Magnite Connect Indonesia

Magnite Connect Indonesia 2023: From Reaching the Omnichannel Consumer to Leveraging OTT’s Rising Popularity

Magnite Team

May 3, 2023 | 6 min read

The challenge to capture consumer attention in an ever-expanding media and content landscape means marketers need to reassess strategies to meet the dynamic needs of today’s multi-channel, multi-screen audience. 

88% of Indonesia’s internet population, an estimated 197 million, are now on the open internet, engaging in activities across OTT streaming, gaming, music streaming and digital news at least twice a week, Magnite’s “Decoding The Connected Consumer” survey revealed. 

At Magnite Connect Indonesia, hundreds of industry professionals gathered to hear experts on topics from reaching the omnichannel consumer, unlocking the value of data and leveraging OTT’s rising popularity in the post-analogue switch-off world. 

A Consumer-First Approach 

The rise of new channels presents advertisers with more opportunities but also greater complexity in execution. Guy Kellaway, communications director at Nestlé Indonesia, emphasized that media strategies remain consumer-first and understanding brand objectives is key.

“It is important to understand the role of each platform at each touchpoint throughout the campaign,” said Kellaway. “Creative is imperative across everything, and messaging has to align with why the consumer is on the platform at that point in time and relating it back to your objectives.” 

“The consumer purchase funnel has evolved into a web, and you never really know where the purchase will come from,” added Faheem Merchant, integrated planning lead, Dentsu Indonesia, emphasizing the need to be prepared for consumer action across multiple channels.

Similarly, from the publisher front, the priority remains consumer-first to drive better engagement, especially with a growing pool of younger audiences. 

“Two-way communication is the key to cater to the younger audience,” said Sylvia Alexandra, head of business development, IDN Media. “40% of IDN Times readers are Gen Zs, and they are highly interested in video content and get engaged as viewers. This is where IDN Live comes in. That’s the future of media platforms.”

Farina Fairuza, Indonesia client partner at Spotify, also noted a growth in active Gen Z users logging in across multiple platforms. “It’s important to be where the consumer goes in their screenless moments.” 

OTT players are also catering the ad experience to different audiences across CTV and mobile. “On mobile, we need to build features that keep the audience on the platform, such as gamification, and prevent distractions from pop-ups on their phones,” said Lesley Simpson, country head, WeTV & iflix Indonesia.

Building Better Performance with Audience Data and Relevance 

Ad relevance is now table stakes for advertisers looking to capture audience attention at the right moment and place. 

“We need to know where the consumer is, be prepared for the action and deliver the right communication to the right context,” emphasized Dentsu Indonesia’s Merchant.

Anurag Sure, associate partner at GroupM, pointed out the need to create a consumer-centric marketing without disrupting privacy, an area the industry is moving towards with the deprecation of third-party cookies.

“With the loss of identifiers, some brands are more well-prepared than others, but what’s common is that everyone is aware of the repercussions, and we’re responding differently to cater to these needs,” said Sure. 

Publisher first-party data will take greater importance in addressing relevance with less dependency on third-party cookies.

“OTT players own a lot of first-party data, and Vidio is committed to delivering the best platform experience in exchange for their data,” said Yogi Triharso, head of Emtek Digital. “We are building relevance in multiple ways against time, place, and context, combined with top-to-low funnel marketing integration to ensure that our clients’ marketing goals are achieved,” he added.

Eka Sugiarto, head of media SEAA, Unilever, highlighted that data now enables brands to receive more feedback to operate most efficiently in the market, with more first-party-based solutions available. “However, marketing objectives need to go hand in hand with data to prioritize the type of data and partners we work with,” added Sugiarto.

“If you get the data right with the insights and the supply you have, you’ll make better choices and deliver greater ROI,” said Nestlé’s Kellaway.

Streaming TV Takes Off

Indonesians have embraced OTT, with streamers spending on average 20 hours per week, Magnite’s research revealed. 

“Brands previously focused on TV and traditional channels are pushing more into digital, and a lot of content they want is on OTT,” said Rohan Mahajan, managing partner, OMG. “Brands want to tap into those consumers.”

While the majority are streaming on smartphones (88%), CTV is on the rise (26%), overtaking traditional TV ( 20%). 

“The momentum for CTV is already here, and the pandemic has changed how people watch TV,” said Able Loertcher, engagement director and associate partner at Finecast GroupM Indonesia. “We have started collecting available data sources allowing us to target the TV audiences at the household level and collaborating with OTT and STB publishers.” 

The analogue switch-off has also seen growth in new channels, now exceeding 40 in Jakarta. “This offers new opportunities for us as well as advertisers,” said Dedi Suherman, head of TV video division at Telkom Indonesia. “With STB and broadband, Telkom now covers more than 80% of analogue TV. Our strategy is to keep growing CTV through set up boxes or smart TVs.”

He highlighted that Telkom has pushed for a more connected strategy since the pandemic, including content delivery and programmatic ad delivery. 

WeTV’s Simpson added that programmatic has also simplified the advertising ecosystem, making it easier for publishers to target the right audiences delivering better performance for brands. 

Moving Forward with Collaboration

Closer collaboration across industry players is key to innovation and progress in the ad tech space.

“It takes time when you try a new platform,”  said Dentsu Indonesia’s Merchant. “You don’t see efficiency unless you invest in it. This requires a three-way discussion with vendor, agency and client to set realistic objective benchmarks.”

Emtek Digital’s Triharso emphasized that it takes two to tango, and they need transparency and openness to deliver relevance.

“The intensity that you have to build your collaboration on will be deeper,”  said Unilever’s Sugiarto. “Things will get faster and more fragmented, and it’s important to have trusted partners to build that vision together.”

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