Are Walled Gardens the Future for Targeted Ads?

  • by Arlo Gilbert
  • · posted on July 14, 2022
  • · 3 min read
Are Walled Gardens the Future for Targeted Ads?

In addition to privacy professionals, marketers are one of the main roles that benefit from using Osano. For a lot of marketers, their biggest concern when it comes to data privacy compliance is losing access to the data that they need to do their jobs well — measuring audience growth, attributing the impact of campaigns on customer lifecycle, delivering targeted advertisements, and so on. Osano ensures the data they use has been collected with consent.

But asking for consent can reduce the overall amount of data marketers have access to. Now that browsers are dropping support for third-party cookies, getting the data that fuels personalized, targeted advertising may be a challenge.

One of our news stories today, however, touches on a proposed solution to the data challenges facing targeted advertising: Walled gardens.

The idea behind a walled garden is that some large platform and/or publisher — think Amazon, Facebook, or Disney — can collect a significant amount of first-party data from their user base. Smaller brands buy space in that platform for their ads, and the platform uses internal technology to target brands’ ads across its user base. Brands get their message in front of relevant audiences, platforms get ad revenue, and users don’t have to worry about their data being shared willy-nilly.

It’s a potential path forward for targeted advertising that keeps user data private. But it also means giving the already dominant big tech platforms even more power and increasing small companies’ dependence on big tech.

Privacy- and marketing-minded folks alike should keep their eye on this trend — time will tell whether it’s the new paradigm for targeted advertising, or whether it’s just one tool of many that future marketers will use.

-Arlo

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About The Author · Arlo Gilbert

Arlo Gilbert is the CEO & co-founder of Osano. An Austin, Texas native, he has been building software companies for more than 20 years in categories including telecom, payments, procurement, and compliance. In 2005 Arlo invented voice commerce, he has testified before congress on technology issues, and is a frequent speaker on data privacy rights.