Commentary

MightyHive Develops Data Cleanroom Business For A New Decade

For marketers who thought the concept of the data “cleanroom” vanished behind the mist of Santa’s sleigh as it readied the flight from the North Pole, think again.

Years after the initial mentions, Amazon, Google, Facebook and others continue to demystify the concept and how it might fit into the advertising supply chain.

With a new decade approaching, the concept of the cleanroom -- especially for “walled gardens” such as retailers and consumer goods -- creates a coop that connects transactions with loyalty data that companies would share.

CPG companies like Kraft or Mondelez or Lucas Films and Century Stadium don’t fully understand how to connect the clicks on media with sales data that retailers hold.

Combine attribution with the laws behind GDPR and CCPA, which goes into effect in California on January 1, 2020, and it becomes more complicated.

The connective tissue is the cleanroom, said Adrian Domek, global cloud and data solutions lead at MightyHive, but joining the retail data with consumer marketing data is a little trickier for companies like Amazon compared with Google.

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MightyHive is working with a large platform in their early-stage cleanroom project.

D&PI:  How do you define coop?

Domek:  A retailer and manufacturer combining their data, looking at overlap and trying to prove attribution.

Is MightyHive facilitating these coops for walled gardens?

Domek:  We’ve been lightly experimenting with it. There have only been a few cases where we or other companies have tried to bring together data from a manufacturer or retailer to determine the overlap in data.

There is a lot of speculation on how it could work. We executed on two different case studies that do this. It’s working.

It’s proving that some creatives and messages work better than others by prompting more purchases. There is a significant correlation on a deterministic basis.

We’re just now scratching the surface with a lot of our clients who are still hung up on an old way of measuring. They are worried about the ability to measure media and ID redaction going away.

D&PI:  Would these coops include a major car manufacturer and several aftermarket manufacturers selling complementary products?

Domek:  It could. We haven’t really thought about it.

We’re at the crawl phase, and that’s really the light jog phase. It might include the car manufacturer and all the dealerships. It’s an idea we tossed around, but that’s a multibillion opportunity and a big gap in the market.

I’ve likened it to a lock and key, a ready-to-go offering, and it could apply to a group of dealerships or movie theaters. It’s a big undertaking.

The early experimentation we’re doing now, joining data sets between two different companies and understanding the power and how we construct queries, will help us create templates for manufacturers.

D&PI:  Data warehouses can become an endless hole -- how do you determine the type of data to use?

Domek:  It’s difficult to determine what types of data to use and query. Understanding the data transfer file and how the rows and columns fit together helps to prevent failure.

D&PI:  How long has MightyHive been working with companies on cleanrooms?

Domek:  We were one of the first ADH preferred partners. MightyHive helped launch the Google Marketing Platform partner program in the U.S. in 2012. 

We’ve worked with all their alpha product and sub-products and helped to bring them to market. There are plenty of other companies that are getting into cleanrooms.

 

 

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