Black-Owned AdTech Company Unveils ML-Powered DSP for Targeting Diverse Audiences
In a groundbreaking move towards diversity and inclusivity, a Black-owned media and ad tech company has launched a machine learning-powered Demand-Side Platform (DSP) aimed at revolutionizing the advertising industry. AdTheorent, a leading provider of machine-learning solutions, has partnered with Hero Media to introduce Hero One, the first ML-Powered Black-owned DSP in programmatic advertising. This cutting-edge technology aims to enhance audience creation and media-buying, addressing the challenge of reaching target audiences while ensuring minority consumers feel seen and represented.
The significance of this development is underscored by the growing influence of minority consumers in the market. In 2023, Black spending power reached approximately $1.6 trillion, surpassing that of other ethnic groups. However, many companies struggle to effectively target these diverse audiences, risking the alienation of consumers. Additionally, consumer attitudes have shifted towards social activism, with 77% of Gen Z shoppers indicating that a company’s values play a crucial role in their purchasing decisions.
Despite this, a survey conducted by the Alliance for Inclusive and Multicultural Marketing revealed that 60% of consumers from diverse communities felt invisible or underrepresented in advertising in 2021, a percentage that rose to 58% in the following year. However, companies prioritizing diversity experienced the highest sales boosts from their ads. This highlights the pressing need for targeted advertising solutions that accurately represent diverse audiences.
Hero One is an audience-focused programmatic platform that leverages machine learning, advanced algorithmic audience creation, and the industry’s first Cultural ID Graph to deliver contextually relevant advertising, driving brands’ desired outcomes. Powered by AdTheorent’s cutting-edge technology and groundbreaking audience solutions, Hero One enables advertisers to effectively reach the right consumer, at the right time, across the digital ecosystem. Moreover, it efficiently drives key performance indicators (KPIs) specified by brands on a large scale.
Jim Lawson, CEO of AdTheorent, expressed enthusiasm about the partnership with Hero Media, stating, AdTheorent is thrilled to partner with Hero Media to power the first ML-Powered Black-owned DSP, enabling advertisers to target and reach diverse audiences at an unprecedented scale. The collaboration combines Hero Media’s Black-owned media network and data with AdTheorent’s award-winning machine learning media buying platform and algorithmic audience creation solutions, elevating multicultural programmatic advertising beyond assumptions-based retargeting.
Joe Anthony, Founder and Chairman of Hero Media, emphasized the need for greater equity in the advertising industry, particularly concerning Black and diverse owned media companies. He noted that despite these companies contributing significantly, they receive only a fraction of the $300+ billion spent annually on advertising in the United States. As programmatic advertising continues to gain traction, it becomes essential to address the lack of diverse ownership in AdTech platforms. Hence, the launch of Hero One aims to rectify this inequality and provide a platform that allocates advertising resources to Black and diverse owned media brands more equitably.
The unveiling of Hero One marks a milestone in the advertising industry’s journey towards inclusivity and accurate representation of diverse audiences. By harnessing the power of machine learning and advanced algorithms, this ML-Powered DSP revolutionizes how advertisers target consumers, ultimately driving business outcomes for brands and agencies. As the advertising landscape evolves, solutions like Hero One are crucial for fostering diversity, ensuring brands effectively engage with diverse audiences, and enhancing overall market inclusivity.
