SANTA BARBARA — Recent seismic shifts in digital advertising, instigated largely by privacy concerns, are having a profound impact on the economics of digital advertising – and more is on the way.
That is according to one ad agency exec charged with data oversight.
In this video interview with Beet.TV, Hearts & Science chief data officer Megan Pagliuca describes changes flowing from actions like Apple’s decision to limit ad-tracking in Safari and Google’s removal of DoubleClick ID in Europe from Chrome following GDPR.
Walls getting higher
“If you take a step back, there’s been a lot of change in the industry because of the focus on data and privacy – Apple making the changes with Safari, Google making the changes on the Google ID deprecation,” she says.
“It actually makes the walled gardens stronger because they have identity, because they have all of that PII (personally-identifiable information). It’s worse for the rest of the publishers … so there definitely needs to be this rise of a universal ID.”
Safari’s price crash
“Bid rates have plummeted on Safari month over month. We see, on the same publisher, premium inventory (at) 50% cheaper prices for that same quality inventory.”
Pagliuca’s team is helping advertisers take advantage in canny new ways. “(For example), planning against audience on a premium publisher in Chrome,but then buying it in Safari and Chrome, so (we are) getting some of those pricing advantages”.
Fragmentation killing DMPs
“There was this vision of having all of your data in one place, like one DMP (data management platform), one customer database – that’s no longer going to be a thing.
“As soon as you can accept that, the better. You (will) have different ‘clean rooms’ – the Facebook advanced analytics clean room, the Amazon clean room, Google’s Ads Data Hub clean room. You have to be very good at working in those environments and realise that your data is going to be in these different places.”
This video is from a series leading up to, and covering, the Xandr Relevance Conference in Santa Barbara. This Beet.TV series is sponsored by Xandr. Please visit this page to find more videos from the series.
