Operative Blog

In the Operative-sponsored Industry Participant Breakfast on Monday morning at the iMedia Agency Summitin Scottsdale, Arizona, three Senior Sales Executives sat on a panel to discuss ways to drive digital advertising revenue in 2010.  Participants included:

Moderator:     Mike Leo, CEO and President, Operative

Panel:

• Cheryl Lucanegro, SVP Advertising Sales, Pandora
• Tom O’Regan, SVP Advertising Sales, The Street.com
• Andrew Snyder, Chief Revenue Officer, Associated Content

How do you make it easier for an agency to buy from you?

According to Tom O’Regan from The Street.com, highlighting the value of sponsorships versus impressions will help them better interact with buyers.  Once an agency puts your brand in the ‘direct response’ bucket, the potential for revenue opportunity becomes obsolete. Pricing must be a combination of efficiency AND value.  The cost of doing business in digital advertising comes down to the Ad Operations team, and a focused, well-oiled Ad Ops team  is a true asset. 

Andrew Snyder of Associated Content said, “We’ve never heard an agency say ‘I want to work with you because you are cheaper than your competitors’. In reality, the agency is looking for performance measurement of some sort. You need to create the perception that your property drives results.” 

Cheryl Lucanegro of Pandora emphasized that being ‘easy to do business with’ runs from sales to ad ops and even to finance. The integration and alignment of these functions are critical to a publishers ability to develop long term relationships with buyers.

Mike Leo then asked the room of 80+ publishers, “How many people think that NOT being easy to work with negatively affects revenue?”  Most of the room said yes. 

A few years ago, hiring more salespeople was easy. Measuring their results has been very difficult in the past.  What are you doing today to gain more knowledge?

Cheryl said that Pandora uses Salesforce to track most of the revenue. She has 3 different sales teams selling 3 different products.

Tom’s focused on creating more dashboards to be able to see his work in a different and more descriptive manner. 

Andrewis going through the data flow right now, and trying to figure out how to gain transparency and present the information more effectively. Sales Reps could use a lot more insight as far history, close rates, etc.  Visibility into these metrics can only HELP drive positive results and behavior.

For more coverage on the iMedia Agency Summit, who attended, what trends to look out for in 2010, check out the event website. 

No one sets out with a business model that requires giving money back for delivering valuable products.  Yet, that’s effectively what most publishers are doing with Makegoods and over-delivery. Some have acknowledged the seriousness of the issue and have developed a patchwork of tools in Excel to do a better job of campaign management.  However, these are rarely forward looking or timely to respond in business real-time to a poorly performing campaign.

There are many reasons for campaigns to under perform: the product was oversold, the forecast was wrong, trafficking errors were not caught, and, everyone’s favorite, ad serving delivery discrepancies. How serious is this issue? How about at least $400m annually in the US! That’s assuming just 5% of IAB’s estimate for display ad revenue ($3.8B for 1H09) is disputed.  Our anecdotal discussions with publishers indicate that the number may be even higher.

The good news is that much of the loss can be mitigated by actively managing campaigns, early and frequently.  Automation can easily replace the manual routine that most publishers find themselves in: log into third party ad server, export report, pull it into Excel, reconcile with primary ad server data; repeat for every third party ad server; repeat as many times a month as you can – realistically, just once. Oh by the way, account for changed passwords, misaligned data and just try to get the data right, forget about analysis.

For those of you stuck in this resource-sucking treadmill, we have good news.

Today we are announcing Operative.One Campaign360, a product that makes it easy for publishers to centrally manage and proactively monitor campaigns.  It improves virtually every step of the campaign management process:

• “lights out” integration and collection of data from primary and third-party ad server
• Automatic reconciliation of primary and third party line items
• A simple, grid-based UI for manual reconciliation and overrides
• Robust analysis with pre-built graphs and reports for common tasks such as delivery discrepancy, pacing, top 10/bottom 10 campaigns

All the information that you need to do campaign management and billing is in one place, keeping you from having to do hours of leg work to collect the data, reconcile it, and create reports.

In other words, the product does all the heavy lifting and you focus on making sure that you get all the revenue that your sales team worked hard to book.

Based on our experience of 10 years working with publishers, we are really excited about the potential this product has in improving publisher operations. Learn more about the campaign management and discrepencies in our white paper, Making Peace with Discrepancies: Six Steps You Can Take to Proactively Manage Them, learn more about the product and contact us .

Our top tips to help Creative Houses and clients get highly creative creatives working!

When you work with a publisher that likes to dazzle their audience with the latest shiny ads and takeovers on a regular basis, you get used to a lot; takeovers, sidekick and pushdown ads that move the entire page around, pagemorphs, floor ads, game banners, synchronised ads,  … you name it, we’ve probably done them, usually delivered with only hours to spare before the campaign starts!

Due to the complexity of the creatives and with so many people being involved, it regularly happens that I end up checking the test pages with one eye on the clock – Murphy’s Law states this will always happen on Friday afternoons. Generally, the creative houses and agencies I work with are often quite small, and have a high rotation of personnel and with it the knowledge and experience.

I remember one problematic campaign, spending days emailing the client about a creative issue, eventually, I ended up talking to ‘Bob’ (altered his name to protect the guilty…), in his converted garden-shed, convinced he was the greatest flash designer ever… 20 minutes later I was still explaining to him about the basics such as button actions. By the time we resolved the issues through many emails, it was green lit, the very day the campaign ended. When we told him it was assigned he replied with “All right!!!” … needless to say we never received another creative from ‘Bob’ again.

So how do you prevent something like that from happening?

-          Your client needs to trust you … that you know your stuff and believe you can explain technical issues to anyone, this will give you direct access with their advertising agencies or creative houses (saving time and avoiding miscommunication).

-          Know who you are speaking to and talk on their level. If people feel you are talking jargon they don’t understand, they will most likely ignore it or pass it along and you’ll get nowhere fast. Make sure you know who you NEED to speak to as well, as you don’t have time to waste, chasing the wrong person.

-          Never send out the same “Here’s the tech spec” email more than once. If the designer didn’t get your explanation the first time, sending exactly the same email will not make them see the light. Call them.

-           Network. You never know when you need a favour from someone when your main contact is not available. I always have a 30 second chat with everyone I speak to and most importantly, NEVER fall out with anyone, as you will find that they are “in a meeting” when you most need them.

My final piece of advice, always remember, when faced with insurmountable odds, the phone is mightier than the email!

Glad you’re here and welcome to the inaugural post of our soon-to-be infamous Ad Ops Blog!  Over the next weeks and months (and years and millenniums …), we’ll be discussing ‘everything Ad Ops’ – from processes and best practices that will make your Ad Operations hum, to the latest developments in technology that will make your ads sing … and to boot, we’ll have fascinating interviews with our brilliant operations staff whose experience represents more than 100 years in online advertising (I know, I know … that’s before the Internet, or even before TV, but it’s true and always sounds really cool in the “About Us” section on the company web site).  Seriously, over the last 10 years we’ve had the pleasure of working with literally 100’s of small and large publishers and agencies as an integral part of their Ad Ops team … so, we’ve learned a thing or two about what works and, even more intriguing, we’ve learned what’s a total waste of time and effort.

But wait there’s more! In addition to our own existential musings about the Wonderful World of Ad Ops, we hope to feature some of YOU, our devoted readers, and your unique perspectives and opinions.  After all, what good is having a blog anyway if it’s just going to be a one-way conversation?!  So, at worst we promise not to bore you to death, and at best we hope to provide you with timely and relevant information that you can start using right away.

To quote from a not-so-famous Latin verse:  A cane non magno saepe tenetur aper (“A boar is often held by a not-so-large dog.”)  OK, a slight digression … but the point is that every good solution needs a darned good problem to precede it.  And, what better place to root up a bunch of problems that need solving than in Ad Ops.  So to kick this off, we’ve blame-stormed and come up with some Topics, Considerations & Challenges faced by Ad Ops that we’d like to get your help in selecting for future blogs.  If there are subjects here (or not here) that you would like to see covered, please let us know … second drum roll, please:

• Late to the dance … a creative love story [Late creatives]
• And what math are you using? [Unraveling the mysteries of primary and third party ad server discrepancies]
• I want it THIS big! [Impact of nonstandard ad units]
• What’s in an ad tag? [Deciphering the anatomy of an ad tag]
• Why I don’t fix my own car [Should you consider partnering with an Ad Ops expert?]
• Recovering from Analysis Paralysis [How to build efficiencies in Ad Ops that work]
• Kaboom! Oh No!! NOT AGAIN!!!! [Top Five Ad Ops disasters to avoid]
• The kid’s menu isn’t always cheapest [Which ad server will provide you the best value?]
• The replacement TV doesn’t work either [Creative houses need more than just "send me a new creative that   works” to make it work]
• My life is a bit complicated [Why bad ad tagging is just money down the drain]
• Just short of the goal line [Tinkering with optimization]
• It sounded really cool when we pitched it [As creatives get more complicated, so does the development and testing]
• Alice doesn’t work here anymore [Ad Ops asked to do more with less during down economic times]
• A little lumpy around the middle [Managing to the ebbs and flows]
• Who’s the new kid? [Effectively on boarding new operations staff]
• Who took my abacus?! [Maintaining and gaining new technology skills]
• There is no good ‘make good’ [How quality translates to dollars]

In our next series of blogs, we’ll take a closer look at many of these topics and attempt to provide helpful discussion of solutions to these new and old challenges faced by Ad Ops.  We encourage you to share with us your thoughts as well … we’ll do our best to address them right here in future posts.  We encourage you bookmark this page, email it to a friend, colleague or associate (as well as add our RSS feed).

Thanks for stopping by and reading this far … we look forward to many interesting discussions to come.

Thanks to RJ Lewis’s post on Friday of last week, I found an awesome video.

Last week at the WPP/24/7 Real Media Summit in NYC, they kicked off the conference with a 9 minute video parodying the death of traditional media.  Sir Martin Sorrell clearly focusing the company on digital media suggesting that they currently spend 12% on digital media but that will increase dramatically.

This video is worth a watch, especially if you buy or sell digital media.  Thanks RJ!

Lorne

From:  E-HeathCareSolutions