Covatic, the fast-growing Techstars backed technology company has launched a new product, Covatic A-Type— a new solution to the ID and privacy challenges currently faced by the digital advertising industry. The product enables publishers and apps to maintain and grow digital revenues while preserving user privacy and meeting tightening industry data standards.
A-Type uses Covatic’s on-device processing to allocate groups of users to relevant third-party socio-demographic data, such as CACI ACORN or Experian MOSAIC segments, without exposing any form of ID. This creates highly relevant and sellable audiences. The solution is future-proofed and sustainable. It is designed to be GDPR, CCPA and ATT safe and doesn’t need users to login, which means clients can make their entire user base addressable.
Daniel Pike, Chief Product Officer, explains: “Regulators and key industry players—particularly Apple and Google—are rightly acting to protect user privacy by blocking excessive online data collection practices. This is great for consumers but presents a huge challenge to the digital ad-industry. To date, most responses have focussed on first-party, contextual or cohort based solutions. Covatic offers a compelling fourth way: insights gained from the ‘real world’ and processed on-device to ensure no personal data is ever shared.”
Nick Pinks, CEO of Covatic, adds: “This launch marks a pivotal next stage in our journey. Covatic has been focused on refining its suite of products and delivering value to clients. Contextual advertising and on-device processing is more important than ever when it comes to building a sustainable digital ecosystem. It is clear that on-device will be a major part of any overall solution.”
Indeed, Apple’s recent announcement that apps must ask permission under its new App Tracking Transparency (ATT) conditions, has limited brands’ ability to collect personal data and has led the industry to seek viable alternatives to tracking.
Covatic’s A-Type marks a credible, long-term solution to the challenges of an advertising ecosystem in which the usefulness of IDs and third-party cookies is considerably diminished and in which user privacy is promoted to the fore.