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DMP - Audience Segmentation Strategy & Audience Testing

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A VERY high level intro on the most common segmentation strategies that are used across many marketers as well as a audience testing framework for beginners.
The audience testing sheet that is included as a bonus, is a great tool for anybody that manages a Data management platform or does any audience testing across various media channels.

Published in: Data & Analytics
  • Data Management Platforms puts audience insights at the center of all advertising platforms by aggregating first-party and third-party data from various sources. http://bit.ly/2lWkApw
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DMP - Audience Segmentation Strategy & Audience Testing

  1. 1. Data Management Platform DMP 102 Audience Segmentation Strategy & Testing FREE AUDIENCE TESTING PLAN BONUS
  2. 2. 2DMP 101 Audience Strategy
  3. 3. TYPES OF DATA 3 2nd PARTY DATA Data owned by a partner but shared with your organization. 1ST PARTY DATA Data collected and owned by your organization. PII: Personal Identifiable Information such as name, address, email etc. 3rd PARTY DATA Data generated and owned by other parties/vendors. Anonymous: No personal information linked by cookie or device ID. DMP 101
  4. 4. UNDERSTADING THE SOURCE OF THE DATA 4DMP 101 Online Data Offline Data Note: Based on industry and business model online and/or offline data importance may differ.
  5. 5. PROCESS OF CREATING SEGMENTS 5DMP 101 BOOLEAN RULES Data Type: 3rd Party Effort: 4/5 Automation: 1/5 Adoptability to change: 1/5
  6. 6. INCREMENTAL AUDIENCE TESTING 6DMP 101 “Imagine climbing a hill wearing a blindfold. When you feel yourself go downhill, you know you need to pivot to keep going up. Eventually, you’ll reach the top, but there’s no small step you can take that will get you on the right path up the mountain behind it.” A BETTER TARGETING YOUR TARGETING Optimized at Local Maxima Current HITTING THE AUDIENCE CEILING AKA LOCAL MAXIMUM
  7. 7. PROCESS OF CREATING SEGMENTS 7DMP 101 Acquisition Prospect Lead Customer A variety of Lookalike models that pick up on 1st party online or / and offline signals to generate targetable audiences that look similar to users at this stage ALGORITHMIC LOOKALIKES Data Type: 1st 2nd and/or 3rd Party Effort: 1/5 Automation: 4/5 Adoptability to change: 5/5 Online Data Source Offline Data Source
  8. 8. 8DMP 101 Testing Framework
  9. 9. 9
  10. 10. AUDIENCE EVALUATION GUIDELINES 10DMP 101 MIN. X IMPRESSION COUNT1 TIME THRESHOLD FOR METRICS TO STABILIZE2 FIRST AND SECONDARY KPIS4 SALES MATCHBACK TRUMPS EVERYTHING5 CLEAR RULES ON WHEN TO STOP UNDERPERFORMERS6 CONTROL AUDIENCE AS A MEASURING STICK3
  11. 11. 11DMP 101 Audience Testing Plan
  12. 12. AUDIENCE TESTING PLAN 12DMP 101 DOWNLOAD HERE (Free Excel Sheet)
  13. 13. 13 THANK YOU DMP 101 @eddywiEddy Widerker
  14. 14. 14 APPENDIX DMP 101
  15. 15. WHAT ARE COOKIES? 15 COOKIES Cookies are small text files that collect certain pieces of information about online users. Each time a user visits a new website, cookies are created by the Internet browser and saved onto the user’s computer. When that user returns to the website, the cookies will help it to remember certain things, such as what content the user viewed and which pages they accessed. FIRST-PARTY COOKIES First-party cookies are created by the websites we visit directly. DMP 101 THIRD-PARTY COOKIES Third-party cookies, also referred to as tracking cookies, are collected not by the website, but by advertisers.
  16. 16. FROM COOKIES TO USER IDS USER IDs Cookies can perform a vast number of functions, however, they are restricted in size. In order to address this issue, some cookies now only contain a unique ID. By storing a cookie with a unique ID on the user’s computer, advertisers and other companies can then store the rest of the information about the user on their own systems. Example of how different advertising platforms map and sync cookies. COOKIE SYNCING Cookies are domain specific, which means those created by one third-party tracker (e.g. lotame.com) cannot be read by another third-party tracker (e.g. appnexus.com). For advertisers, this restricts the potential amount of information they can collect about a user. Therefore, in order to accurately target an audience, advertisers need to incorporate user data from various domains and sources. Advertisers are able to achieve this by mapping user IDs from one system to another. DMP 101
  17. 17. COLLECTING USER INFORMATION & MATCHING 17DMP 101 IT ALL STARTS WITH THE BROWSER 1. A user visits a website that contains an ad. 2. The browser sends an ad request to an ad exchange. 3. The ad exchange sends back the request and creates a (third-party) cookie. 4. The ad exchange redirects (http redirect) the ad request to the pixel URL on the DMP’s side, passing the user ID in the URL parameter. The DMP reads its own cookie, or creates a new cookie, and then saves the user ID passed from the ad exchange along with its own user ID in the so-called cookie- matching table. 5. If the sync is bidirectional, the DMP makes the redirect back to the ad exchange, passing its own ID in the URL parameter. The ad exchange receives this request, reads its own cookie, and stores the DMP ID along with its own ID in the cookie-matching table. 6. Now, both the ad exchange and DMP have each other’s’ user IDs in each other’s databases.

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