Adtrader Berlin celebrated its 6th year and this year didn’t disappoint with a packed agenda of speakers from across the German media and marketing landscape, mainly in the programmatic space.
The opening keynote was delivered by Dr. Jochen Schlosser, SVP Data at AdForm. His topic focused on Central Audience Intelligence where he compared marketing approaches dating back to the 1960’s when all marketers primarily focused on the classic 4P’s – product, promotion, price and place to the re-focus on the two key elements of product and brand.
In the 90’s, a new revolutionary approach to marketing was introduced, the “4Cs”:
This methodology has a completely different focus: the Consumer! And, it’s taking a while for marketers to catch up. The digital industry and digital marketing mix is striving for completely personalized communication for brands, yet there are still many gaps. Maybe there is no perfect solution, but at least we now have tools to steer us in the right direction.
According to online behaviour should be able to figure out simple socio demographic facts such as gender, approximate age and/or what the current demand is. Interestingly, not all of the brands know how! Dr. Schlosser made it quite clear with a wonderful example of L’Oreal.
He provided his current search behaviour, his needs and his interests. The result from L’Oreal was brilliant. By the end, the message was clear, simple and L’Oreal had drilled down to a single product recommendation that covered all his needs according to the data gathered beforehand. And even more catchy: a voucher was included as well. The sale was done!
In terms of approaching the right audience with relevant creatives or product recommendations it comes essentially down to segmentation and personalisation. As simple as that! And furthermore, once the needs of the user is identified there is the chance to have programmatic buying and the ongoing evolutions such as programmatic TV or programmatic venues combined into one successful and automated marketing story.
Sotir Hristey of HAVAS MEDIA illustrated the utilisation of data by means of classic music. His presentation Data Mixery – Which Data counts explains the needs very simply: “Data needs to be orchestrated and conducted. Only if harmony, melody and rhythm are perfectly matched the relevant audience will listen and eventually purchase the product”.
Last but not least I would like to mention our panel “The Future of Advertising Made by Mobile Moments” with Volker Ballueder, VP Sales EMEA, Lothar Prison, CDO, Vivaki and other panelists from Adserver, Adsquare and DACH Tabmo. The panel discussed that nowadays we are spending 67% of our online time through our smartphone. Mobile is the new currency! Why? Because we are looking at our smartphones 150 times a day with an average time spend of 70 seconds. That’s amazing!
Multiscreen usage in conjunction with programmatic buying is still an increasing part of our business. However, the attention and the allocation of mobile budgets in comparison with mobile utilisation is by far not balanced according to Lothar Prison. Mobile advertising is a discipline on its own. It has got own rules and particular KPIs. Budgets need to “follow” the users on how they are utilising their digital devices and this is not happening at the moment. Mobile usage is ubiquitous. It’s not to be looked at in isolation, rather as an integrated marketing technology. Not all decisions are taken on mobile devices. It is part of the journey while being a multi-screen user. So it should be handled and considered accordingly.
With the current data and resources available to marketers, especially in Europe, some key elements are still missing to provide a 100% deterministic approach where devices, data and users are perfectly in line with the message and the products that are relevant for the single individual user. As of now, we are refining probabilistic solutions and step by step we will go towards a holistic and deterministic methodology but this will still take some time – at least in Europe.
To wrap up, technology advances will enable programmatic advertising to evolve more and more especially in the classic channels such as TV, Radio or Out of Home. Eventually, addressable and automated ad buying will conquer the entire media landscape.
I’m looking forward to seeing how far we get by AdTrader 2017…