Data drives programmatic advertising in-house and draws publishers together

John Nardone, CEO of ad serving and online technology platform Flashtalking, recently spoke with eMarketer’s Lauren Fisher about the increasingly critical role data is playing in the programmatic ecosystem and how it is driving multiple trends such as brands taking programmatic in-house and publishers looking to co-op first-party data.

eMarketer: What are some of the broader programmatic trends that you’re seeing unfold this year?

John Nardone: There’s an inevitability of programmatic overtaking more of the spend on the ad tech side and more of the interactions on the martech side. The idea that data in real time should be driving interactions is something that almost every marketer has bought into and accepted. Though there’s a desire to do it, the biggest challenge marketers face today is getting there.

As a result, we’ve seen a lot of internal restructuring among companies looking to try and operationalise their data and programmatic strategies and organise themselves around it. That has led to a lot of things that we’re seeing as the beginning of trends. For example, big advertisers are taking more chunks of their programmatic buying in-house and taking agencies out of the process.

The goal isn’t necessarily to take advertising in-house, it’s to control their data better. It’s not to say they don’t want to work with agencies, but it’s more about the fact that they’re now making strategic decisions about what competencies and processes have to be in-house vs. what can be out-of-house when they’re using their proprietary data. That starts to become an issue inside the walls of a lot of companies, because it needs to be a core competency and they believe they need to take responsibility for the management of their data and not outsource it. Once they do that, the programmatic media piece tends to follow.

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