Ad Tech & Ad Ops

Better Monetisation with Header Bidding

Increase ad revenue by simultaneously collecting multiple bids from a variety of demand sources each time a new impression is available

Ad Tech & Ad Ops

Data Management Platform: Why Do Publishers Need a DMP

A data management platform is a unified place to store, manage and optimize data. But how can DMP help with publisher’s business growth? Learn here.

Business world thrives on data. Everything a user does on a website or mobile application generates data. It’s up to the bearer of data how he/she can leverage this to create a strategy and boost conversion.

Letting go the data without carefully evaluating it, would be a great mistake. Here, evaluation means extracting all the necessary information out of it and putting it to best use. However, to reach there, you first need a tool to store and manage data. This is when a data management platform comes into picture.

What is Data Management Platform (DMP)?

what is data management platform
Source: Lotame

Data Management Platform (or DMP) is a software used to store, manage, and organize data, mainly for advertisers, marketers, and publishers. Technically, DMP uses first-party (emails, names, telephone numbers), second-party (other websites, companies, advertisers), and third-party data (cookie IDs and mobile identifiers) to target the audience accurately.

Simply put, it’s too much for publishers, marketers, and advertisers to manually organize and analyze data. Hence, we have tools like a data management platform to store both structured and unstructured data from different sources.

For publishers, a DMP offers a sophisticated platform to first store first-party and third-party data. Then categorize and segment the audience and use it to create more audience across the web. By analyzing and understanding the audience, publishers are able to sell their inventory better to buyers as they want their ad campaigns to reach the right set of eyes.

Why Do Businesses Need a DMP?

The reasons to use DMP depends on your business requirements. For instance, one may use a DMP to track the marketing campaigns’ progress. While another may want a tool to manage previous consumer data to create new strategies. Here’s what makes DMPs important for businesses:

Organized Data

Let’s understand this with a daily life example. You returned home from work and put your keys somewhere. The next day while leaving your house, you’re unable to find the keys. You’ve forgotten where you put them. In such a case, don’t you wish you had a technology to help you locate your lost keys.

Same thing happens while managing huge data. You save the data in a ‘safe place’. But when you need it, it’s nowhere to be found. Therefore, you need a tool to manage and organize it. DMP stores all your data at one place to access it whenever you need.

Monitored Budget Spend

With DMP, you can log your campaign budget. Later on, these logs help you with expenditure monitoring and comparing. Using these numbers, you can then speculate the money you should spend on upcoming projects.

Campaign Management

In inventory selling business, there are multiple campaigns running at the same time. Each campaign has a starting date, an end date, some revenue generated, and data collected. DMP is used to store all the data and ensures security.

Audience Creation

Audience segmentation is a routine activity in digital publishing. Using a DMP, you can use various filters to see the data differently. Data management platforms can give you a newer perspective which can help you create better monetization strategies later.

Data Security

Once you’ve stored all the important information related to your business, clients, and consumers in one platform,  you need security. DMPs are designed keeping security in mind.

The new and more improved versions have combined data management platforms with the demand-side platform and data analysis tool to provide better outcomes.

Where Can You Get A DMP?

The definition of ‘best’ data management platform can be different for everyone. It certainly depends on the need of the user. Nonetheless, here’re names of popular data management platforms known to offer ‘best’ services:

Adobe Audience Manager: This tool is used to build detailed audience profiles based on various demographics. These profiles can be later sent to media buyers and agencies to work on. Adobe also has a cloud storage service using which you can access your data from anywhere.

Lotame: The aim of Lotame is to provide a platform that manages data without having to waste resources. It is an independent DMP provider that primarily focuses on its users (publishers) and their protection.

Oracle DMP: Oracle helps create information-rich profiles combining first and third-party data. It offers a platform to work on cookie-based customers. The only drawback of Oracle is the not-so-smooth user interface.

SAS Data Management: SAS is a popular and one of the oldest names in the DMP market. They are known to provide consistent, accurate, and reliable information that a user seeks.

Google Audience Center: This powerful DMP tool by Google comes with smart features like end-to-end campaign management. It can be used to collect and organize data along with their source.

Still Confused? Here Are Questions You Should Ask Before Choosing a DMP

  • Does this DMP help with audience discovery and expansion?
  • What are the integrations and pre-plugged tools offered by it?
  • What are the analytics offered by it and how can you align with your current business targets?
  • How does it manage first-party, second-party, and third-party data (combined and separately)?
  • What are the privacy and consent benefits offered by it?
  • Does it allow you to integrate with multiple platforms (SSP, DSP, ad networks)?
  • How much data control does it offer?

How Does a DMP Help?

DMPs are primarily designed keeping these three main users in mind: publishers, marketers, and agencies.

  1. For Publishers:

    Source: Bluekai
    Publishers include anyone owning a media property such as application or website they want to monetize. With thousands of users coming to the media property, every publisher needs a DMP to organize the two main aspects of his business: audience and inventory buyers.

  2. Audience:

    In order to get clear audience insight, publishers need to create a comprehensive audience profile—including demographics, geolocation, general interest, and profiles. These profiles help publishers pitch their inventory to buyers for better monetization.

  3. Inventory advertisers:

    DMP should further be used to track buying trends. For instance which kind of audience/inventory get most private and/or programmatic deals. DMPs can also help publishers present a sophisticated proposal to exchanges and media buyers.

  4. For Marketers and Agencies:

    Marketers use DMPs to identify and classify the audience based on their campaign performance. Furthermore, they use it to gather a deeper understanding of existing data and to create an insight of existing users.
    Later, every piece of information collected is used to update the campaign strategy.

What Solutions Do DMP Offer in Post Third-party Cookie World?

Chrome has joined the third-party cookie blocking bandwagon with Firefox and Safari. Ad tech, including publishers, has started planning alternatives to identify users and serve them targeted ads. In such a case, can DMP offer possible solutions?

The answer is complicated. Since, DMP thrives on third-party data, cookie demise and crackdown on privacy, makes it difficult for DMPs to offer the same services. In such a case, DMPs need to be innovative with their services using first-party cookies and keeping privacy in mind.

Permutive, a data management platform, has started testing context to map and segment open marketplace audiences. Basically, the system takes help of machine learning to understand the browsing habit of the user and create a decent profile.

We know that advertisers are willing to pay more for a segmented audience which is more likely to convert. Hence, they end up spending on programmatic guaranteed, preferred deal, and private marketplace; as these deals offer better deals in terms of inventory and audience. In such a case, technology like DMP (accustomed to work in a cookie-less world) becomes crucial as it offers better audience data.


A data management platform has become a need for everyone involved in ad tech. You can check out various DMP service providers available in the market. And then choose optimally by evaluating your DMP requirements.

However, if you find that none of the DMP available in market is satisfying your needs, you can always choose to design an in-house DMP adding the features you really need and updating it along the way. This is something that requires huge dependency on developers but proves worth the effort in the long run.


1. What is a DMP data management platform used for?

The data management platform (DMP) collects, organizes, and activates first-, second-, and third-party audience data from online, offline, and mobile sources. The data is then used to build detailed customer profiles for targeted advertising and personalization.

2. Why is data management platform important?

With a Data Management Platform, you can easily collect data from your own sources and from your business partners. Pixels are all you need to implement. DMP engine takes care of the rest automatically. You can collect data about users’ activities through events and attributes.

3. How does a data platform work?

Customer data platforms integrate data from multiple tools and sources into a single centralized data hub that provides a unified view of customers. Integrated first-party data from these sources is stored in a data warehouse accessible to all relevant parties within your organization.

Write A Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.