by –News Direct–
Advertiser Perceptions, the leader in providing research-based strategic market intelligence to the complex and dynamic media, advertising, and ad tech industries, conducted research examining how US brand marketers and agencies are approaching and perceiving data standardization. The research uncovers key findings around the importance of data standardization across measurement and attribution, privacy compliance, productivity, managing campaign ROI, ad creative development, brand safety, generative AI and consumer experience.
Their results found that marketing and advertising agency professionals acknowledge that data standards are essential. A large majority 91% agree that applying data standards practices is a must in order to move forward in a privacy-centric way. Advertisers that have data standards in place see average ROI increases of 30% or more across tactics, including privacy compliance (32%), productivity (32%), managing ROI (31%) and brand safety (30%). Eighty-six percent agree that without data standards, their organizations will fall behind competitors or lose market share over time. The bottom line is that a majority of advertisers have yet to master the ability to target and measure the impacts of leveraging rich audience and creative data.
Privacy Ecosystem Evolving
Those currently using data standards have successfully employed privacy-forward methods for data sharing and analysis in greater numbers vs. their counterparts. The research shows that gaining control over data standards is a must to mitigate risk and remain competitive in todays quickly evolving regulatory environment.
More specifically:
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Advertisers that have data standards in place are significantly more likely to be using data clean rooms and rely on APIs to share advertiser segment data and ad creative assets, whereas those exploring still lean more heavily on less privacy-minded methods, such as email.
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Among the two-thirds who use data clean rooms, the overwhelming majority agree that clean rooms are the standard for privacy-compliant data matching.
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Those utilizing data standardization are more confident in the execution of coherent audience definition, ad creative and measurement strategies and their tiebacks to ROI.
Push for Generative AI
With advertisers estimating one in every four ads result in ad creatives being served to the incorrect consumer, there is a huge upside in gaining greater visibility into ad creative production, storage and utilization.
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Specifically, advertisers estimate ROI would increase 29% if they were to be able to serve ad creatives to the correct consumer every time. And if they were to be able to fully attribute campaign performance back to specific ad creatives, ROI would increase by 30%.
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With two in five already using artificial intelligence (AI) for ad creative development and another one in two considering its use, organizations acknowledge that properly tagging and tracking ad creative is increasing in complexity and is critical to measuring and improving performance.
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Yet, today, only a minority (21%) feel very confident in their ability to keep track of and tag AI-generated creative assets.
Importance of Brand Safety & Trust
Lack of knowledge as to where creative assets are running also exposes companies to brand safety issues. Ops teams implementing data standards reported the ability to identify where ad creatives were served and whether ads ran next to unsafe brand content much faster than their counterparts. They also estimate a greater ROI from serving the right ads to the right consumer 100% of the time vs. their counterparts.
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Eighteen percent of US advertisers believe that ads running next to unsafe content can result in significant cost impacts to their business and revenue. And those who have already implemented data standardization believe the cost impacts are significantly greater.
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For the majority, identifying unsafe ad placements takes time:
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Roughly half of advertisers said it takes up to a day to identify that ads have run next to unsuitable content.
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Three in four say that limited reporting or data provided to them via media partners at the ad creative level is a top challenge, as is the fact that attribution models arent set up to provide insights at the creative level.
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Our research indicates that data standards sit at the very core of many of the industrys top challenges, including measurement and attribution, privacy compliance, generative AI usage and brand safety, said Lauren Fisher, GM of Business Intelligence at Advertiser Perceptions. The greater the understanding an organization has with regard to where its data and creatives are housed, who has access and where they are shared, the greater its ability to manage critical areas of marketing, which ultimately leads to revenue gains for businesses.
Methodology
Advertiser Perceptions, surveyed 140 US advertisers in September 2023 to understand their current and future practices with regard to data standards strategies. To qualify for the study, respondents had to be spending $50M annually on digital advertising and involved in decision-making for digital advertising. The study surveyed a mix of respondents across strategic teams, operations and data analytics teams. Agency respondents comprised 30% of respondents, while marketers accounted for 70%.
The research was commissioned by Claravine, which helps to standardize taxonomies, naming conventions, and metadata across all digital experiences at the source of data creation. The full report can be downloaded here.
Our industry is constantly evolving, and the pace of change is having big impacts on marketing teams and businesses. Right now there are several topline challenges including an uncertain regulatory environment, a push for generative AI and ongoing concerns with brand safety, Verl Allen, CEO of Claravine said. This research proves marketers and agencies understand data standardization is a necessary organizational priority that touches nearly every team, role and system in a companys marketing efforts. Focusing on data standards at the beginning is a practice that takes time and care, but once implemented it can lead to significant ROI gains.
About Advertiser Perceptions
Advertiser Perceptions is the leader in providing research-based strategic market intelligence to the complex and dynamic media, advertising, and ad tech industries. Our curated, proprietary Ad PROS Network and deep relationships with the largest advertisers provide clients with an unbiased view of the market, their brand, and the competition. Our experts provide timely and actionable guidance enabling clients to improve their products and services, strengthen their brands, and drive more revenue.
About Claravine
Claravine is a pioneer in Data Integrity for the global enterprise. We empower a proactive approach to marketing measurement by activating data standards across people and technology, bridging the silos that limit speed and decisions. Thats why nearly a quarter of the Fortune 100 use our platform, The Data Standards Cloud, to define, apply and connect standards across their ecosystem for faster decisions, greater agility, and increased ROI. www.claravine.com
Contact Details
Kite Hill PR
Maggie Stasko
Company Website
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Claravine
COMTEX_442011510/2655/2023-10-17T08:59:39
Julian Lopez is professor emeritus of finance, served as the founding academic affairs dean and founding chair of the finance department.
Disclaimer: The views, suggestions, and opinions expressed here are the sole responsibility of the experts. No journalist was involved in the writing and production of this article.