New Firm Attempts to Break Programmatic ‘BlackBox’ in Latin Markets
Ad-Tech is often accused by marketers of being a black-box process and trading desks in particular in the U.S. Hispanic and Latin American realm are sometimes accused of charging outrageously high spreads (although this is disputed by Xaxis's Lucas Mentasti.) Exiber, a new company active in the U.S., Mexico and Brazil, attempts to change this by providing transparency and more efficiency to marketers.
Established by programmatic advertising experts Francisco Garcia, former MediaMath director of platform solutions LatAm, Santiago Rossi, former Headway director of client services Mexico, Rafael Michelucci, former MediaMath Brazil manager of platforms solutions, and Henrique Ruiz, former Executive at IgnitionOne Brazil, Exiber attempts to break through the programmatic black box obfuscation detaching from the conventional undisclosed margins and markups.
Custom dashboards with limited transparency and unknown platforms are simply not going to be enough as marketers gain knowledge and start demanding more from their programmatic partners.
"Exiber is a full-service U.S. Multicultural and LatAm data-driven digital company established under the principle of absolute transparency. We believe that technology amplifies our most valuable human skills, but does not replace them," Francisco Garcia, Chief Media Officer tells Portada.
Exiber advises its clients and agency partners in all aspects of programmatic marketing, and its clients have the benefit of full transparency to make the most out of programmatic. The company has a few different offerings, including managed, self-serve and guided, where clients get training on how to use a programmatic platform and ongoing help with optimization and troubleshooting. " Pan regional efforts are centralized in Miami. Exiber currently has offices in Miami, Mexico, and Brazil."
Garcia stresses that the programmatic marketing and advertising process has "undisclosed ways of making a profit that clients are not aware of or that they do not fully comprehend." Exiber's goal is to educate clients on all aspects of programmatic marketing. Accessibility to platforms and cost of information must be widely available, and from that point forward a fee and a service model can be agreed upon by all parties involved. "Custom dashboards with limited transparency and unknown platforms are simply not going to be enough as marketers gain knowledge and start demanding more from their programmatic partners," Garcia asserts.
U.S. Hispanic Opportunity
Exiber also is active in the U.S. Hispanic market. "The U.S. Hispanic market has changed a lot since the days of dedicated Spanish language only efforts. Over the years the industry has seen the consolidation of dedicated U.S. Hispanic efforts combined with general market plans under the umbrella of the total market approach. This approach, in theory, should ensure that brands understand that they have a relevant % of multicultural audiences that need to be addressed with messages that resonate with them within the proper channels." Garcia's mentor and industry veteran Michael Roca, Multicultural Director at Hearts and Sciences, notes that “brands have an appetite for authenticity when it comes to reaching U.S Hispanics as part of their overarching plans”. Part of Mr. Roca’s responsibility within his current role is to champion the multicultural opportunity across P&G’s portfolio of brands.
Garcia points out that when it comes to "measure against multicultural audiences, there are still some limitations, especially on mobile and cookie-less-devices . It is an exciting moment in multicultural digital marketing, and we are happy to be part of it helping clients and agencies make out the most of their programmatic efforts when reaching multicultural audiences."
There are still some limitations when measuring multicultural audiences, especially on mobile and cookie-less-devices.
Data Quality: A Challenge
Third-party data quality can sometimes be challenging in Latin markets, particularly in Latin America. The situation that we see with 3rd party data in LatAm is that we have similar players, with similar offerings, and with similar approaches to segmenting data. "To strive for quality, we advise our clients and agency partners to put 3rd party data to the test. In order to do this there has to be an honest conversation with 3rd party data providers regarding how the data is collected, the source, the methodology of segmentation, how often data is updated, and the match rate they have with each DSP. We also put third-party data to the test by comparing its results against 1st party data, "Garcia notes.
"Additionally, we have seen the cost of 3rd party data be more expensive than the cost of media in some instances. To solve this issue we are now working with some partners with more flexible models. One of them involves paying a variable % over the cost of media," says Santiago Rossi, Chief Strategy Officer at EXIBER, LATAM & US.