Article originally published on The Digital Review.
The dominance of Amazon and Google in programmatic DSPs
Amazon and Google maintain their lead in programmatic advertising through access to proprietary data and exclusive inventories. According to Geoffrey Berthon, co-founder of Qwarry, these two giants benefit from first-party data that allows them to target audiences very precisely, thus optimizing advertising performance. On the other hand, The Trade Desk, although efficient, is struggling to compete with this unique advantage with its universal ID.
The importance of proprietary data and Walled Gardens
Amazon and Google take advantage of their closed ecosystems (Walled Gardens), forcing advertisers to use their DSPs to access premium inventories like Amazon.com or YouTube. This assures them continued dominance in the programmatic advertising market. Indeed, these giants hold more than 60% of global advertising revenue, creating a difficult environment for other market players, such as The Trade Desk, which must redouble its efforts to make up for this gap.
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