AdExchanger Programmatic IO Conference
As with all parties in the advertising ecosystem, Harmelin Media has been developing a toolset of durable solutions in response to the deprecation of cookies and cookie-based advertising. Google’s announcement that it would phase out the use of third-party cookies from its Chrome browsers by the end of 2023 has initiated a new, rapid learning phase for the industry in search of more lasting solutions.
At the 2022 AdExchanger Programmatic IO a few weeks ago in Las Vegas, this was a main theme discussed by presenters and attendees. This new learning phase can be broadly divided into three main groups: media consumption behaviors, the power of contextual solutions and identity resolution.
MEDIA CONSUMPTION: CHANGING BEHAVIORS
Media consumption patterns of consumers has evolved; it has been accelerated by the COVID-19 pandemic. Many of these changed consumption patterns are projected to last. For digital marketers, it is important to recognize the increase in time spent on mobile and connected television (CTV) devices is projected to continue to rise as hybrid lifestyles become more common. Recently released research by eMarketer confirms that users are moving towards devices that provide easy access to entertainment like mobile and CTV, while devices that saw a bump during the height of the pandemic (laptop, desktop) continue to decline. At the conference, Integral Ad Science (IAS) shared additional insights:
– 90% of consumers have access to a CTV
– 66% say that the pandemic has increased content consumption
– 20% have added a paid service
An additional interesting insight: 47% of surveyed consumers indicated that they planned to add free streaming services within the next twelve months. I found this interesting on two levels: one, that the bundling so many paid services by consumers might have reached peak saturation; and two, that consumers are still hungry for additional content and are willing to search out this content in ad-supported services.
CONTEXTUAL: RENEWED INTEREST
Contextual advertising – within digital, generally, and programmatic, specifically – has always been a key component of any media plan. The context in which users see advertising has a definitive impact on the perception of the brands. IAS presented results from their Industry Pulse Report, which said that over 70% of consumers indicated that the content of a page impacts their perceptions of the surrounding ads. Additional key takeaways:
– Ads seen on high quality sites are perceived as 74% more likable versus the same ads on low quality sites
– Audiences have shown 20% higher engagement on high quality sites than on low quality sites
– Campaigns on high quality sites stand to benefit from 30% greater memorability driven by brand-suitable content
In a case study presented, IAS highlighted how controlling context can drive performance and outcomes:
– 23% decrease in cost-per-thousand (CPM)
– 21% increase in click-through rate (CTR)
– 36% decrease in cost-per-click (CPC)
IDENTITY RESOLUTION: A NEW PATH FORWARD
With the changes brought on by the deprecation of cookies, there is a need to find a solution for the loss of online user identity. How do advertisers reach the desired users if there is no longer an indicator of who they are and where they have been? A key point for agencies and marketers is to manage risk without impacting performance. Moving in this new direction, it’s important for advertisers and agencies to start now, exercise due diligence, be persistent and cultivate partners that can assist in solution development, ahead of the deprecation. One key path is first-party (1P) data, or the information collected and owned directly by a company from its customers.
A presentation given by TripleLift succinctly highlighted key points as to why 1P data provides so much promise to advertisers and agencies. That 1P data:
– Is more private than third-party (3P) cookies
– Solves for most targeting use cases, including remarketing
– Promises more accuracy in targeting
– Scales across all formats, browsers and publishers
– Adds precision to contextual targeting
HARMELIN IS PREPARED
On behalf of our clients, Harmelin develops digital media plans and executions to deliver messaging in a targeted way. We consistently update key standards and practices, develop relationships, and monitor industry innovations to give our clients a durable edge in this new, changing landscape. Reach out to learn more on how we can help.
For more information contact us.