Recently, Analysys, a Chinese third-party research institute, released the Thematic Study Report of China's Programmatic Buying Advertising Market in 2015. According to the report, based on the 2014 DSP market share investigation. Analysys performed a sampling survey of 4A global agencies and their customers and found that DeepZero | iPinYou took up 59.8% of the market share of China's brand programmatic buying, which was an increase of 7% compared with 52.8% last year. This also proves the Matthew Effect of DSP - the strong growing stronger.
With continuous development within the industry, brand advertisers have turned to embrace programmatic buying. For example, Procter and Gamble, one of the world's largest buyers of media, plans to use 70%-75% of its overall digital budget for programmatic buying in the US market by the end of this year; Haier has adopted the DSP platform since 2012; General Motors Corporation has also fully adopted the comprehensive programmatic buying practice. Therefore, programmatic ad buying has gradually grown to be one of the main methods for brand advertisers in digital marketing.
According to the report, the scale of China's programmatic advertising market in 2014 was 5.23 billion RMB, with a growth rate of 141.0%; it is predicted that by 2016 China's programmatic buying market will reach 18.76 billion RMB in scale. Through more research, Analysys concluded that China's programmatic advertising market is presently in the rapid development stage attributable to the fast growth of RTB and brand advertisers' adoption of PDB (Programmatic Direct Buying). Meanwhile, the gradually maturing market for mobile programmatic also drives the growth of this market.
Grace Huang, the founder and CEO of DeepZero | iPinYou, said "Brand advertisers have more advanced thinking for the the value of programmatic within digital advertising and the selection of DSP partners. Compared with e-commerce platforms, gaming clients and other brand customers have more requirements for brand building and influence, e-commerce conversion, offline conversion, etc. and they care more for brand protection, advertising formats, and the ability for cross-screen. DSP technology providers are not only simply evaluated by their results, but also their systems, functions, service experience, etc. Therefore, many domestic DSPs do not meet the expectations of brand customers. Over the past several years, DeepZero | iPinYou has been successful in cooperating with 4A agencies and their trading desks to become the primary DSP partner of the top 500 enterprises globally and locally in providing products and offerings that best meet brand customers’ demands.
Mark Xie, the co-founder of DeepZero | iPinYou introduced that DeepZero | iPinYou has achieved a great breakthrough in solving problems brand advertisers are concerned with for the year. Firstly, DeepZero | iPinYou reached cooperation with Grapeshot and IAS, which engage in brand safety services. Utilizing the rich experience of these two partners in brand safety, Advertisers can enjoy a safer environment in delivering ads. Also, in April, DeepZero | iPinYou reached an exclusive cooperation agreement with Retail Solutions Inc. (RSI), the world's largest business intelligence and data analysis provider in the retail industry. The objective is to build brand-new "O2O One Key Pass" solutions and create LBS-based O2O marketing opportunities for retail clients’ stores and offline opportunities. In April, DeepZero | iPinYou also integrated with main mobile ad platforms, such as Sohu Mobile, Unicom, TouTiao, and YOUKU Mobile, and was the first to connect with Tencent Open Platform’s GDT Ad Exchange. GDT can help advertisers effectively identify users on cross-screen devices and achieve more efficient advertising initiatives.
Meanwhile, Grace Huang said DeepZero | iPinYou has also seen significant improvement and breakthroughs in servicing e-commerce clients. DeepZero | iPinYou not only provides DSP cross-screen targeting for many e-commerce platforms in PC and mobile but has also advanced in developing improved retargeting technology, altogether helping clients achieve higher ROI. Noted advancements include additional, more versatile dynamic creative templates meeting a larger range of e-commerce client’s demands; as well as enriching our ability to use data in both user audience profiling and conversion, ROI rates.
Grace Huang said the DSP market consolidating with large DSPs became larger, winning more market share, and weaker DSPs will continue dying off. This is because DSP’s core competitiveness lies in four criteria: data, technology, algorithm, and optimization. All of these areas will see a strong snowball effect that one area's development will increase the overall effectiveness.
