HANNAH PAXTON
Data // Strategy

Yahoo Advertising Knock Out

Team 3

Joe Franco, Elizabeth Stevens, Megan Nelson, Hannah Paxton

Agenda

  • Problem

  • Solution

  • Competition & Yahoo!

  • Target

  • Advertising

  • Budget & ROI

Problem - Belief-Based Audiences

People who don't think they have enough time to play Fantasy football

People who don't think they're interested in Fantasy football

Solution

  • Concentrate on mobile application (6 months; surrounding NFL season)

    • Capitalize on Daily Fantasy craze

    • Sell a social, interactive experience

Daily Fantasy Competition Weaknesses

DraftKings & FanDuel

  • Addictive, rapid money loss
    • Senton Hall Sports Poll - 50% gambling belief 
  • Not free (DraftKings)
  • No chat rooms (FanDuel)
  • Legitimacy is questioned  - 51% regulation belief 

ESPN

  • Poor interface
  • App tends to crash with high traffic

NFL.com

  • Too many pop-up ads
  • App lags behind

Yahoo! Strength

Fantasy football legends

  • 1999
  • First free online fantasy football

Trustworthy platform

  • Fair Play regulation
  • Digital frontrunner

Household name

  • Credibility outside of sports
  • Consistent brand
“High-level consistency should encourage, even drive, programs that are innovative, flexible, and contemporary”
— David Aaker

Target

Female, 25 - 34 years old

Middle class

Lives in the Midwest

College degree

Young professional (full-time job; consistent salary)

Has children

Interest in athletics/sports, possibly coaches a youth sport for her kid’s team, watches professional athletics & shops at athletic-related stores

Target Strategy 

Value family & social life

Competitors already dominate the East Coast

  • Housing costs lower in the Midwest, more disposable income

⅓ of Fantasy football players are women

Women are joining daily use portals 2x as fast as men

Busy

  • Have children & full-time job 

Hitting $80,600 household income 

  • FSTA: 51% of users have a $75K+ household income

 

Why the Solution & Target Work

People with not enough time

  • Daily Fantasy rather than committing to an entire season
  • Time saving push notifications with app

People who aren’t interested in Fantasy football

  • Offer a social experience
  • Combine draft and family time
  • Provide incentives other than bragging rights

Allows time and interest issues to overlap each other

Advertising Overview - Working with a Yahoo! Strategic Network

Social Media

  • Facebook

  • Tumblr

  • Twitter

Partnership - Amazon’s Alexa

Verizon phones with pre-installed Yahoo! suite

Yahoo! website

Ad Production

Photographer: $150/hour for 24 hours = $3,600

Graphic Designer: $75/hour for 85 hours = $6,375

  • Total = approx. $10,000

Amazon Alexa

Take advantage of Yahoo! Fantasy Sports app capability on Alexa

Incorporate Yahoo! Fantasy Football app with Amazon

  • Reaches out to dedicated Amazon customers with Prime 

Tumblr

$3 CPM

Domain Authority (DA) of 100 = $100,000

  • Yahoo! DA = 100
  • $100,000 / month * six months = $600,000

Native advertising (48% Success Rate)

  • Corresponds with specific platform is being used
  • Average cost is around $54,000

Yahoo! Website

$3 CPM

Banner Ad on Yahoo! ranges $2,000-$5,000/mo

  • $5,000 x six months = $30,000

Verizon

Pre-installed Yahoo! suite

  • $5 CPM
  • Verizon iPhone sales average 91,020,000 phones every 6 months
  • 91,020,000 / 1,000 = 91,020
  • 91,020 * $5 = $455,100

Facebook

Live Chats

Brad Evans, Brand Funston, Andy Behrens, Dalton Del Don, Liz Loza & Scott Pianowski

Ads (Alexa & Yahoo! banner)

$0.2753/click

  • $700,000 set budget for 6 months (or approx. 116,666/month)

  • Matches demographic of target market
    • Females 25 -34: 29.7% users, most common demographic on Facebook 
  • Searches AdWords such as: “NFL,” “ESPN,” “CBS,” “Fantasy Football,” “Alexa,” “Amazon Echo”
  • Visit websites such as: Amazon, Verizon, Nike, Adidas, Scheels

Twitter

#YahooDailyFantasyFootball Group Photo Contest

Once a month for 5 months (September-January)

Costs of prizes

  • $100-200/ticket x four tickets x five months
  • 4 tickets/mo. for 5 months = $2,000

Live chat (connected with Facebook)

Inside access from sports analysts with #YahooDailyFantasyFootball

Total Budget 

Facebook: $700,000

Tumblr: $600,000

Verizon: $455,100

Yahoo!: $30,000

Ad Production: $10,000

Twitter: $2,000

Total = $1,797,100

ROI

Assume $3 CPM

Estimating roughly 55 million ad impressions per year on the app for one company to advertise

Taken from the 55M+ video streams statistics in 2015

55,000,000 / 1,000 = 55,000

55,000 * $3 = $165,000 per year per company

$1,797,100 / $165,000 = approx. 11 advertisers for the first year to break even

ROI will be positive by the end of the first year if we get 11+ companies to advertise on the app

Sources

https://www.letstalkfantasyfootball.com/espn-vs-nfl-vs-yahoo/

http://www.forbes.com/sites/darrenheitner/2016/07/25/what-verizon-purchase-of-yahoo-means-for-nfl-content-and-fantasy-sports/#95086337c5a4

http://www.marketwatch.com/story/4-ways-to-make-money-on-fantasy-sports-without-gambling-2015-12-03

http://www.esa.doc.gov/sites/default/files/middleclassreport.pdf

https://www.prophet.com/thinking/2011/07/42-on-brand-consistency-over-time/

http://www.crizmo.com/high-domain-authority-sites-for-backlinks.html

https://blog.crazyegg.com/2016/03/16/content-marketing-vs-native-advertising/

http://websiteseochecker.com/domain-authority-checker/#arearesult

https://www.statista.com/statistics/263401/global-apple-iphone-sales-since-3rd-quarter-2007

http://fsta.org/research/industry-demographics/

https://gomedia.com/zine/insights/how-to-charge-for-what-youre-worth/

http://petapixel.com/2016/02/26/much-photographers-charge-2016/

https://adspecs.yahoo.com/

http://www.ticketmaster.com/nfl?tm_link=tm_sports_n1

Group Contact:

  • Joe Franco: jvfranco@unomaha.edu
  • Elizabeth Stevens : estevens01@unomaha.edu
  • Megan Nelson: manelson2014@gmail.com
  • Hannah Paxton: paxton_hannah@yahoo.com