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Exchange wasted clicks, for more control over your ad spend

Marc Barnett

At this year's Digital Marketing Summit, ninemsn officially launched the Microsoft Advertising Exchange, the first premium, real-time bidding enabled (RTB) advertising exchange in Australia. The arrival of the Microsoft Advertising Exchange will put the control into the hands of marketers and be a game changer in the Australian media industry. With the introduction of RTB, data-driven marketing is at a point where an advertiser can for the first time deliver their target audience; the right message, at the right time, in a brand safe premium environment.

As much as it sounds like 'marketing utopia', advertisers now have the opportunity to buy on an impression by impression basis, in real time. The advertiser can evaluate each impression, using the data that sits within their demand side platform (DSP). This data, which the advertiser owns, will then allow the DSP to make a decision, at that exact moment in time, on what price to bid. If successful, the advertiser then decides which creative to serve and feeds those results back into the DSP to assist with optimizing the process in the future. That this process can be done at scale is the magic in terms of ROI and marketing efficiencies.

The Microsoft Advertising Exchange will become a significant part of the Australian and NZ media landscape. As advertisers continue to look for more effective and scalable means to tell their story this innovative method of buying media will compliment premium brand display campaigns and other online and offline executions. Context is as important as ever, which underpins the Microsoft Advertising Exchange commitment to premium environments and partners from the inventory supply side.

Premium creative opportunities, such as the ninemsn home page takeover, branded content and sponsorship opportunities will continue to be sold on a premium basis to ensure that an effective balance of idea led imaginative campaigns and automated executions is achieved. Examples of these partnerships include Coles connecting with the ninemsn Food site or Gillette seeking a brand association within Wide World of Sports. Campaigns will and should, include a mix of strategic media partnerships in addition to harnessing the opportunities that an ad exchange will bring.

There is a long held belief that the introduction of an Ad Exchange will drive down yields and help the race to the bottom that started with Performance Media. As a publisher, Microsoft and ninemsn have no interest in introducing a product to market that will result in a decrease in yield for our own or our partners’ inventory. The initial experience in the 15 markets that we have launched the Microsoft Advertising Exchange in is that we see a significant increase in yield and our advertisers see a significant increase in their ROI.

The introduction of an Ad Exchange isn’t the creation of a system that is designed to sell cheap inventory. The Microsoft Advertising Exchange will include all available inventory from ninemsn and Windows Live properties and we will allow other premium publishers the opportunity to take advantage of our tools and assets to also offer their inventory on the Microsoft Advertising Exchange.

We believe that by allowing marketers to use their technology and their data to determine the true value of inventory if a positive step forward for the industry. Publishers who bring a valuable audience will be rewarding with improved results and publishers who currently sell their audience at an inflated rate will see their yields fall back into line with the value they bring to advertisers.

For this space to grow and thrive, premium inventory is a must. Microsoft and ninemsn are excited to bring to you the first true real-time premium ad exchange in Australia and NZ and we are committed to being the pioneers of this offering across premium environments in Australia.

In the long run, we believe there are likely to be two scale advertising platforms in Australia. Google is likely to be one; our plan is to be the other.

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