IBM is teaming up with pioneering programmatic media platform MediaMath to create artificially intelligent advertising purchasing.
Mediamath’s Demand-Side Platform currently works with known, structured data to enable the targeting and purchasing of online ads. However, there are limits to the availability and use of “structured” data, and it must carefully formatted so that a computer system can utilise it.
IBM’s Watson AI will contribute to MediaMath’s platform insights from “unstructured data”, such as the content being published in real time on social media platforms, to enable much better targeting.
30% performance lift
The combination of MediaMath’s structured data and Watson’s interpretation of unstructured data yields about a 30% lift in advertising performance. IBM is also using AOL’s Convertro to optimize campaigns in real time across the marketing mix.
A key difference between IBM’s approach vs competitors like Google is that IBM’s revenue model is not based on advertising. All data collected and used is owned by the client – and stays owned by clients. Some competitors choose to own the data, and then use it for other advertising and monetization.
MediaMath’s Chief Marketing Officer, Joanna O’Connell, told Beet.TV at the 2017 DMEXCO advertising and trade show that programmatic marketing still has much to achieve.
Pixels, tags, waterfalls … all workarounds
She cited shortcomings such as infrastructure that requires pixels, header tags, waterfalls and the like.
“Would we have built it that way if we knew how big this industry was going to become, how material, how important? Probably not,” she said.
O’Connell envisages media buying infrastructure that’s open and extensible, totally secure and safe. The goal is to provides consumers with ad experiences that don’t aren’t just “tolerated”, actually loved.
In his blog announcing the IBM partnership, MediaMath’s Joe Zawadzki said data-driven marketing is moving from one way to do marketing to the way marketing is done.
He said the partners would work to:
- Develop infrastructure that connects brands, consumers and all of the companies in between in a way that is enterprise-class, open and smart;
- Infuse AI into real-time marketing decisions across all channels, arming marketers to do their jobs better with insights, as opposed to reports; and
- Delight people with advertising they don’t just tolerate, but appreciate as entertaining, informative and meaningful.