Peles spoke at Bar Ilan University's Executive MBA program last Thursday, on gaining and upholding the competitive edge in the digital advertising world. Also hosting Gilad Hellerman, our CTO, they learned how they can leverage technology and the unique business strategy of the coopetition model to their benefit.

Part I- Overview

Students were first given an overview of the challenges /advantages presented by online digital advertising. Peles showed how the challenges and advantages are in essence two sides of the same coin, both due primarily to the fact that all elements of a campaign can be tracked and measured. On the one hand, this allows true campaign transparency and accurate optimization goals. On the other hand, advertisers have their work cut out for them where clear data of success and failure require far more refined efforts at every level of the campaign.

In a vivid description of exactly how challenging this refinement process is, Peles detailed the complexities of the campaign value chain.

Part II- Coopetition

Peles then introduced the group to coopetition, which for many students, was a whole new way of looking at business in general, and advertising in particular. He explained how by cooperating with your competitors on select business operations, companies can increase profits and maximize value for their operations. Meaning coopetion is applicable, valuable and positively affects the bottom line results  in the following ways:

·        Advertisers , get higher exposure.

·        Media partners and publishers have better use for their media.

Peles pointed out that DMG itself enjoys bigger budgets than their advertisers and more media sources from partners.

Part III-Technology

In the third and final installment, Gilad Hellerman, CTO, took over and summarized technologies current influence on digital advertising. Some of these advantages include campaign flexibility, responding to clients' technical needs and the ability to work faster and with a larger client base.

Then spoke on how the development of new technologies can serve both as an internal boon for corporations toward operational superiority,as well as to serve as a reusable sales asset in addition to a company's regular product/service offering.

All in all, the students were treated to a veteran’s outlook on a dynamic industry, of which they too will one day help serve to shape as Peles has already done.  

Last week DMG took a company field trip to northern Israel where we took a little breather from the daily grind for some fun in the sun - We would like to share the amazing time we had with you below:

We started by heading up north and had breakfast at Ramat Hanadiv Momorial Gardens, named after the Baron Rothschild.

Continuing to travel down the paths of history, we reached Fort Shuni which was built during Roman times.

We then absorbed the unique atmosphere of the Golan,

Going for a little dip in the Ein Tina stream.

We finished the day with dinner & drinks neer the beautiful waters of the Kinneret.

We hope that you enjoyed reading and seeing the lovely time we had last Sunday, stay tuned for more trips and fun to come!

 If you'd like to see more, visit our Facebook page

According to a recent research by eMarketer, US online advertising spending is estimated to reach $25.1 billion in 2010, representing the 10.8% growth over last year. Relatively healthy economic gains, along with the ongoing shift of marketing dollars from traditional to digital media, have contributed to the double-digit increase.

“The anxiety attached to the still-healing economy encourages marketers to bet more on ‘sure things’—and the ability to measure Internet ads, especially search, makes them more sure than most traditional ad spending,” he said.

Steady gains in online ad spending will mean an additional $11 billion flowing into the space over the next four years, increasing the Internet’s share of total media ad spending from a bit more than 15% in 2010 to over 20% in 2014. In addition, both offline and online ad spending models are being restructured by the shift toward more non-advertising marketing. In the online space, marketers are focusing more on social media and building up their Websites or brand microsites. The new marketplace is a rapidly evolving ecosystem built on top of the social Internet—blogs, Twitter, Facebook, word-of-mouth and viral campaigns.

 “As marketers look to engage their audience with relevant, trustworthy messages, that means smaller shares of marketing budgets going to traditional forms of advertising,” said Mr. Hallerman. “For that reason, the spending numbers alone fail to capture the full extent of online marketing’s growth.”

Lack of measurement is a barrier to mobile advertising. The field is still at an early stage of development - relatively limited in its ability to track results, with CPA/CPL methods not yet commonly used. This period is similar to the early days of online advertising - a decade ago - when results and ROI were new and unfamiliar concepts. However, as happened with online advertising, mobile will also become a profitable channel, which will be based on the principles of measurement and accountability.

Result -oriented marketers have only recently begun to expand their Mobile activities – their hesitance due mainly to the current lack of reliable measurement options. Without transparency of the process, metrics, and accountability, they have had no justification for increasing their mobile budgets. The situation is changing, however, as new solutions are being introduced that enable the management of Mobilemetrics in ways similar to those used online.

Our post - click optimization platform Traffilaite - www.traffiliate.com, provides transparency of the campaign process and allows the tracking of conversions on mobile campaigns, providing a single management and optimization source for aggregation of multiple mobile ad platforms - with effective media management and even a unified reporting system.

The visibility and control achieved over the entire mobile campaign allows you (or us) to choose the best media source and creative for each campaign, to make the right choices for maximizing profitability, and to help marketers achieve their ROI and spend higher volumes.

The mobile market has become the digital advertising world’s Rubik’s Cube, presenting new challenges even as the old ones are being solved. Like the Rubik’s Cube though, mobile is proving just too tempting for advertisers to put down.

As the smart-phone race barrels along at blinding speed, daily advancements in mobile technology are greatly expanding mobile’s relevant reach into various peripheral sectors. Coincidently, much of this technology has answered many of the former capability reservations that have, thus far, kept digital advertisers from making a serious play at the mobile market. Let’s take a look at just a few of these advancements and see if we can build the ideal theoretical advertising environment by stacking one set of capabilities upon the other.

Social networking- With the rise of mobile apps for social networking sites such as Facebook, mobile advertisers now have the same incredibly detailed source of profiling information that traditional digital advertisers have been privy to. This crucial information includes both general information such as age and gender, and can drill as deep as personal interests (groups), preferences (likes), and can even theoretically cross-match probable categories of social conformity with the data of a user’s “friends”.

Location- Geo-location tracking software is one of the fastest rising trends in mobile with companies like Foursquare, Gowalla, Brightkite and Loop Star, all joining the fracas. Using geo location to build upon our profiling information, advertisers can determine, with pinpoint accuracy, the optimum time (e.g. lunchtime hours) and place (e.g. specific restaurants within walking distance) in which an ad would become relevant for a given consumer.

Need/Desire- Back to mobile social networking apps; real-time updating applications like Twitter can provide the icing on our advertising cake through actionable data as to the current needs/desires of potential consumers. More than once we’ve heard the stories of Twitter users posting about their desire to try out a product they’re currently admiring from afar, only to be contacted soon after by the product’s parent company and offered a free “test drive”. If advertisers could track real time interest (and they can), ads could be timed to target specific time based needs of their target market.

And there you have it. All the colors of our advertizing puzzle are right there before our eyes. As is always the question with Rubik’s Cube, it all boils down to who is going to have the fastest time in putting it all together?

Being the first to market a landing-page-and-conversion-funnel platform for mobile with pre and post click data analysis, as well as single report aggregation ability, DMG’s Traffiliate is emerging as a clear and colorful favorite.