IAB details blockchain pilot working groups for digital advertising

US technology lab is looking to test and provide best use cases for blockchain technology in the digital advertising ecosystem

Blockchain has gained yet another foot in the adtech door with news that the Interactive Advertising Bureau (IAB) US launching a new pilot program to test and provide best practice use cases in the digital advertising sphere.

The Blockchain Working Group pilot program sits under the IAB Technology Laboratory and is focused on testing products and services based on blockchain technology for digital advertising. It hopes to publish a whitepaper looking at best practices which could lead to developing standards to support such applications of blockchain technology in the digital advertising industry.

Members actively involved in the IAB program include FusionSeven, Kochava Labs, Lucidity and MetaX, with each piloting emerging blockchain-based offerings with supply chain partners including advertisers, agencies, DSPs, exchanges, publishers and technology vendors.

As an example, IAB said Lucidity’s ‘Layer 2’ infrastructure protocol is being used in a pilot to verify ad impressions and improve programmatic supply chain transparency through a decentralised, shared and unbreakable shared ledger. This will be followed by other pilots looking into fee transparency, digital publisher signatures and audience verification.

Blockchain technology by definition refers to a decentralised and encrypted ledger platform that can immutably store digital data so it can be securely shared across networks and users. Each transaction it stores is referred to as a ‘block’, and each block along with its linkages, are all stored and accessible in the blockchain. The transacting processing technology is the underlying framework for cryptocurrencies such as bitcoin.

‘Consensus algorithms’ ensure all systems connected to the blockchain are doing algorithmic checks, making it very hard to hack the system. Importantly, because of the shared and open source nature of blockchain, everyone has a copy of the record, ensuring accountability and enforcing contracts in a way that’s both universal and automation. This is further supported by ‘smart contracts’, copied across an entire network.

Another example being piloted under the IAB blockchain working group MetaX’s adChain Registry, which provides a blockchain-driven list of brand-safe sites curated by token holders and is based on the Ethereum blockchain. Participants can use adTokens within the adChain Registry dapp to apply, challenge and vote for these websites.

“The blockchain working group, which has over 150 member companies, is at the forefront of exploring industry standards and use cases for blockchain in digital advertising, and we’re looking forward to even more forward thinking brands and key players joining the conversation,” IAB Tech Lab senior VP and  GM, Dennis Buchheim, said.

“We’re dedicated to understanding advertisers’ and publishers’ needs and exploring emerging and established technologies that can solve real problems in digital advertising – in support of a clean, scalable and efficient ecosystem.”

Test cases for blockchain in marketing keep coming

Blockchain is hot news in marketing and advertising. Earlier this week, location data technology company, Blis, announced a pilot program looking to use blockchain in order to improve transparency around digital advertising data sets.

The latest pilot is supported by Unilever, Endeit and Beringea, and sees Unilever as the pilot partner on the program. The technology being used is based on the IBM Blockchain platform.

Another area blockchain has been emerging of interest to marketers is in customer loyalty programs. One example is the work being done by experimental loyalty startup, LoyaltyX, which partnered with the University of NSW last year on a loyalty research project, dubbed Unify Rewards, that saw students earning ‘ethercryptocurrency’ at the checkout of participating merchants on campus by scanning a barcode in their digital wallet.

Another Sydney-based group, Incent Loyalty, launched a new loyalty program last week rewarding Australian consumers for shopping with multiple retailers with an ‘Incnt’ cryptocurrency.

At a local level, IAB local technology lead, Jonas Jaanimagi, said the Australian association is not closely involved with the blockchain work given its early stage and is instead choosing to focus its resources on two other technical projects with more “immediate impact”. These are VAST 4.1 (Video Player-Ad Interface Definition), which was released for public comment in June; and Open RTB 3.0 (real-time bidding), billed as the largest overhaul of the OpenRTB protocol since it first came to be established in 2010.

“We’ll certainly leverage the findings from the Blockchain Pilot program as they progress,” Jaanimagi said.

Follow CMO on Twitter: @CMOAustralia, take part in the CMO conversation on LinkedIn: CMO ANZ, join us on Facebook: https://www.facebook.com/CMOAustralia, or check us out on Google+:google.com/+CmoAu

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.
Show Comments

Latest Videos

More Videos

Well, the conversion can be increased by just using marketing, but in general if you are considering an example with Magento, then it is ...

Bob

How Remedy is using digital marketing and commerce to drive conversion

Read more

yo nice article

Bob

6 Ways to ramp up Social Media to Your Web Design

Read more

Thanks for sharing with us. I just loved your way of presentation. I enjoyed reading this .Thanks for sharing and keep writing. It is goo...

Nisha

Cancer Council: Finding the physical-virtual engagement balance post-COVID

Read more

yes AI should be a course so many People Use AI https://g-techsolutions.com...

M Abdullah Khan

Is AI on course to take over human creativity? - Modern creative - CMO Australia

Read more

Extremely informative. One should definitely go through the blog in order to know different aspects of the top retail technology.

Pooja Gupta

Donut King takes in-store marketing to the next digital level

Read more

Blog Posts

Brand storytelling lessons from Singapore’s iconic Fullerton hotel

In early 2020, I had the pleasure of staying at the newly opened Fullerton Hotel in Sydney. It was on this trip I first became aware of the Fullerton’s commitment to brand storytelling.

Gabrielle Dolan

Business storytelling leader

You’re doing it wrong: Emotion doesn’t mean emotional

If you’ve been around advertising long enough, you’ve probably seen (or written) a slide which says: “They won’t remember what you say, they’ll remember how you made them feel.” But it’s wrong. Our understanding of how emotion is used in advertising has been ill informed and poorly applied.

Zac Martin

Senior planner, Ogilvy Melbourne

Why does brand execution often kill creativity?

The launch of a new brand, or indeed a rebrand, is a transformation to be greeted with fanfare. So why is it that once the brand has launched, the brand execution phase can also be the moment at which you kill its creativity?

Rich Curtis

CEO, FutureBrand A/NZ

Sign in