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Agency Viewpoint




DSPs, RTB and Programmatic Buying:
What is it & Why Should I Care?
David L. Smith
CEO and Founder
Mediasmith
What caused the emergence of the
DSP?



  Networks built on             Desire to wring             Demand Side
arbitrage of exchange        inefficiency out of the      Platforms are born
       inventory             arbitrage marketplace

 Control of Buying

                 Control of Data

                           Access to More Data

                                       Eliminate Multiple Entities Bidding
Today’s Infrastructure
  3rd Party Data    1st Party Data (Client)   Verification




                            DMP




                     Agency/Trade Desk


                      DSP/Multi-Source




Real Time Bidding   Guaranteed Premium        Site Buys
Issue: Bad Inventory
Ghost Sites & Use of Bots
Generate impressions, saleable to
advertisers
False re-targeting
False clicks (though conversions
are tough to mimic)
Solution: Verification tools to
white list sites
Trust Metrics, Media Trust,
DoubleVerify
Issues: Frequency of Retargeting

 Solution:
 Frequency Cap
DIY or Automate?

Hands-on vs. Algorithm
                                    “A typical DSP is like a Linux
Hands-on respects the planning      PC or an Android
                                    Smartphone. Super
process…                            powerful, but needs to be
                                    tweaked and configured to
…but it needs sophisticated users
                                    give you the value you need.”
You lose something with
algorithmic but it may be better    Eric Picard, Rare
                                    Crowds
than untrained users
Garbage in, Garbage out

What are you
optimizing against?
Most systems optimize against
clicks
Systems needed that get
feedback from 3PAS (including
view through)
Ideally, systems will eventually
optimize against CPW or brand
lift metric
And you can outsource even more

If you don’t have
the manpower to
run your own
small trade
desk…
Varick Media
Accordant
Life beyond the DSP

More than just the DSP
options for programmatic:
GDN
Facebook Exchange
Quantcast
social media options like
33across, Radiumone, addthis
What about Mobile/Video?

Mobile DSP’s
StrikeAd
DataXu
Metaresolver
Drawbridge
Gradient X

Video DSP’s
TubeMogul
Adap.TV
Want to talk more?


           David L. Smith
       smith@mediasmith.com
          Twitter: mediadls

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David smith mediasmith sf adtech rtb

  • 1. Agency Viewpoint DSPs, RTB and Programmatic Buying: What is it & Why Should I Care? David L. Smith CEO and Founder Mediasmith
  • 2. What caused the emergence of the DSP? Networks built on Desire to wring Demand Side arbitrage of exchange inefficiency out of the Platforms are born inventory arbitrage marketplace Control of Buying Control of Data Access to More Data Eliminate Multiple Entities Bidding
  • 3. Today’s Infrastructure 3rd Party Data 1st Party Data (Client) Verification DMP Agency/Trade Desk DSP/Multi-Source Real Time Bidding Guaranteed Premium Site Buys
  • 4. Issue: Bad Inventory Ghost Sites & Use of Bots Generate impressions, saleable to advertisers False re-targeting False clicks (though conversions are tough to mimic) Solution: Verification tools to white list sites Trust Metrics, Media Trust, DoubleVerify
  • 5. Issues: Frequency of Retargeting Solution: Frequency Cap
  • 6. DIY or Automate? Hands-on vs. Algorithm “A typical DSP is like a Linux Hands-on respects the planning PC or an Android Smartphone. Super process… powerful, but needs to be tweaked and configured to …but it needs sophisticated users give you the value you need.” You lose something with algorithmic but it may be better Eric Picard, Rare Crowds than untrained users
  • 7. Garbage in, Garbage out What are you optimizing against? Most systems optimize against clicks Systems needed that get feedback from 3PAS (including view through) Ideally, systems will eventually optimize against CPW or brand lift metric
  • 8. And you can outsource even more If you don’t have the manpower to run your own small trade desk… Varick Media Accordant
  • 9. Life beyond the DSP More than just the DSP options for programmatic: GDN Facebook Exchange Quantcast social media options like 33across, Radiumone, addthis
  • 10. What about Mobile/Video? Mobile DSP’s StrikeAd DataXu Metaresolver Drawbridge Gradient X Video DSP’s TubeMogul Adap.TV
  • 11. Want to talk more? David L. Smith smith@mediasmith.com Twitter: mediadls