Commentary

Havas Digital Gets Pulled Into Online Demand Generation

Agencies comprise about 60% of Kenshoo's business, up from about 50% in the prior year. Ariel Rosenstein, director of product marketing at Kenshoo, says the company, which supports pay per click (PPC) campaigns has added extensive analytics and services to support that market. It gives agencies the ability to take on and scale up clients quickly, especially those that begin with smaller budgets.

Kenshoo can add one more to the list. Havas Digital began running tests with Kenshoo in February and this month signed on with the Israeli-based company to support clients by optimizing PPC campaigns in Brazil, France, the United States, and the United Kingdom. More digital agencies will find they need assistance from tech companies as online advertising becomes increasingly complex.

Kenshoo exports search engine marketing data into a raw format, so Havas can import those numbers into their platform, reading the stats alongside those gathered from radio, television and other data from other channels.

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Rosenstein declined to reveal the aggregate PPC campaign budget Havas manages on behalf of its clients, but we can pretty much estimate it's tens of tens of millions of dollars across the regions Kenshoo will support. It puts the dollar amount for Hyundai, Nike, Air France, Expedia, Volvo, Peugeot, Orange and others somewhere between zero and $200 million.

He admits Kenshoo will add more channels in the future to support clients. He says the company supports Google, Bing, Baidu, and an engine in Russia. In total, the engines cover about 90% of the world's online search traffic. The company also recently added Facebook. Other channels include iPad, Twitter and display ads, as well as the Right Media and the Doubclick exchanges.

The company will build out services based on feedback from clients. Data collected from channels like display advertising, Facebook, Twitter, and video games, too, can't live in a vacuum.

The rise in agency interest has much to do with the ability to quickly update campaigns. If Apple plans a release for new versions of the iPhone or the iPad on a specific day, for example, companies like Orange can quickly build in attributes for the hundreds of associated keywords. As companies like Kenshoo start to support more agencies through technology, attribution management will become critical.

It means, for instance, monitoring the keywords "red sandals" in a display ad and the same in a PPC ad, combining the two and then splitting the price of the words to determine how costs influence the final conversion. It lets you optimize conversions across channels and customize attributions. It should affect how marketers look at investments, as well as the returns from the campaigns.

1 comment about "Havas Digital Gets Pulled Into Online Demand Generation".
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  1. Rob Griffin from Almighty, June 17, 2010 at 4:55 p.m.

    Excellent write up Laurie!

    Kenshoo provides a powerful and flexible platform that fits in well with our other technologies, like our proprietary Artemis system, that will enable our teams be more efficient and effective. Data is the new planning, but with so much of it the challenge is to analyze it faster, extract maximum insight, and then turn around optimizations that will positively impact our clients businesses not just make pretty reports.

    We think the combination of our people, technology, and processes combined with Kenshoo's people and technology is a winning partnership for our clients.

    This evaluation took over 8 months across 6+ markets and involved a number of technologies. It was no small undertaking and required massive coordination. Kenshoo shined through out this process - it was no easy task for them to succeed in starting a relationship with Havas.

    To end, I would just say that we didn't get pulled into this, but made a strategic move to position us and our clients for success in this ever changing world of digital advertising.

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