Digital management Platform plays a vital part in reaching the right audience with the perfect creatives, the technological developments in digital advertising is placed on the foundation of DMPs. Ensuring better reach and brand awareness the platform is designed for aiding marketers and publishers to reach their pinnacle of success. But there is a catch, all the involved parties in the Adtech environments is seeking the help of DMP but most are not utilizing the full potential of the platform. The following are some simple steps to benefit from the full potential of a DMP.
First party data dominates digital advertising
Data is the best way to take things a notch up in the digital Adtech environment. Emphasize must be given to first party data, it includes valuable information related to the user’s previous interactions with a brand or digital property. Whereas in the case of a third party data vague trends about wide consumer groups will be included which anyone can bid on. It is clear the importance given to first party data will not be in vain as it can deliver desirable results in the evolving market. In every operation where data is involved, first party data must be given higher preference when compared with second and third party data. It plays a crucial part in understanding the mindset of the user in every aspect and delivers desirable creatives that can improve the conversion rate.
Many major brands and advertisers are working on acquiring more data without knowing how to formulate a strategy that can fully utilize the obtained data. Some are struggling to find the exact value associated with multiple data points that includes paid media to create perfectly robust first party data set.
Harnessing the power of DMPs
As a result of the ever increasing emphasize on first party data, DMPs have taken centre stage. The inevitable platform is used by agencies, brands, and publishers to store, analyse and maintain valuable data. DMPs have become an unavoidable part of digital marketing, used by more than two-thirds of media professionals, it is predicted that this figure set to rise above 90% in the next two years.
In spite of their popularity, simply having a DMP without a proper strategy will not do any good for the involved parties. Without an effective strategy in place, both advertisers and publishers will not be able to realize the value of their investment. It is essential to analyse and implement an effective strategy to exploit the full potential of the technology to gain actionable insights from data.
Invaluable power of data
There are a number of challenges faced by marketers in implementing an effective strategy for DMPs, the most frequently mentioned one is the integrating disparate data sets to gain a single view of the customer. It is a problematic part when teams are not functioning individually, each with their own data stores. In most of the cases the in house expertise to bring the team together is missing from the link and brands struggle to move ahead from that point. It can be resolved with the addition of sufficient skills that can make the operation for the involved brands with the exceptionally best technology a great chance to grow in the market.
The situation may improve as the quality of handling data in data driven marketing becomes a regulation. Most of the famous brands at present rely on external expertise to extract from data held within their DMPs. Agencies are responsible to educate marketers and brands about the power of data and how to effectively use it to soar in the market.
Based on the functionality, DMPs can be solely used to make the most of any first party data with the aid of techniques such as audience segmentation, advanced analytics, and lookalike modelling, they link the disparate data points and provide insights that can be used for planning effective marketing strategies. To put it simply, in the present scenario marketers are not using their DMPs effectively; they are simply being used as data warehouses.
Clearly there are technical limitations to what DMPs can do in analysing patterns in customer data to uncover actionable insights and trends. Having a DMP is not a strategy in itself and will not necessarily get you closer to understanding the power of the data stored therein.
Hold on to the technology
There is an important piece of the puzzle that marketers are missing in the link to maximise the potential of a DMP. To make the best use of any DMP and the first party data they collect, marketers must get hold of the emerging technologies as they pop up into the picture. This can lead to having actionable insights in the competitive market.
The emerging smart technologies deliver a perfect solution to disparate data sets; a continuous feedback loop can be created by bringing together all the data sources. Data such as cookie history, user IDs, the content users previously engaged with, time of day, location, as well as navigational and click/completed view data can form missing pieces of the user profiling puzzle.
With this data tied together and pushed back to the DMP, marketers instantly and consistently receive much deeper insights to influence marketing decisions before targeting those users with insights gleaned from the data, or using them as a model for prospecting similar-looking users.
The ability to fully interpret data by combining statistics and machine learning algorithms to observe user behaviour, and by using semantics to enrich specific data sets, and to integrate the resulting insights with unique business experiences and needs, goes far beyond the standard uninspiring functionalities of a DMP.
The bigger picture
First-party advanced profiling empowers brands to build detailed, actionable profiles of their existing customers, or those users who have previously interacted with their properties, understanding what interests them at a given moment and – when paired with machine modelling – can uncover their future propensity to interact with a brand or product.
There are many uses for this data, from sophisticated targeting to creating personalised content, which appeals to individual customers. Brands no longer focus on retargeting broad audience segments but should want to understand what content individuals engaged with as an inferred interest. Using these smart technologies, existing customer data sets can be stitched together and enriched for real-time campaign optimisation and enhanced creative messaging.
The skyrocketing adoption of DMPs proves their efficiency as data warehouses, but their full potential in generating actionable audience insight is still yet to be realised.
To make best use of the valuable first-party data stored within DMPs, marketers must embrace emerging technologies, such as first-party advanced profiling, to truly understand a consumer’s behaviour and deliver what their audiences want.
Activating the potential of data sitting through DMPs using cohesive technologies that tie the data points with a clear end goal in mind will empower marketers to truly deliver more targeted messaging and create greater value for their customers.