The AdTech industry is buzzing with discussions about cookie deprecation and effective strategies to tackle it. One of the commonly suggested solutions is the utilization of clean rooms alongside responsibly sourced first-party data.
Above all else, the industry recognizes the importance of respecting consumer data and complying with all privacy laws. Additionally, the industry acknowledges the need for a change in our historical practices. This shift benefits everyone involved, as consumer data is more secure than ever. Tremendous investments have been made to ensure the utmost security of consumer information.
Clean rooms are one of the tools that enable companies to use data securely, ensuring the content that you see is as relevant as possible.
Two ways the AdTech industry is addressing cookie deprecation
The days of sending data directly to partners for usage or for using only third-party data for marketing efforts are gone. Now, the emphasis is on responsibly collecting first-party data and using clean rooms to enrich first-party data to enhance marketing efforts.
First-party data
The industry is starting to lean into first-party data gained through transparent means. This valuable information provides organizations with deeper insights into their customers, allowing for more personalized and effective interactions. By embracing the power of first-party data, either on its own or enriched via partner collaboration, you can cultivate stronger relationships, build trust, and deliver tailored experiences that resonate with your customers on a deeper level.
Clean rooms
Many data lakes and warehouses offer this service, ensuring their clients can not only store their data with them but can connect it with other partners in a secure environment and extract more information through the combined data sets versus their data on its own.
Brands and their partners recognize that they need to work together, and a clean room provides a secure environment to share their first-party data without exposing their sensitive data to their partner.
So, while we’re losing third-party cookies, brands and partners can still get value from first-party data by using a clean room to generate audience insights, segmentation strategies, personalized experiences and offers, media plans, and measurement and attribution.
Three ways data clean rooms can improve
Data clean rooms are a great way to facilitate data collaboration while ensuring sensitive data is not exposed.
Data clean rooms are not yet easy to use nor are they inexpensive. They require investment, both financially and resource allocation-wise, and you are not guaranteed to yield great match results. Let’s dive into three areas for data clean room improvement.
High cost
According to the IAB’s State of Data 2023, nearly two-thirds of data clean room users spent at least $200K on the technology in 2022. In addition, one-third of data clean room users expect the price of data clean rooms to rise in 2023. The high cost of this solution can make it inaccessible to smaller companies in the advertising space.
Resource intensive
Nearly half of the companies using data clean rooms have a team of six or more dedicated to the technology, according to the IAB’s State of Data 2023, while nearly a third of companies using data clean rooms have 11 or more employees focused on the technology. Data clean rooms are not turnkey solutions.
Inefficient matching
Even if companies are using clean rooms does not mean that they are automatically going to achieve great success. Identity fragmentation, data hygiene, and differing identifiers can suppress client match rates in clean rooms, leading to significant investment and a lackluster output.
How to get the most return on your clean room investment
The finish line for data collaboration in clean rooms is not just having a relationship with a clean room. Instead, you should incorporate an identity resolution solution in your clean room. By adding an identity solution to your clean room, you can:
- Resolve and match all your identity data, regardless of the identity data that you or your partner have, giving you a larger data foundation to analyze.
- Generate more valuable insights and information, leading to a better experience for your customers.
- Join data sets to create smarter activation and targeting strategies and produce more holistic measurement.
Experian can help you get started with identity resolution and data clean rooms
If you are investing in data clean rooms, that means you are committed to the best in data practices. Experian recommends going the extra step and that you also invest in finding an identity resolution solution. By doing this, you can see better match rates.
Experian offers this capability and has existing relationships with three clean room partners, Amazon Web Services, InfoSum, and Snowflake. In addition to collaborating in clean rooms, we offer collaboration in two other secure environments.
Contact us today to discuss how we enable identity resolution in clean rooms or to chat about our other collaboration capabilities.
Latest posts
NEW YORK, Sept. 28, 2016 /PRNewswire/ — Tapad, the leader in cross-device marketing technology, today announced a new metric for cross-device marketers, Viewable Exposure Time (VET). Viewable Exposure Time measures across screens and ad formats, identifying the optimal amount of time a consumer spends with an ad before they take action. The announcement coincides with Unify Tech '16, Tapad's third-annual cross-device summit during Advertising Week NY. Frequency caps are currently used to ensure that dollars aren't wasted on redundant ads. Viewable Exposure Time evolves the frequency capping approach to include accelerating a consumer's ad exposure rate up to the optimal time spent with the brand. VET is used in affinity, digital transaction and offline purchase models as a key indicator of marketing budget well-spent. Beta users of VET span every vertical, though interest is especially high from CPG, Automotive, Telecommunications and Retail. Viewable Exposure Time unifies and upgrades marketers' predictors of advertising success by leveraging cross-screen engagement across digital and television, with vendor-agnostic viewability scores for video, rich media and display. "Today's current measurement options, like click-through rate (CTR) and TV gross ratings points (GRP) tell an incomplete story," said Tapad GM of Media Kate O'Loughlin. "Tapad is focused on measuring what really matters to marketers – building an efficient connection with a customer. Innovation in metrics was long overdue." More than just a measurement tool, Tapad also provides clients with VET activation. Factoring in time spent with ads in viewable seconds and minutes, these analytics inform marketers about which audiences are underexposed, enabling them to adjust campaigns and deliver according to optimal viewable exposure time. This effectively increases conversion rates at the lowest cost. Contact us today
Strong Revenue Performance and Thriving Culture Contribute to Industry Recognition NEW YORK, Sept. 15, 2016 /PRNewswire/ — Tapad, the leader in cross-device marketing technology and now a part of Experian, was named a top company on Inc. Magazine’s list of the 5000 fastest-growing private companies in the U.S. In addition, Tapad won the TMCnet 2016 Tech Culture Award. The exclusive Inc. 5000 ranking highlights the fastest-growing privately-held* companies in America. These distinguished companies have achieved success in strategy, service and innovation. TMCnet recognizes talented tech professionals who are committed to building a culture that prioritizes employee growth, collaboration and engagement. Tapad continues to broaden their presence into new markets, having launched in APAC earlier this year, as well as continuing their European expansion. Tapad’s proprietary technology, The Device Graph™ is leveraged by more marketers and brands to understand digital engagement across devices. The company’s rapidly expanding client base includes numerous Fortune 500 company brands as well as all four major advertising holding companies in the U.S. “We have an exceptional team of innovative people who are all working very hard to achieve the kind of results these publications are recognizing,” said Tapad CEO and Founder, Are Traasdahl. “Given that, we have an even greater responsibility to our talent to create an environment that fosters innovation and nurtures open communication. Ultimately, this is how we will continue to reach our very ambitious goals of becoming the world’s leading unified marketing technology provider.” Tapad’s award-winning work culture is defined by its gold-standard benefits which include a six-month parental leave policy, unlimited vacation time, company-sponsored meals and office space designed to facilitate collaboration and open communication. Tapad’s highly talented team has also received multiple customer service awards in 2016. These awards include the iMedia ASPY awards for Best Customer Service and Best Mobile Partner as well as recognition from The Communicator Awards of Excellence in Interactive Media. *Prior to Tapad’s acquisition by Telenor in February 2016. Contact us today!
The Tapad Device GraphTM Had Twice the Precision and Three Times the Scale as Next Competitor New York, September 14, 2016 – Just-released findings of a Hotels.com® study revealed that Tapad’s (part of Experian) cross-screen marketing technology achieved the highest levels of precision and scale among competitors. According to the leading online accommodation booking website, after a rigorous, three-and-a-half month vendor analysis, Tapad achieved twice the precision of the next highest-scoring cross-screen offering and three times greater scale. The two other companies evaluated were not named. Said Helene Cameron-Heslop, Senior Manager of Analytics of the Hotels.com brand, “Our team implemented an extremely rigorous vetting of open, cross-screen technology vendors. At the outset, we assumed we would have to compromise on either scale or accuracy – particularly given the importance to our brand of operating in a privacy-safe setting. We were surprised to find a complete package, but Tapad’s Device Graph won out on scale, accuracy and privacy; making our choice of partners very clear.” In another metric critical to the Hotels.com brand, The Tapad Device GraphTM was eight times more “unique” than the next closest offering, meaning Tapad’s graph was found to have a much greater number of connections not seen in any of the other graphs. In addition to precision, uniqueness and scale, the Tapad Device GraphTM was found to have: ● 100% higher recall● 47% more incremental matches● 53% higher North American market coverage● 101% higher F-Score* “A valuable cross-device solution should enable partners to get everything they’re looking for from a single vendor,” said Tapad Founder and CEO, Are Traasdahl. “We are deeply impressed with how thorough Hotels.com was in their vetting, and we confidently tackle the complex challenges of the martech industry thanks to our superior technology. Everyone loves a bake-off, and Tapad is no exception – delivering best-in-class results in areas that really count.” *F-score is a statistical measurement that takes precision and recall together. The calculation is 2*(precision*recall)/precision + recall). It gives you one number instead of two numbers to look at and judge performance. Contact us today