transparent marketplaces: it's all about the school lunch

#APPNEXUSSUMMIT

Transparent Marketplaces: It’s All About the School LunchGabriel Weintraub, Chief Economist, AppNexus

#APPNEXUSSUMMIT

School Lunches in Chile in the 1990s

Source: Photo, “Combinatorial Auctions”, Analytics Magazine, Fall 2009

#APPNEXUSSUMMIT

CHILE 1973 1989 1999-2001

Military coup: beginning of dictatorship

Transition to democracy

Huge public spending & free market economy

#APPNEXUSSUMMIT

The ChallengeFeeding >2M Children Daily

Thousandsof schools

Tens of vendors & companies

#APPNEXUSSUMMIT

The IssuesNo standardization of menus & quality Lack of price

competition

#APPNEXUSSUMMIT

• Standardized meals & quality • Created price competition• Auction logic

Solution: Transparent Competitive Bid Auction

#APPNEXUSSUMMIT

SAVED 20-25%ALLOWING

TO FEED TH E G O V E R N M E N T

300,000+DAILY

#APPNEXUSSUMMIT

Transparency& Science

#APPNEXUSSUMMIT

WHYdid I become interested in this market?

#APPNEXUSSUMMIT

Using cutting edge economic science to address…

TRANSPARENCY + REVENUES

SENSIBLE AUCTION LOGIC

FOR HEADER BIDDING

OVERARCHING MARKET

DYNAMICS

#APPNEXUSSUMMIT

Thank you!