Marketecture Podcast Summary: Episode 96 – Chris Paquette from DeepIntent Explains Programmatic for Healthcare

Release Date: November 1, 2024

Hosts: Ari Paparo and Eric Franchi
Guest: Chris Paquette, CEO of DeepIntent
Podcast Description: Hosted by industry experts Ari Paparo and Eric Franchi, the Marketecture Podcast delves into critical topics in advertising and marketing, featuring interviews with leading thinkers and covering the week’s most significant news.

1. Introduction to Healthcare Programmatic Advertising

Ari Paparo welcomes Chris Paquette, CEO of DeepIntent, to discuss the specialized field of programmatic advertising within the healthcare and pharmaceutical sectors.

Quote:
Ari (00:00): "We're going deep on healthcare. We have Chris Paquette, the CEO of DeepIntent, which is a specialized DSP that focuses on pharma and healthcare."

2. The Evolution of Healthcare Digitization

Chris Paquette elaborates on the significant transformation in the healthcare industry, particularly the digitization of health records propelled by the Health Information Technology for Economic and Clinical Health (HITECH) Act during the Obama administration. This shift laid the groundwork for advanced data utilization in healthcare applications.

Quote:
Chris Paquette (03:18): "There was a pretty big renaissance that happened in the healthcare space. ... with machine learning, pattern recognition, building applications that are truly data-driven."

3. Navigating HIPAA and Data Utilization

Ari raises concerns about data privacy under HIPAA, questioning the extent to which healthcare marketers can leverage available data. Chris clarifies that while HIPAA imposes strict regulations on patient-level data, there are compliant methods to utilize de-identified data for marketing purposes.

Quote:
Chris Paquette (04:45): "All patient level data is covered under HIPAA... there are data points like medical claims data that are de-identified and can be used within regulatory guidelines."

4. Targeting Strategies in Healthcare Marketing

The discussion shifts to the unique targeting needs in healthcare marketing, where marketers must reach both healthcare providers and patients. Chris emphasizes the complexity and necessity of specialized platforms like DeepIntent to effectively coordinate messaging to these dual audiences.

Quote:
Chris Paquette (08:03): "You're marketing actually to two audiences... the provider as well as the patient. ... doing it with a concurrent and similar message, we actually do see performance goes up."

5. Attribution Challenges and Measurement Solutions

Ari inquires about the challenges of attributing marketing efforts in healthcare, especially when actions like prescription writing are influenced indirectly by advertisements. Chris explains that DeepIntent employs secure, HIPAA-compliant data clean rooms to link impression-level data with prescription outcomes without compromising individual privacy.

Quote:
Chris Paquette (09:34): "We push impression level data into a clean room and can score and evaluate whether these patients end up going on to a script or not."

6. Programmatic Advertising vs. Direct Buys

The conversation explores the advantages of programmatic advertising over traditional direct buys, particularly in the context of emerging channels like Connected TV (CTV). Chris highlights how programmatic platforms like DeepIntent are increasingly facilitating premium inventory purchases that were previously handled through direct deals.

Quote:
Chris Paquette (13:11): "Programmatic activation is melding with direct buys... setting up private marketplaces even for the more premium inventory."

7. Competition with Mainstream DSPs

Ari probes into DeepIntent’s competitive landscape, questioning whether they contend with major DSPs like The Trade Desk. Chris asserts that DeepIntent’s specialization in healthcare provides them with nuanced capabilities that generalist DSPs often lack, positioning them as strong competitors within their niche.

Quote:
Chris Paquette (15:21): "Healthcare platforms, given all the complexities, tend to outperform generalist DSPs... we're really competing with those larger scaled DSPs in a very meaningful way."

8. DeepIntent’s Acquisition Attempt and Regulatory Hurdles

Ari brings up the attempted acquisition of DeepIntent by IQVIA and the subsequent government intervention that halted the deal. Chris shares insights into the antitrust challenges faced, critiquing the market definitions used by regulators and expressing his views on the impact of such interventions on the company’s strategic direction.

Quote:
Chris Paquette (17:32): "The FTC was using a market definition that was sub-selected for healthcare providers and programmatic advertising... we made the mutual decision to walk away to focus on business."

9. Future Outlook and Industry Trends

In closing, Chris anticipates an engaging year ahead for ad tech, with significant innovations and potential consolidations on the horizon. He underscores the importance of data integration and measurement capabilities as key drivers of future success in the programmatic advertising landscape.

Quote:
Chris Paquette (26:13): "Feels like 2025 is going to be an interesting year... especially in the first half with a lot of pent-up activity from the last couple of years."

Key Takeaways:

• Specialization Matters: DeepIntent’s focus on healthcare allows for tailored solutions that address the industry's unique challenges, differentiating them from general DSPs.

• Data Compliance is Crucial: Navigating HIPAA regulations requires robust processes to ensure data is de-identified and used responsibly, enabling effective marketing without compromising privacy.

• Dual Audience Targeting: Successful healthcare marketing necessitates reaching both providers and patients, necessitating sophisticated platform capabilities.

• Programmatic Flexibility: The merging of programmatic and direct buys, especially in premium channels like CTV, offers enhanced opportunities for targeted and efficient ad placements.

• Regulatory Landscape Impact: The halted acquisition by IQVIA highlights the significant role of regulatory bodies in shaping the strategic movements within the ad tech and healthcare marketing sectors.

Conclusion

Episode 96 of the Marketecture Podcast provides an in-depth exploration of programmatic advertising within the healthcare and pharmaceutical industries, featuring expert insights from Chris Paquette of DeepIntent. The discussion underscores the importance of specialization, data compliance, and innovative targeting strategies in navigating the complex landscape of healthcare marketing.

For those interested in leveraging programmatic advertising in regulated industries, this episode offers valuable perspectives and actionable insights.

Listen to the full episode here.