Data clean room

A data clean room is a secure environment where two or more companies match their data to analyse or activate it without either being able to see or take away the other’s individual records.

An example: an advertiser wants to know how many of its customers saw its campaign on a video platform, and neither side wants to hand its user base to the other. In the clean room each party contributes its data in encrypted form, the system matches it and returns only aggregated results (how many records overlap, how many people saw the ad, how many bought afterwards), with minimum thresholds that prevent anyone from singling out an individual.

The large platforms have their own, such as Google’s Ads Data Hub or Amazon Marketing Cloud, and independent providers make it possible to set one up between any two companies. They have spread with retail media and with collaboration between brands and media owners, because they make it easier to use second-party data with stronger safeguards for GDPR compliance. They have their limits: matching two databases requires a common identifier, usually a hashed email, and the result depends on the match rate between them.

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