1. Copyright © 2013 Accenture All Rights Reserved. Accenture, its logo, and High Performance Delivered are trademarks of Accenture. Jason Juma-Ross @ideasoc iStrategy Sydney, April 2013

2. 2.5m display ads/5 secs 1 2 1. An estimated 169 display impressions served per millisecond: 2,470,588 in five second 2. & 3. US Internet Users, ComScore 4. DoubleClick Copyright © 2013 Accenture All Rights Reserved. average user served 1,707 banner ads per month 2 >30% don’t get seen 3 standard banner 0.04% ave CTR 4

3. Real Time Bidding Use of automated tools to procure online advertising, one impression at a time, at scale, based on the unique characteristics of a granular target audience Convergence Buying (again) Ability to procure media packages that consist of combined inventory from both traditional and digital channels Pay for Performance Outcome based buying, allowing advertisers to procure clicks, leads, enquiries, opportunities to quote, bookings, 3 Copyright © 2013 Accenture All Rights Reserved.

4. Long term decline in banner CTRs 4 ClickZ 2001, ‘Are Click-Through Rates Really Declining?’, http://www.clickz.com/clickz/column/1706011/are-click-through-rates-really-declining Andrew Chen’s Law of Shitty Clickthroughs, http://andrewchen.co/2012/04/05/the-law-of-shitty-clickthroughs/# Copyright © 2013 Accenture All Rights Reserved. 199019952000200520102015 100% 80% 60% 40% 20% 10% 5% 78% CTR, HotWired 1994 c. 5%, 1997 0.5% CTR AdKnowledge Online Advertising Report 1st Quarter 2000 0.05% 0.1% 0.04% 0.03% 0.02% 0.01%

5. The ‘law of shitty clickthroughs’ is a general phenomenon 5 Site retargeting clickthrough rate decline over a five month period. Source: http://andrewchen.co/2012/04/05/the-law-of-shitty-clickthroughs/ Copyright © 2013 Accenture All Rights Reserved.

6. Investment continues to pour into digital: for good reason! 6 Source: AQX Monthly, Jan 2011 – Jan 2013, IAB Online Advertising Expenditure Report, Dec 2012, Accenture analysis: APAC region. Copyright © 2013 Accenture All Rights Reserved. ($18m) ($476m) ($24m) $21m $8m $000s $11m ($41m) $516m ROI Basis (example ) (2%) (28%) (10%) (60%) 25% 8%

7. How can we improve this situation in the new RTB enabled environment? 1.Cut through: Great, low-cost creative 2.Audit: verify what you got 3.Relevance: extend the fall off in the clickthrough curve by targeting intent 7 Copyright © 2013 Accenture All Rights Reserved.

8. 8 Source: SuperBowl XLVI, 2012 MoFilm Copyright © 2013 Accenture All Rights Reserved.

9. Use ‘fast transients’ to deliver relevance & extend the useful life of advertising vehicles 9 Copyright © 2013 Accenture All Rights Reserved. Display Media KWG 1KWG 2KWG NSeg 1Seg N Search Dynamic Landing Pages Product/Detail Pages Seg 2 Checkout / Conversion Integrated data Intelligent conversion paths Industrialised automation & decisioning de-averaging

10. Challenge the high cost of complexity attached to delivering relevance Customers demand a more granular and continuous content and functionality development cycle than is possible in the current paradigm 10 Copyright © 2013 Accenture All Rights Reserved. Relevance + Unit Delivery Cost + Complexity Dimensions 5 Product categories 27 Brands 6 Regions 3 Channels 5 Cust. Segments New Paradigm Platform based, componentised dev., flexible architecture with analytics linking content, usage, and value Current Paradigm Monolithic web development & digital supply chain. Analytics used primarily for reporting purposes Current 1 Treatment 5 Treatments 135 2,430 12,150 Treatments 810

11. 11 Copyright © 2013 Accenture All Rights Reserved. Ad Banner Buyer Audit: scans publisher sites to track where your and your competitors’ inventory appears Semi-automated intelligent platform optimises for intent in real time DEMO

12. ABBA 12 Copyright © 2013 Accenture All Rights Reserved.

13. ABBA 13 Copyright © 2013 Accenture All Rights Reserved.

14. Google Search Result (Actual) 14 Copyright © 2013 Accenture All Rights Reserved.

15. Google Search Result (DEMO) 15 Copyright © 2013 Accenture All Rights Reserved.

16. Visitor Context 16 Copyright © 2013 Accenture All Rights Reserved.

17. Optimised Landing Page 17 Copyright © 2013 Accenture All Rights Reserved.

18. Facebook Integration 18 Copyright © 2013 Accenture All Rights Reserved.

19. Optimised Product Page 19 Copyright © 2013 Accenture All Rights Reserved.

20. Optimised Product Page – Visitor Context 20 Copyright © 2013 Accenture All Rights Reserved.

21. Lagging STATIC ‘ONE-SIZE FITS ALL’ WEB SITES PERIODIC, EMPIRICALLY- DRIVEN ITERATION SearchSocialDisplay Personalisation (HTML) Applications, transactional, and service platforms Intelligence Driven (Analytics) Leading Core Systems (Aligned) Foundational Components Web Skin (HTML Layer) Analytics (Reporting) SearchSocialDisplay Emerging AGILE, INTELLIGENT DELIVERY Customer Data Cloud Intelligent Adaptation Componentised Architecture 21 Copyright © 2013 Accenture All Rights Reserved.

22. Broadcast Paradigm 1960 1980 Demog. Segment Simple Offer Single Channel Uniform Campaign Hindsight based business Population Demand Profile Campaign Intent Paradigm 2000 2020 Intent Segments Multiple Offers Local Mobile Social Search Web eDM/DM IPTV, etc Fragmented Channels Campaign Relevance Relevance, scale, & speed Bundle Population Demand Profile Campaigns 22 Copyright © 2012 Accenture All Rights Reserved. Relevance = business de-averaged

23. c.1bn display ads/30 mins 23 Copyright © 2013 Accenture All Rights Reserved. average 250 conversions ROI x2 average 500 conversions

24. Thank you Jason Juma-Ross Regional Managing Director Accenture Interactive jason.juma-ross@accenture.com @ideasoc 24 Copyright © 2012 Accenture All Rights Reserved. Marcus Verrall Digital Director Accenture Interactive marcus.verrall@accenture.com @MarcusVerrall