Why DMPs are the keystone of data-driven marketing

Josh Dreller
Contact
Follow this author

Targeting Posted on June 12, 2012

Previous
3 of 4
Next
Sign in for single page

Why agencies should care

One of the most passionate DMP experts I interviewed for this piece was Andy Monfried, founder and CEO of Lotame. For many reasons, Monfried shocked the industry last year when his company shed its longstanding ad network business to focus completely on the technology side. Lotame's DMP, CrowdControl, "offers innovative publishers, agencies and advertisers the most intuitive, user-friendly and feature-rich technology to unlock the value of their audience data."

"Agencies have not done a fully great job of educating data to marketers and they're leaving the door open to tech vendors to teach data to clients," Monfried said. "A lot of time agencies don't have a model in place to handle the imminent intersection of data and media. They don't have the skill set nor the appetite to move in this direction and they could find themselves in a bad place very soon."

But he offers an interesting path for agencies to consider. "You've head of the term, AOR (agency of record)? I use the term TAOR (technology agency of record). These are very different. A TAOR can work in conjunction with an AOR or agency and can feed them tons of intelligence and great audiences interacting with the brand and help the brand win. Agencies are not equipped and do not have the technology to win in this environment. They have bidding engines. They have platforms. Advancement of technology is being sacrificed in trading desks and self-serving for the advancement of agencies."

"When you own a unifying data platform and you bring in a TAOR, it empowers the AOR -- it's okay to have both an AOR and a TAOR -- they're two separate houses." Monfried believes that his company can enable brands, agencies, and publishers to become more data savvy to compete in the new technology driven landscape.

Member Sign In

Not a People Connection member? Register here.

Your Email Address

Password

Forgot password?

Jeremy Mason June 15, 2012 at 1:39 AM

For anyone that has any questions about DMPs, or how AudienceScience would answer any of the questions raised in the comments, don't hesitate contacting me. I would be happy to discuss our thoughts and experiences more in-depth!

Rick Castro June 14, 2012 at 5:55 PM

Great insights, Josh. Seems the space is evolving quickly along with the DSPs.

Mark Patron June 14, 2012 at 2:48 PM

Thanks for the great article Josh. Based on how offline developed I'd suggest two types of DMP will develop, prospect and customer databases.

Jonh Martin June 13, 2012 at 1:01 PM

but when the data is collected by and based on cookies and clicks, do you really think that's the future? 16% of people are responsible for 80% of clicks on display ads and the average cookie only last 3 days. You're missing out on so much of your audience if this is your only answer. What do DMPs say when someone brings this up?

David Dowhan June 13, 2012 at 12:08 PM

Very niece piece Josh. You make a compelling case for needing a DMP to stay market competitive. The future winners will be those companies that figure out how to get the right data into their DMP and apply that critical intelligence layer on top of the data. Competitive advantage will come to marketers who build up highly customized and specific data sets that are directly tailored for their audience segments and the marketing problems they are trying to solve - basic demographics are not going to cut it. Scale and precision of those data assets are the key. DMPs are a critical tool for digital marketing; however a lot of care has to be given to the nature and quality of the data ingested. Otherwise we end up just shuttling a lot of big data from point A to point B, with no real insights, actionability, or results.

Tim Messier June 12, 2012 at 11:48 PM

Good article, Josh ... thank you. What often gets overlooked when talking about DSPs is the complexity that arises from trying to leverage multiple disparate data and technology platforms. It's simple to see the power of infusing undifferentiated (secondary premium?) inventory with a marketer's rich audience data. It gets more complex when you put yourself into a publisher's shoes. Publishers have audience, inventory (typically viewed as premium) and data (usually). Finding the perfect recipe that usually also includes the marketer's data, and can be supported by the publisher's technology stack, can be significantly more complicated.

Jeremy Mason June 12, 2012 at 10:39 PM

Great content as always Josh. We're proud to be FUOR's DMP, especially considering your expertise in this space!

Chris Brinkworth June 12, 2012 at 8:18 PM

Josh - great piece. One question I've never managed to get my head around - is what if I want to 'change out of' a DMP for another one'. Have you discussed this previously with an advertiser/marketer? Is it hard or simple to do? eg, like moving money from one bank to another - or not quite that simple? Just how portable are these tools?