This is one in a series of interviews with leading buyers Down Under titled “Automation and TV in Australia.” Marc Lomas appeared to discuss these topics with Jay Sears, Senior Vice President Marketplace Development of Rubicon Project, at the Rubicon Project Marketplace Summit Australia in Magenta, Australia on March 17, 2015.
Your Name: Marc Lomas
Your Company: Cadreon
Your Title: Managing Director
SEARS: What do you read to keep up with politics, art and culture?
LOMAS: I am a big fan of Flipboard. It’s all about aggregation and efficiency.
SEARS: What do you read to keep up with friends?
LOMAS: Facebook, Instagram, LinkedIn
SEARS: What do you read to keep up with our industry?
SEARS: With regards to advertising automation and programmatic, what are Cadreon’s three biggest initiatives in Australia and New Zealand in 2015?
SEARS: On average in the Australia and New Zealand markets -- out of each $1.00 spent on media (all media, not just digital) by one of your advertisers, how much today (in 2015) is spent on automated or programmatic channels?
LOMAS: On average around $0.10. Most clients are running 20-30% in digital. Automation is taking around a third to a half of all digital spend within our agencies. The numbers remains low whilst automation is still getting a foothold in guaranteed and traditional channels.
SEARS: What will this number be in 2017?
LOMAS: I expect this to grow to around $0.30 - $0.40, based on automation gaining near universal uptake in digital and the traditional channels embracing automation especially TV, Radio and DOH.
SEARS: Tell us the about the Australian and New Zealand operations of Cadreon:
LOMAS: Cadreon is IPG’s programmatic strategy and buying unit, serving as a specialized marketing services platform that fuses the latest technology, data, media partnerships and people to enable our clients to reach and engage with their target audiences at scale. We deliver highly efficient and optimized digital media, measurable value, dramatically improved performance and actionable insights.
SEARS: Please tell us:
SEARS: Draw an analogy between the automation of television and an Australian rules football game. Are we in the pre-game? Still driving to the stadium?
LOMAS: The part when you just arrive at the stadium, are really excited, eager to get a beer and get involved but a little confused about where to go, so many people, so many gates, mates all pointing in different directions.
SEARS: How can advertising automation help the strategy and planning functions (directly or indirectly) at an advertising agency?
LOMAS: Besides the obvious benefits of solving the inefficiencies in the current model and adding this resource back into the strategy/planning layer. Automation will help strategy and planning become more targeted, more relevant, able to create micro-strategies that are responsive and adapt based on better, faster feedback and insight.
SEARS: Can linear TV be automated, yes or no?
LOMAS: Yes, it must to survive. I can’t see “broadcast” survive long into the future. Advertisers and consumers will come to expect right time, right place and right message communication. Everything else will be noise. Automation is an essential step in this journey.
SEARS: What two or three events or happenings will accelerate the automation of television?
SEARS: Transparency -- on media costs, on data, on inventory -- has become a lightning rod issue. Should transparency be a negotiated benefit for the advertiser client, yes or no?
LOMAS: Yes, however negotiation is essential. It takes a lot of sophistication and dedication to understand and value all elements that make a successful trading operation, which is essential to a mutually beneficial relationship. Transparency will suit bigger players; others will prefer the simplicity of evaluating media on a cost vs outcomes basis.
SEARS: Which of the following will accelerate the automation of site direct (direct orders) budget? Pick all that apply:
LOMAS: F -- all of the above.
SEARS: If you could go to the airport right now with friends or family and fly anywhere in the world for vacation, who would you take and where would you go?
LOMAS: My amazing fiancé and few close friends – we would all head out on an African Safari.
SEARS: If you could create an endowment to fund any existing non-profit you designated, what lucky non-profit organization would that be?
LOMAS: It would be a non-profit dedicated to solving world hunger.
SEARS: What is your favorite restaurant in the world?
LOMAS: I love all food, so this is a tough one. The most memorable for me has to be the Fat Duck in London.
SEARS: Thanks, Marc!
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