Editor’s note: This is one of 11 case studies featured in INMA’s strategic report “Programmatic Advertising Opportunities for Publishers,” released in September.
An alliance of 11 Danish publishers has created a private marketplace that now accounts for 25% of overall digital programmatic revenue. Launched in January 2013, the Dansk Udgivernetværk (Danish Publisher Network) is handling all programmatic sales for the 11 publishers that reach 70% of the Danish population.
DPN is an alliance of Jyllands-Posten, Ekstra Bladet, Politiken, Krak, Nordjyske, Politikens Lokalaviser, Den Store Danske, Jobzonen, Jyske Medier and Børsen. The goal of the alliance — which offers offers online inventory and audience data to agency trading desks through real-time bidding— is to bring together all major publishers in the market.
DPN offers advertisers advanced and unique first-party audience data and greater reach within a premium and brand-safe environment. Along with offering quality content, DPN aims to maintain control of first-party data by each partner and to gain a share of the rapidly growing RTB market in Denmark — estimated to be 20% of the total display revenue in the country.
Based in Copenhagen, DPN is led by Martin Jensen and employs a small team with functions including product management, yield management, and sales. DPN uses Krux as its DMP to collect behaviour data for use in selling in a private marketplace. It sells that data through the Rubicon Project’s exchange (a leading Los Angeles-based technology company automating the buying and selling of advertising).
DPN recently began partnering with Denmark’s No. 1 job search site, Jobzonen, to create “Track and Trace,” which uses programmatic targeting to match jobs with qualified candidates.
As of mid-2014, 25% of overall digital programmatic revenue has been from the private marketplace.
DPN offers these lessons from its 18 months of operation:
- Build the capacity of the internal ad operation to offer programmatic sales.
- Determine which of the publisher’s valuable data sets the demand side is asking for.
- Use sales capabilities to leverage the huge potential of private marketplaces — it is all about sales efficiency.
- Take control as a publisher in terms of data, yields, and pricing.
- Ensure you are working with the right technology partners, creating close relationships with trading desks, and making investments in programmatic staffing, partnerships, and resources. Programmatic is a long-term strategy decision, not a short-term revenue stream. You need to invest in programmatic to see long-term benefits.
- In a small market, scale and reach are essential for success.
- RTB is no longer only about unsold inventory — it is about quality inventory.
- Create demand by leveraging existing clients and campaigns to make overall CPMs increase.
- Even in a programmatic world, there is still manual work to be done.
- Growth in programmatic will come from video and mobile in the coming years. Prepare for this shift now.
- Collaborate, learn from, and join forces with publishers around the world. We all compete with Facebook, Yahoo, and Google.