Programmatic advertising for Small to Medium Enterprises

, , ,

Programmatic advertising for SME’s

In today’s increasingly competitive marketplace, a reliable and consistent method of supply of new customers is truly the golden egg. If you are a small or medium enterprise it is on you to ensure that you are acquiring customers in the most efficient manner both from a time and cost perspective.   Programmatic advertising not only meets both of these standards but also provides greater control over the potential customers viewing your ads online. This last point is crucial. Ultimately the precision of the method used for determining who your ads are shown to correlates directly to the likelihood of that person converting to an actual customer.

What is Programmatic?

Programmatic advertising is ineptly named and is likely to cause confusion for the majority of business owners, and will probably cause a sense of impending doom for those who are less tech savvy. Alas, do not be deterred. Programmatic simply refers to the automated purchase of ad impressions, nothing more nothing less. So for example, if you hire an advertising agent to purchase ad impressions on behalf of your company, based on your requirements the ads will be purchased via automated technology from a website with available space to place your ad. There are two principal forms of programmatic advertising, real-time bidding (RTB) and programmatic direct.

Real Time Bidding (RTB)

Real time bidding essentially involves the automated purchase of ad impressions across numerousplatforms via an open bidding auction. Imagine a person is visiting a website which attracts 30 year old females, with an interest in trainers, who live in Germany, who are single, who work in finance… you get the idea. If the owner of that website is using programmatic software then available ad impressions can be added to an open advertising marketplace in real time. A buying agent also using the appropriate software, will through automated processes have the ability to purchase that ad impression by bidding along side other agents on your behalf. If you are successful in the bidding auction then the relevant real time visitor will be shown your ad. This all occurs in thousandths of a second and allows ads to be purchased in real time across many platforms. It is essentially a type of automated matchmaking between those seeking to buy ad space and those seeking to sell, with the benefit of the immediacy which programmatic delivers. It is also possible to gain access to private marketplaces. This is when high level advertising publishers sell ad impressions within an auction environment on an invitation only basis. This allows publishers to have tight control over the ads placed on its platform, and gives a stronger assurance to the buyer in relation to the environment in which its ads will be displayed.

Programmatic Direct

‘Programmatic Direct’ involves an automatic process which allows the party seeking to place an ad to purchase the impression directly from the seller of the available ad space. There is no auction and is akin to a typical purchasing transaction, in this case the product is the ad impression. An advantage of this method is that it provides a guarantee for those looking to advertise, in terms of both whether and where the ad will be displayed. Typically the cost of impression (CPM) is agreed between both parties and the ongoing tracking of the particular ad campaign is automated. The level of automation can depend on what the publisher chooses.

SO WHAT?

Now you understand what programmatic is all about, you might find yourself asking what does this mean for me?

Simply put it means that you can target your potential customers with increased accuracy. This is due to ever improving algorithms designed to deliver your ads to the person not only most likely to have an interest in what ever it is you are selling, but also to actually convert that person into a customer. The technology also delivers increased transparency which provides for a better understanding of the ad buying process. This gives you greater control in terms of deciding the context or platform on which you want your ad displayed, ensuring your brand identity remains intact. Perhaps the highest value dimension to programmatic is the sheer speed at which the entire process takes place. The miracle of the software allows you to insert your product directly in front of the right person and connect with your potential customer at a crucial moment in time, ensuring your impressions result in the highest possible conversion rate. This point should be carefully considered by all SME’s when engaging in an advertising campaign, as ultimately wasted ad impressions are just that, and not only impact your bottom line but can also effect the pace of growth of your business.

contact us to see how we can generate new revenue streams for your business.

Why are the top advertisers in Ireland shifting their budgets to mobile?

, , , , , ,

‘Mobile adspend in Ireland grows from €9.9m in 2012 to €231m in 2016’ & ‘total digital adspend grows from €148.2m to €445m in the same four year period’.

The development of technology has provided consumers with a device that only Mork and Mindy could only have dreamt of, the mobile phone, aka – the new best friend. This tech change in society has a major influence on how all advertisers are targeting their customers, annual adspend figures showing the shift of marketing budget from traditional media to digital, with focus on mobile. This is where customers can be found and communicated to in an engaging and relevant manner with little or no wastage.

The IAB Ireland, the trade association for digital advertising in conjunction with PwC, conducted the latest research to provide us with the most accurate information when measuring digital ad-spend in Ireland. The produced report includes spend from media agency buyers, brands direct, digital sales houses, and various publishers – local and international in Ireland for the entire year of 2016.

The findings may surprise some, the exponential growth of mobile consumption, with social media and video on demand evident drivers, and advertising spend following digital consumption with significant year on year growth figures.

The IAB Ireland PwC Online Adspend Study for 2016 (Jan to Dec) reports ad revenues of €445m compared to €340m in 2015, a significant growth of 31%.

Core Media estimates that in 2016 Google, across all its platforms, will generate around €175m on the island of Ireland alone. “Some 16pc of all advertising money spent on media in Ireland is spent on Google,” notes Alan Cox, CEO of Core Media.

 

Key findings:

  • Mobile Adspend in Ireland is up 63% from 2015, representing €231m, 52% of total digital adspend – the breakdown is 55% across search and 44% on display
  • Display advertising holds a 44% share with a spend of €197m – an increase of 44% on 2015
  • Paid for Search Advertising has grown 25% YOY with a 49% share of total online adspend at €219m in 2016
  • Social Media across Desktop & Mobile is up 133% on 2015, a total spend of €114m, 25% of total digital adspend
  • Video on Demand (VOD) saw an increase of 91% on year, a total of €47m
  • Native advertising total spend in 2016 was €82m – representing a growth of 82% on 2015
  • Classified Advertising represents 6% of spend at €29m in 2016.

 

Advertisers follow consumption, so what is driving digital growth in 2016?

  • 80% Irish adults use smartphones, an increase of 75% on 2015
  • Irish marketers planned to spend 21 – 50% of total marketing budget on digital in 2016
  • VOD: 61% of Irish adults spend over four hours per week watching video streaming content
  • 59% of 15 – 24 year olds watch more VOD than TV
  • 24% of adults visit a brands site after watching a video compared to 20% who search online for the brand.

 

Top 5 spenders on desktop & mobile devices by advertising category & contribution to total digital spend:

  1. Finance = 18%
  2. Retail = 14%
  3. FMCG = 12%
  4. Telecomms + Utilities = 11%
  5. Auto = 10%

 

 

 

Source: IAB Ireland, Independent.ie

 

Using video as a corporate training tool

,

Corporate training videos have a mixed reputation at best. At worst, they’re seen as clunky, expensive, time-consuming and frequently dated. But it doesn’t have to be that way.

With changes in technology and workplace culture, video corporate training has never been more affordable or accessible.

Workplace communication is less formal now, and often has scope for more creativity; the internet has all-but eliminated the need for expensive (and often draining) long trips to training sessions and seminars; and today’s workers and employers are far savvier in both consuming and creating video content.

Here are some ways to make the best training video possible – communicating your wisdom clearly, and ensuring that it’s digested effectively.

Break it Down

As we mentioned, the days of long training seminars are numbered, and not a moment too soon. Employees often resent losing a day (or more!) of productivity that they’d have to make up when they returned to their office.

With training videos, you can present the information in short bursts lasting anything from 5 minutes to an hour. That way, the employee can soak up the information at their own pace and in their own schedule. They’re not overloaded with too much information at once. And, with videos broken down into different categories, it will be easier for them to revisit and revise.

Adapt to Feedback and Changes

In the old days, corporate training was much more didactic: The supposed expert would talk to a group (sometimes thousands at a time) often relaying a speech they had given hundreds of times, with no feedback and no consideration for their audience.

With video training, you can opt to communicate with the students – whether they’re direct employees or clients. And if it’s an ongoing course, they might need a point expanded upon or explained more clearly.

This can also apply to changes in trends and new information. If a relevant and enlightening marketing survey emerges before the final lesson, for instance, don’t be afraid to add it in.

Capitalise on Interaction

A wonderful benefit of video training is that you can interact with students like never before. For instance, allowing text questions to appear beneath the video would allow you to answer them for existing and future students – you could even use it as a chance to draft an FAQ for each lesson, saving yourself time in the future.

Moderated message boards could be used to, for students and employees to discuss lessons and trade tips.

Additionally, video tutorials can include multiple choice quizzes between lessons so you and/or students can track progress.

Check Completion Rates

Using log-ins, IP addresses or other information, you can easily check which videos are the most re-watched, the most commented on and how many students watch the entire video. Harness this information to better craft your future videos, and to communicate with students if need be.

Be Creative

Workplace culture is constantly in flux, which is one of the reasons that corporate videos age like milk instead of a fine wine. One of the benefits of the modern workplace is that communication is less formal and jargon is less frequently used as a crutch.

This culture – combined with current technology – gives you the chance to be creative. Use onscreen text in an inventive way (job titles don’t have to appear at the bottom of the screen, for instance); use animation; and footage of the job in action. Speaking of which…

Demonstrate

We live in the world of public domain images and videos, where footage of how to (and not to do) just about any job is available. Video training should not necessarily be static lectures – use the opportunity to show the job being done right. For example, an admin or computer coding lesson can easily include footage of the work being carried out.

Video training, like any discipline, can be done effectively or poorly. But now more than ever, training staff can communicate, augment their videos and reach students in exciting, fresh and constantly evolving ways. Embrace these opportunities.

Key industry facts and figures for 2015

, , ,

The only constant, they say, is change. And that’s especially true when it comes to ad spend, online content and consumer habits.

So how is the digital landscape looking for the future? We have trawled the web in search of the latest findings on digital consumption, the growth of video, the influence of social media and the impact of advancing technology.

Let’s start with the Irish market…

 

IRISH DIGITAL MARKET 

Ad spend is one of the most affected areas in the past year or so, with seismic shifts in digital ad spend, mobile ads, native advertising and especially video advertising. 

Key Findings:

  • Digital Ad spend grew by 25% in the first half of 2015 to a landmark high of €162m.
  • Mobile ad spend is now 40% of total digital spend with growth year-on-year of 72%.
  • Native advertising (sponsored content) has been broken out for the first time with a spend of €16m in H1 2015 (Jan to June 2015).
  • Spend on digital video advertising grew by 57% from €7m H1 2014 to €11m H1 2015 reflecting brand advertisers’ strong commitment to this format.

This move towards video ad spend is a reaction to consumer habits. As you’ll see below, Irish consumers are flocking to online video, which is having a knock-on effect on traditional TV and social networking.

  • 54% of Irish users consume video via smartphone on a daily basis. 61% of all users consume short form video via smartphones.
  • 43% of 26-34 year olds in Ireland consume the majority of their TV content online.
  • Speaking of social networking, the Irish are fond of Facebook and video channel YouTube as a means of communication, with rising star Twitter making a bigger impact in recent years.
  • 35% of Irish people use YouTube as a social network, behind Facebook at 52%, ahead of Twitter at 23%.
  • 640,000 users in Ireland have active YouTube accounts.
  • Almost 70% of Irish Social Media users follow brands and businesses on Social Media.
  • The average Irish user on Facebook displays more than 300 friends, which provides viral opportunities.
  • Retailers are experiencing up to a 35% conversion lift when using online video to present their products (according to research from marketing professionals in April 2015).

Arguably the biggest change in the last two years in Ireland has been the rise of Video on Demand (of VoD). For instance…

  • Video on Demand – stats based on the last six months of people who have watched video on demand:
    • 87% of Irish adults aged between 18-34 years old.
    • 85% 25-44 years old.
    • 84% of Housekeepers with kids.
    • 66% of All adults.
    • 47% of adults age 45+.
  • Platforms used to access Video On Demand – free platforms have the highest reach
    • 51% use free services.
    • 25% paid subscriptions.
    • 9% pay per view.
    • 66% of all viewing is spent watching free content.

This, of course, has a knock-on effect on marketing trends. Here is where you can see the real power of viral campaigns and word of mouth.

  • Video marketing trends:
    • 23% of people searched for a brand after watching a video ad.
    • 19% amplified it through word of mouth.
    • 9% bought a product based on viewing the video.
    • 16% clicked the ad to find more information.
    • 23% visited the brands website.
  • Video consumption trends
    • Within 1 hour of VOD consumption a typical person watches:
      • 36 mins of On-demand content.
      • 24 mins of Live-broadcasts / streams.
    • The last 6 months people who watch 1hr or more video has increased from 72% to 91%.
    • 54% of 16-24year olds watch more VOD than TV.
    • 33% of all Irish adults watch more VOD than TV.
    • VOD viewing rises sharply during the evening hours of 6pm to midnight.
    • And accounts for 60% viewing time.
    • Weekdays and weekends have similar viewing trends.

Consumers tend to be most receptive on mobile devices, particularly smartphones:

  • Influence of Device on Attention index*
    • Smartphone 109
    • Tablet 99
    • PC 93
  • Receptivity index:
    • Smartphone 101
    • Tablet 95
    • PC 91
  • Consumers usage by browsing device:
  • Facebook mobile: A screen first a phone second –
    • Facebook IQ: Study showed 3 key insights when measuring the motivators and behaviours of 25-35 year old adults
      • Online is the new Offline.
      • Mobile is the first ‘screen’.
      • ‘Fear of being Offline’ is the new ‘Fear of missing out’.

 

These figures are mostly consistent with UK trends. Let’s take a look…

UK DIGITAL MARKET

 

Key Findings:

  •  Consumers in the UK are increasingly watching more video ads, with start rates rising from 41% in 2013 to 63% in 2015.
  • 40% are watching more video on their smartphones in 2015 than 2014, 26% are watching less TV because of this.
  • 80% watch mobile video at home and 50% watch it outdoors, 25% would watch more video on their smartphones if it didn’t use up their data.
  • Mobile video isn’t just short video clips – 37% watch long video formats such as full length movies or TV shows at least once a day.

 

So how does that apply to ads? You’d be surprised how much consumers embrace ads, if they’re done the right way…

 

  • 70% are happy to have ads to get free content, but would prefer ads that appear in mobile videos to be related to the video they are watching or have recently watched.
  • 25% often watch video on their mobile whilst watching TV, offering a pathway to creating more engaging and innovative multi-media campaigns.
  • Comscore reports a website visitor is 64% more likely to buy a product after watching a video and will stay an extra 2 mins longer on your website.
  • 80% of smartphone users use mobile phones for shopping research, and 80% of those shoppers do their mobile research in store.
  • Video is worth 1.8m words, according to Dr. James McQuivey of Forrester Research.

 

Here’s how the UK were spending their ad budgets…

 

  • Digital advertising in the UK was worth £3.975 billion in H1 2015, up 13.4% from £3.507 billion in H1 2014 representing a market share of over 40%. 
  • Digital advertising spend in 2014 was £7.2bn, a 40% market share and a growth of 800% since 2004 when share was 4%.
  • Digital video advertising grew from £12m in 2008 to £442m in 2014. 
  • Mobile ad spend represented £29m in 2008 (1% of digital advertising) – In 2014 it has 23% market share worth £1.6bn.
  • Mobile video advertising is the fastest growing digital ad format = 142% growth from 2013 – 2014.
  • Social media advertising has shown a growth of 530% since 2010, from £146m to £922m.
  • 2014 Twitter’s broadcasting feature Periscope had 10m accounts, 4 months after launching.
  • Future looks bright, in 2020 digital will represent 50% market share reaching the £10bn. 

And finally, here’s a tantalising statistic about the broader international market:

  • EMEA has seen the biggest growth in video advertising, growth of 160% since 2013, North America has seen the biggest growth in 2015, + 52%, followed by APAC, growth of 42%.

 

 

 

 

Source: Google, IAB Ireland & UK, Entrepreneur, Nov 2015