Smartpipes trading options
She provides an introduction in this article. Two years ago, the Mobile Network Operator MNO was moving to establish itself as the player in the mobile advertising ecosystem under the O2 Media banner, but now it has declared its intention to focus on partnerships with vendors in an open ecosystem instead. In recent years many MNOs have found that constructing their own vertically integrated walled gardens has drawbacks. Certainly, shifting the focus of their monetization efforts towards mobile data makes sense; especially with voice calls declining year-on-year and taking traditional profit margins with them.
After all, as deterministic data that offers a detailed view of key demographic, location and behavioral information which can be authenticated via assessment against specific user information like billing addresses it is extremely valuable to marketers and therefore presents a lucrative revenue stream for MNOs.
Yet fencing this data off in walled gardens, and acquiring an array of advertising tools to manage it, brings many challenges. Aside from the complications inherent in implementing, optimizing and maintaining a full-tech stack, there is the risk that costs may run unexpectedly high.
The main problem MNO walled gardens have encountered is that they cannot match the scale of the open ecosystem. The mobile advertising world is an intricate web of supply-side platforms SSPs , cloud-based marketing companies and demand-side platforms DSPs that support a colossal global industry.
If MNOs choose this option, they would then need to take one of three paths, all of which raise issues about how and where data is used:. Past operator-owned approaches have tried and failed to dictate to the market without responding to what advertisers want - to be able to plug in once to multiple operator data.
While the technology to use the data has been around for a while, what has been lacking is a centralised hub system that creates a way to retrieve data from operator siloes. The in-network solution sits safely behind operator firewalls, extracting data from operator databases and facilitating the secure delivery of anonymous information to the advertising ecosystem.
DSPs like us are then able to work with advertisers to purchase inventory across their integrated Exchanges and Supply Side Platforms to target specific customer micro-segments such as female buyers of a certain age in a certain location.
For advertisers, access to this quality of data, and entirely new data sources, means their ads are being seen by the people that matter to them, ensuring relevance and interest in their brand and increasing ROI.
They can target by age, gender, location by county, town or specific part of town, where a consumer currently is and where they work and live — not to mention a combination of all this, and more. The targeting possibilities are almost infinite, with countless numbers of search terms enabled covering multiple data aspects. This results in a more accurate, effective and planned approach to budget spends. For consumers, the use of the network operator data means more appropriate and relevant communications from the brands that they want to hear from, tapping into individual interests to add value to day to day life, while still being respectful of privacy concerns.
Network operators find new revenue streams as a result of being able to monetise their data, advertisers achieve better results from highly targeted campaigns based on a new grade of data, cutting down wasted or superfluous spend. For example, if IDs are hashed but not made transient, there is a chance that when used in conjunction with specific customer profiles they could be compared with other data sources and traced back to individuals.
MNOs could compound existing issues by attaching their customer attributes to a Google or Apple identifier, boosting the market power of OTT players and potentially losing control of customer data as it is passed, matched and synced across the ecosystem. Driving the open ecosystem and protecting data assets with a defendable and sustainable position for MNOs must not be mutually exclusive.
Successful and secure collaboration is possible, with the right tools. Yet it should be noted that for open relationships between MNOs and ad tech vendors to flourish, one more thing is required. There must be full transparency and understanding on both sides of the deal. If the advertising industry wants to tap into high-quality MNO data, it must clearly convey the value of personalized messaging to the telecommunications sector.
And in turn, MNOs need to maintain trusted relationships with consumers by openly explaining this value, while keeping a tight grip on how, when and where data is used. Tanya co-founded Smartpipe in as she saw a gap in the market for a company that could personalise experiences on mobile phones while still protecting user privacy. Tanya leads the commercial and technical discussions with the multitude of players across the global digital ecosystem.