The need for supply path optimization (SPO) arises from concurrent trends—among them cost reduction, sustainability, privacy compliance, and inventory quality assurance. The deprecation of third-party identifiers is also fueling SPO initiatives, and supply-side platforms (SSPs) are particularly at risk of being disintermediated by more intimate first-party data partnerships between publishers and buyers. SPO is behind a few recent developments:
Momentum has been building behind this trend for years, so why is it coming to a head now? Advertisers are finally holding their ad tech partners accountable for providing value beyond facilitating programmatic transactions. But SSPs are just one facet of the supply chain, and ad tech vendors that don’t have a strong value proposition for the advertiser will have less staying power.
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