Alternative IDs 101: An Overview

Alternative IDs - also known as Alt IDs, Universal IDs, or Extended IDs - are making waves in the adtech realm, especially as the era of third-party cookies comes to an end. In fact, Alt IDs are emerging as one of the best approaches to maintain your targeted campaigns - all while adhering to evolving privacy regulations. With prominent options like RAMP ID and UID2.0 gaining traction, advertisers and publishers alike stand to benefit greatly from incorporating them.

However, it's apparent there is some confusion around Alt IDs' impact and viability in the near- and long-term. Let's clear that up, and find a better understanding of just how impactful Alt IDs are.

For starters, Alt IDs are alternative identifiers used to track and target users across different platforms and devices. These IDs are often employed when traditional identifiers like cookies or mobile device IDs are unavailable or restricted due to privacy regulations or user opt-outs. Now, with that in mind, we can see how Alt IDs are a critical tool given today's privacy and online regulation changes.

Alt IDs are able to stand out as the most seamless solution for maintaining targeted campaigns without relying on third-party cookies. They commonly take the form of:

• Email Addresses and Phone Numbers: Hashed or encrypted email addresses or phone numbers to track users across platforms and devices. This allows for more precise targeting and personalization based on email address or phone number associations like past purchases, but hashed emails and phone numbers cannot be tracked back to a specific person.
• Customer IDs: Unique identifiers assigned to individual customers by companies. These IDs can be used to track user behavior and preferences - all while ensuring the consumer remains anonymous.
• Cross-Device Tracking: Techniques like probabilistic matching or deterministic matching are used to link user identities across different devices, allowing advertisers to target users more effectively across their various devices.

An important point to make is, all these Alt IDs are predicated on the user consenting to give information. In practice, it's usually shared and aggregated for account creation or for app functionality.

There are a growing number of options available, however RAMP ID and UID2.0 are becoming industry standards for alternative ID's. Both these solutions are aimed at addressing challenges related to user identity and tracking in digital advertising, particularly in the context of privacy regulations. These initiatives prioritize transparency, user control, and compliance with regulations like GDPR and CCPA while still enabling effective advertising targeting and measurement.

You might be wondering what types of questions should be asked to help decide which solution to use. The main things to consider are:

• Industry Support and Adoption: Consider the level of support and adoption within the advertising industry for each solution. Solutions with broader industry support may offer more standardized practices and interoperability, making it easier to collaborate with the stakeholders in the ecosystem.
• Integration and Compatibility: Determine how easily each solution can be integrated into your existing advertising technology stacks and workflows. Consider compatibility with existing data management platforms (DMPs), demand-side platforms (DSPs), and other advertising tools.
• Cost and Resource Considerations: Evaluate the cost and resource requirements associated with implementing and maintaining each solution. Consider factors such as setup costs, ongoing maintenance, and potential fees associated with data access or usage.
• Flexibility and Future-Proofing: Consider the flexibility and future-proofing capabilities of each solution. Choose an option that can adapt to evolving privacy regulations, technological changes, and industry standards over time.

One other consideration - it's not like you can only leverage one option. In some cases, brands or advertisers may choose to use both RAMP ID and UID2.0, or a combination of others. This enables you to lean into each solution's strengths to optimize reach. However, it's critical to ensure you're not oversaturating your target audience with redundant ads, and introducing conflicts in your data handling practices.

To get up and running, advertisers need to integrate their first-party data with their chosen Alt ID providers. From there, the advertiser can refine targeting and segmentation using specific information based on their first-party data tied to the IDs. Advertisers can also target based on first-party data supplied by other companies, too. Essentially, an advertiser could say, “I want to target all users that purchase breakfast cereal if they and/or the retail media platform has this data.”

From the publisher's perspective, they need to make sure their app or website is a good fit for Alt IDs. Publishers need to also ensure their data collection is consented. Additionally, their terms of service and privacy policy need to be clear about what happens with the collected data. For implementation, publishers should reach out to each Alt ID solution - every Alt ID is different when it comes to implementation.

To streamline processes, advertisers and publishers can work with MobileFuse, as we're already set up to integrate Alt IDs from the major players. If you have any questions on how this all works, or how we can get this up and running for you, feel free to reach out!

As third-party cookies fade into obsolescence, Alt IDs emerge as a sophisticated and privacy-conscious alternative, offering advertisers a means of delivering targeted campaigns while adhering to evolving privacy regulations. Contrary to the belief that Alt IDs are merely replacements for cookies, they are a true improvement when it comes to targeting, as they provide deterministic consumer insights without compromising privacy. As the industry continues to adapt to changing norms, Alt IDs stand out as a reliable and frictionless solution for navigating the post-cookie era.