DataXu To Provide Decisioning Tech For New Mobile DSP From GroupM’s B3 Platform

GroupM and DataXuGroupM announced that its B3 platform is launching what it calls “the industry’s first Demand Side Platform (DSP) advertising solution for mobile media.” GroupM said in a press release that the “new DSP mobile initiative uses ad decisioning technology developed in conjunction with Boston-based DataXu. Read more.

DataXu CEO Mike Baker discussed the deal with GroupM as well as the mobile DSP model. How is a mobile demand-side platform (DSP) different than a DSP for display advertising through personal computer?

MB: It’s the same but totally different.  The value prop is the same: better effectiveness, efficiency and insights through impression level bidding.  But consumers behave quite differently on mobile than on PCs.  That means that brand marketing objectives are distinct as well.  And there are a number of technology differences, including browsers, processors, java script, i-frames, cookies, you name it.  Finally, there are differences in the data available and how it’s captured.   First generation DSP’s who rely on cookies to buy audiences will struggle in mobile.   Systems that can make good ad decisions using native mobile data will succeed.

Is there any exclusivity with WPP’s B3 in this deal? How does the pricing model work?

We’re excited to partner with WPP/GroupM/B3.  It’s a non-exclusive relationship.  We’ve had good experiences collaborating with market leaders in adjacent domains.  In this case, GroupM brings best in class media buying and DataXu brings real-time analytics & optimization.

Considering your mobile background at Enpocket and Nokia, are you moving DataXu toward a more “mobile-centric” strategy?

We’re moving to a consumer-centric focus.  Keeping up with the consumer — that’s the key challenge for brands as the digital migration crescendos in the coming years.  Mobile is vital “connective tissue” in the West, and the only platform that matters in emerging markets.

Is it possible to manage a single user cookie in mobile? How about managing the user cookie across multiple digital marketing channels (PC-based display, mobile, video, digital TV, etc.)? If it isn’t possible, when will it be and what are the challenges?

There are challenges to tracking users in mobile.  But there are ways to do it. The availability of persistent identifiers across digital channels turns more on normative policy questions than technology questions.  In any case, marketers need to “think beyond the cookie”.  Most advertisers totally miss the fact that they are accumulating incredibly valuable non-cookie data.  They just need the right tools to turn their data into actionable insights.  That’s what DataXu does.

By John Ebbert

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