Implementing RTB @ Centrum.cz

About This Presentation

This is an English version of my presentation from Nov 6th 2012 at Czech Internet Forum on Centrum Holdings’ experience of implementation of RTB. Centrum Holdings is one of the top online publishers on Czech market and the first premium publisher who decided to offer the ad space through RTB and support the ecosystem. The Czech RTB market is in a very early stage of development in fall 2012, the display programmatic buying is dominated by Google AdWords.

What is RTB?

OpenRTB Protocol

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RTB is an Open Ecosystem with Many Players

RTB: Auction of an Impression Done in 100ms

MEDIA

SSP TECHNOLOGY

DSP TECHNOLOGY

ADVERTISER / AGENCY

1. Offer – free impression

2. Response – the bid

RTB is Efficient – Growing Fast

• RTB is efficient for both publishers and advertisers

• It grows fast and counts for 10–15 % of online display revenues today

Source: PubMatic Ad Revenue Report

http://info.pubmatic.com/adrevenuereport.html

http://info.pubmatic.com/adrevenuereport.html

The Situation

Opportunities

• Interesting service for the clients• Get new client segments• Establish market leadership• Additional revenue stream

Threats

• Small number of advertisers• Negative market response• Decreasing inventory value, cannibalization of CPT business

Our Solution

Pilot – Test the Technologies & Find the Right Strategy

No winner yet, pros and cons for all of them…

Technical Set UpImpression

Is there a guaranteed campaign?

Display guaranteed.

Sold through RTB?

Display lower priority campaign.

Display RTB ad.

forward the impression to SSP

passback to ad server

yes

yes

SSPad server

RTB: a New Product on Our Ad Space

• Guaranteed – time, impressions, reach, placement, frequency…

• Top placements and non-standard formats

• Full support• Primary for branding

• Great audience targeting features

• Available for anybody, no minimum spend

• Less premium placements and formats

• Great for performance campaigns

Direct Sales RTB

Centrum Supports Market Development

Results & Lessons Learned

Cannot Exist without Price Floors

Offering the ad space for too low price• Kills direct business• Destroys the market• Decreases the revenue (however, the same happens with too high price floors)We decided to apply relatively high price floors to protect our business and the market.

eCPM Suprisingly Good, Fill Rate Quite Small

CPT RTB PPC

Premium Inventory eCPM

CPT RTB PPC

„B“ Class Inventory eCPM

Control is the Key to Avoid Channel Conflict and Find New Opportunities

Private Exchanges: New Business Opportunity

Let’s Not Screw it Up

Summary

• RTB is of strategic importance for Centrum• We have means to solve the channel conflict• We have to invest into market development

RTB brings value through technology, it’s not about selling out remnant inventory for any price.

[email protected]

http://www.linkedin.com/in/matejnovak

www.DoubleSense.cz

mailto:[email protected]

mailto:[email protected]



http://www.DoubleSense.cz

http://www.DoubleSense.cz

Implementing RTB @ Centrum.cz

Business

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