Best solutions for biggest Ad Tech challenges

  • That is what makes the wheel turning; that is what makes it all tick-tick-tick and Sha-la-la.
  • The use of information is the real deal. It is what causes money to happen.

Value of information in Ad Tech

In the realm of ones and zeroes — everything is data one way or another. It is a rather obvious thing to claim. And yet, not every piece of data is created equal. Some ones and zeroes are more valuable than the others. It is essential to know exactly which ones.

  • The third-party — when you buy it from somebody else;
  • The first party — when you gather it on your own;
  • Age / Gender / Location / Language;
  • Exposed interest or browsing history;
  • Gear/ applications / social networks;

Challenges of data gathering

Ad Tech revolves around the concept of user targeting. It is an assorted collection of ways to deliver ads to the consumer based on the information gathered from his activity. It forms the foundation of an ad campaign. Subsequent reaction of the consumer to the campaign leads to further developments. Not only that, but it also helps to calculate the best areas for placing ad content. It all depends on correctly gathered data.

Trials of data storage

Maintaining information is a challenging thing, to say the least. When it comes to taking care of substantial amounts of data that comes in the current never-ending stream — the whole thing turns up to eleven.

Ad Tech Security

Data protection is another extremely important thing. Security is probably the biggest challenge the ad tech industry ever faced. Nowadays — you can’t be sure about anything. One can always find a breach and turn it into a crack where Death Star can swing in and out.

  • Encryption makes data eerily beyond comprehension (although some folks like it that way) from the outside. To access it — the user needs to have the key or specifically assigned platform;
  • TLS / HTTPS protocols — for safe connections;
  • Identity management includes authentication and authorization, i.e., login username and password, strict limitations of IPs, and customizable options. It is regulated by IAM (identity and access management) policies.

Challenges of monetizing the revenue

Profit is the end goal of any ad campaign — no point in arguing about that. However, many factors can turn to monetize the revenue tangled and ultimately ineffective and even damaging to the company.

  • Cost per impression — often tied with cost per mile (CPM). Preferred by ad publishers more than advertisers. Usually combined with cost per click;
  • Cost per click (CPC) — splits the risk between the publisher and the advertiser. Best used for contextual-based content;
  • Click-through rate (CTR) — revenue based on the number of clicks divided by the total number of impressions served throughout the campaign;
  • Cost per action (CPA) — when user more directly interacts with ad content, i.e., cause conversion;
  • Can be furthered into cost per install (CPI), which directly deals with consuming the product;
  • Cost per lead (CPL) — when ad content brings contacts with consumers;
  • Advertisers — the ones with the adverts.
  • Publishers — the ones with spaces for adverts, i.e., ad inventory.
  • Ad Platforms / Ad Agencies / Ad Exchanges — who serve as a mediator between advertisers and publishers.
  • It is done either by bots or by clickers and websurfers. The purpose is as usual — to rip off the unwitting client. Such activity is utterly useless for the company as it brings zero leads and feedback from the customers. It is dead weight.
  • This process can be automated or manually performed, depending on the case. If there are suspicious patterns or just a lack of activity — the advertiser can significantly reduce the responsible party’s cut due to a lack of positive outcomes.

In conclusion

These are all of the significant issues that might occur upon implementing Ad Tech systems to your operation.

  • Despite that, in retrospect — it made things much more comfortable or at least easier to follow.
  • Nonetheless, Ad Tech is often a puzzling thing to write about. It is not that it is complicated. It is just too tangled to get through with gently.
  • While it merely involves broad subjects of administering, delivery, and analysis of information for advertising purposes and, at the same time, sounds like cleanly shaved abracadabra.

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