It’s time to build an ecosystem rooted in consumer trust and putting the consumer first, says Tim Geenen, Managing Director, Addressability Europe at LiveRamp.
The increased control over third-party cookies, mobile device identifiers and IP addresses has made it increasingly difficult for advertisers to continue to deliver meaningful experiences to consumers. As a result, publishers and advertisers have found ways to personalize the consumer’s journey without the need for unauthenticated device and browser identifiers.
In the past, the advertising and marketing industries have not provided enough transparency or explained how data is used to deliver value to consumers. It has not been made clear to consumers that content on news sites and elsewhere is kept free in exchange for targeted advertising, based on data that people share with publishers. The truth is that advertisements allow the free flow of information and entertainment on the Internet, but this has been poorly explained. Confidence subsequently suffered.
The industry now has a chance to regain that trust and build an ecosystem that prioritizes privacy and offers consumers more transparency and control, while promising stronger revenue models for publishers and better ROAS. for advertisers.
Deliver genuine value
The best way to put this new ecosystem into practice is to offer a clear and fair exchange of value. When consumers authenticate, they share their identity transparently in order to access meaningful content. In return, they know that their identity is going to be used to create personalized ads. Users share their identity with trusted publishers to access content for free. By adopting this approach, users are assured of transparency, control and choice, while publishers are put back in the driver’s seat and able to more closely manage their relationships with users and advertisers.
Marketers want to buy people-based, addressable inventory – and publishers need to make that as easy as possible, so they can get higher CPMs and perform better.
Benefits for everyone
Publishers can identify their authenticated users in real time to enable data-driven targeting, which means they can unlock the true value of their inventory, open up new revenue streams to offset the loss of third-party cookies and other identifiers, and better compete with walled gardens.
Authentication-based solutions enable addressability across the ecosystem, allowing marketers to minimize and / or eliminate their reliance on third-party cookies. Advertisers can connect their audience to authenticated inventory the same way they do today: through DSPs they currently transact with or through private market agreements with SSPs, so it is not no need to revise existing processes.
Beyond the benefits for users, publishers and advertisers, there are also ways for technology platforms to reap the rewards of authentication solutions. Authenticated data is more stable than data from third-party cookies, has higher security standards, and allows for better privacy audit trails.
Building for a better future
Authentication solutions are positive for the entire ecosystem. They build consumer confidence, give control to the consumer and the publisher, and create an environment in which advertisers and publishers can more easily work together to achieve meaningful results for brands. For advertisers, in particular, there is huge potential to connect all of their first-party data to a people-based identity and leverage that to personalize their consumer journey on the internet.
It’s time to rebuild the modern ecosystem for performing people-based identity transactions and moving away from the third-party cookie. It’s time to build an ecosystem rooted in consumer confidence and putting the consumer first. And, in an ecosystem of trust, that trust is expressed through a transparent authentication experience focused on confidentiality.