Advertising Overview

Types of paid ads SEARCH Bid on keywords on various search engines DISPLAY Pop-up Banner Mobile Social Video NATIVE Promoted (social) Content (advertorial)

Parties in an Advertising Ecosystem Sell ad units on their properties Popular websites and portals Publishers Buy ad units on publishers properties Pay for each ad unit delivered Advertisers An online arbitrage platform, which aggregates publishers’ inventory, segments it (geo, age, gender etc.) and sells slices of it to advertisers / agencies. A controlled marketplace between buyers (advertiser), sellers (publisher) and ad networks. Ad Networks “Sales channel” that drives traffic to advertisers’ sites Categorized based on how they drive traffic Ad Affiliates Provides a transparent forum for all parties in the ecosystem to coordinate and transact An Online marketplace where publishers, advertisers, agencies, ad networks, DSPs can buy and sell ad inventory. It works by auctioning each impression to the highest bidder. Ad Exchanges "AN INTRODUCTION TO ONLINE ADVERTISING" BY MINDTREE LIMITED C2010, ADVERTISING-AN-INTRODUCTION-AND-OVERVIEW

Pricing Models "AN INTRODUCTION TO ONLINE ADVERTISING" BY MINDTREE LIMITED C2010, ADVERTISING-AN-INTRODUCTION-AND-OVERVIEW

TREND: Programmatic Advertising What is programmatic ad buying? “Programmatic” ad buying typically refers to the use of software to purchase digital advertising, as opposed to the traditional process that involves RFPs, human negotiations and manual insertion orders. It’s using machines to buy ads, basically. Cheaper More efficient Always on

Display Ads: Ways to target and narrow your audience ◦Context: Based on what content is on the webpage ◦Behavioral: Based on what the web user has been doing online ◦Retargeting: Ads shown to those who have already visited your site ◦Interest categories: What the user is interested in ◦Geographic and language: Where the user is located and preferred language ◦Demographic targeting (age and gender) ◦Placement (above the fold advertising) ◦Ad Scheduling (Day and hours) ◦Frequency capping (# of times a viewer sees your ad) ◦Exclusions (not show on your competitors site or not next to certain types of content)

BEHAVIORALCONTEXTUAL

Ways to target and narrow your audience ◦Context: Based on what content is on the webpage ◦Behavioral: Based on what the web user has been doing online ◦Retargeting: Ads shown to those who have already visited your site ◦Interest categories: What the user is interested in ◦Geographic and language: Where the user is located and preferred language ◦Demographic targeting (age and gender) ◦Placement (above the fold advertising) ◦Ad Scheduling (Day and hours) ◦Frequency capping (# of times a viewer sees your ad) ◦Exclusions (not show on your competitors site or not next to certain types of content)

Retargeting Companies use search data from cookies (web code) to retarget consumers already looking for their products.

Issues with Retargeting Frequency – A single search doesn’t mean they want to see your ad everywhere Burn code/burn pixel: If they’ve already purchased, why waste money on a converted customer? Segmentation: Are you showing them exactly what they looked at (e.g., women’s boots vs men's coats) View-through conversion tracking: Did seeing the ad make them buy, even if they didn’t click?

Display Trend: Video Ads “A year or two from now, we think Facebook will be mostly video,” –Facebook’s head of ad product Ted Zagat during a panel at Variety’s Entertainment and Technology Summit in Los Angeles Wednesday, September 14, WILL-BE-MOSTLY-VIDEO-SOON /

Native Ads Serialized content Meme jacking Sponsored playlists Sponsored stories

Native Ads—Ethical Question