Category: Research

Get Ready for the Data-Confident Marketer

 

As first-party data takes on “strategic asset” status, brands are engaged in high-stakes jockeying to decide who will take the First-Party Data High Ground. Will the outcome hinge on company size? Speed and agility? Technology? Agencies and solutions partners?

The jury is still out, but new research on first-party data from MightyHive sheds some light on those marketers that feel they’re pulling ahead of the pack. MightyHive partnered with Advertiser Perceptions, surveying 200 brand marketers and conducting five in-depth marketer interviews to attitudes, goals, and expectations around first-party data (timelines, ROI, ease of access, etc).

Interesting Patterns in the Data

When we crunched the numbers from the survey data, we saw some interesting lines get drawn between marketers. Not only were some marketers more confident in their timelines and expected ROI, but these “data-confident” marketers exhibited clearly different characteristics than their less-confident counterparts. Our research found that data-confident marketers:

  • Use a more diverse range of technologies to manage and activate first-party data
  • Are more likely to use partners such as agencies and consultancies to help unlock first-party data
  • Put a significantly higher priority on certain first-party data types such as ad serving data and mobile app analytics

 

 

What Do Data-Confident Marketers Stand to Gain?

Admittedly, our survey asked marketers to make a self-assessment, so one can’t assume that just because some marketers said they expected higher ROI from their first-party data that those marketers will actually achieve higher ROI. But…when you consider that, for example, this higher-ROI cohort also indicated significantly greater adoption across every one of the four different partner types we asked about (Agencies, Management Consultants, Systems Integrators, and Ad Tech Vendors), it gets more difficult to chalk higher ROI expectations up to marketer hubris.

Even our survey responses seemed to reinforce the stakes in advertising’s current era of upheaval. When asked what the primary reasons were for using first-party data, these were marketers’ top four answers:

  1. Improved performance / ROI
  2. Accuracy / data quality
  3. Lends to more precise targeting
  4. Improved measurement and attribution

Perhaps not coincidentally, those four answers can be rearranged into a loop or cycle:

It is urgently important to understand that that cycle is a positive feedback loop. Meaning that once marketers “crack the code,” the feedback loop will kick in and they will amass an ever-larger and richer trove of first-party data that they will do a better job of activating in campaigns and customer funnels that throw off yet more first-party data. We’ve already seen this happen with DTC brands that have, in a few very short years, sprung from out of nowhere and are giving incumbent brands a run for their money.

Download the Report and Stay Updated

Download “The Data-Confident Marketer” here.

Over the next several weeks, expect more analysis digging deeper into the report. We’ll also reveal additional data and insights that were left on the cutting-room floor. So when you register for the report, opt in for email updates, or follow MightyHive on LinkedIn and Twitter.

If you have questions on the report, please email us at data-confident@mightyhive.com. We look forward to hearing from you.

 

 

Press Release: Advertiser Perceptions’ Latest Study Reveals 200+ Brand Marketers’ First-Party Data Use Goals and Significant Data-Confidence Divide

SAN FRANCISCO, March 26, 2019 (GLOBE NEWSWIRE) — In a new report released today, Advertiser Perceptions, the leader in data-driven business intelligence for the advertising industry, and MightyHive, the leading media consultancy, share the findings of a recent survey of over 200 senior brand marketers. Titled “The Data-Confident Marketer,” the study examines marketers’ views on first-party data: how they’re using it, where it lives in their organization, and how soon they expect first-party data to start producing results.

Across the surveyed universe, the study found uneven progress and mixed optimism as well as a variation in how long marketers expect their data investments to produce results.

THE BIG A-HA

  • Study Reveals a Significant Data-Confidence Divide: Only a small cohort of marketers surveyed put themselves at the head of this pack: fewer than one in 20 believe they have tapped more than 80 percent of the potential of their first-party data.

In terms of the survey’s implications, Advertiser Perceptions finds this confidence gap to be most significant.

“When you consider that 67 percent of respondents expect to realize their first-party data goals in an impressive 18 months or less, it seems a wave of data-confident marketers may be about to crest, significantly impacting the competitive landscape,” said Stuart Schneiderman, vice president, business intelligence at Advertiser Perceptions. “It would be wise for all companies that depend on data to drive their business to assess their data use readiness. Otherwise, the minority that feels very confident now could lengthen their lead.”

KEY FINDINGS:

INTENT, INVESTMENT AND USE PLANS

  1. Marketers Reveal Four Primary Goals Driving First Party Data Use
    1. Improved performance/ROI
    2. Accuracy/data quality
    3. More precise targeting
    4. Improved measurement and attribution
  • Mobile Apps Analytics, Social Media Platform Data, Online Sales Data and Site Analytics Driving Increased First Party Data Spend Plans: The survey also uncovered several key areas in which marketers expect to increase their investment in first-party data over the next 12 months, with 64 percent of marketers expecting to increase their use of first-party data in mobile apps analytics, followed by social media platform data (55 percent), online sales data (52 percent) and site analytics (50 percent).
  • Most marketers (67 percent) anticipate realizing their first-party data goals in 18 months or less: Despite mixed confidence levels and the fact that first-party data initiatives are often complex and take longer than planned, most marketers surveyed were still optimistic that their data investments would render results within the first year and a half.

CONFIDENCE AND CONCERNS

  • Only 40 percent of marketers are very “data confident” today: There is a clear split in marketers’ attitudes toward the immediate value of first-party data. The majority (56 percent of those surveyed) said they were “somewhat confident” in first-party data delivering a strong ROI. 40 percent of marketers were “very confident” in the value of first-party data. The report identified this second group as “data-confident” and found that marketers falling into this category tend to use more types of technology, are likelier to use partners, and show a heightened interest in certain types of first-party data.
  • Marketers Express Concerns About Under-Utilizing Use of First Party Data: Despite optimism around the benefits of first-party data use, marketers on average believe they have tapped only 47 percent of first-party data’s potential.

“What this survey made clear is that leading marketers are unlocking first-party data to gain a better understanding of who their customers are, what motivates them, and how digital advertising plays a role in purchase decisions,” said Tyler Pietz, vice president of global consulting at MightyHive. “This report reveals key characteristics displayed by data-confident marketers as well as overall trends in the use of first-party data.”

Download the full +Data Confident Marketer report at mightyhive.com/data-confident-marketer.

Methodology
The report — The Data Confident Marketer — is based on a survey of 200 brand-side marketing decision-makers with an annual digital advertising budget of at least $5MM about their views on first-party data: how they’re using it, where it lives in their organization, and how soon they expect first-party data to start producing results. Additionally, five anonymous in-depth interviews were conducted with senior marketers in the CPG, beauty, financial, retail and travel industries.

About MightyHive
MightyHive is a new breed of media consultancy that partners with global brands and agencies seeking transformative marketing results in a time of massive disruption and opportunity. Recognized as a global leader in advanced marketing and advertising technologies, MightyHive provides consulting and services in the areas of media operations and training, data strategy and analytics. The company is headquartered in San Francisco, with offices in Auckland, London, Melbourne, New York, Singapore, Stockholm, Sydney, Tokyo and Toronto. In 2018, MightyHive merged with S4 Capital plc (SFOR.L), a new age/new era digital advertising and marketing services company established by Sir Martin Sorrell.

About Advertiser Perceptions
Advertiser Perceptions is the global leader in research-based business intelligence for the advertising industry. Our exclusive insights, practical advice and knowledgeable guidance produce actionable solutions that deliver results and enable our clients to thrive in today’s complex and competitive advertising market.  For more information about our services or to arrange a private briefing, please contact us at 212-626-6683 or info@AdvertiserPerceptions.com.

Contact
Cassady Nordeen
Blast PR for MightyHive
cassady@blastpr.com
718-644-0273

MediaPost: Why Ads.txt Adoption Is So Important For In-App Ads

Freddy Friedman, CPO, Smaato discusses why ads.txt adoption is important for preventing fraud in mobile in-app ads as the IAB releases their mobile app support for ads.txt. As support, Friedman references a study that MightyHive conducted in partnership with Guardian US and Google that showed 72% of video inventory that was not filtered through ads.txt compliant partners went to fraud.

Read the full article on MediaPost.

See the results of our full study.

eMarketer: Ad Fraud Still Plagues Digital Media’s Supply Chain

Last month, we released the results of our test with Guardian US and Google on ads.txt compliance. Our goal was to test the efficiency of ads.txt against domain spoofing and ad fraud. The results were staggering – while 99% of display spend bought through a non-compliant DSP went to verified inventory, 72% of video inventory purchased without ads.txt verification went to fraudulent sources.

Guardian US was able to account for 100% of all spend purchased through verified sources, supporting ads.txt compliance as one solution that is successful at combatting ad fraud. eMarketer has recently released a report evaluating the state of the digital supply chain and what options are available to advertisers to ensure their spend goes to legitimate inventory sources.

Read the full article on eMarketer.

Digiday: Guardian US Test Underlines Need For Advertisers to Enforce Ads.txt

MightyHive conducted a test in partnership with Guardian US and Google to determine the effectiveness of ads.txt in preventing ad fraud and domain spoofing. The study found that when ads.txt compliant buys were made, display fraud was almost non-existent. However, the test also revealed that without ads.txt, 72% of video spend went to fraudulent inventory.

Read the full article on Digiday.

Rest the results of our study here.

MediaPost: Guardian US Finds 72% Of Video Spend Is Fraudulent Without Ads.txt

MightyHive conducted a test in partnership with Guardian US and Google to determine the effectiveness of ads.txt in preventing ad fraud and domain spoofing. The study found that when ads.txt compliant buys were made, display fraud was almost non-existent. However, the test also revealed that without ads.txt, 72% of video spend went to fraudulent inventory.

Read the full article on MediaPost.

Rest the results of our study here.