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Technology","tagColor":"#3F808A"},"title":{"lines":["Data Clean Rooms Explained: What You Need to Know About Privacy-First Collaboration"],"type":"heading2",":type":"snowflake-site/components/title-v2"},":type":"snowflake-site/components/blog/blog-hero"}},":itemsOrder":["blog_hero"]},"responsivegrid_content":{"gridClassNames":"aem-Grid aem-Grid--12 aem-Grid--default--12","columnClassNames":{"image":"aem-GridColumn aem-GridColumn--default--12","blog_text_465679575":"aem-GridColumn aem-GridColumn--default--12","blog_text":"aem-GridColumn aem-GridColumn--default--12","image_1168436163":"aem-GridColumn aem-GridColumn--default--12","blog_text_1096995877":"aem-GridColumn aem-GridColumn--default--12","quote_item":"aem-GridColumn aem-GridColumn--default--12"},"columnCount":12,"appliedCssClassNames":"snowflake-layout-container-inner-padding-small",":items":{"blog_text":{"id":"blog-text-7fda8f694b","text":"\u003Cp\u003EIf you ask any advertiser about the most disruptive factor in recent years, they’ll probably hesitate between two contenders: privacy and AI. While AI is poised to have a transformative impact far beyond advertising in the future, one thing is certain: No organization today can address use cases involving consumer data without prioritizing privacy.\u003C/p\u003E\r\n\u003Cp\u003EBefore we dive into the world of data clean rooms, let’s take a quick trip back in time to set the stage.\u003C/p\u003E\r\n\u003Ch2\u003EGovernments take action for consumer privacy\u003C/h2\u003E\r\n\u003Cp\u003EThe rise of the internet allowed organizations to start collecting consumer data at unprecedented scale — more efficiently than ever before, but often with little regard for how that data was collected in the first place.\u003C/p\u003E\r\n\u003Cp\u003EIt wasn’t until 2016 that a government took decisive action to address growing consumer privacy concerns. Europe led the charge by introducing the \u003Ca href=\"https://gdpr-info.eu/\" target=\"_blank\" rel=\"noopener noreferrer\"\u003EGeneral Data Protection Regulation\u003C/a\u003E (GDPR), its first comprehensive privacy law.\u003C/p\u003E\r\n\u003Cp\u003EIn the United States, California followed suit in 2018 with the \u003Ca href=\"https://oag.ca.gov/privacy/ccpa\" target=\"_blank\" rel=\"nofollow noopener noreferrer\"\u003ECalifornia Consumer Privacy Act\u003C/a\u003E (CCPA), strengthening it in 2020 to further protect consumers — and impose stricter rules on businesses.\u003C/p\u003E\r\n\u003Cp\u003EThe snowball effect is real: More states, including Colorado, Connecticut, Florida, Montana, Oregon and Utah, have recently implemented their own privacy regulations, with others poised to join the trend.\u003C/p\u003E\r\n\u003Cp\u003EGlobally, the movement is unstoppable. Data protection and privacy laws are now present in 71% of countries, according to the \u003Ca href=\"https://unctad.org/page/data-protection-and-privacy-legislation-worldwide\" target=\"_blank\" rel=\"noopener noreferrer\"\u003EUnited Nations Conference on Trade and Development\u003C/a\u003E, and new legislation continues to roll out and evolve.\u003C/p\u003E\r\n\u003Cp\u003ETech companies respond with privacy-protection initiatives\u003C/p\u003E\r\n\u003Cp\u003EIn addition to government regulations, large tech companies have been rolling out their own privacy-focused initiatives in recent years. Among the most controversial — and widely discussed — efforts is the ongoing shift around third-party cookies, an element that has been the backbone of the advertising industry since the 1990s.\u003C/p\u003E\r\n\u003Cp\u003EAfter years of announcements and delays, Google has opted to maintain third-party cookies in Chrome for now — no immediate cookie-apocalypse — but with tighter restrictions on access and usage expected in the future, including controls such as user consent.\u003C/p\u003E\r\n\u003Cp\u003EAccording to \u003Ca href=\"https://www.emarketer.com/content/chromes-new-path-privacy\" target=\"_blank\" rel=\"nofollow noopener noreferrer\"\u003EeMarketer\u003C/a\u003E, up to 87% of web traffic could soon be freed from third-party cookies once Google’s consent-based solution rolls out and Microsoft eliminates third-party cookies in its Edge browser. Meanwhile, major browsers such as Apple Safari and Mozilla Firefox have already made third-party cookies inaccessible.\u003C/p\u003E\r\n\u003Cp\u003EBut it’s not just about cookies. Both Google and Apple continue to roll out consumer privacy initiatives. For instance, Apple’s \u003Ca href=\"https://developer.apple.com/documentation/apptrackingtransparency\" target=\"_blank\" rel=\"nofollow noopener noreferrer\"\u003EApp Tracking Transparency\u003C/a\u003E (ATT), introduced in 2021, requires apps to obtain explicit user consent before collecting device identifiers for advertising purposes.\u003C/p\u003E\r\n\u003Cp\u003EUltimately, these changes are transforming the entire ecosystem of advertising "currencies."\u003C/p\u003E\r\n\u003Ch2\u003EData clean rooms: Where it all began\u003C/h2\u003E\r\n\u003Cp\u003EAround the time the first consumer privacy regulations were being introduced, another major shift was shaking up the advertising industry: Google announced it would stop sending log-level data back to advertisers.\u003C/p\u003E\r\n\u003Cp\u003EHere’s the issue: These logs are essential for advertisers to analyze campaign performance. Without access to this data, organizations are left flying blind, unable to optimize their strategies or budgets effectively.\u003C/p\u003E\r\n\u003Cp\u003ETo address this challenge, Google introduced \u003Ca href=\"https://cloud.google.com/blog/products/gcp/introducing-ads-data-hub-next-generation-insights-and-reporting\" target=\"_blank\" rel=\"nofollow noopener noreferrer\"\u003EAds Data Hub\u003C/a\u003E — a solution designed to allow advertisers to continue running analytics and reporting on their campaigns. The catch? Advertisers could no longer directly see or extract the log-level data. Instead, the platform provided a privacy-preserving environment for data analysis.\u003C/p\u003E\r\n\u003Cp\u003EThe term “next generation insights and reporting” was used at the time to describe this new approach — which would eventually become data clean room technology.\u003C/p\u003E\r\n\u003Ch2\u003EWhat is a data clean room?\u003C/h2\u003E\r\n\u003Cp\u003EIt’s hard to say exactly what causes a specific technology category to take off, but one sign it’s gaining traction is when it gets its own widely recognized acronym. Enter \u003Ca rel=\"noopener noreferrer\" href=\"https://www.snowflake.com/en/fundamentals/what-is-a-data-clean-room/\" target=\"_blank\"\u003Edata clean rooms\u003C/a\u003E, or DCRs.\u003C/p\u003E\r\n\u003Cp\u003EThe concept behind data clean rooms stems from the same challenge Google addressed with Ads Data Hub: enabling data collaboration between two parties without exposing the underlying data.\u003C/p\u003E\r\n\u003Cp\u003EFirst-party data is among the most valuable assets an organization owns, hence the sensitivity around making it accessible. Still, there are critical scenarios where analyzing data sets owned by different parties is essential.\u003C/p\u003E\r\n\u003Cp\u003EData clean rooms enable a secure, controlled environment that allows multiple organizations — or even business units within a single organization — to collaborate on sensitive or regulated data without compromising privacy.\u003C/p\u003E\r\n\u003Cp\u003EA key component of this configured protection is the use of \u003Ca href=\"https://www.snowflake.com/webinars/product-demo/enhancing-data-privacy-with-snowflake-horizon-what-to-do-when-you-cant-just-share-the-data-2024-10-17/\" target=\"_blank\" rel=\"nofollow noopener noreferrer\"\u003Eprivacy-enhancing technologies\u003C/a\u003E (PETs). These include methods such as \u003Ca href=\"https://www.snowflake.com/en/blog/unlock-sensitive-data-differential-privacy/\" target=\"_blank\" rel=\"nofollow noopener noreferrer\"\u003Edifferential privacy\u003C/a\u003E, aggregation and projection policies, and synthetic data generation.\u003C/p\u003E\r\n\u003Ch2\u003EWho are data clean rooms for, and what are the common use cases?\u003C/h2\u003E\r\n\u003Cp\u003EAs discussed earlier, data clean rooms initially gained traction in the advertising industry, particularly for measuring ad campaign performance without requiring the publisher to give direct access to granular data.\u003C/p\u003E\r\n\u003Cp\u003EOver time, the scope of collaboration expanded, involving various stakeholders with different roles in advertising initiatives:\u003C/p\u003E\r\n\u003Cul\u003E\r\n\u003Cli\u003E\u003Cp\u003E\u003Cb\u003EBrands: \u003C/b\u003EThey focus on acquiring new customers and driving revenue through paid advertising.\u003C/p\u003E\r\n\u003C/li\u003E\r\n\u003Cli\u003E\u003Cp\u003E\u003Cb\u003EPublishers and media networks:\u003C/b\u003E They aim to monetize their data and ad inventory.\u003C/p\u003E\r\n\u003C/li\u003E\r\n\u003Cli\u003E\u003Cp\u003E\u003Cb\u003EAgencies: \u003C/b\u003EThey support advertisers and publishers with campaign execution and strategy.\u003C/p\u003E\r\n\u003C/li\u003E\r\n\u003Cli\u003E\u003Cp\u003E\u003Cb\u003ETech vendors and data providers:\u003C/b\u003E They sell data, identity solutions and services such as integrations within the ad ecosystem.\u003C/p\u003E\r\n\u003C/li\u003E\r\n\u003C/ul\u003E\r\n","richText":true,":type":"snowflake-site/components/blog/blog-text"},"image":{"id":"image-93e1b9cfb3","alt":"Diagram of how a brand can use a data clean room to share information with other brands, tech vendors, data providers, and publishers and media networks through a data clean room.","lazyEnabled":true,"src":"https://www.snowflake.com/adobe/dynamicmedia/deliver/dm-aid--92246dd4-a02a-41a0-a164-d0f4ffb5b30e/data-clean-rooms-collaboration-parties.png?quality=85&preferwebp=true","height":"891","width":"1574",":type":"snowflake-site/components/image"},"quote_item":{"id":"quote-item-57aead2cf1","alignment":"left","layout":"card","quoteSourceName":"Nick Aluia","quoteSourceTitle":"Chief Product Officer, iSpot","showQuoteIcon":true,"quote":"“As an ad-centric measurement company, we are heavily invested in helping brands unify measurement across platforms and connect the dots throughout the lifecycle of a campaign from creative and audience to outcomes. Clean rooms have proven to be a great tool for our brand and publisher clients to make those insights actionable in a privacy compliant manner.\"\r\n","showHangingPunctuation":false,":type":"snowflake-site/components/quote-item"},"blog_text_465679575":{"id":"blog-text-19d058ce54","text":"\u003Cp\u003EThrough the partnerships formed among these stakeholders, typical advertising collaboration use cases now include:\u003C/p\u003E\r\n\u003Cul\u003E\r\n\u003Cli\u003E\u003Cp\u003E\u003Cb\u003EData enrichment and identity: \u003C/b\u003EPartners can enhance first-party data and increase addressability.\u003C/p\u003E\r\n\u003C/li\u003E\r\n\u003Cli\u003E\u003Cp\u003E\u003Cb\u003EStrategic planning: \u003C/b\u003EAdvertisers can decide where to spend ad budgets, and identify the most relevant audiences.\u003C/p\u003E\r\n\u003C/li\u003E\r\n\u003Cli\u003E\u003Cp\u003E\u003Cb\u003ECampaign activation: \u003C/b\u003EConsumers can be reached through direct or partner-supported channels.\u003C/p\u003E\r\n\u003C/li\u003E\r\n\u003Cli\u003E\u003Cp\u003E\u003Cb\u003EMeasurement and optimization: \u003C/b\u003EOrganizations can understand channel impact on conversions and refine their media spend.\u003C/p\u003E\r\n\u003C/li\u003E\r\n\u003C/ul\u003E\r\n\u003Cp\u003EFor example, \u003Ca href=\"https://www.snowflake.com/webinars/thought-leadership/how-booking-com-uses-snap-and-snowflake-data-clean-rooms-to-boost-performance-with-greater-transparency-2024-10-31\" target=\"_blank\" rel=\"nofollow noopener noreferrer\"\u003EBooking.com partnered with Snap using Snowflake Data Clean Rooms\u003C/a\u003E to measure campaign performance more effectively. This collaboration increased confidence in their results from under 20% to an impressive 99%.\u003C/p\u003E\r\n\u003Cp\u003EHowever, the potential of data clean rooms goes far beyond advertising and can reach other industries, as in the following examples:\u003C/p\u003E\r\n\u003Cul\u003E\r\n\u003Cli\u003E\u003Cp\u003E\u003Cb\u003EHealthcare: \u003C/b\u003EThe industry is accelerating drug research and development by enabling secure data analysis between labs and healthcare facilities without exposing sensitive information.\u003C/p\u003E\r\n\u003C/li\u003E\r\n\u003Cli\u003E\u003Cp\u003E\u003Cb\u003EFinancial services: \u003C/b\u003EOrganizations are accelerating fraud detection and improving credit scoring models while safeguarding customer data.\u003C/p\u003E\r\n\u003C/li\u003E\r\n\u003C/ul\u003E\r\n\u003Cp\u003EAdvertising is just the starting point for proving the value of this technology. As industries continue to recognize the benefits of secure, privacy-preserving data collaboration, we can expect broader industry adoption in the coming years.\u003C/p\u003E\r\n\u003Ch2\u003EHow do data clean rooms compare to other technologies?\u003C/h2\u003E\r\n\u003Cp\u003EA common misconception is that data clean rooms are the same as data-sharing technologies. Secure data-sharing solutions allow data owners to share their data sets with specific controls in place. The objective of data sharing is to provide access to the granular underlying data — a direct contrast to the purpose of data clean rooms, which are designed to prevent such access while enabling data analysis.\u003C/p\u003E\r\n\u003Cp\u003EAnother technology category often compared to data clean rooms is the customer data platform (CDP). While both rely on first-party data to deliver value, the similarities end there. CDPs focus on making a brand’s first-party data accessible for marketers and advertisers to orchestrate personalized customer experiences. However, CDPs lack the tools and measures needed to facilitate secure collaboration with external data owners.\u003C/p\u003E\r\n\u003Ch2\u003EHow does a data clean room work?\u003C/h2\u003E\r\n\u003Cp\u003EOnce a collaboration agreement is established between two or more parties, a data owner — referred to as the “data provider” — sets up a clean room environment. The data provider determines what data is accessible within the clean room and specifies the activities permitted on those data sets, such as audience overlap analysis or lookalike modeling.\u003C/p\u003E\r\n\u003Cp\u003EEach party involved in the collaboration retains full control over their data sets at all times. They can decide to grant or revoke data access as needed, ensuring their data remains governed and under their ownership.\u003C/p\u003E\r\n\u003Cp\u003EAfter the data sets are made accessible within the clean room, a matching process between them is required. Some data clean room technologies enforce the use of a specific identifier as the matching key, while others are agnostic, allowing the collaborators to agree on the matching criteria of their choice. Successful collaboration relies on an exact match of values for a designated data point (for example, a specific field) between the data sets.\u003C/p\u003E\r\n","richText":true,":type":"snowflake-site/components/blog/blog-text"},"image_1168436163":{"id":"image-c3ca2c4c0d","alt":"Diagram showing how collaboration between two parties in a Snowflake Data Clean Room can help you enrich, plan, activate and measure.","lazyEnabled":true,"src":"https://www.snowflake.com/adobe/dynamicmedia/deliver/dm-aid--66fb1883-cabe-469d-bd7f-dd61395e4226/data-clean-room-diagram2.png?quality=85&preferwebp=true","height":"688","width":"1679",":type":"snowflake-site/components/image"},"blog_text_1096995877":{"id":"blog-text-64cf93071b","text":"\u003Cp\u003ECollaboration in a clean room often concludes once the desired insights are obtained. However, in some scenarios, the clean room can enable activation of the resulting data set to a permitted channel.\u003C/p\u003E\r\n\u003Ch2\u003EData clean rooms alone aren’t enough\u003C/h2\u003E\r\n\u003Cp\u003EWhile data clean rooms facilitate secure data collaboration, it’s essential to remember that privacy isn’t achieved by deploying a single piece of technology. True privacy requires a comprehensive strategy that starts with the consumer.\u003C/p\u003E\r\n\u003Cp\u003EIf an organization wants to collaborate on data with other parties, obtaining consumer consent is nonnegotiable. To secure consent, organizations must prioritize transparency and ensure there’s a clear value exchange. Consumers today are increasingly aware of the value of their data and are far less likely to share it without understanding what they’re getting in return.\u003C/p\u003E\r\n\u003Cp\u003EEven with the advanced privacy and security technologies provided by data clean rooms, organizations need to establish robust data governance practices. These practices should govern every activity involving data access and usage to ensure compliance and maintain trust.\u003C/p\u003E\r\n\u003Ch2\u003ESnowflake Data Clean Rooms for data collaboration\u003C/h2\u003E\r\n\u003Cp\u003EThe Snowflake AI Data Cloud has been adopted by thousands of organizations to securely store and process their first-party data, including sensitive and regulated data sets. With its trusted infrastructure and unified governance model, Snowflake offers comprehensive compliance, security and privacy controls that are uniformly enforced.\u003C/p\u003E\r\n\u003Cp\u003E\u003Ca rel=\"nofollow noopener noreferrer\" href=\"https://www.snowflake.com/en/product/features/data-clean-rooms/\" target=\"_blank\"\u003ESnowflake Data Clean Rooms\u003C/a\u003E is a Snowflake Native App deployed on top of the AI Data Cloud, providing a privacy-preserving and trusted environment for data collaboration. Designed to support both technical and business teams, it can simplify secure collaboration without compromising data privacy.\u003C/p\u003E\r\n\u003Cp\u003EOrganizations choose Snowflake Data Clean Rooms not only because of its seamless integration within the Snowflake ecosystem but also for its unique advantages:\u003C/p\u003E\r\n\u003Cul\u003E\r\n\u003Cli\u003E\u003Cp\u003E\u003Cb\u003ENeutrality:\u003C/b\u003E Avoid conflicts of interest with an agnostic and neutral solution. Unlike alternative solutions, Snowflake doesn’t sell data, identity solutions or media, ensuring there are no conflicts of interest — making it a truly neutral option.\u003C/p\u003E\r\n\u003C/li\u003E\r\n\u003Cli\u003E\u003Cp\u003E\u003Cb\u003ETrustworthiness: \u003C/b\u003EAccelerate collaboration by leveraging the same technology trusted by leading publishers and industry experts for their clean room initiatives.\u003C/p\u003E\r\n\u003C/li\u003E\r\n\u003Cli\u003E\u003Cp\u003E\u003Cb\u003ECross-region and cross-cloud interoperability:\u003C/b\u003E Collaborate with partners using the cloud infrastructure of your choice — whether AWS, Microsoft Azure or Google Cloud.\u003C/p\u003E\r\n\u003C/li\u003E\r\n\u003C/ul\u003E\r\n\u003Cp\u003EAttend our virtual event, \u003Ca href=\"https://www.snowflake.com/accelerate/advertising-media-entertainment/?utm_cta=website-blog-dcr-101\" target=\"_blank\" rel=\"nofollow noopener noreferrer\"\u003EAccelerate Media and Entertainment\u003C/a\u003E, to learn more about the future of data collaboration. \u003C/p\u003E\r\n","richText":true,":type":"snowflake-site/components/blog/blog-text"}},":itemsOrder":["blog_text","image","quote_item","blog_text_465679575","image_1168436163","blog_text_1096995877"],":type":"wcm/foundation/components/responsivegrid"},"responsivegrid_premium_content_banner":{"gridClassNames":"aem-Grid aem-Grid--12 aem-Grid--default--12","columnClassNames":{"premium_content_bann":"aem-GridColumn aem-GridColumn--default--12"},"columnCount":12,"appliedCssClassNames":"snowflake-responsive-component-top-padding-medium",":items":{"premium_content_bann":{"id":"premium-content-banner-9b30a33bdb","contentEyebrow":"White Paper","contentHeadline":"Snowflake Data Clean Rooms for Publishers and Marketers","contentDescription":"Learn how Snowflake Data Clean Rooms help improve ad effectiveness while preserving privacy.","showImage":true,"image":{"id":"image","alt":"Image of arrows in a round 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