Is it a new era of audience data 2.0?

Is it a new era of audience data 2.0?

Discussion in 'General Internet Marketing' started by DorisRon, Oct 11, 2016.

  1. DorisRon

    DorisRon Member

    Messages:
    65
    Likes Received:
    11
    Trophy Points:
    8
    Ratings:
    +11 / 0 / -0
    For about ten years the advertising industry's been using audience data. Maybe it's time to move to the next level?

    During this decade, one basic truth was discovered: first-party data is the king of data. For example, retargeting is usually the best digital-practice in the case of direct-response campaigns, while third-party data helps to ensure the scale, but it is not nearly as good as first-party data. And with the rapid growth of the market of algorithmic advertising purchases, advertisers have new ways to achieve their goals by using first-party data. Welcome to the era of audience data 2.0.

    Data Management Platforms (DMP) are vital in order to fully utilize all the benefits of audience data 2.0. In fact, DMP is a database that can create unique audience segments, taking specific actions of users and evidence of their interaction with the site as a basis.

    Using the so-called Boolean logic*, we can build an audience pool for those users who have visited landing pages A and C, loaded any document and thus came from the publisher B. Advertisers have the opportunity to demonstrate unique creative ads to this users, offering the price for them with an eye on their tendency to conversion or their lifetime value to the brand (the size of the net profit obtained by the company from the client, for the time that the client cooperates with it). DMP is able to squeeze out every last bit of efficiency of programmatic buying.

    Boolean logic (algebra of logic) is a branch of mathematical logic that studies logical operations on propositions. The statements can be true and false. Logic of statements served as a basic mathematical tool for the creation of computers.

    It is much more important that today DMP laid the groundwork for the use of data in the future. For example, the trend of cross-mobile device targeting is developing at an incredible pace. Many advertisers realize that their own websites provide a wealth of cross-device data. It is possible to find the same users on desktops, tablets and smartphones using DMP. It is hoped that DMP can be used for audience targeting and in the case of television advertising buying, because programmatic TV is not standing still.

    Publishers make most of their own data available to advertisers. Today teams which work with customers of publishers, learn everything about DMP, and study to create unique proposals based on first-party data. For example, advertisers who do not have the possibility to advertise in a popular section of the publisher's site can now use the data about the audience that "sits" in this web-section, and show them their ads. Publishers prefer to provide access to their data through private transactions, but there is nothing surprising in the fact that many of them open direct access to segments of the audience for client data management platforms for a fee.

    Another interesting concept is «data co-op», which meaning lies in the fact that advertisers can share their data with each other. Yes, it is difficult to find a market player who would like to share his first-party data with colleagues / competitors, but if possible, he should be explored. Independent divisions of one company are ready for such an exchange. This can significantly reduce conflicts in advertising buying of each individual company's business units. A similar strategy can be used in the process of cooperation between branches and official trading partners. These players have access to a wider range of transactional first-party data, which may strengthen the position of the brand in the market. In addition, advertisers should look for partners that sell "related" data. For example, insurance companies can use first-party data of realtors and car companies to find potential customers.

    Advertisers, publishers and their partners should begin to actively discuss the possibility of a global exchange of audience data. It is also necessary to review the policy of confidentiality of data. It is very important to do it today, because the station «Audience Data 2.0» is not the last on the route of the big data locomotive.
     
    Loading...