Home Platforms AOL’s Programmatic Upfront: Converting Convertro Into A DMP, Unveiling TV Targeting Tools

AOL’s Programmatic Upfront: Converting Convertro Into A DMP, Unveiling TV Targeting Tools

SHARE:

ProgUpfrontIf AOL hadn’t already made it clear it would double down on digital video and end-to-end marketing tech at its Digital Newfront in May, Monday’s Programmatic Upfront at Advertising Week in New York left no doubt.

AOL’s latest development? The company has layered in and built a data-management platform (DMP) out of attribution vendor Convertro, which it purchased in May.

The DMP will complement ONE by AOL, an early-stage unified platform combining video from AOL’s Adap.tv acquisition, the AdLearn Open Platform and AOL Marketplace, which the company unveiled in March.

AOL will roll out the DMP first to existing programmatic customers and it is designed to provide a single view across a marketer’s entire inventory – both on AOL and off. If 2014 was the year of the rebrand from AOL Networks to AOL Platforms, 2015 will be about the DMP or the “marketing investment platform.”

“Customers are changing the way [media] decision processes are happening,” said AOL CEO Tim Armstrong to a small group of press and analysts before he presented to an intimate gathering of 150 agency employees and marketers at Spring Studios in SoHo. The crowd was substantially smaller than last year’s inaugural programmatic upfront, which drew 700.

Marc Fonzetti, director of media strategy and investment for Verizon Wireless, revealed during the Programmatic Upfront that AOL’s ability to blend CRM, media and second-party data led to a new partnership. Verizon Wireless could also augment data in AOL’s ONE platform by hooking it up to Oracle-owned DMP BlueKai, an openness which spurred Verizon’s selection.

“Effectively, data knows the optimal path from one customer to the next and unified data is going to help people do a better job finding customers, be it mobile, display, video or even television,” said AOL CTO Seth Demsey. “We wanted to make it very easy to see where your money [as a marketer] is going. The platform lets you run predictive analytics against your marketing spend… [and] see which creative is resonating cross-platform that goes well beyond media into message targeting for an audience.”

TV Time

In addition to committing to content and creative, which AOL claims it clinched via its Pictela and Gravity acquisitions, AOL is also pushing harder into linear and connected TV, striking a partnership with agency holding company Publicis Groupe to supply premium reserved and non-reserved inventory, as well as tools to build video private marketplaces.

AOL also unveiled at its Monday upfront a TV ad targeting and analytics platform called tRatio, designed to ingest advertisers’ first-party data, perform an anonymous match against audience profiles from 400,000 linear TV airings and apply a “viewer scoring metric” based on program, network or daypart.

“While overall viewing continues to expand, audiences continue to fragment and 85% of impressions on television are only reaching 40% of the consumer audience,” according to Dan Ackerman, head of programmatic TV at AOL Platforms. He said while advancements in content and distribution, such as HBO Go, have changed TV delivery, advertising technology has not kept up with viewer fragmentation.

AOL brought out broadcast giant NBCUniversal’s ads chief Linda Yaccarino to underscore the convergence between digital and linear TV, a convergence that has intensified since Comcast purchased NBCUniversal.

“There are a lot of technological hurdles to bring programmatic to linear TV, but we’re building those products to merge different data sets,” she said, noting NBCUniversal’s tools “are becoming more systematic and automated.”

For instance, she cited Monday’s launch of NBCUx, a programmatic sales offering that includes digital video, mobile inventory and display.

One focus is dynamic ad insertions.

“For some MVPDs [multichannel video programming distributor], dynamic ad insertions are ready to go, but we’re not at the point yet for national distribution,” she said. “We are investing unprecedented amounts of money in this area, whether it’s Comcast’s investment in Freewheel or other areas we’re focusing on.”

While Yaccarino admitted there are still many in broadcast who view programmatic as anathema, she said targeting and context drive ad inventory value. “[We think] if we can contextually place a commercial into our video content, that high value content doesn’t necessarily become commoditized if I’m targeting that ad to a (specific) audience or consumer,” she explained.

Clarification: Convertro’s technology will serve as the “attribution layer” for ONE by AOL’s DMP, but if someone wants to use Convertro as a standalone attribution system, the option is there. AOL noted that they’re building an open and modular system, so marketers can “bring their own DMP” to the table and sync up with Convertro as their attribution system of record.

 

Must Read

Netflix Touts New Measurement Capabilities As It Struggles With “Modest” Engagement Growth

Netflix’s revenue grew 12% YOY to $12.9 billion in Q3, which it maintains is in line with its forecast. Its ads business, however, is lagging slightly compared with expectations, causing Netflix to tweak its forecast for the rest of the year.

Apple Publishes Its Plan To Wipe Out Web Tracking

Apple is coming for identity resolution. WebKit’s latest tracking crackdown targets the infrastructure behind post-cookie IDs – and switching to a first-party setup won’t necessarily spare vendors.

AI Slop Sites Are On The Rise. Is Ad Tech Ready For Its New MFA Challenge?

Advertising supply chain intelligence company DecryptAds uncovered more than 2,100 AI-generated recipe sites that are monetized with programmatic ads and feature fabricated author profiles.

Privacy! Commerce! Connected TV! Read all about it. Subscribe to AdExchanger Newsletters

How Australian Home Lender Lendi Measures The Invisible Work Of AI

Most brands and businesses are trying to figure out how to improve their metrics when it comes to AI – and also what those metrics even are.

AI Startup Minerva Built An Agentic CDP, But Don’t Call It That

Minerva wants to turn fragmented customer data into something marketers can use, with AI agents doing the work behind the scenes.

VideoAmp Bets On AI To Connect Ad Planning And Measurement

VideoAmp is competing in the measurement space by sharpening its focus on TV audience data, ad performance and, of course, AI. The company is also making strategic hires and promoting from within.