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COMMENTARY


FIRST-PARTY DATA REORIENTS MEDIA SALES

 * by Nicole Perrin , Op-Ed Contributor, October 12, 2022

Advertisers' increasing reliance on first-party data will materially change the
landscape of media planning, buying, and selling.

It will re-establish foundational values that have been downplayed in the
programmatic era. And it will eventually put publishers on a level playing field
with the walled gardens, according to 68% of advertisers that Advertiser
Perceptions interviewed in June.

Even those brands that don't have direct connections to consumers -- such as
beer and pharma -- are creating new ways to develop first-party data, from
contests and events to giveaways.

As advertisers continue their intensive work in collecting, storing, and
organizing their own first-party data, media sellers need to make it possible --
and easy -- for advertisers to capitalize on the intersection of brand and
audience data.

The best media brands stand to gain the most. Publishers with high-quality,
interest-based content have a relationship with an engaged audience. Publishers
know their audience's browsing behavior and can help advertisers reach the right
people in the most effective ways.

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But they need infrastructure to do it. Some are building, while others are
buying and others are partnering with larger firms.

Publishers need to organize their first-party data so advertisers can buy with
it. Then publishers need to identify audiences that are relevant to advertisers
and make those audiences accessible programmatically using an interoperable ID.

In addition, publishers need to help advertisers understand the effects of their
ads on the platform.

To facilitate measurement and insight-gathering, they need to meet advertisers'
requirements for data clean rooms — whether by creating their own or partnering
with the providers their advertisers work with. This will help advertisers
understand precisely how they are integrating brand and audience first-party
data.

Once they do these things, publishers will compete with walled gardens on a more
level playing field.

Both will be reliant on their own user data — and not on third-party data about
those users.

Both will be able to combine their own data and insights about their audiences
with advertisers' first-party data to gain the most effectiveness and efficiency
for their clients.

And while walled gardens may still have greater scale, high-quality media brands
will have tighter and more engaged relationships with and a better understanding
of their audiences, what makes them tick, and what advertising messages they
will be most receptive to.  

And publishers will once again prioritize high-level, one-to-one selling.

First-party data forces a reset that requires person-to-person selling and
setup.

Determining the best way to buy particular audiences dynamically is not an
algorithm, at least not at first -- it's people analyzing, explaining, and then
executing. And people must redesign the systems so automation can resume on a
more transparent basis.  

Advertisers will walk away from publishers that are not prepared because it's
easy to buy more advertising in walled gardens, which promise access to user
data.

The onus is on publishers to tighten advertisers' connections to known audiences
and educate them on how to make more precise, provable buys.

 * 
 * 
 * 


ad buys, advertising, audience measurement, audience-buying, data, data
management, media, media buying, media measurement, media planning, pharma,
programmatic, research
Comment
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About the Author

NICOLE PERRIN, Senior Editor, eMarketer

UPCOMING EVENTS
Brand Insider Summit QSR  November 16 - 19, 2022
Mar Monte Hotel

 

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