You can check overview about this event in our Dewina Journal.
http://dewina-journal.foutap.com/may-the-native-be-with-you/
0. The future of ad tech and digital marketing in Asia:P3 - P18
1. About FreakOut Group:P19 - P29
2. What's Native Ads:P30 - P40
3. The Challenge of Mobile Advertising:P41 - P53
4. What Native can do:P54 - P66
5. Japanese Case:P67 - P73
6. Hike Indonesia:P74 - P82
FreakOut dewina Indonesia
id@foutap.com
http://id.foutap.com/
4. Scientist
Specialized in Physics, Chemistry and Biology.
Worked in biochemistry laboratory in the US and
Japan.
Software Engineer
Started software coding in 6 years old.
Musician
Professional composer of commercial music for
about 2 years.
Before Ad Technology Business
Yuzuru Honda
Founder&CEO
5. Yuzuru Honda
Founder&CEO
“Brainer”
A contents matching ad company established in 2005. Sold
to Yahoo!Japan in 2008 in accordance with setting up
project on interest matching ads, which is predecessor of
YDN (Yahoo Display Network).
Investor
Invested more than 30 companies so far.
“FreakOut”
Established in Oct. 2010, and impacted Japanese digital
advertise market introducing first-ever DSP system.
After only 3 and a half years, got listed on Tokyo Stock
Exchange as the first company specializing in ad technology
company.
In Ad Technology Business
15. “What are important abilities for
entrepreneurs and investors?”
to forecast the future(precisely)
the forecast has to be unique(not
like other people’s way of
thinking).
16. “Why did you do the same business
as Google does?”
It’s challenging!
The market is super huge.
18. To make a strong digital
marketing company. And its core
value has to be “Technology”.
To make tight relationships with
other Asian players to make a
unique ecosystem which US/Euro
players cannot easily break into.
My missions
20. FREAKOUT AT A GLANCE.
Japan’s first and
largest DSP
Listed on the
Tokyo Stock
Exchange by June
2014
Global marketing
technology company
developing towards
Asian market
PT. FreakOut dewina
Indonesia, established
in Sept 2015
21. Marketing Technology Company from Japan.
Founded : October 2010(IPO June 2014)
# The First Demand Side Platform/Real Time Bidding in Japan
# The Largest Data Management Platform in Japan
# Listed a stock in 2014
# The Largest Native Ad Platform “Hike” from 2014
22. CEO – Founder
Honda Yuzuru
• Founder of Brainer Inc. which created Contents Matching for Ads
former Yahoo’s Interest Matching service (like Adsense) in 2005
• Brainer was acquired by Yahoo Japan in 2008
• Founder of FreakOut Inc. in 2010
COO – CEO M.T burn
Sato Yuske
• Former Google Japan
• Founding member of FreakOut team
• M.T. Burn CEO
CFO
Yokoyama Kotaro
CTO
Akashi Nobuyuki
• Joined Brainer in 2006
• Joined Yahoo Japan in 2008
• Joined FreakOut in 2011
• Former CTO of Yahoo
• 13 years experience at Yahoo! Japan
• Joined FreakOut in 2014
Corporate Officer
Muto Yoshihiko
• Former Corporate Officer of Yahoo
• Former UNITED CINEMA Inc. CEO
• Joined FreakOut in 2014
BOARD MEMBER.
25. OUR AD FORMAT: NATIVE IN-FEED.
• Image: 640x320
• Title: 60 character
• Description: 140
character
• “Promoted by (brand
name)”
• Image: 114x114
• Title: 60 character
• Description: N/A
• “Promoted by (brand
name)”
Mata Indah Mempesona
Sepanjang Hari
SPONSORED BY KATE
Weekend To Do List:
Menyambangi Lahan Off
Road di Jakarta
SPONSORED BY JEEP
32. WHAT IS NATIVE ADS
THE FOUT • FORM + FUNCTION
• IN STREAM
• NATURAL EXPERIENCE
THE FOUT
Kenapa Kadang Kita Malu
Mengungkapkan Rasa Cinta
Kepada Mama?
Sponsored
• MORE CLICKS
BANNER ADS NATIVE ADS
WHAT IS NATIVE ADS
Ini Harga dan Spesifikiasi
Samsung Galaxy A3 dan A5
33. PLATFORM BASED
Editorial Native Ads
Social Native Ads
Native Ads in Apps
IAB FORMAT
In Feed
Promoted Listing
Custom Unit
Recommendation Widget
TYPES OF NATIVE ADS
35. Kenapa Kadang Kita Malu
Mengungkapkan Rasa Cinta
Kepada Mama?
Sponsored
Kenapa Kadang Kita Malu
Mengungkapkan Rasa Cinta Kepada
Mama?
Sponsored
EDITORIAL NATIVE ADS
42. DIGITAL ADS CHALLENGES
AD BLINDNESS
PEOPLE DON’T CLICK ADS
POOR USER EXPERIENCE
THE RISE OF AD BLOCKER
43. Banner blindness is a phenomenon in web usability where visitors to a website
consciously or subconsciously ignore banner-like information, which can also be
called ad blindness or banner noise. -Wikipedia
AD BLINDNESS
AD BLINDNESS
44. Ad Blindness: Heat map
Desktop
Mobile
AD BLINDNESS: HEATMAP
*Jacob Nielsen’s Eye Tracking Usability
45. NO BANNER AD WITH BANNER AD
Tablet Tablet
AD BLINDNESS: HEATMAP
*Sharethrough Study
May the native be with you.
Thank you for listening and coming today.
新日本監査法人
May the native be with you.
Thank you for listening and coming today.
As Honda san explained earlier, FreakOut is the 1st Demand Side Platform in Japan which provide efficient advertising way with a high technology and much audience data.
Our DSP business have succeeded and FreakOut got IPO in the period just 3 years and 9 months. After we support many number of advertisers, we noticed the big issue.
Even though using a high technology and much audience data, it is not enough to get satisfied result on mobile as far as it’s delivered in banner ads because people don’t see banner ads and people feel annoying about mobile ads. That problem is called banner blindness. We had to develop the new product which resolve the banner blindness problem.
Hi Everyone Thank you for your coming today, I’m CEO of FreakOut dewina Indonesia.
First of all, let me try to introduce myself by bahasa if you are OK.
In This section, I will introduce about our product Hike and our company as well as some of Japanese case study.
This is some kinds of media layout.
And this is our Hike advertisement.
Perfectly fitting.
Of course, in order to notify user this is advertisement, we are always putting "Ads by” or “Sponsored” or something like that.
This is some kinds of media layout.
And this is our Hike advertisement.
Perfectly fitting.
Of course, in order to notify user this is advertisement, we are always putting "Ads by” or “Sponsored” or something like that.
We can get a lot of agreement in this industry in Japan, Hike has grown steadily thanks to every partner.
May the native be with you.
Thank you for listening and coming today.
THESE ARE IMAGES OF 2 MOBILE SITES
KEY ELEMENTS
-BLEND WITH CONTENT, FORM+FUNCTION WILL MATCH DESIGN
-LOCATION IN STREAM, AS A PART OF IT. PPL READ NEWS
-NATURAL EXP HIGHLIGHT NATIVE ADS. PPL ONLY CLICK AN ARTICLE-> CLICK ADS. FAIR TRADE
-NATIVE ADS SHOWN T PERFORM MORE CLICKS, EARN USER TRUST WHEN CLICKED. WHEN ADS RELATED WITH CONTENT AND USER - ENGANGING MOMENT
May the native be with you.
Thank you for listening and coming today.
May the native be with you.
Thank you for listening and coming today.
Hi Everyone,
Thank you for being here today, really great to have you all spending time with us.
My name is Dian Sarita, I’m the genaral manager of FreakOut dewina Indonesia.
So while you are enjoying your food and drinks, I get to let you know of WHY we are here, within Indonesia mobile advertising industry.
Whereas my personal mission today, is to get you drink as much as possible, we have provided around ten barrels for this event. So please, help us to finish the beer.
After of what my colleague, Sihka telling you before, I should sum up that there are 4 major challenges on today’s mobile market.
First is the ad blindness
Second is that people don’t really click on our ads
Third will be the poor ad experience we have giving to our mobile users, which is your potential consumers.
And also the rise of ad blocker.
All of these 4 points are created in the perspective of our consumers.
And um have you ever think about what user say about this disruptive mobile ads?
Have you ever put yourself on your user’s point of view?
Please raise your hand if you ever did!
See, no one put their hands up.
So, let me take you to explore the mind of our users, the regular people, the non-advertising non-media people’s point of view.
As a rich company, we happened to have an office on a very strategic location.
So we can have access to these regular people, we stop them on the street while they’re having some cigarette or a cup of coffee, or just waiting for their driver to pick them up.
And here’s the thing that they said about mobile advertising.
So umm, based on the consumer’s thought, we can say that people easily don’t like ads.
So then we came into this question right here: How to make people click our ads?
But actually, before the how, there’s another question that should be more important: which is Why people click on our ads?
And to answer that questions, we will need to get back to a history lesson, the first ever banner ad.
More than 20 years ago, on October 27, 1994, the first banner ad went live on hotwired.com. And For over four months, 44% of those who saw the ad clicked on it.
And this is how the banner ad looks like.
It says: Have you ever clicked your mouse right here? You will!
This campaign is belongs to AT&T, which had run an ad campaign focused on futuristic technological wonders.
For two years prior to the debut of the banner, they also run many offline campaign on TV, print, and radio. TV spots showed a woman at a video phone talking to her toddler on the screen, and asked: "Have you ever tucked your baby in? From a phone booth?"
Other spots asked if you ever paid tolls without stopping your car, and other futuristic technological wonders. All ended with the same promise: "You will.”
So here’s the answer of why so many people click on the ads, why the CTR could be as high as 44%.
First is that it was aroused high curiosity of the consumer.
Second is that it delivers great experience.
And third, as our first lesson that we learn in marketing 101: to put customer first, it was created with a good intention towards the customers.
So that’s one good thing that happened in 1994.
Whereas what happen nowadays, in the digital marketing era, the mobile marketing era.
Is that we are too busy to think of “How to make people click?” by adding more banner ad on every corner of the page
Make the ads bigger and bigger just to make it more prominent than the content itself.
In short, we are too busy to make the ads more and more disruptive.
compl
It’s nearly like: The more disruptive the ads, the more we are proud of ourselves.
So, why not make the ads more simple?
Our in-feed native format is simple.
A simple thing that brings us into a better mobile marketing ecosystem.
And why this simple thing can gets us that way?
Because for the publisher, it is the most seamless ad experience, by far. It will make brands featured to be part of your content.
So that it is less disruptive to consumer, and they will voluntary click on the ads.
And off course, it brings more benefits to the advertiser.
And as the more benefits delivered to the advertisers, they will spend more and more dollars into the publishers.
And this is how our in-feed native bring benefit to both publishers and advertisers.
It’s simply because our consumer get less disrupted by our ads.
This less disruptive mobile ad format will get the consumer click more on the ads, so that it makes the inventory value gets 75% higher, in terms of eCPM.
So your regular banner ad will simply have $0.20 eCPM, whereas with our mobile in-feed native, we can jack up the eCPM as high as $0.35.
So yes, 75% higher value of your inventories.
And yet for brands and agencies, our in-feed native will boost up your ad effectiveness even more.
Average mobile banner CTR is only 0.10%, if its higher it’s probably more accidental clicks involved.
And what’s great for from this high CTR, is that it delivers lower bounce rate and most importantly, we deliver more amount of new users into your digital asset, as we can make people who don’t usually click on banners to click into your in-feed native. Which also means, you can easily expand your audience reach.
So umm, no more negative words.
And let’s make our consumers turning into liking our ads by serving more and more in-feed native ad format, with FreakOut off course.
So um, if you need any other details on this things, please find me somewhere around the beer tap, do enjoy this freaking nite out, and may the native e with you!
May the native be with you.
Thank you for listening and coming today.
From this part, I will introduce some of Japanese case study both publisher and advertiser.
This part is for publisher.
This media is one of the famous sports media, the name Tokyo Sports.
In this case, we compared about performance between the text ads and native ads at the same position.
In 1st week with using text ads they can get around 0.01%.
In second week with using native format they can get around 0.02% in Click through rate.
So they can get double score in CTR.
This media is apps game developer.
They tested 4 kinds of ad format at the same time.
1st one is banner ads, 2nd one is only text type, 3rd one is image + text, the last one is customized native format.
Please look at this format, this format is using game character.
Our native format can be customized flexibly to fit media concept.
Each result is like this.
Native format is highest performance.
Not only these 2 case, native formats usually can get higher CTR than banner ads at the same position.
Next I pick 2 case for advertiser.
1st case, we watched the difference of Bounce Rate.
As you know, It’s better for advertisers to decrease bounce rate in order to get more engagement.
In this case, we compare the bounce rate between some kinds of ads, mobile bottom ads, mobile rectangle ads, retargeting ads and native ads.
The result is like this. Native Ads got lowest bounce rate even though retargeting ads scored 74%.
Bottom ads and rectangle ads is around 90%, that’s because 50% clicks are accidental.
It means even though many people click mobile banner ads almost people cannot be engaged.
But our native ads can get 2 - 3 times engaged user even at the same number of clicks.
2nd case we watched the difference of new user rate.
As you know, it’s better for advertisers to increase this rate to get more unique user.
In this case, we compare the new user rate between mobile banner ads and native ads.
The result is 72% from banner ads and 93% from the native ads.
It means our Hike can reach more unique user, that’s because of high visibility.
Some people don’t click banner ads, but they click native ads.
May the native be with you.
Thank you for listening and coming today.
These publisher are some of our Hike partner.
our business goes well Thanks to these publisher.
Thank you very much again.
Our Hike network get bigger and bigger now.
This graph shows the growth of monthly impression.
And from this Q1, we already prepare native format for Apps publisher.
We can provide both way of implementation SDK and Java Script.
Not only Infeed-Native Ads like news portal,
We can provide customized native format for games and tool Apps developer.
This is Japan’s case. Look at these ad format.
Using game character or the same colored flame with content.
Now this is Japanese Apps trend.
If you want to get both of user experience and benefit, you have to customize ad format similar to your content.
And next Q2 we can provide retargeting function finally, so far our product is getting high performance with brand awareness.
But with this function, we can also support performance based campaign like e-commerce.
of course we know almost other advertising product have this retargeting function.
But native ad platform is still new product.
So you can reach the right person with retargeting, and the right format with native.
You can get both.
Right person, right formats.
And this year
We want to launch new function one after another for you like video ads and real time bidding, please tell us your demand to our team.
This is last section,
Our mission is creating a better ecosystem on mobile advertising.
Nowadays, everyone have no doubt about mobile business potential.
But in fact, mobile ad spend is less than 10% even though everyone have their mobile and spend more time on mobile than desktop.
Why? Because mobile advertising have much problem like banner blindness, ad blocker, high bounce rate and much accidental clicks.
That’s why we now focus on only mobile. because the problem is huge especially on mobile.
I think if we leave this huge problem, mobile advertising industry will die.
Now it’s time to reconsider about user experience for our future.
So we want to change this ecosystem with Native format which provide a better mobile experience for user, a new-way to monetise media, and a high-quality marketing solution for advertiser.
As a user, I don’t like mobile banner ads. But ads is necessary.
We believe native can solve this problem.
If you agree with this vision, let’s continue to improve this eco-system together.
May the native be with you.
Thank you for listening and coming today.