Home / Insights / The best-fit Data Management Platform can cut down wasteful Marketing spend

insights-espresso-icon blog

The best-fit Data Management Platform can cut down wasteful Marketing spend

Espresso-live Speakers
by Praveen Ramachandruni , Customer Success Lead
23 August 2018


Companies invest in securing exhaustive data (i.e., first-, second- and third-party data) of shoppers and potential future shoppers to drive customized marketing communication that is very effective in converting a customer-brand interaction into a sale. Companies adopt different methodologies for data collection based on the level of privacy, sources and complexity of data.

Consumer data thus sourced from multiple entities are used to create internal datasets based on consumer demographics and psychographics. However, extracting meaningful insights from data collected from multiple touch points was a key challenge for a majority of companies across industries because of the differences between datasets. To overcome this challenge, companies utilized data management platforms (DMPs) that unify all data, enabling marketers to understand the actual available data and effectively target and retarget the desired audience. Currently, there are numerous DMP providers in the market. This causes confusion in buyers regarding which provider to partner with. Thus, buyers often end up choosing a DMP that is not the best fit, which results in a waste of considerable marketing spends.

Introduction to DMP

A DMP is a centralized data management platform that allows users to create target audiences based on a combination of in-depth first- and third-party audience data. It helps in accurately targeting campaigns to these audiences across third-party ad networks and exchanges. It also helps them measure with accuracy which campaigns performed the best across segments and channels to refine media buys and ad creatives over time.

Data Management Platform (DMP)

Benefits of the DMP

Targeting the Precise Audience

DMP enables publishers to receive audiences based on first-party data from marketers—in a privacy compliant way—provided that marketers are on the same platform. The publisher can then target the precise audience in which the marketer is interested.

Segmentation of Audience Data


Marketers can effectively segment and analyze their target audiences by analyzing first-party data sourced from their own touch points as well as third-party data sourced from external agencies. By analyzing visitor data (on industry, interests, purchase history, etc.), marketers can develop audience segments and sell them to advertisers or other media buyers. This enables them to target consumers that fall under each segment category. 


Understanding the Audience


A good DMP comes with preloaded third-party data. These data can be used to reveal insights about consumers that could increase the value of those impressions.


Waste Reduction


Marketers can use the DMP to identify audiences with the same demographics as those sourced from multiple touch points. The DMP also helps marketers and avoid repetitive data, resulting in more efficient budget allocation among media and data vendors.

Data Security


DMP vendors offer data protection, enabling publishers to monitor potential data leakage.




DMPs can be used to personalize clients’ websites and the subscription sign-up flow. 


Audience Analytics


Third-party data in the DMP can be used to better understand which type of users drive their most popular content.


Challenges in Implementing the DMP 

The following are major challenges buyers face while trying to implement the DMP in their organizations:

Challenges in Implementing - Data Management Platform (DMP)

Cost-saving Opportunities

Flat Rate Fee

Longer Contract Duration

Sourcing in Stack

Global Sourcing

DMP buyers who have a fixed target of impressions can realize cost savings by sourcing the DMP on a flat-rate fee. This helps them pay a flat, agreed-upon fee based on unique number of impressions passing through the platform.


Because of DMPs’ importance in the digital marketing space, a long-term contract with the DMP vendor, rather than multiple short-term contracts, would help the buyer save costs.


A DMP supply base offers multiple interrelated services. Buyers source multiple services in a stack from the same vendor. They can thus negotiate at a better price than sourcing multiple services at a higher price from different vendors.


The DMP is a region-agnostic service. Therefore, sourcing the DMP at a global level from the same vendor would help the client negotiate with the vendor for an attractive price.


Major Vendors and an Overview of their Key Capabilities 

Adform, Adobe, KBM Group, Lotame, MediaMath, Neustar, Nielsen, Oracle, Salesforce and Turn are the major suppliers among numerous suppliers offering DMPs. The following table captures their key capabilities.


The DMP of Salesforce has strong capabilities in the following areas: segment creation and management, data security and leakage prevention, flexibility and usability of the user interface, privacy capabilities, cost and overall flexibility.



Adobe integrates its advertising technology offerings with marketing technology offerings. Thus, it delivers a unified view of its audiences to targeting and personalization platforms—website, search and display

Media Math


Media Math’s key strengths include strong real-time media execution; open interoperability with data, media and technology providers; omni-channel integration; and insights from processing data from volumes of interactions.


Nielsen provides a single view of customers across all channels. It provides access to the clients’ first-party data as well as Nielsen’s audience data. Thus, it develops detailed insights across various consumer attributes.




Oracle aspires to become a one-stop-solution provider for managing customer data. It has started acquiring many niche suppliers operating in the allied space, which gives it an edge over others in the service portfolio.




Neustar’s integrated marketing solution gives marketers a complete and real-time portrait of their customers and prospects based on accurate data, thereby facilitating a personalized customer-brand dialogue across all marketing channels.




Lotame remains independent, which contributes to its agility and level of personal service. Lotame offers the most widely used, trusted and comprehensive data exchange service in the industry.


KBM Group


KBM, part of the WPP group, offers a cost-effective, no-frills service built on the legacy of data assets.




Adform has a strong set of third-party data and martech integration. It also facilitates coordination to utilize buckets of siloed data.




Turn’s unique data querying option really differentiates it from others in the space. Moreover, its customer journey analytics make it a good choice for e-retailers.



Marketers are increasingly relying on data to conduct insight-based marketing and evaluate the effectiveness of marketing efforts. This is giving rise to the use of DMPs in the media space. With many vendors offering innovative DMP solutions that address the evolving needs of buyers, there is prevailing confusion while choosing a DMP. Buyers can eliminate this confusion by analyzing their requirements clearly as well as reviewing the benefits and key differentiating factors of the DMPs, as discussed above.  

Linkedin Twitter Facebook
Leave a comment

Please enter a valid name

Post your comment

Please select captcha


Get more stories like this

Subscirbe for more news,updates and insights from Beroe

Get Ahead with AI-Enabled Market Insights Schedule a Demo Now

Schedule a Demo Now