Personalised Retargeting: the Cutting Edge of Behavioural Targeting 2011 Benny Arbel, CEO & Founder Agenda

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Personalised Retargeting: the Cutting Edge of Behavioural Targeting 2011 Benny Arbel, CEO & Founder Agenda Personalised Retargeting: The Cutting Edge of Behavioural Targeting 2011 Benny Arbel, CEO & Founder Agenda Introduction to Personalised Retargeting Short Introduction to myThings Integration with your affiliate programme Case Studies Best Practices Business models Comscore: “Understanding Online Display Advertising” Evolution of Online Advertising Business Models Advertisers’ risk decreasing CPM CPC CPA Cost Per Mille Cost per Click Cost Per Action / (Impressions) Acquisition TV SEM Affiliate Print Marketing Billboards Display Ads Behavioural Behavioural Behavioural Targeting Targeting Targeting Online Display Focus Shifts to Audiences Disrupting the Online Advertising Ecosystem Personalised Retargeting Goes Mass-Market in 2011 Personalised Retargeting is quickly becoming a standard and vital online marketing practice in Europe 2011 is the peak year for the Early Majority What is Personalised Retargeting? Not to be Confused with… Behavioural Targeting Target Audience: Web users, not necessarily visitors of the merchant’s website For example: “Fashion addicts” Campaign Granularity: 1 static message for everyone Not to be Confused with… Traditional Retargeting Target Audience: Visitors who left a merchant’s website Campaign Granularity: 1 static message for everyone Not to be Confused with… Google Remarketing Target Audience: Visitors who left a merchant’s website Campaign Granularity: 1 static message per cookie ? Now imagine trying to ? create a banner for each item in your extensive ? inventories… ? ? With 200 products you’ll ? have to manually set up 65 ? Million banners! ? Personalised Retargeting : The Right Ad, for the Right Person, at the Right time Target Audience: Visitors who left a merchant’s website Campaign Granularity: Individual message for each user Tens of millions of banner variations will be generated automatically, in real time! Performance Meets Display We’ve taken the best of Search • Nano Targeting = purchase intent & relevancy • Personalised content • Performance-based business model: the advertiser pays only for actual sales • Measurability …and added the best of display • Volume • Branding power • Engagement myThings | Highlights The fastest growing personalised retargeting provider in Europe Achieving 3-7X uplift in return conversions for the top online retailers Personalising over a billion impressions a month Media network that spans the global ad- networks, ad exchanges and top local publishers The #1 yielding affiliate in over 15 categories in Affiliate Window platform! Customer base increased 8X in 2010 myThings | Award Winning Technology myThings | Member of IAB UK Conforming to all EU and industry privacy regulations Helping shape industry cookie hierarchies workframes, intended to ensure fair conversion attribution for affiliates in personalised retargeting campaigns Seamless Integration with Your Affiliate Programme Seamless integration with Affiliate Window tags. No additional Tags needed No product feed integration required (with myThings…) Campaign tracking and reporting – automatically managed via Affiliate Window Platform (Darwin) Full, built-in dedupe mechanism for CPA campaigns – reducing campaign management overhead In campaigns run by myThings via affiliate window, 80% of traffic was incremental to the network traffic, ensuring no cannibalization over existing affiliates The Impact | +500% uplift in return conversion rate Retailer A: Leading Electronics Retailer Retailer B: Leading Fashion Brand (2010 monthly average) (2010 monthly average) Returned Conversion Uplift: 481% Returned Conversion Uplift: 602% 1.00% 2.50% 0.80% 2.00% 0.60% 1.50% 0.40% 1.00% 0.20% 0.50% 0.00% 0.00% Not exposed to retargeting ad Exposed to retargeting ad Not exposed to retargeting ad Exposed to retargeting ad Return Conversions = % of visitors who have left the website without converting and then returned to complete a purchase Personalised Retargeting: Case Studies Case Study 1 | M&CO: Personalised Retargeting Campaign in the Fashion Vertical The Company & Objective M&Co, established in 1834, is one of the largest Privately owned fashion retailers in the UK. M&Co was looking to increase its website conversion rates and its customer share. The Campaign myThings turn-key personalised retargeting optimisation engine analyses on-site browsing behaviour and then creates individualised, dynamic “We’re thrilled with the 762% ad banners, targeted at M&Co’s site visitors as they increase in return conversions surf the web. we’re generating with myThings personalised The Results retargeting,” By optimising these personalised retargeted ads Nichola Toner, Website according to performance, myThings was able to Services Controller, M&Co deliver a 760% lift in return conversions Case Study 2 | Pine Solution: Personalised Retargeting via Affiliate Window The Company & Objective Pine Solutions, an Affiliate Window advertiser, is one of UK’s largest online furniture retailers. The company was seeking a cost effective solution to reduce website abandonment rate The Solution myThings launched an affiliate personalised retargeting banner campaign based on myThings' algorithm-driven recommendation engine and the visitor’s stage in the sales funnel “The affiliate channel saw month on month uplifts of over 40%, whilst year on sales were The Results up by 94%. By utilising the myThings retargeting • 40% MOM sales uplift service via our affiliate programme, using a CPA • 94% YOY sales uplift model it allows us to successfully retain customers that leave our site in a manner that is cost effective to the business.” Chris Wiseman, Affiliate Marketing Manager, Pine Solutions. Case Study 3 | Maximuscle Boosting SEM campaign with personalised retargeting The Company & Objective Maxinutrition is UK’s leader in sports nutrition. Maxinutriton’s objective was to increase its Maximuscle Website conversion rate and to augment search marketing activities The Solution Users' interactions with Maximuscle's wesbite The Results: and SEM keywords were analyzed according to the categories and products 56% MOM revenue uplift browsed, as well as stage in funnel. • 91% YOY revenue increase • Return conversions rates of Personalised Banners were generated in Real exposed visitors were 362% higher than return conversion Time, in synch with search campaign rates of non-exposed and reflecting periodical promotions Case Study 4| Automated Cross-Sale Campaign for a Mobile & Web Service Provider The Company & Objective A leading online mobile phone and internet connection services provider was looking to leverage complimentary products and services in The Results: its retargeting campaign Return conversions The Solution rates of exposed Dynamic personalised banners were generated visitors were 413% for the products section of the website (extensive higher than return inventory of mobile handsets). Static Banners were conversion rates of generated for the services section (ADSL connection non-exposed programs, among others) • Cross sale rate between the two myThings’ engines have automatically selected sections increased in real time the optimal cross-sell offering by 62% for each user based on the user’s previous interactions with the website and accumulated performance data Personalised Retargeting: Best Practices 1 Optimise for Conversions The entire infrastructure should be geared toward Conversions 2 Shuffle Creative Increased average CTR by over 50%! Fight banner fatigue with automatic and continuous optimisation of creative alterations 3 Dedupe Clicks & Conversions Why pay twice for the same conversion? 4 Personalise offerings, not just products Personalisation shouldn’t stop at product level 5 Always On - Day in, Day out • Personalised Retargeting is a constant sales-enhancement channel • Ensure accumulation of extensive tagged population pool 6 Untag after Purchase Avoid over-exposure to customers who have just completed a purchase 7 Recency, Frequency, Decency Frequency : Cap impressions to prevent brand over-exposure and spamming! Recency : Tightly manage recency cap for optimal performance and user satisfaction Decency: Ensure use of appropriate media only Personalised Retargeting: Business Models Retargeting Business Models No setup charges Various pricing models: CPM: simple set-up and billing, falls under the general branding budget CPC: simple set-up and billing, falls under the PPC/SEM budget, attribution to the last influencer (‘closer’) CPMa: hybrid model, suitable for innovative and experimental campaigns Retargeting Business Models – Cont’ CPA: Pure performance budget Fully Deduped via the affiliate network Campaign optimised for conversions Adjustable by category / product / User Type Unique expertise and focus on CPA: Proprietary engines and algorithms to optimize for sales: recommendations engine; creative optimization and prospect valuation (RTB) Integrated will all major analytics, tracking and deduping systems; What is Post View attribution ? Post-view is the attribution of a conversion or a transaction to an advertising provider, based on a targeted exposure to a banner that has resulted in a purchase Post-view attribution is usually limited to predefined “Look back window”, typically 48 hours, but may vary according to the merchant’s volume of traffic “Last click wins” is the commonly accepted deduping rule for post-views through affiliate networks Importance of PV in CPA Personalised Targeting Personalised Retargeting… Incurs media and technology costs that do not apply to regular affiliate media Is displayed out of context,
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