Virtual Quant Marketing Seminar - Nils Wernerfelt
Estimating the Value of Offsite Data to Firms: Evidence from 1.5 Studies
Dear All,
Our next Virtual Quant Marketing Seminar is on Monday, November 13 at Noon ET. The speaker will be Nils Wernerfelt.
The zoom link is below, note that this is a new link.
https://hbs.zoom.us/j/93651241772?pwd=N2dTTC9RZHdoTjhXUjdPOXpkRkNDdz09
Title: Estimating the Value of Offsite Data to Firms: Evidence from 1.5 Studies
Abstract:
Browsing activity and purchase data are frequently tracked across applications and used to help target online advertising. These types of ‘offsite’ data are viewed as highly valuable for advertisers, but their usage faces increasing headwinds. In this presentation, I'll discuss results from two related projects, focusing mostly on the first.
In the first project, we study how much firms benefit from using offsite data in their ad delivery. With this goal in mind, we conduct a large-scale, randomized experiment that includes more than 70,000 advertisers on Facebook and Instagram. We first estimate advertising effectiveness at baseline across our broad sample. We then estimate how much less effective the same campaigns would be were advertisers to lose the ability to optimize ad delivery with offsite data. In each of these cases, we use recently developed deconvolution techniques to flexibly estimate the underlying distribution of effects. We find a median cost per incremental customer at baseline of $42.04 that under the median loss in effectiveness would rise to $56.77, a 35% increase. Further, we find ads targeted using offsite data generate more long-term customers per dollar than those without, and losing offsite data disproportionately hurts small scale advertisers. [with Anna Tuchman, Bradley Shapiro, and Robert Moakler]
In the second (early stage) project, we aim to better understand the effects of a major policy change in the offsite data ecosystem -- the introduction of Apple's App Tracking Transparency (ATT) framework in iOS 14.5 -- on firms in the US. To that end, we have conducted preliminary analyses on several online and offline firm outcomes I'll discuss during the talk. [with Daniel Deisenroth, Utsav Manjeer, Zarak Soheil, and Steve Tadelis]
The schedule for the rest of the semester is:
Monday, November 20, Noon ET - Hana Choi (Rochester)
We encourage you to use our google calendar to keep track of the talks.