API Driven Ad Formats – Next Gen Storytelling

Day one of Adtech NYC 2010 kicked off with some brilliant and thought provoking presentations. One of my favorites so far centered around the performance improvements from API enabled ad formats.

One thing that rang true is that the way we engage consumers online is changing rapidly or must change rapidly, with consumers now far more interested in information and opinion than straight brand chest beating and dirty retail tactics. Familiarity with a brand is fast losing ground to brand experience and digital word of mouth, think sampling and advocacy incorporated into a traditional digital display ad format.  In simple terms now, dynamic ad formats that contain a RSS feed / XML feed on price or stock SKU, Facebook like or follow, a Tweet stream or a YouTube video are a reality and all the early evidence points to better engagement, dwell time, click through rate and intention to purchase according to the guys at IPG Media Lab, Spongecell, Socialmedia.com and Widget Box.

Companies now have the ability to bring their own structured data into an ad format, together with third party sources like Twitter and Facebook to create an experience that may not require a landing page? Think all relevant content from a landing page in one simple ad format combined with data from an individuals own social network. Everything a consumer needs to make a choice or form a firm opinion within an ad format in the site or content they chose to engage in.These API ad formats also have the ability to dynamically change, update and personalise on the fly using targeting data (cookies, behaviors etc) as the display ad gets called into a page. Ad creative and media planning are fast becoming mechanised by powerful algorithms and dynamic data feeds, meaning a considerable change to both creative processes and media planning and targeting.

Data presented today included ads with API & social media feeds:

• Increase engagement considerably – up to 33 seconds mouse over dwell time
• Engagement rates of up to 6.3% of impressions served
• Click through rates of up to 0.86% (vs 0.04% for traditional static banners)
• Brand awareness rates of up to 8.5%
• Brand preference rates of up to 14.5%
• Purchase intent rates of up to 21.7%

Key considerations:

• Change campaign KPI’s to around time spent engaged, Facebook Likes & Follows
• Brands and agencies to identify the right API’s that make sense and engage appropriately
• Capture attention with content that is dynamic, timely and relevant
• Give users clear choices to navigate to more functionality within the ad format

Justin Hind

COO Downstream Marketing

www.downstreamonline.com.au