According to a report by WSJ, "Twitter plans to remove 3rd party data sources from its ad-buying system, becoming the latest tech company to put more distance between itself and third-party consumer data providers. The company currently offers data from outside firms to help advertisers target users on its platform, but early next year the company will end that integration and require advertisers to buy data on their own."
Skydeo CEO Mike Ford said, "This is great news for data companies that have relationships with advertisers, agencies and who have sourced data with consumer consent. We have been a proponent of "Bring Your Own Data" since we started the company." Skydeo works directly with advertisers and agencies to provide privacy-compliant, custom audience segments that can be activated directly in Twitter, Facebook and other ad platforms.
It would appear that Twitter, like Facebook, is seeking to distance themselves from the perceived risks associated with third-party data,” John Lee, chief product and data officer at Dentsu Aegis agency Merkle, said. “By requiring advertisers to upload the data from their first-party seat, these platforms are ensuring that advertisers, not the platform or agency, is taking the accountability for the provenance and permissibility of the data they are injecting.”
Megan Pagliuca, chief data officer at the ad-buying agency Hearts & Science, said Facebook’s move was good because clients should take responsibility for their own data strategy and build their own custom segments. “While it was a little inconvenient process-wise, we think it was the right thing strategically for our clients and business,” she said.
Closer relationships with data providers could push advertisers to create more granular audience targets instead of relying on “off-the-shelf” segments offered through Twitter, Ms. Pagliuca said. That could lessen the direct competition for certain audiences and potentially reduce costs.