If you made a Venn diagram to chart where direct-to-consumer marketing and advertising overlap in many companies, the shared space would likely be a sliver at best. Different goals, different strategies, different metrics . . . right?
Today’s complex mix of channels and opportunities demands a more evolved and agile approach. These days, marketing and advertising efforts must be integrated so you can maximize the effectiveness and impact of each one and respond quickly to changes in the marketplace.
On the marketing side, we’re more data-driven than ever before. Marketers collect, analyze and act on information from multiple customer touchpoints, all with the goal of increasing engagement and strengthening the customer experience overall.
At the same time, advertising has been evolving, too. The traditional “block buy” of the newspaper model has been replaced with a more dynamic, personalized process of connecting consumers with the right content at the right time in the right place. For advertisers, putting data into context and action is now a key ingredient to success.
As you can see, both evolutions share common themes, which is precisely why more and more companies are recognizing that the integration of marketing and advertising has become essential. When they’re collaborating and sharing data, insights and results, marketing and advertising both stand to benefit – and then, of course, at the end of the day, customers benefit most of all . . . because the process has their needs in the spotlight.
This all sounds terrific on paper, right? The challenge is to make it happen on a practical (and sustainable) level at your company. Ultimately, the successful integration of marketing and advertising hinges on choosing the right technology solutions, and these three technologies have emerged to meet the growing demand:
- Demand Side Platforms (DSP). Digiday’s Jack Marshall describes a DSP as “a piece of software used to purchase advertising in an automated fashion. DSPs are most often used by advertisers and agencies to help them buy display, video, mobile and search ads.” As it evolves, the DSP will become the primary platform for advertising placement decisions across all digital channels including IPTV (digitally-served television) for real-time bidded inventory as well as guaranteed (bulk) media purchases with real-time fulfillment.
- Data Management Platforms (DMP). DMPs play a similar role to that of marketing data warehouses, but for anonymous, digital data sourced from web tags, ad systems and third-party data brokers. Increasingly, non-digital customer data can be brought into a DMP as well, with limitations including one-way “anonymization” and single dimensionality. Digital marketers have gravitated to DMP’s due to their relative ease of implementation, SaaS delivery model and integrated toolsets. Technical requirements such as browser-side ID linking are also met by DMP’s.
- Marketing Performance Management (MPM). MPM increasingly brings together elements of attribution, marketing mix modeling, spend management and predictive analytics to drive budget allocation decisions across paid and owned channels. The visibility into impressions of and interactions with digital ad content makes digital advertising particularly attractive to ROI-focused marketers, but it is critical for brands to avoid the trap of measuring digital ad effectiveness in yet another functional silo. Instead, use an independent measurement, forecasting and optimizing function (with expertise, process and technology to support) to drive marketing decisions most effectively across the enterprise.
Undoubtedly, more solutions will emerge to meet evolving needs, but these three are at the heart of today’s marketing and advertising integration efforts. If you’d like to learn more about these technologies and the broader value that marketing and advertising integration is delivering to the enterprise, take a look at our new whitepaper, When Our Powers Combine: The Impending Convergence Of Marketing And Advertising And What To Do About It.