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Why having your own Tech Stack is essential for a future in digital advertising

A recent study from ExchangeWire and IPONWEB, Agents of Change: The Rise of the Programmatic Media Agency, based on 129, globally operating agencies, concluded that companies with their own tech stack have much stronger relationships with partners and deliver more to their clients. Furthermore, such companies have significant greater control over their performances and are able to scale much faster comparing to agencies that use standard SaaS solutions.

What’s interesting about the research is that all the advantages of having your own Tech Stack are also the main challenges that almost all agencies face when using SaaS solutions for tracking and/or programmatic activities:

  • Lack of quality and access to data to improve campaign performance
  • Ability to improve measurement and analytics capabilities
  • Scaling to higher volumes and lack of quality inventory
  • Lack of Technological Capabilities
  • Ability to automatize processes
  • Ability to build (fast) custom solutions dedicated to market & clients needs

To us, this sounds more than familiar. When we prepared the launch of DCypher Media late 2015, we brought senior process and supply chain experts to closely work together with our tech team, to build our proprietary tracking solution with a high focus on process automation, -optimization, transparency and data sharing.

On a daily basis we are reaping the, above cited, fruits of our own Tech Stack. Importantly, we are witnessing significant other advantages too, such as:

  • Real-time processing of data enabling instant optimizations & informing partners;
  • Automated processes leading to minimized human error;
  • Valuable predictive results through our, ML-based, big data analytics;
  • Full focus by our AM’s on clients and adding value as all repetitive work is automated; and
  • Overall a 40% decrease in required FTE.

For the coming years we see a significant increase in real-time data sharing, transparency, process automation and machine learning. Agencies with proprietary Tech Stacks will therefore achieve leadership roles in the market, as market consolidation will force all parties in the chain to be leaner and more efficient, which can best be done by using technology.

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