Magnite And Adform See Monetisation Uplift Using First-Party Identifiers

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Karen Terranova
By Karen Terranova
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Magnite today announced it has been working with Adform to scale first party identifiers in privacy-safe ways.

As part of their efforts, Magnite and Adform measured monetisation lift based on first party identifiers, including environments that currently disallow third party cookies such as Firefox and Safari. Initial results from Q1 2021 showed significant lift, with overall eCPMs increasing more than 30 per cent, compared with ad requests which did not contain first party identifiers. The study also showed click-through-rates on Safari impressions doubled, showing an increase in performance for buyers.

These encouraging results signal to publishers and buyers that first party identifiers are a way forward as usage of third-party cookies is phased out. Buyers, in the absence of a third-party cookie, can and will use first-party identifiers for bidding decisions, which will accelerate the deployment of these first-party solutions.

Publisher first party data linked to these identifiers form a key part of the quest to reinvent the internet’s identity and audience targeting structure. First party data helps deliver a better user experience and with interest-based data, ads become more relevant and provide inherent value.

Industry initiatives that are actively testing first party data include Prebid.org’s SharedID which is open source and free for publishers to use.

Tom Kershaw, Chief Technology Officer at Magnite said: “We are not surprised at all that we are seeing lift in publisher revenue and buyer outcomes when an ID is present. We have known this for a long time — which is why standardised community identifiers controlled by publishers are such an important part of our strategy. What is most encouraging, however, is how large the lift is in our trials with Adform and how that might motivate publishers to leverage identifiers like SharedID to improve performance.”

Jakob Bak, co-founder at Adform said: “At Adform, we have long been vocal in stating that we believe the real solution to third-party cookie deprecation lies in first-party IDs. We see really impressive improvements with publishers that pass first party IDs and even more when they link first party data. The impact is naturally by far most notable on Safari where cookie IDs are not available. The Adform Safari spend on publishers passing such IDs has approximately doubled in recent months. It is promising for what awaits when Chrome cookies are deprecated as well, but for now everyone is excited about Safari improvements.”

“We are eager to support and adopt identity solutions that are scalable across the industry, privacy-conscious, and effective,” said Terry Hornsby, Group Digital Director of Reach. “We are pleased to see Magnite and Adform’s findings that demonstrate the effectiveness of first-party identifiers for publishers as well as the power of 1st party data for both publishers and advertisers. We look forward to working with industry peers across the ecosystem to standardise and improve upon first-party ID solutions.”

APAC impact

Yogesh Sehgal, Magnite’s Regional Manager for Asia commented: “Across the advertising ecosystem, important strides are being made in the search for alternative identity solutions that provide greater control for consumers and protect their privacy, and at Magnite we intend to be at the forefront of these efforts. First-party data is an avenue we are actively exploring and it’s encouraging to see such positive results from this test, indicating progress on the path forward for identity.”

“These impressive results are testament to the ability of first-party IDs to deliver precise advertising experiences and increase publisher revenue, in the absence of third-party cookies,” said Bartosz Malinowski, Senior Vice President, CEE, APAC & MEA at Adform. “The 30% recorded uplift in eCPMs is a welcome milestone for publishers who are looking for future-proof identity solutions. At Adform, we are working to scale our first-party ID solution across APAC, where publishers and advertisers will benefit from a tightened, privacy-safe digital campaign lifecycle.”

 

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