What is DMP? & Why do we need DMP?
DMPs are buyer-side platforms that allow advertisers and agencies to take control of their own first-party audience and campaign data, and compare it to third-party audience data, to make smarter media buying and campaign planning decisions.
Using a DMP, advertisers and agencies can slice and dice their own online and offline first-party data to create audience segments for display, search, video, and social campaigns; apply it to ad campaigns targeting audience across the purchase funnel; and get visibility into the ROI each campaign delivered for each segment. DMPs also allow marketers to pull in and analyze all audience data (including third-party) – presenting a 360-degree view of how campaigns perform against specific target audiences.
A DMP can help advertisers and agencies solve their most pressing challenges.
By putting audience data at the center of online advertising programs, a DMP helps advertisers and agencies answer the following key questions:
• What are the specific targetable attributes of my audience throughout the purchase funnel?
• How can I leverage my own first-party online and offline audience data to more effectively target campaigns?
• How can I use insights from my data to perfect audience segmentation and increase campaign scale?
• How do I gain visibility into cross-platform performance metrics so I can adjust campaign parameters in real time?
• How can I effectively analyze large quantities of audience data to make smarter media buying and campaign planning decisions?
“Audience-targeted ads increase frequency and exposure to the most relevant
audiences at the most relevant times and have been shown to boost campaign ROI
by at least 10%.”
Rex Briggs, Author, ROI: Return on Investment or Return of Investment, 2009
Who Needs DMP & Types of Users
Marketers of all kinds stand to benefit greatly from DMPs because these platforms help them achieve better campaign performance and overall ROIs. Within a marketer organization, there are three main users of DMPs, and each type of user has their unique needs.
- LEGAL & AUDIT DIRECTOR
• Ensure that compliant and secure methods are used for all data collection and usage
• Have a tight legal contract with restrictions and compliance to company policy –
including a quickly executable opt-out clause
• Include info on privacy and marketing uses of technology on my site (i.e. Privacy info)
- MARKETERS & MARKETING DIRECTORS
• Empower my teams to buy audiences with minimal waste and scalable insights
• Test offline models online & Identify how to build customers
• Leverage current CRM and LTV strategies for real-time decisioning and campaign
• Tailor messages to audiences based on prior behaviors/interactions (on site and off)
• Engage in brand-safe data mining and usage that requires compliant legislation
• House all of my audience data in one place where multiple partners can log in and
utilize it based on pre-defined sharing and security parameters
- IT / OPERATION DIRECTORS
• Prevent latency and circumvent traffic issues on my site
• Ensure the security of my site for all customers
• Own my own data and control exactly who has access to it
• Minimize amount of tags on my pages
• Analyze site traffic and patterns to get insights into customer interaction
• Increase conversions on my site
• Enable a support team to quickly address QA issues