Home Data Privacy Roundup Alternative IDs Are Still Battling For Bids, But Buyers Are Starting To Pay More Attention

Alternative IDs Are Still Battling For Bids, But Buyers Are Starting To Pay More Attention

SHARE:
alternative identifiers

If an alternative identifier is present in the bidstream, and no one transacts on it, does it make a sound?

The availability of alt IDs in open auctions has steadily increased, but demand has yet to catch up with supply.

“A lot of DSPs are listening, but not decisioning on the back of open IDs yet,” said Matt Davies, director of solutions consulting at BidSwitch, speaking during an identity-focused virtual event hosted by ID5 last week.

Blame the status quo, yo

Demand is lagging for a few reasons, one of which rhymes with schmookies.

Between 70% and 80% of Chrome web traffic is still cookied, according to BidSwitch’s data, which significantly decreases the urgency to buy on alt IDs. Janky as it may be, the status quo is still chugging along.

“When Google said cookies were going away in Chrome, everyone forgot about everything else,” said Jamie Penkethman, head of identity, data and measurement product marketing at Equativ.

Publishers, advertisers and their partners, meanwhile, associated alternative IDs with the amorphous future, something to deal with at some later point.

“And that is absolutely the wrong way of thinking,” Penkethman said.

ID Par-tee

Nevertheless, alternative ID adoption has continued apace.

Subscribe

AdExchanger Daily

Get our editors’ roundup delivered to your inbox every weekday.

Universal ID coverage has “grown quite substantially” in bid requests, Davies said, citing BidSwitch data from January.

Between 35% and 40% of web traffic across Chrome, Safari and Firefox in open auctions has an alt ID associated with it, and some bid requests contain multiple IDs – which is a good thing, said Lisa Abousaleh, VP of publisher and distribution partnerships at ID5.

ID5 obviously has a vested interest in pushing adoption of its own ID5 identifier. But when the economy thrives, everyone benefits.

“At the end of the day, it’s all about maximizing addressability, right?” Abousaleh said.

And it’s not as if we’ll end up with “just one ID to rule them all,” Davies said, or with a single replacement for third-party cookies.

Different IDs are valuable for different reasons. One might have more scale in a certain browser, for example, while another may have less volume but a niche channel focus.

“A lot of people are, like, ‘Which ID should I use? Which one should I choose?’” Penkethman said. “But it’s not about choosing one; it’s about finding ways to use all of them in conjunction with cookies.”

Not that any of this matters unless buyers and sellers experiment with alternative solutions pronto.

“Start testing now,” Abousaleh said. “Don’t wait for cookies to completely go away.”

🙏 Thanks for reading! I’m flying to Florida next week to visit my mother and here’s hoping I get to sit next to this little guy on the plane. As always, feel free to drop me a line at allison@adexchanger.com with any comments or feedback.

Must Read

The Arena Group's Stephanie Mazzamaro (left) chats with ad tech consultant Addy Atienza at AdMonsters' Sell Side Summit Austin.

For Publishers, AI Gives Monetizable Data Insight But Takes Away Traffic

Traffic-starved publishers are hopeful that their long-undervalued audience data will fuel advertising’s automated future – if only they can finally wrest control of the industry narrative away from ad tech middlemen.

Q3: The Trade Desk Delivers On Financials, But Is Its Vision Fact Or Fantasy?

The Trade Desk posted solid Q3 results on Thursday, with $739 million in revenue, up 18% year over year. But the main narrative for TTD this year is less about the numbers and more about optics and competitive dynamics.

Comic: He Sees You When You're Streaming

IP Address Match Rates Are a Joke – And It’s No Laughing Matter

According to a new report, IP-to-email matches are accurate just 16% of the time on average, while IP-to-postal matches are accurate only 13% of the time. (Oof.)

Privacy! Commerce! Connected TV! Read all about it. Subscribe to AdExchanger Newsletters
Comic: Gamechanger (Google lost the DOJ's search antitrust case)

The DOJ And Google Sharpen Their Remedy Proposals As The Two Sides Prepare For Closing Arguments

The phrase “caution is key” has become a totem of the new age in US antitrust regulation. It was cited this week by both the DOJ and Google in support of opposing views on a possible divestiture of Google’s sell-side ad exchange.

create a network of points with nodes and connections, plain white background; use variations of green and grey for the dots and the connctions; 85% empty space

Alt Identity Provider ID5 Buys TrueData, Marking Its First-Ever Acquisition

ID5 bought TrueData mainly to tackle what ID5 CEO Mathieu Roche calls the “massive fragmentation” of digital identity, which is a problem on the user side and the provider side.

CTV Manufacturers Have A New Tool For Catching Spoofed Devices

The IAB Tech Lab’s new device attestation feature for its Open Measurement SDK provides a scaled way for original device manufacturers to confirm that ad impressions are associated with real devices.