Lotame's service using virtual user ID is introduced for the first time in Japan

GESHER, Inc. (CEO: Yohei Harada, Headquarters: Chuo-ku, Tokyo) support the collaboration between Dai Nippon Printing Co., Ltd. (DNP) and the American company Lotame. See below are for details.

The following is an excerpt from DNP's press release

Dai Nippon Printing Co., Ltd. (Headquarters: Tokyo; President and CEO: Yoshinori Kitajima; hereinafter referred to as DNP) is collaborating with Lotame, Co., Ltd. and GESHER, Inc, to launch ad targeting and analysis services that do not rely on third-party cookies (hereinafter referred to as cookies) in Japan, starting from May 25, 2023.

In recent years, regulations regarding cookies have been strengthened to protect user privacy. Amid the urgent need to develop strategies and measures for digital advertising that do not rely on cookies, DNP will provide safe and secure services that do not use personal information.

Overview

Due to the revised Personal Information Protection Law (enforced on April 1, 2022) and the revised Telecommunications Business Act (enforced on June 16, 2023), the use of cookies is beginning to be restricted for increased privacy protection, with plans to completely phase them out by the latter half of 2024. This makes it difficult to target advertising based on users' web browsing history and to analyze and measure effectiveness, prompting advertising media companies and advertisers to urgently develop strategies and measures for digital advertising that do not rely on cookies.

In response to these challenges, the services provided by Lotame enable the integration of various data related to website visits without tracking users' individual browsing histories, allowing for anonymous profiling of users. This makes it possible to deliver targeted ads and analyze the attributes of visiting users without using cookies.

Service overview

1.Does not use personal information

Since no personal information or information related to personal information is used, it becomes possible to deliver advertisements in a more securely. In addition to obtaining prior consent, methods such as notification and disclosure can also be used to response to collecting users' information. Furthermore, it can be used on Apple's web browser Safari, where cookie usage has already been discontinued, and is expected to be usable on other browsers scheduled for discontinuation in the future.

2.Can target by using virtual user profiles

Without tracking users' website browsing histories, Lotame's service integrates relevant information from various data sources (web-based, mobile-based, CTV, etc.) to generate a virtual user ID. This enables targeted advertisement delivery to potential customers, similar to traditional cookie-based delivery.

3.Can analyze the attributes of visiting website users

By placing tags on websites, it is possible to analyze information about visiting website users and estimate attributes for each ID. Users' profiles can be analyzed based on multiple factors such as interests and behavior.

Future Developments

DNP will continue to provide this service and aims for cumulative sales of 3 billion yen by 2025. Additionally, together with Lotame, DNP plans to develop and provide not only cookie-independent advertising products and website visitor analysis, but also options to enhance first-party data held by companies. DNP will further develop and provide digital advertising solutions that balance personal information protection with corporate advertising activities. They are also considering the development of new customer data analysis platforms including post-cookie products like this service.

*1 Lotame Co., Ltd. (https://www.lotame.com/): Headquartered in the United States. A global leading company that provides data enrichment solutions combining various data for customer data, etc.

*2 GESHER, Inc. (https://gesher.co.jp/): Supports collaboration and provides support between overseas startups and Japanese companies. GESHER has collaborated with Lotame in the Japanese market and helped Lotame connect with DNP.

*3 Third-party cookies are files issued by advertising agencies (third parties) on websites visited by users and are created on users' devices. To protect users' privacy, regulations are being strengthened, and laws are being established, resulting in web browsers increasingly blocking these cookies.

※The specifications and service contents of the products described are as of the announcement date and may be subject to change without notice.

DNP Press release: https://www.dnp.co.jp/news/detail/20169464_1587.html