Data Management Platform (DMP)

The importance of DMP in today’s data driven digital ecosystem…

In today’s digital advertising environment that “All things are Data”, the use of Data Management Platform is the driving force of effective digital advertising activities. On this blog, we will define Data Management Platform (DMP) and describe the 3 main steps that a marketeer needs to follow in order to activate a DMP account.

What is Data Management Platform?
A data management platform (DMP) is the backbone of data-driven marketing which allows businesses to gain useful and unique insights into their customers.

DMP is a unifying, centralized platform that collects data audience (1st, 2nd and 3rd party) from several sources, including online, offline and mobile. It organizes them in segments, creates target audiences and makes them available to marketers for activation in digital marketing campaigns. A DMP not only collects and organizes the data, but also makes it available to other platforms (such as DSPs, SSPs, and ad exchanges) in order to be used for targeted advertising, content customization, and data monetization.

DMPs are extremely important for advertisers because they enable them to deliver targeted results but most importantly to improve the overall efficiency and ROI of their advertising campaigns. With DMPs, you can achieve extraordinary targeting and scale across all your online advertising channels. A good example is when an advertiser uses a DMP to collect and organize data which they are then used to deliver a particular ad to parents aged 25-35 who enjoy planning their family vacations online.

How does a DMP work?
In order for advertisers to be able to use the available data for digital marketing purposes, they first need to activate an account with a DMP company and then follow three basic steps: Data Collection, Data Management (Taxonomy and Segment), and Data Activation.

Data Collection:
The first step of a DMP is to be able to collect easily 1st party audience data in one place and to import data from 3rd party data providers in order to compare these data points against the 1st party data. This 1st party data can be collected based on specific behaviours such as clicks, downloads, video uploads or video completions as well as on interests like football, gardening, shopping, cycling, fitness, owning a pet, and travel. The collection of data can include demographic, household and socio-economic data as well.

Data Management:
After the collection of the data, the DMP will have to organize the 1st party audience data into categories and taxonomies. In other words, it must start creating market segments. Once the data is uploaded to the platform and organized into segments, you can use this information to build audiences for specific marketing campaigns. For example, an advertiser that runs digital campaigns for a retailer may want to target males aged 25-34, while another may focus on women who buy clothes online. Audience segmentation is the power that advertisers hold to run data-driven campaigns and reach the right consumers at the right time.

Data Activation
The final step is to activate the data and to start monetizing the data audiences. In order to activate the DMP audiences, it needs to be integrated with other programmatic platforms, ad exchanges and SSPs. Adform DMP is directly integrated with Adform programmatic platform so that the clients can run perfectly targeted digital campaigns but also activate the data audiences to direct campaigns in local websites via Adform 3rd party Ad Server.

In a heavily data-driven digital ecosystem, Adform DMP allows marketers to create an anonymous profile of their data assets so that they can be targeted via both Adform programmatic platform and Adform Ad-Serving. Being able to target the right ad, to the right viewer, at the right time is an extremely valuable asset in today’s dynamic digital environment.

PS New Deal offers its clients world-class DMP advertising solutions to help them achieve perfect audience targeting in order to maximise the performance of their campaigns and thus, to reach maximum ROI of their digital advertising activities.

Adform’s full-stack platform enables advertisers to directly integrate and activate its DMP activities to its programmatic or direct campaigns at the highest efficiency. In this way, leakages and data-loss are minimized.

If you are an advertiser or a publisher that needs to learn more about Adform DMP and the benefits that can bring to your digital advertising performance, please free to contact Maria Zacharoudes who is our Commercial Director at: [email protected] or 22 010018.

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