Home Digital TV and Video Not To Be Left Out, Roku Announces Its Clean Room Service In Time For The Upfronts

Not To Be Left Out, Roku Announces Its Clean Room Service In Time For The Upfronts

SHARE:

Roku wants in on the clean room conversation.

The streaming TV platform announced its proprietary clean room offering on Tuesday, with agency partners including Omnicom Media Group, Horizon Media and dentsu. The product was built on Snowflake’s media and ad tech cloud data infrastructure.

The timing is no coincidence. Roku is introducing its clean room now because it’s part of a new set of offerings the company plans to test with major advertisers during the TV upfronts next month.

Roku’s clean room is analogous to other walled garden varieties, such as Google’s Ads Data Hub. An advertiser can bring its own data to Roku and combine it with the platform’s first-party data to measure and target campaigns, but without either side exposing its customer data to the other. Also similar to Ads Data Hub, the Roku clean room creates audience segments that can only be targeted with its own DSP (Roku’s OneView, the former dataxu business).

“Clean rooms are the wave of the future,” said Louqman Parampath, Roku’s VP of product management.

The output of a clean room can support other offerings that are on the market now, he said.

Foursquare, for instance, is a measurement and data partner in the new Roku clean room, and it can overlay its first-party location data with Roku’s data set to, say, target households in a certain area that stream sports programs or have a man between the ages of 25 and 45 years old in the house. Foursquare knows mobile location, but Roku can bring behavioral and basic demographic info.

A Roku-to-Foursquare audience match is already feasible without the clean room, but within a clean room there’s much more complex tracking that can be layered into the campaign, Parampath said.

An advertiser can match Roku and Foursquare data to boil down an anonymized audience segment in an area that meets its target requirements and later target that segment on Roku.

But that’s a one-and-done action item. If the advertiser wants to do the same thing next year, it needs to resync its data and create another list for what will likely be a similar but non-identical segment.

In a clean room environment, that same audience can be tracked and maintained over time to answer questions such as how many of those original users eventually converted or whether ads served against certain shows eventually led to sales. Advertisers can learn what kind of streaming content triggers transactions.

This is helpful for advertisers because a typical Roku ad buy can’t be sliced and diced by the actual content a viewer saw.

The purpose of Roku’s clean room is to serve as “more of a macro planning tool” than a data onboarding and matching service that ingests first-party data and spits out audiences, Parampath said.

But there’s another reason clean rooms are becoming the next big thing. They provide the privacy-compliant model advertisers and media companies must adopt for consumer and regulatory reasons, he said.

The kind of data matching and ad tracking Roku can enable through its DSP based on multiple first-party data sets would already be illegal in Europe under the GDPR if it didn’t have privacy compliance measures in place. (The only way to use Google ad server data in the EU is through Ads Data Hub).

The Roku clean room is still in the early stages, but it figures into Roku’s long-term plans for advertising, Parampath said.

Right now, Roku’s clean room services are focused on syncing its data with advertiser data, but other data providers will be incorporated down the line, he said.

Beyond the Foursquare use case, Kroger also has a unique data partnership with Roku to attribute campaigns based on store sales by matching Roku’s user base to Kroger’s rewards program shoppers. Eventually, he said, a partnership like that could be centralized on the clean room platform.

And although its clean room isn’t a Nielsen alternative per se – many advertisers and broadcasters are testing new currencies or ways to measure TV campaigns – it fits neatly into the trend of new TV attribution soutions.

“More and more measurement will happen through interfaces like these,” Parampath said.

Must Read

Amazon’s Interactive CTV Ad Suite Now Includes Creative Optimization

Amazon Ads expects this year’s television upfronts to be an outcomes-focused affair. That may explain why the company preempted its Monday evening presentation by announcing the launch of a new ad product called Dynamic TV Creative.

Is Agentic Commerce An Oasis Or Mirage?

For companies like Shopify, Criteo and Instacart – and even for giants like Amazon and Walmart – figuring out if the agentic oasis is real or a mirage is their priority No. 1.

PubMatic’s Agentic AI Is Going Beyond Direct Deals

PubMatic has run more than 30 fully autonomous, end-to-end agentic campaigns through the SSP’s AgenticOS platform, in addition to more than 1,000 direct publisher deals.

Privacy! Commerce! Connected TV! Read all about it. Subscribe to AdExchanger Newsletters

The Trade Desk Has A Grand Vision, But Needs A New Breed Of CMO To Make It A Reality

TTD CEO Jeff Green laid out the DSP’s plan for winning in a new world of advertising that – AI aside – necessitates major changes in how marketers behave.

A Publisher Didn’t Get Its UID2 Setup Right. The Trade Desk Didn’t Notice. What Went Wrong?

TTD confirmed that this CTV publisher’s errors would have made its UID2s useless for ad targeting. But TTD also said it wouldn’t have had enough information to flag the issue.

Criteo Faces Tough Headwinds Until Agentic AI Ad Revenue Materializes

Criteo shares dropped by 20% Wednesday morning after the company reported shaky Q1 earnings and revised its guidance downward for the rest of the year.