Results tagged “Carl Kalapesi” from IABlog

IAB releases Publisher’s perspectives on programmatic as first part in educational series

Programmatic buying and selling of advertising, real-time  bidding, and marketing automation is changing the way we transact digital media. Though numbers are very sketchy, by some accounts over 20% of all digital advertising is sold “programmatically” - and it’s growing rapidly. 

Programmatic-IAB_RTB.jpgYet programmatic competes with Native advertising for the title of “Buzzword of 2013”.  And the hyperbole couldn’t be more extreme. Concerns are rampant. Sales people are worried about becoming obsolete, losing their jobs to machines, and declining yields. Some buyers of digital media are worried that only crappy inventory is available programmatically. Aside from perhaps the ad tech community, there’s a great deal of smiling and nodding going on when people talk about the importance of programmatic, and not a lot of understanding. Ad agencies are worried that automation will mean standardization and less of a role for creativity and creatives.  On the other side, many see new technological innovation as the source of great potential value - creating significant efficiencies, new markets, and continuing to drive advertising dollars to digital.

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There is significant confusion in the marketplace around the meaning of terms like “programmatic”, “RTB”, “programmatic direct”, “programmatic premium”, and other verbiage, often being used interchangeably. New technologies are emerging which are creating significant value, but there is also a lack of clear technical standards to ensure interoperability across different platforms. Buyers and sellers are concerned with the limited transparency and number of vendors involved in the programmatic transaction.  And programmatic raises internal, organizational challenges for brands and agencies, and particularly for publishers with their existing direct sales teams and incentives.

Agencies and their clients have a lot to lose if programmatic isn’t implemented coherently: a set of technologies that aim to create market efficiencies could, instead, create a fragmented, illiquid marketplace if each media agency insists on creating its own proprietary marketplace with its own standards and its own technologies.

In the spirit of creating value for the entire marketplace and driving advertising dollars to digital, the IAB is working to tackle many of these challenges. Today it is releasing Digital Simplified: Programmatic and Automation - The Publishers’ Perspective,  the first in a new IAB educational series that offers easy-to-understand documents for the industry.  The piece aims to provide clarity, from the publishers’ perspective, on the different “programmatic” transaction types.  It outlines the four main ways of buying and selling “programmatically” and provides a clear framework for distinguishing between them.  It also highlights other factors commonly associated with each of these types of “programmatic” selling.

This is the first output of a newly created IAB Programmatic Publishers Task Force, chaired by Alanna Gombert, Senior Director Programmatic and Trading at Condé Nast and formerly of Ad Meld and Google.  The new Task Force is aimed at providing premium publishers a forum to come together to work on issues related to the programmatic agenda and how it impacts them.  Its goal is to help publishers establish market clarity and education around the programmatic ecosystem - both internally and externally. Barely a month after its launch there are now over 30 premium publishers participating in this initiative and the list is growing. In addition to working on clarity around definitions and terminology, the group is also working on issues around transparency across the value chain and sales force organizational issues.

The Programmatic Publishers Task Force is a key part of the overall IAB programmatic agenda.  This agenda focuses on firstly identifying and addressing the key business issues in the programmatic landscape, and secondly working on technical standards and implementation of standards to address these issues.   On the business side, in addition to its work with publishers, the IAB, in conjunction with The Winterberry Group, is conducting a thought-leadership research study to provide an effective roadmap to “programmatic” capabilities based on surveys and interviews with its members, to be released by the end of 2013. It is also working on mobile specific programmatic issues.  On the technical side, it is working on both digital automation implementation and open RTB standards.

For more information on the IAB’s work on programmatic marketing please go to iab.net/programmatic or contact Carl Kalapesi (below).

About the Author

Carl-Kalapesi-Bio-Picture-June-2013.jpgCarl Kalapesi is the Director, Industry Initiatives at the Interactive Advertising Bureau (IAB) focusing on Programmatic, Quality Assurance Guidelines (QAG) and brand safety, performance marketing, networks & exchanges and multicultural.  He can be reached on Twitter @carlkalapesi or via email at at [email protected].