SHANGHAI, July 4, 2014 /PRNewswire/ -- The kick-off press conference of China's first programmatic branding research project was held in Beijing on June 11th. The six largest agency groups (Publicis Groupe's Audience On Demand, Omnicom Group's Accuen, &c. Inc.'s iDSP, IPG's Cadreon, GroupM's Xaxis and Aegis Group's Amnet), over 20 publisher groups (Sohu.com, YoukuTudou, CBSi Group, Kmplayer, LeTV, Douban, ImgoTV, Yesky, Pacific Group, Funsion, YOKA and China's largest mobile SSP, Mogo), two leading advertisers (Unilever and Intel) and the two product partners of the research project (AdBugTech, specializing in brand safety and RTBChina, specializing in non-human flow identification), jointly launched the programmatic branding research project and embarked on the exploration of new models for programmatic brand marketing.
Focusing on brand programmatic buying, China's first programmatic branding research project is a 3-5-year long-term research plan led by AdChina and an authoritative third party, with industry leading enterprises to jointly drive the development of the industry. At the press conference, more than 10 major Internet players shared their views. AdChina CEO Alan Yan gave an overview of the project. AdMaster COO Calvin Chan, who was brought to the conference as an independent third party by special invitation, elaborated on the direction of the research and the theoretical systems being applied to the project. OMD general manager of China programmatic buying, Yuan Jun, delivered a keynote speech entitled "Take the pulse of the programming era and engage in efficient brand marketing." In a following round table, Intel marketing manager Ling Chen, &c. Inc. CMO Daniel Yin, IPG Mediabrands China digital managing director Prince Zhang, Douban vice president of business Oscar Huang, product management center deputy director of advertising platform products division at Tencent OMG Simon He and AdChina vice president Michael Gao engaged in an in-depth discussion where they explored the conversion of brand marketing models into a programmatic process.
In his speech, Alan Yan first talked about the trend towards programmatic transactions in the U.S. and the acceleration in the adoption of programmatic branding. Programmatic buying is becoming a mainstream activity as more and more advertising budgets will be allocated to brand programmatic buying. In 2013, 53 percent of online advertising deals in the U.S. were conducted programmatically. The figure is expected to climb to 83 percent by 2017.
In the case of China, 2014 will be the year when the adoption of programmatic branding begins. It was estimated that 50 percent of China's advertising expenditures on programmatic buying will be for brand launches by 2017. Programmatic branding is faced with opportunities and challenges. Programmatic buying can achieve audience buying by using intelligent optimization algorithms in real time to adjust the advertising, while improving the efficiency and effectiveness of the advertising campaign.
Nevertheless, at the same time, brand advertisers have expressed concerns on how the quality of the resources will be ensured with programmatic buying, how to optimize for brand indicators, how to more effectively measure the effectiveness of brand communication and how to secure brand safety. Therefore, AdChina launched China's first programmatic branding research project and was very honored to have more than 20 leaders within the industry united to jointly promote the programmatic branding process. The research has attracted more than tens of millions advertising budgets, focusing on three major research directions, through more than 20 actual advertising cases, with the participation and witness of the authoritative third party AdMaster to verify the importance and the feasibility of programmatic brand buying.
AdMaster COO Calvin Chan delivered a detailed presentation on the three areas of emphasis for the research and the theoretical systems that will be applied to the project. He said advertising brand index (ABI), audience buying and mobile marketing are the main areas of concern for brand advertisers. As the specially invited independent third party to the event, he was glad to see the participation of so many publishers, advertising agencies and advertisers in the project, signaling that programmatic branding has already entered an initial stage of acceptance and the expectation is high that the research project will be highly welcomed across the sector.
Speaking on behalf of the agencies, OMD general manager of China programmatic buying, Yuan Jun, delivered the keynote speech on taking the pulse of a programming era as a tool for engaging in effective brand marketing. In his speech, Yuan Jun mentioned that programmatic buying would be a major trend going forward and all the communication channels in the future would be programmed. TV, LED and even magazine advertising would be handled programmatically. To increase level of acceptance, further education and training would be needed to help brand advertisers to understand and experience the effectiveness and the high level of control delivered through programmatic buying. China, like its European and American counterparts, is on track to put 50 percent of its brand budgets into programmatic buying. The significance of this research project is to provide advertisers, through practical research, with hands-on cases and experience on how to apply programmatic buying to brand promotion. Accuen hopes to join AdChina in promoting programmatic buying and pushing the market to develop in the right direction.
The event was merely a launch ceremony of China's first programmatic branding research project. It will be followed by recruiting more high-caliber partners, including advertisers, agencies and publisher groups. In September this year, organizers will publish the results of the research. We will continue to follow up all the process and explore the new model of programmatic brand marketing.
About AdChina
AdChina built and operates China's largest independent SSP/DSP/DMP digital advertising technology platform covering both PC Internet and mobile Internet. AdChina was founded in April 2007 in Silicon Valley, USA.
AdChina's enterprise DSP tops in iResearch DSP Report for 2nd consecutive year (2012 and 2013). As the largest mobile DSP in China, AdChina's Mobile DSP is accessible by major mobile exchanges. As of the end of 2013, more than 60,000 mobile apps have been integrated into the platform with a reach to over 80 percent of China's mobile Internet users. The Company's enterprise DMP, which seamlessly integrates Internet and mobile data, takes a leading position in China and is widely adopted by brand customers. AdChina's PC SSP, with a focus on quality advertising inventory, is the largest of its kind in the country. The Company's Mobile SSP is currently China's largest independent mobile SSP, delivering 650 million ad impressions daily as of the end of 2013.
