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Source: The Data Management Platform: Foundation for Right-Time Customer Engagement (IAB and Winterberry Group)
It’s simply a data warehouse
A critical component of any DMP is the ability to centralize your audience data from multiple systems into a single interface. They do this through a NoSQL database management system that imports your data from multiple systems using a match key between each system that they form via, what else, a cookie sync.
Target these audience across ad networks and exchanges
Capabilities – Translating data into audience profiles Integrate with 3rd party ad servers Leverage data across all agency accounts
First party data is the data of behaviors, actions or interests demonstrated across company website(s); data in CRM; subscription data; social data; or cross-platform data from mobile web or apps.
Third party data is generated on other platforms and often aggregated from other websites. There are many companies out there that sell third-party data, and it is accessible through many different avenues. Examples – Experian, Acxion, Bluecava, Datalogix
With these capabilities, you can transalate data into audience profiles, integrate with third party ad servers, leverage data across all agency campaigns or automate data collection and media buying in real time
Collect Data Unify into a Profile Create an Audience
First party data like analytics + social signals like logins to form traits about the person (Email signed up + searched for iPad) First party data like CRM data (Purchased iPhone earlier) First party data like campaign data (Saw an iPad ad or clicked on an offer)
Second Party data from partners (say between Economic Times and Times of India)
Third Party data from vendors like Neilsen, Experien etc. This data may show that the income level of that person can’t afford iPad
Provides a propriety scoring of the user Predict the likelihood of converting more in a tablet Average Display CPM of $2.8 Average PPC CPC of $1.29
You could even overlay 1st party information with 3rd party sources to tell you what the average buyer’s credit score and household income was.
From adopsinsider –
1. For the analytics department, you could track and segment all users who went to the Finance section of your website. Then, using 3rd party data sources, you could determine the demographic and psychographic profile of those users. You could further segment Finance users into those that view 10+ pages, or come back every day, and see how they differ from the broad audience. What is it about those people that attracts them to the Finance section, where else do they go on your site, what other audiences are they in? Perhaps the Finance audience is highly likely to read about Politics or Golf. 2. For the media buying group, you could use your DMP to cookie every user exposed to a media campaign, and track who converts and who doesn’t and build a similar profile of converting users with the methodology above. You might combine the data you have on users with a dynamic creative optimization tool to construct ads on the fly, and personalize your messaging to women versus men. You could simply use the data in the DMP to target only women with your next campaign, or Women age 30 – 50 who make $75K+ a year and also have two kids. You can get extremely granular in who you target, and use the DMP to understand what’s working and what isn’t. 3. Finally, let’s say you own a catalog company, and you want to advertise to people who bought more than $500 worth of goods from you last holiday season – you can use a DMP to identify those shoppers online with a match service and market to them for next season.
Agencies use the technology to collect and analyze the data collected from their client campaigns, which is sometimes pooled across multiple clients to create vast and rich datasets. In an attempt to take closer control of their data, some clients have begun licensing their own DMP technologies and managing those platform themselves. Meanwhile, a growing number of publishers are also making use of the technology as a way to help them better understand their reader information and extract more value from it as a result. Think of how The Wall Street Journal’s user information is valuable for an financial-services ad campaign targeting high-net-worth individuals.
Xaxis == Ad Exchange + Ad Network + DMP
What differentiates various DMPs
Pure-play v/s DSP interlocked Vendor partnerships Data protection/Privacy considerations
BlueKai/OracleBlueKai (now part of the Oracle Marketing Cloud) is a standalone DMP. The data management platform is decoupled from the execution layer (e.g. DSP). The main advantage of this approach is you avoid vendor lock-in. You can use BlueKai with any of the major DSPs on the market. And you can switch or A/B test different DSPs while keeping your DMP intact. The cost of this approach is that you're going to have some percentage of the audience drop off as you transfer it to the DSP.BlueKai also operates a third-party data exchange (now the Oracle Data Cloud).TurnTurn sells an integrated DMP/DSP. The principle advantage of an integrated approach is that you're not going to see as much of a drop off as the audience is transferred from the DMP to the DSP. The principle disadvantage is that Turn is incentivized to get you to run as much media through their DSP as possible and this isn't always the best thing for your business. They support integrations with other DSPs, but then you'll be subject to the same drop-off issue as a standalone DMP.
Data Integration - Scalability (Supports the processing of large amounts of information) - Speed & Accuracy (It can be processed at high speed with the use of cloud
Personalization (DMP for Publisher) - Here it is used with the purpose of raising advertising value by showing ads to relevant users or database of his site. E.g. to improve the efficiency of advertising by changing the message of the advertisement from the user's profile i.e. different for male and female
Media Buying Customized retargeting campaigns based on specific activities
What is a DMP?
Source: The Data Management Platform: Foundation for Right-Time Customer
Engagement (IAB and Winterberry Group)
DMP – A Workflow
You buy an Android tablet from
Best Buy. Some of your personal
information is with BB
You visit the brick and mortar store
to make a further purchase or
return something. BB stiches your
offline and online identities.
You may be classified into a profile
like Male between age group 25
and 35, residing in NY interested in
You see a BB display ad showcasing
various offers for iPad accessories;
but you didn't click it. However
DMP captures the impression
You see a 10% discount ad on an
accessory and clicks it, but didn't
make the purchase. DMP captures
the profile as Male between age
group 25 and 35, residing in NY
interested in electronics and stylish
Since DMPs create individual
profiles, an integration with DSP
enables the company to display
targeted customized sequential ads
You are shown an irresistible offer
on the headset, you click and make
Based on these individual
engagement tracking and
probabilistic modeling, DMPs
create further audience segments
This analysis is fed back into the
system for enhancing the
Resulting Example Profile
From IgnitionOne DMP
Source: IgnitionOne presentation
DMP – Use cases?
• How many users that bought a 42” LED also
searched for high end digital home theater in
last 7 days
– What is the average buyer’s credit score and
Benefits of DMPs
Personalization Media Buying
DMP v/s TMS v/s DSP
• DMP v/s TMS
– Audience is different
• DMPs are normally purchased with AdTech use cases (i.e.
paid media) in mind and the typical buyers (e.g. Media
Agencies, VPs of Acquisition & Publishers) reflect that. By
contrast TMSs are typically purchased with MarTech use
cases (i.e. owned media) in mind.
• DMP v/s DSP
– A DMP is used to store and analyze data, while a DSP
is used to actually buy advertising based on that
How are you classified?