DPAA Produces Programmatic White Paper In Conjunction with Advertisers, Agencies and Members
Advertisers to Benefit from Ease of Buying and Data Access as 30+% of DPB Trading to be Programmatic within Three Years
tenthavenue: digital place-based will be evaluated alongside other screens in a more video agnostic fashion
NEW YORK, Feb. 12, 2016 – The digital place based (DPB) media industry's first in-depth white paper on programmatic buying and selling has been released to members of the Digital Place Based Advertising Association (DPAA), which commissioned and oversaw creation of the report from Prohaska Consulting following a series of meetings with advertisers, agencies and members. The in-depth analyses and work identifies opportunities for the sector in the programmatic buy/sell ecosystem and an in-depth road map on how to capitalize on them.
The report predicts that 30-40% of DPB ad sales will be conducted programmatically within three years, generating $15-20 million annually in incremental revenue for networks. Overall, Prohaska Consulting sees a 15-20% annual expansion of DPB's $1.02 billion in revenue over the same period, an acceleration of the strong growth of 14% recorded by Miller Kaplan for the first half of 2015 versus the same period in 2014.
Barry Frey, President & CEO, DPAA, said, "Programmatic's tremendous potential for our industry and the roadmap for us to get there have been clearly enunciated in this in-depth white paper. The forecast supports what we found in 2015 in our annual Survey of Media Planners, when two-thirds of respondents said they would be more likely to include DPB in their media plans if inventory were available in programmatic buying systems. Now it's up to all of us in the industry to execute so we -- DPB networks, agencies and clients -- can benefit from the opportunity that lies before us."
Michael Lieberman, chief operating officer, NA, tenthavenue, said, "From our vantage point, there is little doubt that programmatic will emerge as a significant component of the digital place-based media advertising ecosystem. And, when it does, we expect that digital place-based will be evaluated alongside other screens in a more video agnostic fashion, which bodes well from a revenue growth standpoint. The DPAA white paper will help accelerate the process by bringing key issues to the forefront and mobilizing the industry to find solutions."
The report says there are several key steps the DPB industry must take to capitalize on leveraging programmatic practices. "There needs to be continuity of measurement and standards," the report states, including "... transparency of how the programmatic monies flow from buyer to seller and who takes what fees in the process."
Further opportunity is seen in Nielsen's roll-out of its Digital Place Based/Cinema Fusion data, enabling media planners to compare the value of DPB and cinema with other media channels such as TV and digital video.
"Prohaska Consulting believes that most media agencies will evolve toward planning and buying TV/Video from a single bucket," the report says. "The digital plus video audiences of DPAA companies, with some adjustments, are a good fit for the 'one screen to many viewers' distribution channel that traditional TV has dominated, estimated at $67 billion in revenue for 2015."
The DPAA commissioned the white paper in conjunction with a task force consisting of association members Ayuda, BroadSign, Captivate, NEC, tenthavenue and VeriFone.
About Prohaska Consulting (http://prohaskaconsulting.com/)
Founded in 2011, Prohaska Consulting empowers publishers, agencies, brands, ad tech firms, industry groups and investors with roadmaps to programmatic and overall digital success. Top media organizations and industry groups like Univision, Under Armour and Toyota rely on Prohaska Consulting for strategic guidance, project leadership and/or operating street teams, all to drive more revenue and/or spend marketing budgets more efficiently. Prohaska Consulting is led by 23-year media veteran Matt Prohaska with a leadership team of eight and full team of more than 70 senior executives in 18 cities across the globe.
About DPAA (www.videoeverywhere.com)
Founded in 2006, the Digital Place Based Advertising Association (DPAA) represents leading digital placed based networks by promoting their integral role in the "video everywhere" ecosystem. On behalf of its members, DPAA fosters collaboration between agencies and digital place based networks; provides standards, best practices and industry-wide research; and promotes the effectiveness of digital place based advertising. Digital place based media is defined as networked digital video screens containing programming and advertising, reaching consumers on their daily journeys in places where they dwell. The DPAA is a Video Everywhere AssociationTM.
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