Performance, personalisation, and privacy: these three cornerstones are the future of digital advertising

Online advertising and privacy

Every day, the future of digital advertising is coming clearer into view. As in the past, personalisation will lie at its heart. After all, 71% of consumers expect companies to deliver personalised interactions. But unlike in the past, this personalisation will be girded by a new privacy-first framework.  

Consumers do not want to be tracked online. For example, when given a choice over whether or not to be tracked across apps during the iOS 14 iPhone update, a staggering 96% chose not to be. For their part, regulators are increasing their oversight to ensure that consumers’ wishes are protected. Gartner estimates that by the end of 2023, modern privacy laws will cover the personal information of 75% of the world’s population. 

The future of digital advertising will also lie in better campaign performance. With around 26% of digital advertising budgets wasted on the wrong audiences and strategies, and fewer than 1 in 100 ads actually relevant to their audience, this is an area in urgent need of improvement.  

The enablers of the future of digital advertising are already present: privacy-first IDs that allow brands and agencies to better utilise first-party data, recognise users wherever they are on the web, and reach them with relevant, personalised experiences. Here’s how. 

Digital advertising and personalisation 

Privacy-first IDs, such as Novatiq’s Zenith and Hyper IDs, enable brands and agencies to create audiences and reach them anywhere on the open web. 

The first step is to understand user preferences online. Here, brands and publishers can use a verification ID. The verification ID leverages telco network intelligence to verify pseudonymised users. First-party publishers and brands are thereby able to verify their individual consented users across sites and devices and create a 360-degree of the user, even if they have not signed in. 

Having created rich first-party audiences, brands and agencies can use this information for personalised campaigns through scaled, safe, and secure real-time activation using Novatiq’s dynamic transaction-based Hyper ID.  

The verification and transaction IDs enable personalisation for the future of advertising. They allow brands and agencies to reach their target audiences using pre-verified standard audiences or bespoke builds to perfectly meet their campaign objectives. What’s more, these verified audiences enable real-time execution, so brands and agencies can recognise and reach relevant users in the moment and never lose the opportunity to engage. 

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Digital advertising and privacy 

These two IDs are also engineered for privacy. User consent is required on a per-brand/per-publisher basis, empowering consumers with granular choice. The IDs are also fully compliant with global privacy standards. Consumers can opt-out and are always in control. 

What’s more, the IDs are pseudonymised, meaning that absolutely no PII is transmitted either during verification or activation. Essentially, the audience code is assigned in real time to the telco-verified dynamic ID and delivered directly to the buy-side partner running the specific campaign, outside of the bid-stream. Once the ID has been used for the specified ad transaction it disappears, meaning that no information remains in the bid-stream. With this new approach to identity, the twin consumer demands for privacy and personalisation can finally be reconciled. 

Digital advertising and performance 

Another significant benefit of this approach, and perhaps the most important from the perspective of brands and agencies, is that it delivers superior levels of campaign performance compared to the traditional, third-party cookie-based model. By enabling brands and agencies to identify and activate highly accurate audiences, telco-verified IDs eliminate wasted ad spend.  

The method enables brands to reach real audiences, in real-time and at scale, using telco intelligence-based IDs. Advertisers only reach people who are 100% verified and linked to ad requests behind the telco firewall. Never have brands been able to access such precise audiences at scale. 

The future of digital advertising 

The future of online advertising is centred on three “Ps”: performance, personalisation, and privacy. It’s a future that’s better for all involved: more accurate reach at scale for publishers and brands delivers better performance; understanding users without knowing their personal details enables personalisation for an improved customer experience; and customized, privacy-centric verification protects consumers and ensures that they remain in control. The best news is that this future is already here. With Novatiq’s Fusion platform and the associated Zenith and Hyper IDs, publishers, brands, and agencies can already realise privacy-centric, personalised and effective digital marketing today.  

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