Marketecture Podcast Summary: "Blis CTO Aaron McKee on Location Intelligence and the Future of Omnichannel Advertising"
Release Date: May 27, 2025
Introduction
In the May 27, 2025 episode of the Marketecture Podcast, hosts Ari Paparo and Eric Franchi delve into the evolving landscape of advertising technology with Aaron McKee, the Chief Technology Officer of Bliss, recently acquired by T-Mobile. This insightful conversation explores Bliss's innovative approach to omnichannel advertising, emphasizing location intelligence over traditional cookie-based targeting.
Understanding Bliss: An Omnichannel Advertising Powerhouse
Aaron McKee introduces Bliss as an "omnichannel planning, buying, and measurement platform" (01:39). Unlike conventional Demand-Side Platforms (DSPs) that rely heavily on cookies and device IDs, Bliss leverages geographic data to achieve comprehensive audience reach. By utilizing geo as the primary lens, Bliss ensures effective targeting across various mediums, including iOS, Connected TV (CTV), Digital Out-of-Home (DOOH), and other challenging channels where traditional identifiers fall short.
Geo-Targeting vs. Cookie-Based Targeting
The discussion highlights the limitations of cookie-based targeting, especially in an era where privacy concerns are paramount and data access is increasingly restricted. McKee emphasizes the shift back to market-based strategies, reminiscent of traditional advertising methods:
"It harkens back to what advertisers used to do ages ago, looking at things from a market-based perspective." (02:57)
By focusing on zip codes, Bliss can reach full audiences at scale, including segments that previously resisted digital tracking methods. This approach not only broadens reach but also enhances performance by tapping into location-specific behaviors and demographics.
Data Accuracy and Enhancements
A critical aspect of Bliss's success lies in the accuracy of its geographic data. McKee explains that Bliss employs proprietary machine learning algorithms to refine raw GPS data:
"On average, the accuracy of a zip code resolution is within about two miles." (04:56)
While acknowledging that zip code targeting doesn't match the precision of zip+4 codes, Bliss compensates by validating inferred locations against precise GPS data, ensuring reliable targeting across various programmatic channels.
Customer Workflow: Planning, Targeting, and Optimization
Bliss's platform facilitates a seamless workflow for advertisers, encompassing planning, targeting, and optimization:
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Planning: Customers input their campaign briefs, whether aiming to outcompete a rival or launch a new product. Bliss's platform analyzes overlapping and unique audience segments using comprehensive data sets, including census demographics and purchasing behaviors.
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Targeting: The platform offers both binary targeting (specific zip codes) and weighted targeting, allowing advertisers to focus on high-potential areas or adopt broader strategies with nuanced filters.
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Optimization: Leveraging machine learning, Bliss optimizes media placement by identifying the best publishers, ad sizes, and timing to maximize conversions and minimize costs.
"We have some pretty special things that we do that allow us to punch above our weight." (11:18) — Aaron McKee
Comparison with Other DSPs
When compared to larger DSPs like Google and Amazon, Bliss distinguishes itself through its unique geo-focused approach and superior performance metrics. McKee shares impressive statistics demonstrating Bliss's effectiveness:
"We've delivered superior performance... 61% more conversions across every channel than those names we’re familiar with." (11:56)
This performance edge is attributed to Bliss's ability to reach audiences across diverse touchpoints without relying solely on traditional identifiers.
Frequency Capping Without Traditional IDs
Addressing concerns about frequency capping in a cookie-less environment, Bliss employs a technology called Flexi Capping:
"It uses a combination of signals to try to make sure that we don't over-deliver ads." (15:35)
Flexi Capping utilizes available identifiers when possible and falls back on network addresses or other contextual signals to prevent ad oversaturation, maintaining campaign effectiveness even without precise user IDs.
Advanced Measurement with Smart Holdout Groups
Measurement is a cornerstone of Bliss's offering, especially without traditional IDs. McKee introduces Smart Holdout Groups, a framework that ensures statistically robust measurement of campaign incrementality:
"It allows you to create a B zone—areas that you show ads to and areas that you don't show ads to—that controls for things that could affect the performance of your campaign." (16:46)
This method enables advertisers to assess the true impact of their campaigns by controlling for various demographic and behavioral factors, ensuring accurate attribution of results.
Regulatory Compliance
Operating in multiple jurisdictions, Bliss maintains stringent compliance measures to adhere to regulations like GDPR and sector-specific restrictions:
"Our system and our processes and our business teams understand what we can and can't do through each of those various lenses." (19:36)
This commitment ensures that Bliss can effectively serve clients across different industries without compromising on legal standards.
Lightning Round Insights
Ari Paparo engages Aaron McKee in a rapid-fire Q&A to uncover key elements of Bliss's strategy:
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Number One Competitive Advantage:
"The ability to reach audiences at scale, to deliver the full audience, no matter what device or screen they're on, and to drive really solid performance." (20:39)
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Number One Challenge:
"Doing something new and getting people to see what we're doing and to get excited about it." (20:51)
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Why Google, Amazon, and Others Won't Ultimately Win:
"There needs to be a unifying layer that allows you to reach an audience simply across every single touchpoint... partners like us that have something really unique to come to market." (23:27)
Future Outlook and Industry Positioning
McKee posits that while giants like Google and Amazon will remain influential, there is ample space for specialized players like Bliss that offer unique value propositions and open marketplace advantages. The focus on unifying diverse advertising channels through location intelligence positions Bliss as a pivotal player in the future of omnichannel advertising.
Conclusion
The episode concludes with a light-hearted analogy, likening Bliss to a raccoon:
"They're really clever and they find opportunities where a lot of other animals miss it." (24:48) — Aaron McKee
This comparison underscores Bliss's innovative and opportunistic approach in the advertising technology landscape. As Bliss continues to integrate with T-Mobile, its commitment to location intelligence and performance-driven advertising sets a new benchmark for the industry.
Listen to the full episode here or subscribe to the Marketecture Podcast for more in-depth discussions with leading technology executives.
