If you’re going keto, counting carbs is key. But you can’t do that if you don’t know how many carbs are in what you’re eating.
Similarly, if you want to ensure your data is effective and compliant, you need to know exactly what’s in the data you’re using.
With that in mind, Yahoo DSP announced today that it’s the first DSP to adopt the IAB Tech Lab’s Data Transparency Labels, which function like a “nutrition label” for data.
The IAB Tech Lab launched data labels to create a standardized and reliable framework for more transparent audience data. Buyers spend billions on audience segments every year, but there’s often a lot of opacity about what they’re actually purchasing.
The IAB’s Data Transparency standard includes roughly 20 standardized disclosure fields, designed to provide a “nutritional label” equivalent for audience data. These fields disclose key details to help buyers evaluate audience data quality, including recency, provenance, segmentation criteria, and more. You can learn more about the standard here, but here’s an example of what it looks like:
Why This Matters:
This creates pressure. If Yahoo adopts these labels, others will hopefully follow. Historically, there haven’t been strong enough incentives to compel widespread adoption. A “good” actor has to take the first step, and that’s exactly what’s happening here. Keep in mind, the IAB has been talking about these standards for roughly six or seven years, so it’s encouraging to see progress on the DSP side.
Experts React:
“Yahoo DSP becoming the first major platform to implement the Data Transparency Labels is a practical step forward for the industry,” says Anthony Katsur, CEO of IAB Tech Lab. “It’s a clear move toward better accountability and trust in data-driven advertising, and it sets a straightforward example for others to follow.”
Our Take:
This seems like a win for the industry as the labels have taken some time to catch on. You also have to appreciate the consumer-facing branding of this initiative. Too many things in adtech aren’t just opaque but inaccessible in terms of “how does this actually work?” That’s not the case here. That’s rare!
Finally, this is a sensible follow-up announcement to Yahoo DSP’s recent curation launch, which is built around data partnerships.
