Apple recently announced iOS15 and the additional privacy features as a part of the new iCloud+ offering, which include IP and web address encryption and an email protection feature, coming in late 2021.

Although the full implications of IP address encryption at this point remain unknown, we expect that location-based targeting and fraud verification practices utilizing IP for identity may be impacted. Additionally, the updates to email and web address encryption may disrupt the post-cookie hashed email ID solutions that are in development across the industry. As a member of this wider ecosystem, Kargo is working in partnership with these vendors and innovations to understand if and how services and products may be affected.

Given the personal nature of the mobile device, we have seen the industry shift towards prioritizing user privacy. As a veteran solution provider focused on the intersection of creative and premium content, we have always valued the contextual alignment of brand voice with quality editorial environments. We provide our advertisers with full transparency into our highly curated marketplace, that is 100% Ads.txt verified and Human (formally WhiteOps) certified, with an industry leading <1% SIVT rate. Our cookieless solutions, including Cohort Intelligence, enable effective audience targeting while respecting user privacy.

As we continue to closely monitor industry developments, we remain confident that the foundation on which Kargo was built well positions us in this privacy-centric marketplace. We will continue to keep you updated on any impact to our business as well as the broader digital ecosystem.

ALTERNATIVES TO ID-BASED TARGETING

COHORT INTELLIGENCE

Kargo’s Cohort Intelligence is our proprietary AI-powered algorithm that analyzes and scores articles’ likelihood to drive outcomes for an audience based on a combination of attributes, classifying every URL into targetable groups of different URLs with similar attributes. It allows advertisers to identify the top performing contextual environments for their audience based on a blend of their habits and interests at the content level and deliver the right messaging to the right people at scale while respecting user privacy and functioning without the need for identifiers.

SENTIMENT

Aligning creative with an article’s emotional context can make ads 40% more effective, and 67% of users would click on/read digital ads that better reflected how they felt.¹

Partnering with IBM Watson, Kargo’s Brand Voice Analysis solution leverages natural language processing AI to analyze a brand’s social media presence and define the brand’s voice, persona and values. Using this technology, Kargo is also able to analyze editorial environments and identify content sentiment at the article level. Kargo’s Emotional Intelligence (E.I.) anticipates a person’s emotions during these content micro- moments, in which it embeds the most relevant brand message. E.I. can also be utilized to target specific emotional moments for enhanced emotional synergy.

These insights together allow Kargo to deliver a brand’s message within emotionally aligned environments, ultimately driving incremental reach and an increase in share of voice with audiences.

KEYWORD/CULTURAL

Ads on sites with higher thematic alignment and high consumer attention have higher ROI than less aligned ad buys.² Keyword targeting allows your brand to deliver their message within aligning subjects and contexts.

Kargo leverages keyword targeting powered by Grapeshot, which works by reading pages and looking at confluences of keywords; Grapeshot’s algorithm will then associate the page with segments in the platform. In addition to standard targeting and anti- targeting segments, Kargo can also leverage predictive targeting to reach audiences within trending content surrounding culturally relevant moments, such as Holiday Shopping and Oscar Buzz.

For more information, reach out to us!