Privacy-centric marketing:
Here’s what you should do to adapt new targeting strategies

In what ways do you feel that privacy-related changes impacted (your) targeting strategy?

In the past few years, the digital advertising realm has undergone a significant transformation, driven by privacy-related shifts stemming from both new laws and disruptive changes within the industry. Smadex has been adapting its strategies in order to comply with the changes. One big change in the iOS market has been the shift away from Device IDs (IDFA). This change has led to increased competitiveness and CPMs associated with Dev ID traffic. Smadex has also been investing in SKAN and has its own purpose-built product in order to scale campaigns using the limited data it offers.

In addition to this, we´ve shifted our focus toward elevating our creative efforts. For instance, we´ve incorporated richer playable and video end cards to enhance engagement and maintain effective targeting.

The effect of privacy-related changes in retargeting campaigns resulting from third-party cookie depreciation is also worth mentioning. Cross-site identification will no longer be possible, and advertisers have been shifting to first-party data strategies to continue their personalization and avoid regulation penalties.

What are your recommendations for the right Targeting Strategy in the new world of privacy?

Consolidate Campaigns and Learnings:
Return to 2012 segmentation strategies, where device data was not widely used. Marketers should consider consolidating campaigns to lower optimizations and set up efforts in order to maximize learnings. This approach enables better optimization and resource allocation in an environment where targeted advertising has become more complex. For example, we are seeing that it is more and more common to tier bundles given some shared attributes like the same language or similar KPIs.

Ensure First-Party Relationships:
Building close relationships with users is crucial in this new privacy-centric world. By directly engaging with users, marketers can gain explicit consent, which is pivotal to overcome the hurdles of the new data restrictions. The cost of acquiring new users will be more and more expensive given the opportunity window of Cross Promotion and retargeting.

How can marketers ensure they follow the privacy rules while still making ads that feel personal and work well?

In navigating the delicate balance between personalization and privacy compliance, marketers can strategically leverage opt-in user data to enhance the precision of their targeted ads. Maximizing the opt-in rate is key to obtaining more data and be able to optimize campaigns. To achieve this, marketers should concentrate on crafting compelling prompts that not only communicate the benefits of sharing information but also establish trust from the very first user interaction-

Lastly, incorporating tools like SKAN (SKAdNetwork) and APS (Android Privacy Sandbox) ensures adherence to privacy regulations while maintaining the ability to measure campaign success. Advertisers generally avoid new attribution methods like SKAN, but we believe that now is the moment to start testing and understanding these new complex systems.

As privacy rules change, what factors should marketers consider when picking the tools to advertise to keep our information safe and still reach the right customers?

Advertisers should consider several factors to ensure compliance with relevant regulations such as GDPR and CCPA. As previously mentioned, having transparent communication with customers about data usage, secure data transmission, and the careful selection of third-party vendors with strong privacy practices are essential.

Marketers should prioritize privacy by design principles, keeping abreast of regulatory changes, and incorporating security measures into their advertising tools and processes.

How can marketers use the right technology to make ads that reach the right people without being too nosy about their personal data?

To craft ads that effectively reach the intended audience without compromising privacy boundaries, marketers can strategically embrace technology that emphasizes contextual targeting. By focusing on the context of user behavior and content consumption, advertisers can deliver relevant messages without delving excessively into users' personal data.
Furthermore, it is advisable to explore emerging technologies that navigate the privacy landscape adeptly while still permitting a degree of personalization. One noteworthy example is the forthcoming Google Privacy Sandbox, where the implementation of the Google Topics API showcases a promising avenue. This technology facilitates ad personalization without necessitating the extensive sharing of individualized information, offering a balanced approach to reaching the right audience while respecting their privacy preferences.
 

Why is it important for marketers to be open and honest about how they use data, and how can they talk to users in a way that makes users trust them more?

Acknowledging that privacy is a significant concern for users in the digital space, marketers can build trust through open and honest communication about data usage. By explaining their practices clearly with user-friendly language, marketers can encourage opt-ins and foster positive relationships with their audience.

It will not be surprising if developers go back to using traditional techniques like user surveys to understand their audience better. Facilitating a dialogue like this will no elicit valuable insights but also demonstrate a genuine commitment to meeting user expectations. 
 

Did you find cases where new marketing methods of the post-privacy world improved your performance or how you interact with your audience?

At Smadex, our strategic approach in adapting to the post-privacy landscape has centered around elevating our creative endeavors, resulting in noticeable performance and user engagement enhancements. We prioritize only seeking data that is directly pertinent to the app's functionality, thereby fostering a more transparent and user-friendly interaction.
We have achieved this by enhancing creatives to effectively resonate with the target audience. By doing so, we've not only improved Click-Through Rates (CTRs) but have a better understanding of the Software Development Kits (SDKs) rendering opportunities.