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WHAT ARE WORDS WORTH ?
How semantic technology can monetize online content



                           KATE OWEN

Nordic Executive Network - Stockholm, May 2010
Some old truths

“People don’t read ads. People read what
interests them. Sometimes that’s an ad.”
- Howard Gossage: Texter, Art Director, Author




        “A wealth of information
 creates a poverty of attention …
      and a need to allocate that
            attention efficiently.”
                          - Herbert Simon:
         Scientist, Economist, Psychologist
2001-2007: Easy Money


 Navigation and Architecture

 Manual Content Classification

 Page Views

 Big Display Networks

 High CPMs

 Click Rate as Benchmark
What happened?!




1.   Dinosaur picture
Google Came Along




Search has made
information
architecture
irrelevant
What use is
the best web
content …

… if you
can’t find it
when you
need it ?
Publishers are advancing slower
than their own end users,
                             Come on,
                              guys ...




in making use of web technology
for the advertising and marketing
that finances them.
… Users control this medium!
How do you identify
markets and fulfill their
needs?


You make Display more
like Search!
Don’t Get Drowned!


Market Results:
More inventory = lower prices

Strategic Result:
Differentiate your content.

Make “invisible” inventory visible!
What do Advertisers Want?


Plannable
Measurable
Comparable


RETURN ON INVESTMENT
Advertiser Strategy I: Masses for Cheap
It’s Just Maths …
.. But It’s Devaluing Your Inventory
THEY Don’t Care About Your Platform!
Until This Happens

Germany‘s Worst Child Abuser
     Appears In Court




                               Party
                               with the
                               girls?
Or This
Car Gutted By Flames;
 Jams on Motorway
Your Clients Care About Misplacement.


     URL tracking, verification and
      control

     Damage Assessment

     Whose Fault Is It …

     … And Who Pays ????
They want


YOU to!
Advertiser Strategy II: Aim Intelligently

                                      Registration data

                                          name
  Demographics
                                          age
                                          sex
             sex
                                          address - postcode
             age
                                          purchase history
        location
         income    TARGETING              payment type
            race
      education
 home ownership                Technology
        mobility
    employment                 site
                               CONTEXT
                               frequency
                               click rate
                               on site behaviour
                               location
More Efficient Use of Your Inventory
Imagine …
But It Has To Work.

Control ad exposure and penetration within target
  group, using:


     Demographic analysis (research)
     .. Although this is not directly measurable

     Behavioural analysis (cookies, retargeting)
      .. Although this distances an action /perceived
  interest          from ad delivery

     Contextual analysis (keyword)
     .. Right Idea, Wrong Execution : Not good enough!
So what is semantics?

  Semantics is the study of meaning.

                                „ORANGE“




Fruit   Colour    Mobile Mountain   Texas   Louisiana   Provence     Hi-Fi     South
                 Telecom  Bikes                                    Equipment   Africa
Sense Engine Taxonomy
          development




28   presentation title
Make Sense out of content


        Sense Engine receives URL


    Sense Engine visits webpage


         Extracts content of page


        Compares content to >3000
          categories in taxonomy

                                    1. Wine holidays 219.83
         Most relevant categories
                                    2. Piedmont, Italy 197.71
                 identified
                                    3. Italy 185.94


29 29     The semantic revolution
Recognising “Bad Content”
     Alcohol                   Economic Issues       P2P                       Unrest, Conflicts & wars
     X Accidents & Disasters    Environmental Issues  Social & Political Issues Violence & Crime
     Adult & Nudity            Extreme View          Swearing                  Weapons
     Civil Unrest              Gambling              Terrorism
     Drugs                     Health Issues         Tobacco


                               SITESCREEN PROTECTED




30
Do You Deliver In My Language?


Completed                  Currently in
                           development
  English
  (US, UK & AU variants)     Swedish

  German                     Italian

  Dutch                      Spanish

  Danish

  French
Sales Idea #1: Precise Targeting
          Client Targeting a Travel & Leisure
          Audiencejourneys 2. Surfing and windsurfing holidays 3. Walking and trekking holidays
          1. Travel planning and




33 33   The semantic revolution
(Traditional Tagging is Often Irrelevant)
Sales Idea #2: Target Group Learnings
Sales Idea #3: „Own“ a subject area

           GENERAL INTEREST




           NEWS




           BROAD SPECIAL INT.



           SPECIAL
           INTEREST



Anyone can book a specialized thematic site!
Sales Idea #4: Brand Protection
       Car Gutted By Flames;
        Jams on Motorway
Sales Idea #5: Better
    optimization
Valuable Learnings for Clients


Actual volume split by broad topic




Best (and worst!) performing
topics at finer level
Sales Idea #6: Enhance Existing
           Targeting
        Male
        18 -35
        High income
        Homeowner


        Interests:
        Travel... to Jamaica
        Hotels in Jamaica
        Flights & Car hire
        Montego Bay, Jamaica
        Pop Star Girlfriend (… Just Kidding!)
Some More Ideas


media planners
Brand Disasters Are Your Friends


                         Womens‘ Magazines

                         Slimming Products

                         Fitness Products

                         Fashion

                         ....
Brand Disasters Are Your Friends




                           FMCG
Be Creative and Flexible
                                      Vitamins
                 Adventure Holidays

             Environment                       Gardening

    Protecting Nature
                                                       Hybrid Vehicles

Healthy Nutrition
                                                             Cooking

    Hiking
                                                       Cycling Holidays

    Alternative Medicine

                                                        Bio Products
    Prescription-free Medicines                          Yoga


                                        Eco-Politics

                   Health
Enjoy the Surf !
Thank you for your interest!

                                                                       Acknowledgements
                                 Grateful thanks to the following authors, whose charts, graphics and
                                  articles I have borrowed and adapted for parts of this presentation:
www.crystalsemantics.com
                                                          Prof. Dr. David Crystal OBE, Linguist, UK
Kate Owen                                                   Don Hamilton, Precedio Consulting, UK
                                                Jonathan Mendez, Founder & CEO of Yieldbot, USA
Sales Director W. Europe                       Ian Saunders, Founder & MD, Crystal Semantics, UK
Phone: +44 (0) 207 269 1200
kate.owen@crystalsemantics.com

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Crystal Semantics-What are words worth?

  • 1. WHAT ARE WORDS WORTH ? How semantic technology can monetize online content KATE OWEN Nordic Executive Network - Stockholm, May 2010
  • 2. Some old truths “People don’t read ads. People read what interests them. Sometimes that’s an ad.” - Howard Gossage: Texter, Art Director, Author “A wealth of information creates a poverty of attention … and a need to allocate that attention efficiently.” - Herbert Simon: Scientist, Economist, Psychologist
  • 3. 2001-2007: Easy Money  Navigation and Architecture  Manual Content Classification  Page Views  Big Display Networks  High CPMs  Click Rate as Benchmark
  • 4. What happened?! 1. Dinosaur picture
  • 5. Google Came Along Search has made information architecture irrelevant
  • 6.
  • 7.
  • 8. What use is the best web content … … if you can’t find it when you need it ?
  • 9. Publishers are advancing slower than their own end users, Come on, guys ... in making use of web technology for the advertising and marketing that finances them.
  • 10. … Users control this medium!
  • 11. How do you identify markets and fulfill their needs? You make Display more like Search!
  • 12. Don’t Get Drowned! Market Results: More inventory = lower prices Strategic Result: Differentiate your content. Make “invisible” inventory visible!
  • 13. What do Advertisers Want? Plannable Measurable Comparable RETURN ON INVESTMENT
  • 14. Advertiser Strategy I: Masses for Cheap
  • 16. .. But It’s Devaluing Your Inventory
  • 17. THEY Don’t Care About Your Platform!
  • 18. Until This Happens Germany‘s Worst Child Abuser Appears In Court Party with the girls?
  • 19. Or This Car Gutted By Flames; Jams on Motorway
  • 20. Your Clients Care About Misplacement.  URL tracking, verification and control  Damage Assessment  Whose Fault Is It …  … And Who Pays ????
  • 22. Advertiser Strategy II: Aim Intelligently Registration data name Demographics age sex sex address - postcode age purchase history location income TARGETING payment type race education home ownership Technology mobility employment site CONTEXT frequency click rate on site behaviour location
  • 23. More Efficient Use of Your Inventory
  • 25. But It Has To Work. Control ad exposure and penetration within target group, using:  Demographic analysis (research) .. Although this is not directly measurable  Behavioural analysis (cookies, retargeting) .. Although this distances an action /perceived interest from ad delivery  Contextual analysis (keyword) .. Right Idea, Wrong Execution : Not good enough!
  • 26.
  • 27. So what is semantics? Semantics is the study of meaning. „ORANGE“ Fruit Colour Mobile Mountain Texas Louisiana Provence Hi-Fi South Telecom Bikes Equipment Africa
  • 28. Sense Engine Taxonomy development 28 presentation title
  • 29. Make Sense out of content Sense Engine receives URL Sense Engine visits webpage Extracts content of page Compares content to >3000 categories in taxonomy 1. Wine holidays 219.83 Most relevant categories 2. Piedmont, Italy 197.71 identified 3. Italy 185.94 29 29 The semantic revolution
  • 30. Recognising “Bad Content” Alcohol  Economic Issues  P2P Unrest, Conflicts & wars X Accidents & Disasters  Environmental Issues  Social & Political Issues Violence & Crime Adult & Nudity  Extreme View  Swearing Weapons Civil Unrest  Gambling  Terrorism Drugs  Health Issues  Tobacco SITESCREEN PROTECTED 30
  • 31. Do You Deliver In My Language? Completed Currently in development English (US, UK & AU variants) Swedish German Italian Dutch Spanish Danish French
  • 32.
  • 33. Sales Idea #1: Precise Targeting Client Targeting a Travel & Leisure Audiencejourneys 2. Surfing and windsurfing holidays 3. Walking and trekking holidays 1. Travel planning and 33 33 The semantic revolution
  • 34. (Traditional Tagging is Often Irrelevant)
  • 35. Sales Idea #2: Target Group Learnings
  • 36. Sales Idea #3: „Own“ a subject area GENERAL INTEREST NEWS BROAD SPECIAL INT. SPECIAL INTEREST Anyone can book a specialized thematic site!
  • 37. Sales Idea #4: Brand Protection Car Gutted By Flames; Jams on Motorway
  • 38. Sales Idea #5: Better optimization
  • 39. Valuable Learnings for Clients Actual volume split by broad topic Best (and worst!) performing topics at finer level
  • 40. Sales Idea #6: Enhance Existing Targeting Male 18 -35 High income Homeowner Interests: Travel... to Jamaica Hotels in Jamaica Flights & Car hire Montego Bay, Jamaica Pop Star Girlfriend (… Just Kidding!)
  • 42. Brand Disasters Are Your Friends Womens‘ Magazines Slimming Products Fitness Products Fashion ....
  • 43. Brand Disasters Are Your Friends FMCG
  • 44. Be Creative and Flexible Vitamins Adventure Holidays Environment Gardening Protecting Nature Hybrid Vehicles Healthy Nutrition Cooking Hiking Cycling Holidays Alternative Medicine Bio Products Prescription-free Medicines Yoga Eco-Politics Health
  • 46. Thank you for your interest! Acknowledgements Grateful thanks to the following authors, whose charts, graphics and articles I have borrowed and adapted for parts of this presentation: www.crystalsemantics.com Prof. Dr. David Crystal OBE, Linguist, UK Kate Owen Don Hamilton, Precedio Consulting, UK Jonathan Mendez, Founder & CEO of Yieldbot, USA Sales Director W. Europe Ian Saunders, Founder & MD, Crystal Semantics, UK Phone: +44 (0) 207 269 1200 kate.owen@crystalsemantics.com

Notas do Editor

  1. Making the invisible, visible
  2. Semantic advertising technology is based on this knowledge.