Advertisers Move Spend To Android

Advertisers Move Spend To Android While iOS Revenue Declines 

With the continued adoption of iOS 14.5+, we’ve begun to see a trend of advertisers moving more of their spend to Android and away from iOS. Amazon, Dunkin', Booking, and Heineken have each made significant shifts, increasing Android spend by 20-50% and decreasing iOS spend by 40-80%. It's likely these advertisers may be targeting Cookies rather than specifically targeting Android users. But regardless, it’s a trend we’ll continue to follow and report on as buyers evolve how they track users.

At A Glance:

• Displaying the fastest growth on Android, in just the last month Walgreens is up 128%, Lowe's is up 400%, and Petsmart is up 710%.

• Since April, the Travel category is up 10% on Android and down 40% on iOS, and Computers & Electronics is up 30% on Android and primarily flat on iOS.

• We also observed advertisers outside of this list who decreased spend on both Android and iOS, implying they may be avoiding mobile inventory completely. We'll share updates if this trend continues.

Advertisers Want Guarantees Over Flexibility

Flexibility becoming less important to advertisers as Guaranteed deals continue to increase

Since the beginning of the year we've seen an increase in spend coming through Programmatic Guaranteed (PG) deals. This influx is coming from a mix of advertisers new to PG, and those that have come back or shifted spend away from the Open market, which was highly valued for its flexibility throughout 2020. 

• New PG spenders: Lions Gate, Sterling Jewelers, Exxon and adidas all up 100% Q/Q. Coty, GM and Esteé Lauder are up 500% Q/Q.

• Largest shift to PG Q/Q: FCA up 150%, Diageo up 162%, Nintendo and Disney up 200%, HP up 264%, and Dell, Apple and Nissan all up 500%.

Q3 Prospecting Report

Get Ahead In Q3:

A Look At 2019 Top Q3 Advertisers

We’ve pulled a list of the Top 50 spenders from Q3 2019 (reminder of the consensus that 2020 is an impractical comparison for 2021). We hope you find this helpful in identifying potential opportunities in the coming quarter.

As a valued Benchmarking partner, if your data is available, you will also receive a more detailed custom report that includes your share of the top advertisers’ Q3 2019 spend. Here's to a successful Q3!

**The green bar represents the advertiser's Peak Revenue Week

This chart represents a typical mix of Q3 advertisers and a good indication of those likely to spend heavily this year. Some advertisers here like in Travel, are still emerging from covid related decreases and continue to pick up momentum W/W. Additionally, there are advertisers absent from this list that we've seen significantly increase spend in 2021, and may be poised to continue into Q3.

New To The Top 50 In 2021: 

• Discovery: 102 --> 16

• Capital One: 88 --> 20

• Adobe: 56 --> 24

• Uber: 51 --> 30

• Qurate Retail --> 69 --> 36

• LVMH: 80 --> 37

• Viacom: 176 --> 40

• Metlife: 129 --> 44

At A Glance: 

• Keeping it streaming, Entertainment advertisers displaying some of the largest new opportunities (over 2019) with Viacom up 136 spots to #40, and Discovery rising 86 spots to #16.

• Making steady W/W gains over the last 4 weeks, AmEx rose to the #17th spot, and CapOne gained a significant 68 places over 2019 in the #20th spot.

• Dell has shown steady W/W increases since January, rising to the #31st spot. Microsoft has been a consistent spender since Feb, gaining 21 spots over 2019 to the #8th spot.

Prepare For Advertisers To Re-Open Spend

Get Prepared For These Advertisers To Start Re-Opening Spend 

As things begin to open up and return to some pre-covid activities, we've seen the reappearance of more advertisers in categories like Beverages, Entertainment, Travel, Retail and Restaurants. Included are selected gainers primarily outside the Top 50 who hit their highest spending weeks of the year so far last week. 

• DPSG started spending for the first time this year last week, and Anheuser has steadily increased W/W since returning a few weeks ago. Heineken is up 31% W/W. Just in time for bars to reopen.

• With consumers getting comfortable traveling again, Expedia up 17% W/W after increasing spend over the last 7 weeks.

• Adidas up 134% W/W, and VF Corp up 45% W/W as we've seen more retail brands increase spending in the last 2-3 weeks.

Is Everyone Getting GM Except You?

Is everyone getting General Motors spend but you?

Find out below with new insights from STAQ/Operative.

The chart below calls out advertisers who've increased spend 10%+ in the first week of Q2 vs the week prior. Also included is a new cut of data surrounding concentration of spend across publishers for both Open and Private.
 

General Motors and Amazon spend on 44 publishers within Open Auction. Within Private, General Motors is the most indiscriminate with 34 publishers receiving spend. Alternatively, Liberty Mutual is very frugal with the fewest publishers receiving spend across both Open and Private. 

*Private includes Private Auction, Preferred Deals, and Programmatic Guaranteed. Benchmarking data runs across 50+ publishers*

Top Gainers End Q1 Strong

Steady Gainers Close Out Q1 

Included are the largest advertisers in the market who have shown steady weekly gains throughout Q1. Most of their highest spending weeks came at the end of the quarter, so keep an eye out for these advertisers in Q2.

• Vaccine driving spend from US Government

• Marriott & Expedia both up ~100% from the first half of Q1

• Coca-Cola Black Cherry Vanilla pushing up spend 517% in the second half of Q1

*Week 14 crosses Q2. We typically see advertiser spend drop in the first week of a new quarter.

Advertisers Spending With Velocity

Advertisers Spending With Velocity

Over the last 2 weeks we’ve seen a large increase in spend of 50%+ from these 25 advertisers, some spending significantly for the first time in 2021. This list represents active spenders in the market with the most momentum heading into Q2. 

• Nintendo and Sony both up >100% with their highest weeks of the year.

• Home Depot up 164% and Lowe's up 133% as Home Improvement season starts to ramp up.

• Making gains in the Finance category, PayPal up a massive 250% targeting B2B, and Nerdwallet up 76%.

8 Prospects That Increased PG By 100%

8 Programmatic Guaranteed (PG) Prospects

Over the last 2 weeks, we've seen advertisers increase spend in PG deals, and CPM's have risen 8%. Highlighted here is a snapshot of the largest gainers in PG.

• Verizon up 111% in PG, and AT&T up 126% who just started spending in PG at the beginning of March.

• New to PG and spending significantly for the first time in 2021, are Mastercard, up 214%, and L'Oreal, up a massive 1259% primarily marketing CeraVe.

• Google, Diageo, Sony and Pepsi continue to spend in PG.

We'll continue to analyze PG trends and share the insights with you. As always, you can find all brand and transaction level data in your Benchmarking dashboard.

CPG Brands Favor Private

Brands Have a Transaction Type

We continue to see the largest growth so far this year from brands in Auto (up 12% YoY) and CPG (up 143% YoY). Many of these brands like Suave, Febreze, and Infiniti are favoring Private Auction & Preferred Deals, so we've included a subset of the top PMP advertisers in these categories below.

All brand and transaction level data is available in your Benchmarking dashboard.

Register for our Webinar March 11! Identify areas of opportunity for 2021 as we discuss programmatic insights from new Benchmarking data with Jon Morgenstern, SVP, Head of Investments at VaynerMedia, and Trish Reilly, Programmatic Lead at Mindshare.

Going Deeper With Brands

Get To Know Your Brands 

The Benchmarking data you’ve been waiting for is here! You and your teams can now identify and take action on Advertiser trends at the individual Brand level. 

Highlighted here is P&G and top advertisers in the Vehicle category to get you used to the new view. As we continue to analyze the dataset, we’ll explore trends around new brands entering the market and those displaying significant increases in spend.

All brand level data will be available in your Benchmarking dashboard this week under Industry or Parent Advertiser.

Note About The Data: Limitations may exist where Brand data is passed via SSP as part of the Parent Advertiser. ie. SSP may report Tide as Procter & Gamble. Instances where we don't have visibility into a specific brand are labeled as "Unclassified Brand". We’re identifying solutions to fill this gap.

At A Glance: 

• CPG is up 14% W/W driven by Dove, Suave and Gillette. Interestingly, we've seen spend decline across P&Gs Laundry brands after starting the year strong.

• Auto speeding back up with Ford up 42% W/W, and Nissan up 74% driven by Infiniti. FCA up 51% led by the return of Fiat and Chrysler over the last week, and Dodge the last 2 weeks.

Travel Advertiser’s Regaining Their Status

Biggest Advertiser Movers

After Travel advertising spend stalled in 2020, there's encouraging momentum in the first 6 weeks of 2021. While still down YoY, Travel is up 6% W/W driven by Expedia and Southwest. The return of Airline, Hotel, and Booking site advertisers is a positive sign, and could be a strong indicator of a robust market around the corner. 

New BMX data! Next week we're releasing a new breakout of Advertiser Brands, providing you direction to take action at the individual brand level. The data will be available in your BMX dashboards. 

Y/Y trends of the 5 week avg Weeks 2-6 2021 vs 2020. W/W trends Week 6 vs Week 5 2021. Advertisers ranked by Revenue.

At A Glance: 

• Expedia increasing weekly in 2021 with the largest W/W gains since last July. They're up 14% this week and expect them to continue spending. 

• Airlines coming back with Southwest returning to their Jan/Feb 2020 spend levels over the last 2 weeks, and Delta up 88% W/W. May be a sign consumers are getting comfortable flying again.

• Hotels are spending again with Marriott up 31%, Hilton up 80%, and Intercontinental up 12%.

Strongest CPM Growth In 3 Years

Fastest CPM Growth In 3 Years

Although CPMs in 2021 started down YoY, they displayed consistent daily gains throughout January, ending above 2020 levels. Additionally, the rate of CPM growth in January this year was much more significant than in 2020 or 2019.

While February CPMs have been consistent the last 2 years, the rapid increase in January CPMs observed this year, could result in February 2021 CPMs being up YoY. 

We continue to analyze YoY trends over the last 3 years, and are excited to review our insights along with additional advertiser data in our upcoming Webinar on March 11. More details to come in the next few weeks.

At A Glance: 

• 2021 began with CPMs down 9% YoY. After steadily increasing D/D, January CPMs ended 4% above 2020.

• Overall, CPMs in January 2021 increased 22%, a much more rapid improvement than 7% in Jan 2020, and 4% in Jan 2019. 

• Over the month of February CPMs increased 10% in 2020, and 9% in 2019. Positive news if this trend continues or is exceeded in 2021.

Taxes Are A Bright Spot For Publishers

Biggest Advertiser Movers

Overall, Advertiser momentum continued to pick up in the 4th week of January. Of the Top 50 Advertisers, 35 are up W/W, Revenue is up 14%, and CPM's are up 13%. As expected some new advertisers entered the Top 50, and drove gains in the Finance, and Accounting categories as Tax Season ramps up. 

We're excited to have a new view of data looking at the last 36 months. We'll share insights on January CPM trends with you next week.

Y/Y trends of the 3 week average of Weeks 2-4 2021 vs 2020. W/W trends from Week 4 vs Week 3 2021. Spans January 3 - 23.

At A Glance: 

• Accounting up 145% W/W driven by Intuit (up 40%), a consistent Jan/Q1 spender, and TaxAct new to the Top 50 this year. At #67, H&R Block is off to a slower start than 2020, but should be in the Top 50 next week.

• Finance is up 20% W/W. In addition to category leaders, we’re seeing gains from Capital One up 50%, AmEx, and BofA who is not usually a big Jan advertiser.

• Walt Disney up 7 spots and 108% W/W. They started picking up spend early last week, likely promoting the McGregor fight on ESPN. 

Advertiser Momentum Picking Up

Biggest Advertiser Movers

Advertisers with the most momentum in the first few weeks of January have capitalized on WFH/social distancing trends and the usually lower CPMs this time of year. There were some familiar brands from Q4 in the Top 25 like Amazon and LendingTree. However more significant movement this January when compared to January 2020, which we originally referenced in this newsletter last month. 

We anticipate this momentum to continue, and the return of some absent spenders in the next few weeks - a good sign as we move through Q1.

Y/Y trends of the 2 week average of Weeks 2-3 2021 vs 2020. W/W trends from Week 3 vs Week 2 2021. Spans January 3 - 16.

At A Glance: 

• Rock Holdings up 79% W/W, and hit the Top 5 for the first time ever. While typically a big January spender, they are up 172% YoY.

• Auto growth in January with GM up 63% W/W, and VW up 143% W/W. Slow start to 2021 for Ford, dropping from #7 to #32 in the last 2 weeks.

• Absent in Jan 2020, Eli Lilly up 67% W/W and in the Top 20. So far in 2021, 50% of their spend is PD/PA, 25% Open and 25% PG.

Left-hand numbers represent Advertiser rank in the dataset.

Top January Gainers

At A Glance: 

• Not a usual Jan/Q1 spender, Unilever hit the Top 50 and likely on the rise. They are up 331% W/W following almost no spend in Q4.

• Restaurants up 70% W/W driven by fast food brands McDonalds up 62% W/W, and Roark (Jimmy Johns) up 285% W/W. The return of casual dining should be a sign of rising consumer confidence.

Advertisers Come Home For The Holidays

After some advertisers took a breath for the election, Week 45 saw the highest revenue of the year, up 23% W/W. Some of the most significant gains came from advertisers outside of the Top 50 (and some we called out in this newsletter as ones to watch in Q4). With holiday campaigns already in full force, retail and luxury brands started to make gains we haven't seen since pre-covid. 

It will be interesting to see how the potential for a vaccine in Q4, will impact categories like travel, food, airlines etc. and we’ll have more analysis on this in the next few weeks. We’re seeing early signs of a comeback, but will these advertisers who are usually heavy spenders in Q4, finally show up in a significant way? Or, after being on the sidelines for so long, hold off until after Xmas/Q1? Regardless, we are excited for the return of more advertisers into the mix, and what’s sure to help drive the Open Market.

At A Glance: 

• All eyes on Pharma. Even before the big announcement, Pfizer had a big W/W increase, up 62%. Bayer, absent since the end of May, had a huge week, up over 500% driven by OTC Cold & Flu meds.

• ‘Tis the season for Retail. Macy’s, L Brands, and Kohl’s showed significant W/W gains. We expect this category, especially brands with an e-comm strategy like Wayfair (up 62% W/W) to continue spending until Xmas. 

• Save or Spend. Finance category up 29% W/W with its highest week of the year. Citigroup and BofA hitting high weeks, and AmEx up 27% and likely to break the Top 50 before EOY.

• Zoom envy. For the first time since March, Luxury advertisers are spending. After slowly increasing over the last 8 weeks, Tiffany up 26% W/W. LVMH, Richemont, and Kering (Gucci, YSL) also saw gains this week. 

Below is a view of the top 50 advertisers, based on spend. The right column compares Y/Y trends of the 4 week average of Weeks 42-45 2020 vs 2019. The left column compares W/W trends from Week 45 vs Week 44.

The Grand Total represents the entire Advertiser dataset.

History Trumps The Election

Advertiser Data: Biggest Movers

Are advertisers pulling spend leading up to the election? With a big pause in spending over this past weekend, and 24 of the Top 50 advertisers down W/W, it sure looks like it from the data. 

We took an unscientific survey of publishers, marketers, and agencies, and heard a resounding “NO.” Marketers are continuing their plans, but they stand ready to pull back if needed. So while it could be the election, we also had Halloween and the end/start of a month, which may have had an impact. 

Interestingly in 2019, we saw a similar drop in revenue at the start of November before steadily increasing over the following week. While 2020 has been an anomaly, we do expect spending to pick up in the next week, or once election anxiety subsides.

So while the election may have had some impact so far, the real story will show in this week’s data. 

At A Glance: 

• Autos on the move. Despite being down W/W, Ford moved up 5 spots over the last 2 weeks to #7. GM & VW move into the Top 20 both with their highest weeks of the year. They could break the Top 15 in the next few weeks.

• AT&T up a significant 96% W/W, continuing to push 5G. Surprisingly, Verizon remains quiet for the 4th week in a row.

• HP and Dell continue to market remote business solutions. Dell up a significant 50% W/W with its highest week of the year. 

Below is a view of the top 50 advertisers, based on spend. The right column compares Y/Y trends of the 4 week average of Weeks 41-44 2020 vs 2019. The left column compares W/W trends from Week 44 vs Week 43.

The Grand Total represents the entire Advertiser dataset.

Top Gainers and Decliners

Fashion Tip: Slippers Out, Sneakers In

Advertiser Data: Biggest Movers

Week 42 displayed a steady increase in CPMs that continued from last week. Some categories stood out this week. Beauty & Fitness are up significantly this week, and Pharmacies saw a bump from in-person healthcare and the flu shot. 

*As the election nears, we are interested in if/how advertiser strategies will be impacted. Thus far we’ve heard some advertisers may pause close to the election. They may also choose to avoid election specific content. We would love to know if you’ve heard about any plans shifting around the election. Please submit your response here, and we’ll share the responses next week.

For direct access to your BMX dashboard contact your company Admin or reach out to Support@staq.com

At A Glance: 

• Sneakers on Zoom. A welcome pop this week from Apparel and Retail who had their highest week of the year. They are led by The Gap, Adidas, and Nike up 90% W/W. 

• Vehicles continue to significantly increase with 3 of the Top 50 Auto advertisers up double digits W/W. VW and Toyota (up 50%) both had their highest spending weeks of 2020.

• Entertainment down 30% this week. With big budget theatrical releases pushed to 2021, advertising increases in this category will be dependent on streaming services. Note: Be on the lookout for long awaited Coming 2 America to be released on Amazon on Dec 18. (Someone at STAQ is particularly excited about this one)

Below is a view of the top 50 advertisers, based on spend. The right column compares Y/Y trends of the 4 week average of Weeks 39-42 2020 vs 2019. The left column compares W/W trends from Week 42 vs Week 41.

The Grand Total represents the entire Advertiser dataset.

Top Gainers and Decliners

Q4 Starts Today

Advertiser Data: Biggest Movers

Q4 2020 began slowly with advertisers seeming to continue their Q3 plans, and not displaying the usual increases attributed with Q4 spending. However, the market is still showing surprisingly positive signs. The typical CPM drop at the beginning of a new quarter wasn't as precipitous entering this Q4. Large categories like Vehicle brands have rebounded, nearly returning to Q1 revenue share levels. 

This slower start may be due to delayed product releases and tentpole events that garner advertising spend. With Apple and Amazon’s major launches this week, we expect Q4 to finally start and programmatic advertising to rise this week.

At A Glance: 

• Prime Day today! Amazon up 15% W/W with the start of Prime Day. This event bolstered overall CPMs in the Open market by 13% in 2019, and expect to see a similar impact this year (and this week).

• Following a similar trend to 2019, Verizon down 20%, and AT&T down 60% W/W. However, we expect them to pop back up with the new iPhone release tomorrow.

• Political Spend took a hit last week, likely a result of Trump’s Covid diagnosis, and his reallocation of campaign funds. Biden was down 6% while Trump was down 77% W/W.

Below is a view of the top 50 advertisers, based on spend. The right column compares Y/Y trends of the 4 week average of Weeks 38-41 2020 vs 2019. The left column compares W/W trends from Week 41 vs Week 40.

The Grand Total represents the entire Advertiser dataset.

Top Gainers and Decliners

CPM's Soar As Advertisers Reset For Q4

Advertiser Data: Biggest Movers

Week 39 displayed a milestone with CPMs hitting a yearly high. However, revenue remained primarily flat W/W, with 50% of the Top 50 advertisers up on a W/W basis.

We did see positive trends with Consumer Electronics and Vehicle Brands, and are seeing Political PACs start to increase momentum. We anticipate an increase in spending as the new quarter begins this week. 

At A Glance: 

• Vehicles up 15% W/W as brands finally rev up spending. 8 of the 9 Auto Advertisers in the Top 50 are up W/W, with Groupe Renault, VW and Nissan all up 30+%. 

• New product releases for Apple and Samsung in Sept & Oct driving growth in Consumer Electronics. Samsung up a significant 41% W/W with their highest week of the year. 

• Big week for Wayfair up 53%, and eBay (just out of the Top 50) up 36% and hitting a high week. It’s likely we’ll continue to see an increase from advertisers with an e-comm focus this holiday season.

Below is a view of the top 50 advertisers, based on spend. The right column compares Y/Y trends of the 4 week average of Weeks 36-39 2020 vs 2019. The left column compares W/W trends from Week 39 vs Week 38.

The Grand Total represents the entire Advertiser dataset.

Top Gainers and Decliners

STAQ's Guide To A Monster Q4

Get Ahead In Q4:

A Look At 2019 Top Q4 Advertisers

As we quickly approach the start of Q4 (almost through 2020!) We are reviewing the top advertisers from Q4 2019 with the goal of uncovering opportunities for the rest of this year. All year, advertisers have valued flexible planning/budgets, and hope this offers a helpful tool as they continue to implement spending in Q4.  We hope this information offers actionable direction that helps you have a successful Q4 2020!

The chart below is last year’s Top 50 from Q4. It represents a typical mix of Q4 advertisers and a good indication of those likely to spend heavily this year. Only 11 advertisers peaked in October with the majority displaying their highest weeks in November and December. Additionally, there are advertisers not represented below that we’ve seen spend significantly all 2020, and will likely continue in Q4. 

**The green bar represents the advertiser's Peak Revenue Week

Advertisers New To The Top 50 In 2020: 

• Unilever: #72 to #22

• LendingTree: #57 to #5

• Liberty Mutual: #83 to #37

• Eli Lilly: #67 to #25

• AllState: #62 to #26

New 2020 Opportunities: 

• Last year, we observed a revenue peak in weeks 46 - 51 which included Black Friday and Cyber Monday. With both holidays being more e-commerce focused in 2020, we may see retail dependent advertisers increase their programmatic spend. 

• Biden and PACs already started to increase spend over the last 2 weeks and we expect Political advertising to continue to trend up until the election. Possibly helping boost Q4 CPMs for News Pubs running up to Nov 3rd.

• Apple typically spends around their big product releases. While they've begun promoting the Watch, the new iPhone release has moved to October this year. 

• Sony & Microsoft have major releases for the highly anticipated PS5 and XBOX in November, Activision and other game developers have new games launching for the platforms.

• Moderna, Pfizer, Novavax, AstraZeneca all have the potential to have a vaccine ready for distribution in Q4 2020.

How To Read The Chart:

·   The advertiser list includes the Top 50 spenders (from our dataset) in Q4 2019

·   The 2019 weekly trend lines show spend fluctuations from Oct-Dec with the green line representing that advertiser’s peak revenue week, which is also called out next to it.

·   The last column represents where those advertiser’s rank in 2020 through week 37