
The advertising platform of Trade Desk is based on major patterns
Despite falling indices, shares of The Trade Desk Inc. (TTD), a platform for coordinating advertising and marketing campaigns, are trading 53% below their 52-week high. Nonetheless, the company’s strengths have become even stronger. In its first-quarter report, Trade Desk reported a high rate of client retention (95 percent). One of the world’s leading platforms for the selling of digital advertising is owned by the corporation. Advertisers, sales departments, and advertising agencies use Trade Desk to target specific consumers with their advertisements. The majority of the screenings are available on mobile devices and linked televisions.
Changes in the guidelines for dealing with users’ personal data have caused problems in this sector. Apple and Google revised their privacy rules, making it harder for third-party service providers to acquire user data and target advertisements using outdated cookies. Some investors were worried that this would be a major setback for the Trade Desk, but it seems that the firm has benefited from it. Customer retention is a significant indicator that this hypothesis is correct. Unified ID, a newer solution supplied by Trade Desk, does not need third-party cookies.
The Trade Desk platform can now provide advertising campaigns that comply with Apple and Google’s new privacy policies. The platform is compatible with linked TVs, which is the category with the fastest growth rate as people switch from cable to streaming services. Furthermore, the Trade Desk’s management anticipates that Internet TV providers like Netflix will start presenting ads sooner or later. This is a chance for the Trade Desk to gain revenue.