The advertising industry is undergoing a paradigm shift and their favorite buzzword is a clean room. Ad agencies, publishers, and technology providers have long relied on “centralized identification.” They know how to discover, reach, engage, and measure individuals by way of cookies, mobile IDs, and set-top field IDs.
With Google’s decision to end third-party cookie support in Chrome, the data will be lost on which brands once relied upon to gauge advertising returns. Consequently, in a world where user privacy regulations are being strengthened, marketers are heading into a brand new area of marketing analytics where connectivity and addressability are becoming more and more fragmented. Hence, it comes with no surprise that clean room is a hot topic for advertisers.
Interesting Read: Disney Launches Clean Room For Marketers’ First-Party Data Needs
What Does A Clean Room Do?
Data clean rooms are software programs that enable advertisers and brands to match user-level data without sharing any personally identifiable information(PII) or raw data. It was originally arranged by walled gardens such as Google, Facebook, and Amazon to provide advertisers with matched data about how their ads were performing on their platforms.
How Can Advertisers Use The Clean Room?
There are currently two types of clean room: walled gardens, like Google and Amazon, which let brands see inside their own ecosystems. Second, software companies and data managers like Habu or InfoSum act as conduits between parties that wish to share data.
For example, brand partners with a publisher (Google, Amazon, or retailer with a media network). A clean room provides a closer look at campaign performance data like reach, shopper conduct, and engagement for logged-in or registered prospects to both parties. Further, they will relay their first-party data into the clean room and compare it to platform data to enable activation and measurement without revealing user-level details.
Marketers are partnering with expertise suppliers to create their own authentic and privacy-safe clean rooms. The digital sphere is becoming more and more like a federation of private rooms, each with its own distinctive capabilities and information. Also, “Id” is turning more decentralized than before.
Interesting Read: End Of Third-Party Cookies, What Is There For Marketers: Takeaway!
How Should Advertisers Address This?
First, they need to determine which clean room to take advantage of based on their advertising stack and media allocation. Let us understand with an example of Google Ads Data Hub.
Entrepreneurs utilizing Google’s tech stack ought to prioritize Adverts Knowledge Hub for attaining/frequency measurement, marketing campaign supervisor attribution, and DV360 for mapping first-party information. Furthermore, YouTube information is extra efficient when used with the rest of Google’s information, enabling cross-device publicity evaluation.
The next step for advertisers after making the choice is to develop their clean room techniques as follows:
a. Build an audience:
Advertisers will require to build new paths in every clean room for locating and rising audience. They would start with mapping first-party information to every clean room to find present and prospective shoppers. Then analyze and enhance the conduct and efficiency throughout new audiences. This will provide stability as audiences from cookie-based monitoring falls as well as insight into prospects.
b. Brand Engagement
In the absence of cookies, advertisers must shift to a mobile-centric engagement model that allows them to reach shoppers within their in-app experiences and logged-in accounts. Recapturing the information will help device-based remarketing and enable cross-device insights.
c. Measurement and optimization
Deprecating cookies means losing a unified view of the effectiveness of your marketing campaigns throughout the buyer journey. As a result, they have to use cross-device data within every room to find new indicators. Responding to the challenges, advertisers need to provide a framework for the clean room technique.
Furthermore, advertisers would require clean-room measurements and optimization techniques to understand other cell indicators that affect their marketing campaign achievement, frequency goals, and attribution models. Each clean room has its own multi-touch attribution measurement. Afterward, advertisers will want to normalize the load by combining the results across all clean rooms.
Interesting Read: Impact of Delay in Deprecation Of Cookies By Google On Adtech
What Does The Future Hold?
In the wake of third-party cookies being deprecated, marketers and publishers are racing to improve first-party data and the overall way they target, measure, and optimize it. Tracking and reporting no longer function in the background and need explicit user consent. As marketers confront the challenges associated with measurement and optimization, there is a clear need to outline a clean room technique. It may be difficult and time-consuming work, but the rewards are enormous. Rather than relying heavily on small samples to infer buyer journeys, it may make more sense to establish, target, and measure audiences by using de-identified information about writers and platforms. Data clean rooms offer a valuable way to collaborate and analyze data in a privacy-compliant way to better understand how customers interact with the brand.
While most of the brands are struggling to survive during the tough times of pandemic, Google has set its goals right for the whole year. It is innovating itself without any trouble. Every month Google targets to enhance itself, according to the growing demand of the society. Google makes sure, that it fulfills the need of its users by providing them with exactly what they desire.
Recently, Google introduced two new features for its search portals. One of the features is designed, and dedicated to the Black community. The feature will help in the upliftment of the community in society and will aim to end the injustice against them.
Due to the rise of anger in the community against the centuries-long injustice experienced by the community, several brands came forward to show their support towards the community. Google was amongst them.
To fulfill his promise, the CEO at Google, Sundar Pichai recently added a feature to the map and Google search listing.
This feature is launched to empower the Black community. The feature will highlight businesses owned by the Black community helping them grow. However, only those members can avail of the benefit whose business has verified profiles in the US. Also, the business must be owned by a member of the black community.
Those businesses highlighted under this feature will be marked by an image(as shown below). The symbol will signify that the business is owned by a member of the Black community.
It is said that the step was taken to provide a financial boost to the community. It is a foreseen step to finally end the orthodox discrimination towards the community. Google is also partnering with U.S. Black Chambers, inc. To provide better features like Analytics helping the businesses groom and blossom.
In a statement regarding this following statement was issued by Google:
“As part of our $300 million commitment to support under-represented entrepreneurs, we’re integrating the attribute into the digital skills training programs we offer Black business owners through Grow with Google Digital Coaches. And through Google for Startups Accelerator for Black Founders, we’re starting our work with the first cohort of 12 startups.”
Google is keen to develop the feature even more and is seeking ideas internally. According to the management, they have already received more than 500 creative ideas to get this model to develop more brilliantly.
The company is also working on better and much strict “Policies against hate and harassment”
“About this ad”- More power to the user!
With a more transparent approach towards their users, Google has launched a new feature popularly known as “About this ad”.
To implement this feature Google will be launching new tools. It will help the users gain information about the advertisement they are receiving. It will help enhance security and will increase user privacy on the digital platform.
According to Google spokesperson, the vision is designed for a “thriving internet where people around the world can continue to access ad-supported content, while also feeling confident that their data is protected”.
“But in order to get there, we must increase transparency into how digital advertising works, offer users additional controls, and ensure that people’s choices about the use of their data are respected not worked around or ignored.”
For a long time now, tech giants like Google are have faced a lot of criticism. Most of those were linked to their explicit behavior when it comes to money and user privacy. After being criticized and called upon several times by different government authorities for blind approach in the business during the usage of advertisers’ money, Google has finally decided to be more transparent with its business policies and proposals.
Therefore, Google shared a list of pricing for its tools used by advertisers for the advertisement. It was a huge step by Google, since before this release, advertisers were kept in the dark about the spent of their share of the money, and the profit earned by Google.
The tools for which Google revealed the prices include, DV360, Google Ads, ad manager, and its publisher tech.
The revealed prices are as follows:
These prices were revealed by Google in a series of articles and blog posts.
The prices are in the ratio of percentage for a $1 amount spent by an advertiser on an advertisement, divided between the publisher and Google.
- Google tech: Publishers – 69%, Google – 31%
- DV360: Publisher – 87%, Google – 13%
- Ad Manager: Publisher – 82%, Google – 18%
- Google Ads: Publisher – 86%, Google – 14%
- Ad sense by Google: 68% share taken by Google of the total spent by the advertiser.
Google has never been so transparent in regards to its prices, the sources say that this new transparent face of Google is due to the ongoing legal hearing conducted by the state attorney general and the Department of Justice.
Innovation has always been the motto of the company. To make sure that the advertisers at Google are equipped with the best tools available in the market, it recently launched its new self-service toolkit known as Display & Video 360.
The tool is launched to change the landscape of the advertisement. Display &Video 360 is a gift to its advertisers by Google.
Earlier, advertisers used the tools to make a hypothetical projection while running an online marketing campaign. The most crucial question that bothered the advertisers was the amount of audience that they will reach with the campaign. To make sure it’s no more a hit and try show for the advertisers, Google launched DV360.
With the DV360, the advertisers can now create a new campaign and check its reach to the audience as the tool provides a duplicate view of the campaign. The duplicate view will help the advertisers view the exact or say a more accurate number of audiences that they will reach with the campaign. Hence, no more blind bets!
The tool has better forecasting capabilities, giving the advertisers a glimpse of the future for their campaign. It is also a better solution for the media planners as it provides them with a large proportion of benefits as better access to the tool as they always have a larger role to play.
The most crucial answer answered with the tool is, “how many unique people can I expect to reach with my overall campaign across any open auction display and video inventory as well as YouTube?”
According to Anudeep Pedditi, Programmatic Manager, OMD NZ:
“Once we commit to a reach objective, neither underachieving nor overachieving is an option. Display & Video 360 gives media planners the accuracy they need to effectively plan across all our programmatic campaigns.”
The Tools main aim is to provide the following features to its advertisers:
Options For Buying
Optimization And Reporting
Google will launch a new algorithm for its page experience and design. The new model will be based on user experience.
The new algorithm will surely affect SEO and web traffic. Therefore, to make sure that the advertisers are not affected by the changes, Google has announced that they will apply the changes in 2021. They have promised to inform upfront, at least six months beforehand.
An early reminder will help advertisers to prepare themselves for the changes.
However, Google made it clear that the new algorithm will be even stricter in ranking the web pages. If the user experience of a web-page is poor, Google will not rank the page on to the top list.
Google has also published a detailed document dedicated to the page experience criteria.
The new algorithm will consist of some core vital features. This feature includes the following:
- Largest Contentful Paint (LCP): Measures the loading performance of your webpage.
- First Input Delay(FID): Measures the user interaction with the page.
- Cumulative layout Shift: Checks the stability factors of your webpage.
The Accelerated Mobile version (AMP) will also play a major role in the ranking of your page, as will be a metrics for the page experience.
Also, good content will always play a lead role in the page ranking.
As per a statement:
“While all of the components of page experience are important, we will prioritize pages with the best information overall, even if some aspects of page experience are subpar.
A good page experience doesn’t override having great, relevant content. However, in cases where there are multiple pages that have similar content, page experience becomes much more important for visibility in Search.”
Hence, entrepreneurs, startups, and businesses should be well prepared for the new changes.
Have you ever imagine the amount of traffic Google experience in a minute, month, or year?
Well, here are some fun facts, every second there is an approximate of 63,000 search queries entered on Google search.
Also, near to 2 trillion searches are conducted every year!
Isn’t it amazing? However, you might ask, why does it matter?
Let us understand!
Google holds an approximate 72% market share of search engines. To make sure that your webpage is listed on the top of the list of Google search results you must have an understanding of Google SERP (Search Engine Result Page).
What is SERP? And, what all it provides to the advertisers on Google?
The Search Engine Result Page of Google has gone through a lot of changes according to the user view. It has become much more dynamic, relevant, personalized, and helpful.
Now the search engine of Google is equipped with several enhancements that use structured data. The search page consists of visual enhancement, better index, and optimization for the website. You must be aware of all these changes if you are planning for a better organic ranking for your website.
Here is the new enhancement for the search page of Google:
- Direct answer Box
- Rich Snippet
- Rich cards
- Knowledge Graphs
- Knowledge Panels
- Local Pack
- People also ask
- Image Pack
- Site Links
You must be equipped with the knowledge of these for better results in organic ranking.
MSME’s got adversely affected due to the widespread of COVID-19. Several small and medium scale businesses have lost their source of income due to the sudden breakthrough of this epidemic.
Therefore to make sure that these businesses sustain the effects of the crisis, Google is allowing small retailers to list their products for free on Google Shopping.
Explaining this decision, Bill Ready, President of Commerce at Google cites the fact that it is difficult for struggling businesses to pay for Google shopping listings at this time.
“And as consumers increasingly shop online, they’re searching not just for essentials but also things like toys, apparel, and home goods.
While this presents an opportunity for struggling businesses to reconnect with consumers, many cannot afford to do so at scale.”
Earlier, Google charged its customers as Pay per click (PPC). It can also be seen as a tactic by Google to compete with Amazon in the market of e-commerce.
Two years ago, Google announced that it will discontinue the usage of third-party cookies in its browser, which is Google Chrome. Since the announcement, several speculations surfaced, to understand its effects on internet traffic and advertisement. However, Google seems determined about the elimination, and this year Google announced “Privacy Sandbox” a step towards the replacement of third-party cookies.
It is developed to provide a secure browsing experience to its user.
According to a spoke person from Google, “This is an early-stage concept, and we don’t have more details to share right now, We plan to publish updates and progress in GitHub as part of the process.”
The concept uses a new algorithm designed by performing “Bit Request Signal Experiment”.
Privacy Sandbox was launched in August. The idea was to innovate ad recurrence and behavioral advertising. It aimed to help them work on the web without using third-party cookies. A mega event was organized, 163 giant tech organizations like Apple, Facebook, Axel Springer, The Washington Post, Criteo, The Trade Desk, and even Google participated. All are requested to share their views via. World Wide Web Consortium or GitHub to help the project succeed.
However, according to the Google developers, it is still in its initial stage and there is a lot of work that is needed to be done in this field.
Google CEO Sundar Pichai explained:
“As the coronavirus outbreak continues to worsen around the world, it’s taking a devastating toll on lives and communities. To help address some of these challenges, today we’re announcing a new $800+ million commitment to support small- and medium-sized businesses (SMBs), health organizations and governments, and health workers on the frontline of this global pandemic.”
- WHO and other health organizations will get $250 million for advertisement.
- MSME’s and NGO’s will get $200 million.
- An additional $15 million in cash will be granted by Google.org to non-profits to bridge the gap between SMB’s.
- Those small businesses that are already active for a year with Google advertisement will get the help of a total of $340 million in Google ad. They will receive the credit in their accounts and can spend it by the end of 2020.
- The academic and research institutions in the field of COVID research will get $20 million.
- Financial support will be provided to the organizations to increase the production capacity for life-saving equipment.
However, not everything went great for Google during this tough time of COVID:
- Budget cuts and hiring freezes across marketing and across Google.
- For the second half of 2020, Google is cutting its marketing budget to 50%.
- The cut is due to the reduced expenditure on advertisement by the brands during the time of the crisis.
- The development comes in less than a week from where Google is scheduled to discuss Q1 2020 results on 28th April.
According to a statement released by email:
“There are budget cuts and hiring freezes happening across marketing and across Google…We, along with the rest of marketing, have been asked to cut our budget by about half for H2.”
A company spokesperson said in an emailed statement to CNBC,
“As we outlined last week, we are re-evaluating the pace of our investment plans for the remainder of 2020 and will focus on a select number of important marketing efforts….We continue to have a robust marketing budget, particularly in digital, in many business areas.”
…we continue to invest, but will be recalibrating the focus and pace of our investments in areas like data centers and machines, and non-business essential marketing and travel.”
As quoted by Digiday, the Head of Display at the U.S based retailer said,
“Google’s ad exchange didn’t make the list primarily because they’re not willing to give us any transparency or data around not only their take rates on our media sped but also anything we could already pull from our demand-side platform.”
“We’re seeing Google’s ad exchange become slightly less of the total pie,” said Jay Friedman, president at programmatic agency Goodway Group to DigiDay.
”I don’t have a percentage but it’s less but not significant.”, he further added.
The advertisers registered their doubts and raised concerns regarding the non-transparent behavior of Google. However, this must have been resolved after the release of the price list for its advertising tools by Google.
What is the Identity Resolution Platform?
Present-day, marketers are facing immense challenges to keep a record of their customers. Due to the increase in the number of smart devices per user, it’s getting hard to track users activity. These days each user or consumer is using at least two to three smart devices for their usage. These smart devices include mobile phones, smart television, laptop, desktop, smartwatch etc.
To make sure the user gets the best user experience and user interface, marketers must keep a track of its users’ habits and path on the internet. Marketers and brands use Identity Resolution Platforms to resolve this issue.
These platforms keep a track of user habits with the help of their IP, MAC, phone number, email, cookies etc. Therefore, with the help of these platforms marketers and brands can provide better-personalized services to their customers.
Vendors of Identity Platforms provide services to a wide range of organizations. The consumer of their services can range from a giant(Pvt. Ltd.) company to budding Startups.
Business Identity resolution platform market is filled with large data-firms, credit reporting companies and many pure-play platforms. Identity resolution platform skill in the market community is provided by coincidence, and not by choice or a stand-alone feature.
The biggest boom in the Identity resolution platform came between the years 2017-2018. During these times, four vendors collected an approximate Of $40 million with 6 sponsorships.
However, in 2019 and 2020(first-quarter), vendors were gearing-up, by adding new features and integrating those features to their Identity resolution platform capabilities. Therefore, the financial graph was low as compared to 2017-2018.
However, LiveRamp, an identity resolution platform, in 2019 was growing fast and doing Mergers and acquisitions. It purchased an authorization administration platform “Faktor” in the month of May. However, LiveRamp never disclosed the purchase amount
In the month of June, it acquired another firm “Data Plus Math”. Data Plus Math is a T.V promotion calculation firm. LiveRamp paid $150 million for the purchase of “Data plus Math”.
Dentsu Aegis Network acquired 4Cite Marketing in January 2020. 4Cite Marketing is a technology developer-centric to the identity of people.
Experian, Oracle and LiveRamp, all public-owned companies are giants in the field of Identity resolution. However, Merkle, Valassis, Neustar and Acxiom are either owned by worldwide agencies or by private equity enterprise.
There are private owned start-ups related to pure-play identity resolution which are using venture capital stakes to enhance their marketing platform. These companies include FullContact, SmarterHQ, Signal, Throtle, and Infutor. They are small in staffing and structure. They use this fund to further enhance their staffing and do R&Ds.
Lotame, the world’s leading unstacked data solutions company is looking to help publishers, marketers, media, and agencies to leverage their first-, second-, and third-party data to create and analyze audience segments with a new suite of data enrichment products called ‘Lotame Panorama’.
The suite will help users find customers, increase engagement and growth revenue across the cookie challenged web browsers like Safari, Chrome and Firefox, mobile devices, and OTT environments.
Jason Downie, chief revenue officer, Lotame, said,
“First-party data is a valuable asset, but unfortunately it doesn’t provide the scale marketers need. Bridging together customers’ online and offline lives has been a persistent industry dilemma that was made even more complicated with recent browser changes. To solve for this, we developed Panorama which enables a fuller view of activity that is actionable across a connected ecosystem, even in cookie-challenged or first-party-cookie-only environments.”
Unwrapping data enrichment services
Panorama offers two solutions, one for marketers and agencies, the other for publishers and media companies. Lotame has unveiled three data enrichment services powered by Cartographer, Lotame’s ID graph technology.
- Panorama Insights: It offers a varied set of curated data tools and analysis for better storytelling, prospecting, segmentation, and modeling without cookies needed. It connects users’ first-party data to second and third-party data across the web, mobile, and OTT devices from 250+ online and offline data providers.
- Panorama Buyer: It ensures that media buyers connect customers’ attributes across first-, second- and third-party data to create an addressable audience in the cookie-challenged environment.
- Panorama Seller: This allows publishers to monetize their inventory across the web, mobile, and OTT through direct or programmatic advertising. It also enables publishers to set exact CPM’s in cookie challenged environments.
Panorama launches as publishers and others that rely on extensive data sets may have to struggle to find the scale they need. Lotame has appointed Ruby Brenden as head of data products to drive Panorama Insights forward. Brendan said,
“I have spent the last decade helping innovative marketing companies launch products. I am excited to launch Panorama, a solution that is exactly what the industry needs as third-party cookies start fading out. Insights will give marketers and agencies a single, trusted place to uncover relevant data stories and build smarter, addressable audiences, which means better advertising for consumers.”
Customers Signing for new Lotame Panorama products
Companies like Procter & Gamble and IPG’s Cadreon have already signed up for the new Lotame Panorama products.
Clients agree and testify,
Paras Mehta, Business Head – India, at Cadreon said,
“Understanding customer attributes and behaviors is key to our data-driven strategy when working with advertisers. Data enrichment using high-quality second and third-party data like Lotame’s enables us to draw insights we wouldn’t have access to with first-party data alone. We look forward to leveraging more of Lotame’s data solutions to deliver the exceptional service and results Cadreon is known for.”
Tim Hung, marketing director and lead of media, P&G Hong Kong & Taiwan said,
“Improving the lives of consumers around the world isn’t just our mission, but our daily practice..This requires getting to know those customers through the use of high-quality second and third-party data vetted and verified by Lotame. As cookie blocking becomes more prevalent, data enrichment solutions like Panorama will become even more important for global brands like P&G to understand customers and engage with them in meaningful and respectful ways everywhere they are.”
Partners at launch include Domo amongst others. Jeff Skousen, GM, North American Corp/Ent Sales, at Domo said “We’re excited to partner with Lotame to power Panorama Insights.” He further added,
“By dynamically integrating data and delivering live visualizations, Lotame is providing brands bespoke audience real-time insights in a digestible, actionable format to improve analysis, prospecting, segmentation, and data modeling.”
For the last two years, Google has been working to remove third-party cookies from it’s Google Chrome browser. Moving forward with this aspiration Google recently announced testing some of its “Privacy Sandbox” proposals. Google wants to test the algorithm with other exchanges and demand-side platforms. It seeks to examine the process of implementation and ways to deliver a better-guarded program to its users. Google will also make sure that this solution works inside the policies of advertising auctions.
It was in late April when Google made its big announcement. Google revealed its intentions on the “Bit Request Signal Experiment.” The announcement was made by a post on GitHub, which is a collaboration stage for software developers. Google invited advertising tech firms to take part in the testing so that they can receive some real-time algorithm test results. They affirmed the uncertainty of dates for live testing of Privacy Sandbox. They still wanted ad firms to respond to them, affirming if they are enthusiastic to help.
Soon speculations and news started flooding the tech industry!
“This is an early-stage concept and we don’t have more details to share right now, We plan to publish updates and progres s in GitHub as part of the process.”, quoted a Google spokesperson on GitHub.
Google team declared discontinuing support for the third-party cookies in January. Providing an explanation stating that they want to encourage publishers, advertising companies, and other providers of browsers to come up with a new set of rules which are user-privacy centric and follow open measures for the web.
Privacy Sandbox was launched in August, the idea was to innovate the ad recurrence and behavioral advertising. Aimed to help them work on the web without using third-party cookies. In a mega event with, 163 giant tech organizations like Apple, Facebook, Axel Springer, The Washington Post, Criteo, The Trade Desk, and even Google. All are requested to share their views via. World Wide Web Consortium or GitHub to help the project succeed.
A member from the “RTB group,” from Google posted on GitHub. Sharing insights on the bigger picture and a bit clear version of the cookieless browsing. Explaining the process, he talked about how user targeting will be done. He introduced the machine-learning algorithm known as “Federated Learning of Cohorts” which will be used in the working of cookieless browsing. Further, he explained that the algorithm will group people into different segments of the audience by understanding their behavior, likely by their browsing history.
He stated that this will improve the privacy of the users. This algorithm isn’t designed to target any user in particular. Instead, it will target a group of audiences. This group is also be known as “FloCs”. The algorithm is designed to group people on the basis of their similar interests.
Google posted on GitHub stating:
“Exchanges could offer a uniform RTB interface for aggregated audience targeting to bidders regardless of the data source,”
Another post that surfaced on GitHub from Google stated the following:
“Exchanges can explore the separation between contextual and user interest components in the RTB data flow, along with hosting the ad selection logic that needs access to both components (for instance, brand safety checks for a product retargeting ad) in a sandbox.”
Google provides an exchange with options to set a “Privacy budget.” According to the budget, an exchange can request a particular unit of data. If the data limit will surpass the budget, it will lead to an error, or as a consequence the data will be preserved in greater privacy. Presenting an option for user privacy, it can easily be determined that how much data needs to be revealed?
Google is beseeching bidders and exchanges to run real-world small scale “RTB” experiments. This will help them to test the algorithm real-time bases and with live scenarios.
Tom Kershaw, chief technology officer of Rubicon Project and a member of the World Wide Web Consortium’s Improving Web Advertising Business Group, said that they welcome the proposals. But the project is in the exceptionally fundamental stage.
Another statement came from Kershaw, chairman of the Prebid.org ad tech industry organization stating that “These are experiments with a capital E, We support these initiatives but there is not a single proposal on the table close to being adoptable right now. A ton of work needs to be done.”
Another member of the Improving Web Advertising Business Group states that the project is in its evolution pipeline and it’s going to take a long time to develop a technical standard.
He also added “It’s great, given the implications of what’s at stake, that the advertising arm of Google is attempting to implement what the browser arm is doing. It’s a really important step in the process.”