Why There’s More to Deals than Deal ID

In my role as Senior Vice President of Media Partnerships, I am often pitching our media management capabilities to clients. One of the first questions they almost always ask is “Do you support Deal ID?”

The short answer: Yes, of course. 

But, the conversation shouldn’t end there. It’s important to dig down a little deeper – to understand why they are asking the question and why Deal ID is important to them. To us, Deal ID is just one piece of a larger equation. 

There is a misconception in the market today that the only way to buy video programmatically is via Deal ID. The reality is that it is a way to strike direct deals with publishers who operate only on exchanges and SSPs. In the display world, Deal ID is, in fact, a crucial component, because 99% of all supply lives on SSPs and exchanges, so nearly all direct display transactions are executed using this approach. But this is not the case for video, where plenty of inventory is still bought outside of SSPs and exchanges, and many premium publishers with TV-quality inventory don’t use platforms at all since they sell out directly at high CPMs. Our experience with companies managing private supply on the Videology platform is that only about 50% of publishers are leveraging SSPs and exchanges to surface their inventory in the US and this drops even further in countries outside of the US. 

The alternative to Deal ID, which many of these premium publishers still use, is tag-based transactions. Many clients have a negative view towards anything tag-based, as they see tags as antiquated or inefficient. Yes, they have been around longer than Deal ID, but that doesn’t mean they are inefficient. In reality, they are essential if you’re a platform that must support access to the entire video ecosystem.  

Today, many of our demand side competitors only have access to inventory via exchanges and SSPs; in this case, since they don’t have direct access to premium pubs, they can use Deal ID for every deal. Videology is one of the only platforms that can both connect to inventory via Deal ID on an exchange or SSP, but ALSO can integrate directly with pubs via tag based integrations.  

This is why the Deal ID question requires a larger discussion, and why tag-based integrations are not only efficient – they are often necessary for access to premium media.  

So, while some of our competitors are making noise about the importance of Deal ID and the inefficiency of tag-based integrations, we have a difference of opinion. In addition to supporting Deal ID, we support tag-based integrations because they increase scale against premium video supply, and typically that is where the TV-like content lives and where our TV brand advertisers want to find their target audiences. In the months and years ahead, as more brand advertisers turn to digital for TV-like inventory, this will become more important than ever – and we’ll be ready.

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