Seedtag | August 24, 2021
Albert Nieto, co-CEO of Seedtag, explains why advertisers should invest in contextual targeting as the end of third-party cookies edges closer.
Google recently announced that it is delaying its plans to phase out third-party cookies in the Chrome browser until 2023, a year later than it originally planned. However, while the announcement may feel like a backwards step in the battle for consumer privacy, the wider industry continues to press on with plans to deprecate the use of third-party cookies. Apple launched changes to IDFA (ID for Advertisers) as part of its iOS 14.5 update, which requires apps to ask users to grant permission to collect and share their data. What’s more, Mozilla and Firefox have already stopped the support for third-party cookies to track users on their browsers. Nevertheless, with Chrome accounting for 60% of all web traffic in the UK, this announcement still marks a seismic change for third-party cookies.
This all leads to online advertising being pushed to adapt to a more privacy-driven web, giving end-users better control over their data. The 2022 timeline was always very ambitious, meaning this additional time has been welcomed by advertisers and publishers, as it provides them with more time to adapt. However, the transition to a cookieless world will not be a one-off switch, but an ongoing process for advertisers that is already underway.
Removing the reliance on cookies
In digital advertising, third-party cookies are widely used by ad tech companies to identify users on desktop and mobile devices for the purposes of targeting and reporting. Based on changes in consumer preferences on how their data is collected or used, brands will be forced to sever their dependence on cookies, shifting towards a future that meets new privacy standards. Businesses in the space can use this new era as an opportunity to solve some of the underlying issues linked to cookies, such as slow-loading and a lack of control over Publisher data for Editorial Groups, or cookie matching between different platforms for Advertisers.
Furthermore, the reliance on cookies has made many marketers focus excessively on their targeting strategies, seeing them rely on questionable attribution models and embrace standard ad units pushing for a commoditisation of advertising. More often than not, some companies in the sector forget that the very reason why advertising exists is to create positive emotions in anyone that interacts with the brand.
Contextual is the best answer and the only one available at scale
While walled gardens will remain an option for advertisers to interact with their potential customers using first-party data, the big question is what will happen in the open web without cookies. Companies in the ad tech sector have two options: substitute cookies for an alternative technology that allows them to keep addressability on the web; or switch to privacy-first targeting options like contextual advertising.
The ad tech industry is still in the early days of identifying an optimal solution for a post third-party cookie world. The problem with the cookie is not its technology, but its lack of privacy. With privacy concerns well and truly entrenched, no technology that fails to respect users will prevail. Contextual targeting using NLP (Natural Language Processing) and AI algorithms is not only available and workable at scale, but is also proving to be as effective as audience targeting was. The ability for brands to understand the content that the user is consuming at the time of the ad delivery will become a new and as-effective identifier for the target audience and their preferences. Contextual targeting combines relevance with the scale, precision, and seamlessness that is championed by programmatic media.
Ensuring consumers’ privacy
In terms of privacy, contextual advertising permits targeted marketing in highly relevant environments without requiring data from customers. It concerns itself with the context and meaning of advertising environments, not the behavioural patterns of online users. Therefore, it presumes that the user is relevant to the advertisement without ever relying on their historic behaviour. With real-time updates, the company’s contextual targets will automatically refresh to include new and relevant environments for the adverts, driving improved results and conversions.
Another strategic advantage is that it enables advertisers to deliver messages to consumers when they are most receptive to brand messages. For instance, when a user is browsing content about a specific topic, it might imply their interest to make a related purchase. Overall, the ability for ad tech companies to target customisable contexts is essential, especially when operating in highly specific or niche markets.
The future of ads
With the ad tech industry on the path to a cookieless world, it’s now time to adapt and make sure that consumers are able to provide privacy-driven, digitally savvy end-users with better control over their data. As contextual targeting has proven to be effective with real-time updates and personalisation, many marketers are seeking it out as an alternative to third-party cookies.
Many industries have successfully adapted to key defining moments and have ended up becoming larger and more profitable as a result. The creation of the internet, for instance, created global opportunities for travel agencies and those who embraced the change evolved from local or national companies into global businesses. Those who resisted the change, and didn’t put their clients first, probably don’t exist today. The advertising industry is not an exception and businesses must define their strategy backwards. Consumers want privacy in the same way they want to book their holidays online – if this is granted then new, exciting opportunities will arise for everyone
AD TECH AND MARTECH
Integral Ad Science | December 03, 2021
Integral Ad Science (Nasdaq: IAS), a global leader in digital media quality, today announced the expansion of its Context Control solution for advertisers and publishers globally, giving customers more control over the context of digital ad placements.
We first launched Context Control to help our customers transform their targeting strategies, and it's already prepared them to successfully navigate a cookieless future. Advertisers need these critical tools to customize their campaigns, while publishers need to drive greater monetization. With strong response from both buyers and sellers, we've continued to build on the success of Context Control, delivering even more value and technology that helps solve for the future growth of contextual targeting."
Lisa Utzschneider, CEO, IAS.
Brand risk continues to be a global challenge, according to the latest IAS Media Quality Report, and more programmatic buyers are activating Context Control within top DSPs to navigate these issues. Advertisers can now leverage more than 300 contextual segments from IAS on a pre-bid basis to avoid undesirable content or target towards content that is suitable for their campaigns. Major DSPs including Adelphic, Adform, Amobee, MediaMath, Xandr, Yahoo, and others have integrated Context Control, making these tools readily available for advertisers wherever they choose to buy. By activating Context Control, advertisers can see a significant decrease in block rate, a 36% decrease in cost per click, and a 19% decrease in cost per acquisition in a recent campaign.
Now available globally, IAS also offers Context Control Optimization for publishers. Working with IAS, publishers can now maximize their revenue potential by matching contextual settings with an advertiser's brand suitability needs. Publishers can now activate Context Control segments directly in their ad servers to avoid or target towards contextually relevant content. This builds on existing smart inventory classification and packaging capabilities available for publishers. With IAS's Context Control Optimization, publishers can generate a greater return on inventory, delivering a 20% lift in CPMs and a 120% lift in clickthrough rates in a recent activation.
"Context Control Optimization has proven to be an incredibly effective tool to classify our inventory and deliver better contextual targeting options for brands," said Leigh Horton, Head of Ad Operations at Insider. "Working with IAS, we now provide our advertisers with even greater control over content suitability across their campaigns so that we can deliver on their KPIs."
About Integral Ad Science
Integral Ad Science (IAS) is a global leader in digital media quality. IAS makes every impression count, ensuring that ads are viewable by real people, in safe and suitable environments, activating contextual targeting, and driving supply path optimization. Our mission is to be the global benchmark for trust and transparency in digital media quality for the world's leading brands, publishers, and platforms. We do this through data-driven technologies with actionable real-time signals and insight. Founded in 2009 and headquartered in New York, IAS works with thousands of top advertisers and premium publishers worldwide.
Rakuten Advertising, Magnite | June 03, 2021
Magnite, the world’s largest independent omnichannel sell-side advertising platform, announced Rakuten Advertising would leverage the Magnite CTV platform across Europe to broaden advertiser and agency access to inventory on Rakuten TV AVOD service.
Magnite’s CTV platform further expands Rakuten Advertising’s access to technology built to properly handle the nuances of long-form video, resulting in high-quality advertising and viewing experiences. Rakuten TV sits within Rakuten Advertising’s unified portfolio, where advertisers can buy media across various channels.
Rakuten TV is the first VOD platform in Europe, combining TVOD (Transactional video-on-demand), SVOD (Subscription video-on-demand), and AVOD (Advertising video-on-demand) services. The ad-supported offering provides a wide range of content with an extensive line-up of linear channels from global networks, top European media groups, and the platform’s thematic channels that deliver curated content from Hollywood and local studios, as well as more than 10,000 titles available on-demand. Rakuten TV currently reaches more than 90 million households thanks to its branded remote-control button and pre-installed app in Smart TV devices. Over 12 million unique viewers across Europe tune into Rakuten TV monthly, with 95% of users watching on CTV.
Ad-supported streaming is on the rise in Europe. Magnite’s recent consumer study “CTV in the EU5: the future Forward” showed 63% of TV viewers watched AVOD content weekly.
“We are very pleased to be working with Magnite to enable brands further to utilize Rakuten TV inventory alongside their existing CTV activity in Europe,” says James Collins, SVP Media at Rakuten Advertising. “We were impressed by Magnite’s expertise in delivering seamless ad experiences fit for CTV, and this collaboration demonstrates that the movement into programmatic for CTV is continuing at pace.”
“We are excited to support Rakuten TV’s growth as more consumers gravitate towards high-quality ad-supported streaming services in Europe,” said James Brown, Head of International at Magnite. “We are working closely with the Rakuten TV team to leverage their platform data to assist advertisers in initiating more effective addressable campaigns, which will have the added benefit of helping Rakuten TV better understand buying behavior.”
We’re Magnite, the world’s largest independent sell-side advertising platform. Publishers use our technology to monetize their content across all screens and formats, including CTV, online video, display, and audio. The world’s leading agencies and brands trust our platform to access brand-safe, high-quality ad inventory and execute billions of advertising transactions each month. In April 2021, we acquired SpotX to further our CTV business and help our clients in this rapidly growing market. We are anchored in sunny l. a., bustling NY City, mile-high Denver, historic London, and down under Sydney, Magnite has offices across North America, EMEA, LATAM, and APAC.
About Rakuten Advertising
Rakuten Advertising provides advertising technology and consumer insights to the world’s leading brands and retailers. Working with agencies and brands worldwide, Rakuten Advertising unites technology, client strategy, and consumer insights to deliver advertising experiences that drive increased brand awareness and marketing performance. With access to Rakuten’s global audiences, media, content networks, and consumer research, Rakuten Advertising creates the right conditions to reach new customers and sustain long-lasting loyalty. It is a division of Rakuten Inc., one of the world’s leading Internet service companies. The company is headquartered in San Mateo, CA, with offices in Australia, Singapore, Brazil, France, Germany, Ukraine, the United Kingdom, and the United States.