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Thank you. Thank you for having me and thank you for listening. We're Banner Connects. My name is Tim Guinen. I'm responsible for strategy and innovation, and we are Technology Enables. This thing obviously not. Let's try again. Here we go. Okay. So we're Banner Connect, and we're a technology-enabled service provider for brands, and actually for brands who are looking to in-house. So how to take more control of your advertising budgets. We're very active in programmatic advertising, and we do believe that the combination of execution and insights equals better advertising. We were acquired in 2014 by WPP. We're actually a Dutch startup. We started in the South in Sithard. We are with approximately 90 people now, and like I said, in 2014 we were acquired by Group M, and I really like the previous story because also we grow a lot. Obviously we're not that big, but we were also always considered the small one, the one behind the scenes, and last year we decided we don't want to be longer behind the scenes. We want to speak to marketers directly, and we also saw that the agency, the middle layer in media, was actually affecting us negatively, so we decided let's branch out. Over the years we've become, as a rather innovative company, we've worked on campaigns that were active on multiple screens already. Three years ago we've done tracking of many, many things. I'll highlight a few, but one of our favorite quotes is one of Darwin. It's not the strongest, it's not the smartest, but it's the people most adaptive to change or the companies most adaptive to change that will thrive and survive. Let's start with a little game. So I need your eyes on the screen. Sixty million years ago, the world's largest animal was a dog. What did this creature evolve into? A dog, that's a good one, but no. Evolution happening. And keep in mind, just like us, you're never in your optimal state. You see what's happening here? Want to take one more guess? The whale? Who's that whale? Yeah, I really hope I had tickets, sorry, to give away. But you're right. It's a bit hard to go after someone who gives away first class tickets. Well, let me ask you a question. Have you recently been influenced by advertising? Every day. Which type? Tell me something you remember. Over the air? Under the radio? Okay. I don't hear that a lot, but fine. Internet, yeah, okay. I'm a huge fan of streaming, Will, but anyone else affected by advertising? Yeah. Sorry, yeah. Is there a display? Yeah. Do you actually remember the banner? Okay, so retargeting, very effectively. You? You came here. That's one form of advertising. Well, as a confession, I'm actually quite a sucker for digital, sorry, for out of home advertising, which will be digital, so I only refer to digital, but out of home. I really like big advertising that focuses on their creative, and I don't know why. I do work in an online company. Banners were all we've done over the last years, but I'm rarely affected by banners. It's always a combination of things. And another confession is I rarely click on banners. I used to click on banners, but only to see who was serving them so that I could actually learn more about the ad serving technology behind them. If you look at marketing's problem today, you see there, you have two challenges. There's fragmentation. The consumer is everywhere. It's not like they're in front of TV at 8 o'clock at night. No, they're everywhere. They're across multiple devices. They access content wherever they like, and there's connectivity. Because if the first problem isn't big enough, there's also a technology challenge. So the interoperability between technology platforms is rather poor. You either work with a Google, you either work with, I don't know, at Nexus, or you have a market you're running. The problem is all that data only consists in a certain silo. And this is true for most of the platforms. But what you eventually want is you want to take that fragmentation and you want to take all that data that only exists in silos, and you want to put all of that together. That's called unifying the view and the consumer. And for us, this is a very important starting point because only if you have a holistic view of the consumer, if you tag across all channels, then you can actually say something. Well, that was our premise. This is how we got into a few projects. So one of the first projects we've done was Project 2020. And 2020 doesn't refer to the year here. It actually refers to having a great vision because obviously I have glasses. If you have a 2020 view, that means with the glasses on, you can see everything again. So for us, that was a search for optimal attribution. And we found we tested with viewability tracking. So is an ad in view or not? And usually you get a very dumb percentage there. So your campaign has been in view for 60 or 70%. So what does that mean? 30 to 40% waste? If they were in view, did it really matter? And we thought there was probably a correlation between how long is an ad in view. And I had to think about the out of home stuff because if you focus on the creative there, you actually tend to look at it longer. And banners are highly commoditized goods and you tend to browse the internet really fast. So it was very hard to keep track of it, to engage and have higher attention. So what we were able to prove is that if you look at the exposure time of banners, so how long are they in view of display, that the first 20 seconds, you really need them. So even across multiple contact frequencies because media agencies tend to love their contact frequencies. The golden number seems to be six and then people magically buy something. But those six contact moments, those frequencies can be below 10 seconds. We found that in the first 20 seconds, actually you see the biggest decrease in cost and you see an increase on positive behavior. You either see more clicks or conversions or whatever proxy you use. Especially the conversion cost. After 20 seconds, we saw a decrease in conversion cost of 70%. This was done on half a billion ad impressions. So you cannot really, that was done reactively. If you would do this in real time and you would actually filter out your media buying and buying higher quality impressions, you would not be able to reach a 70%. But I would say that's a perfect goal to work towards too. Second project. So even if we become awesome online, even if we make the attribution circle fully around and we're able to attribute search versus social versus mail versus display, you still have a blind spot and that's offline. 90% of the conversions of the actual purchases still happen offline. I pulled this from a Deloitte study in the US. The actual number is 94. So I adjusted it a bit downwards to Europe. But there are always people who say that's way too high. Any people here? Yeah. If I look at my own behavior, I did an analysis. Luckily my bank actually provides analytics. This is pretty true for me actually and I'm very tech savvy and shop a lot online. I still spend most of my money offline. But to put it in perspective, this is Amazon. We all know the success story of Amazon. This is Walmart. I found this later but it actually really proves the 90% is true. So if you want to fix the blind spot, again another project at Banner Connect. So we started project retail which for us was really about connecting both worlds, virtual and physical. We wanted to connect the dots and that meant we had to go in store. We had to start investigating technology again. If you look at the technology required to make the store connected and to bring offline touch points online, there are a few things you need. I'm not sure if everyone's familiar with RFID but this is basically your radio transmission technology. The biggest surprise to us was actually Wi-Fi. So the router here in the room right now, all your phones here, people with a smartphone which I assume, your phone is sending a probe request to the nearest Wi-Fi router and it's sending your MAC address and it's sending your last 10 connected Wi-Fi addresses. If you change the software on the router, which we did, we can actually collect that data. That means I can make heat maps of this room right now, people sitting there and here. I know which device is how long, where. Unfortunately it's not really actionable because the MAC address you have on your phone, it's privacy sensitive. You cannot really use it for marketing. But if you're a store owner or you, I don't know, you work on an airport, it's very valuable to know how people are moving. How many personnel do you need to have on a Saturday? What product do you need to have in stock? There's a lot of use cases for it. The other cool thing we found is with beacons or iBeacons. With beacons actually, there's a bit of a limitation. They work on Bluetooth and you need to have an app installed with an SDK. But for the situations where it does work, it actually works very well. So let's say I'm a big telco company, I still have stores, I do offline sales, I spend X million online, but I still, I have no idea who walks into my store. So I want to solve that problem. So why not put a beacon there? Why not extract an ID or related ID from my smartphone that I can later use online? At least one part of the blind spot in my attribution cycle is now completed. Of course, there's the loyalty cards and apps, which I think is quite challenging. Most of the retailers or brands I know, they all push their own app, but most of them have very limited installs. There's a big consumer electric company here in the Netherlands and they've pushed very hard. They put a lot of marketing budget behind the push of their own app and they did not get over 40,000 installs. Well, if you have one to two million people visiting your store every year, that's not a lot. So that will not cover the blind spot for you. And one of the last challenges is the digital point of sale. So we use terminals or most of the store owners use terminals. The problem is you cannot take that information and bring it online. So there is a large startup ecosystem out there now. It's called Financial Tech, which is pretty much solving this problem. Most of the transactions we will do go over your mobile device in, I would say, five years. So then you actually have the purchase value you can take into your customer journey. How does it look in store? So you walk in, you have your device on you, your smartphone is with you, it sends out a probe request or it sends out a Bluetooth signal to a beacon. We'll be able to identify you there. We know how long you spent looking for a couch. We know how you moved through the store. We have your ad ID, your ID of A, all of that stuff. Of course there are privacy sensitivities here but they're easy to solve. You have to inform your customer and you have to give them an opt out. Both are which pretty doable. When you summarize that opportunity, yes? I'll answer that question in two ways. First of all, I'm a technologist so I look from what is possible from a technology perspective. That's my role. Is this possible? We have a cool idea. Pretty much what AirBaltic is doing. We have an idea, we start working on it and then this becomes possible. The privacy sensitive question is yes, that's a problem but I do see that when I look at the generation behind us, it's no longer that big of a problem. If I look at how my daughter uses the internet, it's a much different experience than we do. Privacy doesn't belong to her. Another good example is the lady with the retargeting example. When retargeting was just being addressed, I would say 2008, 2009, everyone was really confused. People did not like this. It's also a part of how do you get accustomed to what we're doing? Do you still have people who are very privacy sensitive and only will get more privacy sensitive? Absolutely. I think eventually society will split into two and we cannot build solutions for two. I hope that addresses the question. It's also if you hear me answering it, we don't know everything yet. This is so new. Let's see how it goes. If you break the opportunity into four pieces, there's the activation part which is basically retargeting after you visit the store. You go into a Zara, your ID is collected, you left your email address there, you would retarget your customer after they've left the store. The attribution we already discussed, offline is a huge blind spot in the attribution cycle. I think the offline touch points will come online very soon and then it's a question how are you going to deal with them? How are you going to address them when you look at what you're doing online, whether it's via social, email, display or search? The analytics part coming from Wi-Fi, how important is it to know how many people are in a certain area or how much time they've spent there? For example, if you're a big store in a city and you have a lot of personnel on a Saturday but there's no one inside, why not increase your traffic? Why not treat your store exactly the same as you do your e-commerce environment? If you wouldn't have a lot of people there, you would also start prospecting. If the data tells you there are not a lot of people, why not start buying commercials on digital out-of-home screens in the area? All of these new tactics can broaden your strategy. And personalization. We're a big fan of lean. That means constant development, iteration, learning, failing. We fail a lot too, but I didn't have time to talk about that today. I came to one retailer and they told me, okay, cool, but I don't want to retarget my visitors. We have a lot of tourists. They never come back. But I do want to know who they are because when they come back, I want to know how I can treat them differently. I want to know the people that actually come here quite often, how should I address them? What are their favorites? That was an angle we didn't really discuss yet, but then I saw an Adobe marketing report which said personalization is the number one investment point for marketeers. So I can see a few people saying, yeah, true. This is an area we haven't really addressed yet, but we will. Another realization after both of the projects was that we traditionally come from desktop, from displays. So we show banners in a browser and that was it. Because everything is so fragmented and because everything is so disconnected, that doesn't cut it anymore. So we started brainstorming about what is the new solution. Especially when we came into our project retail, we found that mobile is really the center. This is a bit of a challenge, bit of a vision to challenge, but we think mobile is in the center. Also for advertising. What if mobile was never meant to put little ads on? What if you could make a trade-off with your customer and say, you know what, we don't target you on mobile. We can make all the advertising on any other screen more relevant by having your mobile as a central device. Everyone saw the first presentation this morning from Arno about Facebook, people-based marketing. It's very easy to talk that way when you've solved a problem, but for most of the marketeers that's simply not true. Your data is very fragmented, so you need to start working with one consistent ID. I understand that Facebook doesn't want to speak about cookies, but it is still very much about cookies. The cookie system is very, very dysfunctional. In the end, we're going to need a new ID and we think that's going to be your mobile device with one central ID. That makes it the most strategic position and that would also clarify what most of the big companies have already been doing for the last few years. What does this mean? I have a feeling time-wise we're getting... No one here to stop me. Let's keep going. What does this mean? Let's open up. Does anyone have a question or a comment at this point? You can't really do anything about this disjointed screen. You can start. You can do one channel at a time. That's also how we approach it. Maybe you can connect your social already with your display. Maybe you can already install Beacons. Maybe you can pull up geographical coordinates from the people who do have your app installed. I think with every step you learn more and in the end every brand should have a centralized ID. It shouldn't be related to what Google has, what Facebook has, what we have. You should have that. The data-driven marketing model should be very centered around having that unified view of your customer. Anyone else would like to add or question? Then we're going to wrap up. Cross-device gets a new scope because if you put mobile at the center, if you bring offline onto online, the problem you have already will only get more challenging. Our suggestion is invest in decent data infrastructure. The point I keep making, unify that data because having the data in several silos is a good first step, but there needs to be a layer on top of it. There needs to be a connectivity layer that brings all the data together. Without that you would still be making decisions into silos. Referring back to my out of home example, time to get creative. We talk about relevancy. We talk about making it highly accountable. In reality it's still not. If you look at it very honestly, it's not. Also the creative, especially when you look at disability creatives, it's not relevant. It's not adjusted to your personal. I would like to see that change. If we went back 16 million years ago, you're never in your optimal state. Maybe it's not revolution, maybe it's evolution, but I do feel we're making the right direction. That was it for me this morning. I would like to thank you for listening.
