The ability to target specific types of customers on social media is crucial for getting the most out of a marketing budget. With the release of iOS 14.5, Apple made that more challenging. Alex Song is the founder and CEO of Proxima, a data intelligence technology that provides customized data sets that will help businesses acquire customers more efficiently and effectively on social media platforms.
- Startup Savants is a business podcast that tells the stories behind up-and-coming startups.
- Alex Song joins Startup Savants to talk about his startup Proxima.
- Proxima is a data intelligence technology that provides customized data sets that will help businesses acquire customers more efficiently and effectively on social media platforms.
60 Million Unique Personas
During his interview with Startup Savants, Alex said that in iOS 14.5, instead of automatically allowing applications to track users’ behavior unless they opt out, users now have to opt in by clicking a button.
According to Alex, 80% of people opt out of being tracked, which makes it hard for companies to specifically target ads based on consumer behavior. It also makes it less clear how effectively advertising dollars are being spent.
To help companies navigate this challenge, Proxima has proprietary access to more than 60 million “unique personas” that include anonymized purchasing data. These personas allow the company to build customized data sets. These data sets can help businesses improve the targeting of their ads on Facebook, Instagram, Tik Tok, and other social media platforms. Proxima claims an advertising spend that, on average, is 30% to 40% more efficient than standard campaigns.
“We’ve been able to help combat some of the challenges caused by iOS 14.5, arguably the biggest problem in technology over the past 12 months,” he said. “And we’re very proud to be helping over 50 clients navigate these troubled waters to find more efficient acquisition in a very challenging time.”
Engaging Users
During his interview, Alex said that Proxima indirectly benefits users by helping companies develop more relevant and engaging ads.
“You hear this movement towards engagement, meaning the social ad platforms today are much more focused on entertaining you, keeping you on the platform as long as possible,” he said. “In order to keep them engaged, you need to keep putting out relevant creative content. And by mixing in advertising that’s more relevant, everyone will have a better experience. And the truth is, right now, from an advertising perspective, it is less effective, less relevant for the average consumer like us.”
Alex’s goal is for Proxima to become nothing less than “the essential acceleration platform for all digital businesses.”
“That is [the] big, hairy, audacious goal that we want to strive for,” he said. “It’s become especially important to us being that we were solving our own pain points in the very beginning as digital business founders. And now it’s taken on this desire to continue to expand anywhere our clients need help growing.”
Alex said Promixa’s main opportunity is on social media platforms because that’s where companies are currently having the most trouble coming up with effective advertising campaigns. “But we want to go everywhere where our clients need support to grow … making sure that we are solidifying our data, which is at the core of the foundation that allows us to go anywhere our clients need us,” he said. “And then from there, making sure that we build the software and the technology that allow us to be effective and provide the differentiated value that makes us essential to our clients.”
Startup Savants Podcast
The Startup Savants podcast is a business podcast created by The Really Useful Information Company (TRUiC). Listeners can hear the stories behind startups, as told by their founders, that are in the midst of growing their companies.
Ethan, an entrepreneur, and Annaka, a branding expert, host the Startup Savants podcast. They bring disparate skills and life experiences to their interviews, providing listeners with important business insights and a holistic perspective on the startup ecosystem.
Hear from a variety of real startup founders from around the globe and with varying backgrounds, making their startup idea a reality. Learn from experts sharing their industry knowledge on venture capital, securing funding, and more on the Startup Savants podcast.
Final Thoughts
In his interview on Startup Savants, Alex Song discusses his journey in founding Proxima. He talks about the challenges advertisers face on social media and other platforms and how his company can help them create engaging, targeted ads that don’t run afoul of privacy laws.
You can find the Startup Savants podcast on Apple Podcasts, Spotify, or wherever you listen to podcasts.
