The Answer is Probably Probabilistic

The Answer is Probably Probabilistic
Privacy and identity are having their moment. With cookie deprecation unfolding, finding effective data solutions is one of the top concerns on everyone’s mind in the ad tech industry. 

What is Probabilistic Data?

The probabilistic approach is derived from predictive algorithms and patterns. An ID is created per user based on gathering information – whether it be from an IP address, user agent, or other machine-learning techniques. 

This data becomes a great, overarching analysis of performance marketing and large-scale representations. Optimizing budgets based on these data points can give brands close projections of future trends. A strong contextual user journey profile can be built with probabilistic, looking at all of the information as pieces of a puzzle and building a global perspective.

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Probabilistic vs. Deterministic

Deterministic data models are very popular amongst marketers at the moment. This approach relies heavily on user input data. Based on first-party data, this method allows marketers to paint a precise user analysis. The problem here is scalability. While deterministic is usually more accurate and offers authentic, quality data, it can’t be counted on to weather the post-cookies storm. 

Depending on the chosen browsers and OS, probabilistic corrects the major scale issues that deterministic faces. This is because certain environments will hold onto data such as IP and user addresses when they are available. Most larger identifiers use probabilistic data when deterministic is unavailable, making it indispensable.

Probabilistic will most likely outlive deterministic going forward, but in the meantime, using a mix of both will be most fruitful. 

Propelling Us into the Unknown

Probabilistic methods are (probably) the answer for successful targeting and advertising practices in the future. It’s important to remember that ad tech is only beginning when it comes to navigating this changing environment. Technological advancement can only continue to raise the bar for these identity solutions, but at the moment, there are not quite enough tools.

In order to reach the same or even near results as the standard before cookie deprecation, innovation will have to make leaps and bounds. With the unknown ahead of us, the best thing for publishers and marketers to do is brace themselves using everything available to them now and continue to look out for new solutions to come. Read our latest white paper to learn more about the tips you’ll need to excel in the cookie-free future.