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2 minute read
The digital advertising landscape is in constant flux. As third-party cookies crumble and privacy regulations tighten, publishers are searching for sustainable ways to monetize their inventory. Enter the power of additional IDs. It's not just about having an ID anymore, but about having multiple IDs to unlock new revenue streams, especially in the burgeoning world of curation deals.
Why More IDs Mean More Money
Think of IDs as keys. The more keys you have, the more doors you can open. In the context of digital advertising, those "doors" represent opportunities to match user data with advertiser demand. Here's how additional Universal IDs are transforming the game:
- Higher Match Rates, Higher Revenue: When publishers integrate a variety of IDs—first-party IDs, UID 2.0, Panorama, ID5, and others—they significantly increase the probability of matching user data with advertiser data. This translates into more targeted impressions, higher bid density, and ultimately, increased CPMs. It’s a simple equation: more matches = more monetization.
- Stronger Audience Segments, Premium Pricing: Additional IDs enrich audience profiles by connecting first-party data with probabilistic signals. This granular data allows advertisers to target specific segments with greater precision. The result? Publishers can command premium pricing for curated deals, as advertisers are willing to pay more for highly qualified impressions.
- Better Cross-Channel Identity, Increased Demand: Today's consumers interact with brands across numerous platforms—web, connected TV (CTV), mobile, and more. Advertisers often use different ID systems across these channels. By employing multiple IDs, publishers can help unify identity resolution, creating a more holistic view of the user. This makes their inventory far more attractive to advertisers in curated deals.
- Navigating the Signal-Challenged Environment: As third-party cookies disappear, the importance of first-party IDs and alternative identifiers like FLoC and Topics API cannot be overstated. Publishers with robust, diverse identity solutions will have a clear advantage in curation deals. In an era of rapidly changing IP addresses, especially with the rise of IPv6, having multiple identifiers ensures more accurate user matching.
The Trade-Offs: Managing Complexity
Of course, adopting multiple ID solutions isn't without its challenges. It requires technical integration, which can be complex and resource-intensive. There are also legal and compliance considerations, such as GDPR and CCPA, which add another layer of complexity and cost. Finally, publishers must be mindful of advertiser preferences, as some may favor certain ID providers over others. Aligning with these preferences is crucial for maximizing demand.The Bottom Line: A Strategic Imperative
In the evolving adtech ecosystem, publishers that strategically integrate additional IDs will be best positioned to thrive. By boosting match rates, refining audience segmentation, and improving cross-channel addressability, publishers can significantly increase their revenue in curation deals. It’s about future-proofing your monetization strategy and ensuring you’re ready for whatever the future of digital identity holds.
Key Takeaways
- Multiple IDs (first-party IDs, UID 2.0, etc.) significantly improve match rates.
- Enriched audience profiles lead to premium pricing in curated deals.
- Cross-channel identity resolution increases advertiser demand.
- Robust identity solutions are essential in a cookieless world.
- Strategic integration of IDs is crucial for revenue growth.
GrowthCode provides an addressability management platform that affordably and rapidly delivers identity graphs and supports a myriad of use cases like curation for safely monetizing the first-party data across the revenue portfolio. If you want to learn more about how we do this, how much it will cost, and stand up a proof-of-concept, reach out here.