Using Data and AI to Connect and Engage Your Audiences 

Marketers have long been challenged with finding innovative ways of reaching and inspiring our audiences with the right message, at the right time, in the right place and the right format. And now, that task is even harder than ever before. 

We are in a world where users are inundated with media choices a multitude of access points and elevated expectations of brands. But in a world where users demand personal tailored messaging, 58% of marketers report that they are challenged with targeting or segmenting their audience and therefore unable to tap into all the rich first-party sources at their fingertips or personalise consumer experiences. (Source: Forrester).

30 years on from when the first cookie was established by Lou Montulli, who programmed Lynx and Netscape, with the advent of user privacy features such as  Intelligent Tracking Prevention (ITP) by Apple, Enhanced Tracking Protection (ETP) by Mozilla and Enhanced Tracking Prevention in Microsoft Edge we have moved from knowing our audiences through first-party and third-party data, to marketers having to contend with an ever-increasing pool of invisible users. 

Lack of data and strategies that are over-reliant on legacy attribution systems, make it harder to prove the value of marketing efforts to the CFO, who expects you to deliver to strict ROI/ROAS targets with shrinking budgets and outdated processes and systems.

So how can you succeed in this complex and competitive digital landscape, where audiences have multiple touchpoints, elevated expectations of personalisation and addressability being a challenge in face of an ever-increasing pool of invisible users? Without accurate data on our audiences how can we be expected to personalise our messaging to them?

The answer, you have already guessed, is a marketing strategy based on first-party data. 

Let me explain a bit more.

The data that you collect on your own sites is your first-party data and includes personal data, emails, and phone numbers etc, so you know who they are, when they are in your own ecosystem. This is great for when you use direct marketing tactics. But what about when you want to acquire new customers, or reach customers outside of your own ecosystem?

Well, that is where the "other" first-party data comes in handy, and this is where it gets really gets complicated. All forms of privacy and security measures implemented by web browsers such as ITP, ETP and Googles proposed “Elevated choice” aim to protect users from being tracked online without their consent as per various legal guidelines. In order to respect that, we cannot simply match one source to another, we need to create secure environments for data collaboration between advertisers, publishers and platforms through data clean rooms. This entails the integration of innovative technology which can be costly and time consuming, but even for that to work, you really need good clean data, and a lot of it!

Seems impossible, right? Do not worry, as part of the London CIM event, I shared how marketers can leverage the Microsoft Advertising ecosystem to confidently reach their audiences, and I have included some of the key takeaways below. 

Over the past 18 years, Microsoft Advertising has been evolving, from the well-known search advertising business to today’s multi-channel, full funnel, AI-integrated advertising partner. Our solution leverages data and AI to run audience-centric campaigns across the digital ecosystem, reaching and engaging your audiences when they are most receptive to the message, beyond Microsoft properties.

There are three main components to the Microsoft Advertising ecosystem: audience intelligence, technology, and scaled inventory.

Audience Intelligence: We use audience intelligence to fuel the ecosystem, by collecting and analysing billions of data points and first-party data from our own large consumer properties, such as Microsoft Edge, Bing, Outlook, MSN, and LinkedIn. These signals help us learn about the demographics, interests, behaviours, and content preferences of the audiences. With the added power of Search intent, we can also discover what audiences are really looking for. Through Microsoft advertising marketers can reach over one billion users globally, including millions of users that are not on Google, Meta, Amazon, or Pinterest.

Technology:

The Microsoft Advertising platform serves as the core engine driving the broader ecosystem, leveraging AI and machine learning to streamline delivery and enhance campaign performance. By integrating machine learning with extensive audience insights, we develop sophisticated audience segments and targeting solutions. These tools enable marketers to deliver precise messages to the right individuals at optimal times, aligning campaigns and creatives to meet objectives such as increased awareness or revenue.

Additionally, Microsoft Advertising provides various platforms to cater to the diverse needs and preferences of marketers. Whether your goal is to invest, curate, monetize your campaigns, or extend beyond existing search campaigns, we offer suitable platforms to meet those requirements.

Scaled Inventory: Understanding and identifying the right audience is a start, but it doesn’t lead us to our ultimate objective. What’s increasingly significant is reaching them at the right time, in the right context and when they are ready to engage, in a manner aligned with our objectives. We need to meet them in environments where our brands story resonates and stands out amidst the noise. This is where Microsoft’s scaled inventory becomes essential. Th e reach and scale of the ecosystem offers access to high-quality brand safe fraud free inventory across various formats, channels, and environment, such as display, native, online video, CTV and search. This diverse array of placements serve as storytelling platforms throughout all digital landscapes where consumers interact. By comprehending our audiences and your objectives we can continue to deliver personalization to audiences through first-party data.

In conclusion, a comprehensive first-party data strategy extends beyond the data held by an individual brand. To truly harness the potential of this approach, it is imperative to incorporate first-party data from strategic partners like Microsoft Advertising. By doing so, marketers can tap into a broader spectrum of insights and audience reach, ensuring that their campaigns are not only personalized but also expansive and impactful. Leveraging the rich audience intelligence and advanced technology provided by Microsoft Advertising, brands can confidently navigate the evolving digital landscape, achieving deeper engagement and sustainable growth.

By Supriya Dev-Purkaystha, Head of Native Advertising, Microsoft