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To survive in Korean market as a programmatic expert : There are still barriers

The previous post : http://featureless.tistory.com/31


There are still barriers despite we made successful cases this year.

 

First of all, many industry experts believe that programmatic buying works only for performance objective of campaign. Actually programmatic buying works across objective of campaign from brand building to direct sales. The important thing is how we set up the right KPI by objective.

 

Second, media planning process should be changed. Audience centric planning is now in place in this marketplace. However, there are still traditional media approaches to programmatic buying. For example, we are trying to achieve the best performance utilizing multiple trading strategies. But sometimes, planners don't allow us this flexibility. In that case, the number of levers which traders can select is limited. It is the cause of under performance.

 

Third, qualified supply is required. It doesn't mean the absence of Naver inventory in AD exchange. (To be honest, it is not so important for now. The scale of AD exchange itself is sufficient. Furthermore, the major inventory required by buyers is video inventory, not display AD inventory which Naver provides.) According to our previous research, only 17% out of total display Ad inventory in Korean market meets our requirement in terms of viewability. In order to extend the % of qualified inventory, both buy-side and sell-side cooperate each other. There are demands by clients indeed. However, some of agency planners ignore this. We should raise this issue to the market. So that sellers can change their infrastructure and AD placement in order to meet the client's satisfaction. Client's strong commitment is also very important to change the market. They shouldn't feed the bad guys who are not allow 3rd party verification to us.

 

The underlying issue is there still is knowledge in programmatic buying in the market.

 

To be continued.


Part I : http://featureless.tistory.com/28

Part II : http://featureless.tistory.com/29

Part III : http://featureless.tistory.com/30