In recent years, data clean rooms have grown in importance to media and advertising companies’ businesses. But this year has been “a step-change year where clean rooms became more sophisticated,” Therran Oliphant, svp of data and technology at Essence Global, said during the latest episode of the Digiday Podcast.
The (supposedly) impending demise of the third-party cookie and increasing scrutiny from privacy regulators have pressed advertisers, agencies, tech platforms and media companies to adopt data clean rooms as a means of protecting their first-party data while activating it for advertising purposes.
Already a fixture in major advertisers’ dealings with tech platforms like Google, Meta and Amazon, this year data clean rooms were a key component of TV upfront ad buyers’ and sellers’ negotiations. Then, in October, Google announced its Publisher Advertiser Identity Reconciliation program to facilitate advertisers’ and publishers’ use of clean rooms for programmatic buying and selling. And in December, IAB Tech Lab plans to release its first draft of standards for clean rooms.
Despite all the developments — or maybe because of the developments — the data clean room remains an enigmatic aspect of the advertising business because of its broad application.
“There is really no one ultimate application of that data,” said Oliphant. “It could be that this particular data might be used for advanced analysis. Or to join data sets together so that a brand could understand more attributes about their user. Or so that they can go to market and activate media against those users.”
Here are a few highlights from the conversation, which have been edited for length and clarity.
Clean room complexities
CMOs are involved [in data clean room conversations] occasionally. I wish they were involved more. I do believe that there is a need for increased technical literacy at the top of these organizations because marketing is getting very complex. And it’s just a necessity. But typically we’re working with the marketing engineers, media, tech, maybe some of the media-focused clients at the brand side and their ad tech team.
The potential of PAIR
It simplifies for the brand all of the necessary elements — the things that are making people’s heads spin about the advanced marketing solution environment that exists today — and it streamlines it. [If] I have a DV360 seat [to buy ads through Google’s DSP], I can send my data to DV360 or a cloud service that’s connected to it. Better yet, a clean room can then actually tie a durable identifier to that data in one of their privacy technique ways and access to the entire DV360 ecosystem is available to me.
I hope [the standards] makes it a lot easier to do this. Right now it’s just really difficult. Every time we do it, it feels custom. And so what I hope these standards do is allow us to automate some of the things that are required.
The need for standards
What are the attributes that are associated with a clean room integration? Is it just an email? Is it an email and a name? Is it an email and a name and an address? Is it a phone number? What are those connective tissue elements, those things that will join the data, the keys if you will.
Member ExclusiveFuture of TV Briefing: TikTok’s other creator monetization program
This week’s Future of TV Briefing looks at the role TikTok's Branded Missions program plays in keeping creators on the platform as YouTube readies its short-form video revenue-sharing program.
How Philadelphia Cream Cheese is finding its place on Reddit
Hoping to tap into honest, authentic conversations, Philadelphia Cream Cheese is investing in Reddit ads for the first time.
Why Tractor Supply Company made its TV ad to look like TikTok
Tractor Supply Company, a retailer founded in 1938, is using 100% of its marketing spend for this quarter on Paramount's TV channel. The company's new "TikTok style ad," debuted on the premiere of Yellowstone on Nov. 13, is part of a push to build brand awareness.
SponsoredPublishers are adapting advertising strategies for a privacy-first world
Tina Iannacchino, senior publisher director, Seedtag So much of the attention around the death of third-party cookies and its impact on the digital advertising industry is focused on the implications for brands and consumers, which is far from the complete picture. The digital publishing industry in the U.S. is massive and set to be shaken […]
As purpose-driven ads face challenges this holiday, could podcasting provide a lift?
Purpose-driven marketing may face growing challenges this year as consumers wrestle with inflation and the ad market gets more competitive.
Amid record-breaking Thanksgiving weekend e-commerce growth, there was an uninvited guest – bot traffic
A record 196.7 million Americans shopped online and offline from Thanksgiving Day through Cyber Monday — a lift of 17 million from 2021 — per NRF.