Ad tech and CRM are converging, and columnist Jordan Elkind believes the need for people-based measurement has never been greater.
Ad tech and CRM (customer relationship management) used to run in very different circles.
Think of ad tech — performance marketing channels like display and search — as the cool kid of the marketing world. Big budgets, splashy campaigns, a constant stream of glamorous new advertising products and formats, exciting metrics like “share of attention.”
Ad tech was once largely focused on reaching pools of anonymous users, identified by cookie or device IDs. True, the rise of programmatic display has given marketers more control over the types of audiences they target, driven by the ecosystem of second- and third-party data. And retargeting enables advertisers to deliver highly targeted lower-funnel calls to action. But at its heart, ad tech is a world long motivated by the need for performance and scale.
CRM, in contrast, has always been… well, more of the boy or girl next door type. The domain of CRM has traditionally been known users, particularly those who have transacted with the brand. Working with largely enterprise IT systems and limited budgets, CRM professionals have long focused more on optimizing touch points with known customers through channels like direct mail and email.
But the rise of targetable ad technology — the ability to reach individual, known users on the open web — has broken down the once-clear distinction between these two worlds.
First came Facebook Custom Audiences, a revolutionary product that brought the intimacy and personalization of the email inbox to display advertisements on Facebook. Google’s highly successful remarketing lists for search ads (RLSA), and now Customer Match, enable marketers to enable dynamic bid optimization strategies around known customer segments. And data onboarding services like LiveRamp now empower marketers to onboard sophisticated CRM segments and reach them — or audiences that look like them — across dozens of display networks and DMPs (data management platforms).
Source: Marketing Land