience Centric” approach to media buying (76%)

Programmatic enables cross channel (59%)


Measurement and Big Data


17

Measurement and Big Data

≠ Click-Through Rate (CTR)


Market Scarcity

Per

form

ance

Purchase

Search

CRM

Website Visits

Brand Followers

Demo

Geo Country

Techno

Interests

TV Location

Lifestage

App Visits

Value of Data


Con

sum

er R

elat

ions

hips

Breadth and Depth of Data

Content consumption

Data

Email insights

Behavioral data

Purchase data

Registration data Mobile data

Social data

Search data

Data landscape

Advertiser Data

Retargeters


Yahoo user experiences generate 165 billion data points daily


Yahoo Audience Data

MAIL

Consumption data from billions of

Yahoo, Flurry and Tumblr users

provide advertisers the most

comprehensive view of user’s digital

behavior and increase advertising

performance and engagement.

NEWS, SPORTS, FINANCE SEARCH


Consumer Relationships

Content consumption

Emails received

from businesses

(55m)

Search history

(1.8bn+)

Ads clicked

Purchases ($11.5bn)

User registration

Locations

Recency & Frequency (131 min/mo)

Mobile devices (1.5bn)

165 billion data points a day from 1 Billion plus users

Social data


Engaging Consumers Throughout the Lifecycle

HHI: >$100K

Sports/golf

Age:37

Geo:London

Male

BT subscriber

Vauxhall owner

Site Visit: www.BT.com

In market for: Mortgage

Awareness

Consideration

Evaluation Purchase

Loyalty

Passive

Active


Programmatic enables data-driven campaigns across formats, inventory, devices

Cross-channel, multi-formats

Data +

Targeting

Inventory

Ad formats


Cross-device uplift


Benefits and Barriers Cross-device marketing

•  Source: eMarketeer

•  Optimized performance

•  Expanded Reach

•  Streamlined media buying

•  Cost efficient

Benefits

•  Tracking and reporting is complex

•  Few players can connect devices

•  Mobile, display and tablet are managed as separate budgets

•  Difficult to hit target audience

Barriers


Many ad formats allow for creativity

Display

Video

Mobile

Native Ads

Image Ads


Embedded into dynamic new content formats designed for mobile content consumption Large graphical native ad formats

C O N T E N T S T R E A M I N T E R S T I T I A L A R T I C L E


Content takes center stage on Social


Audiences are engaged with native ads

+114%

Top of mind unaided awareness

Source: Yahoo/Ipsos Gemini Mobile AdFx Study, May 2014. Lift calculated test (exposed) vs. control (non exposed)

+80%

Total unaided awareness

Native ads in a mobile content stream


31

Digital Marketing is the worst form of Marketing with the exception of all

others


Shifting consumers media consumption requires advertisers to develop a holistic campaign approach

The future of digital advertising is

audience centric, device and format

agnostic

Advertisers need to tap into Smart Data

via partners with deep customer

relationships

Striving for Digital Nirvana


Thank you

Yahoo @ oi15

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confidential proprietary

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