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Data Clean Rooms and the Future of Privacy-First Advertising

  • Writer: Juan Pablo Sanchez-Guadarrama
    Juan Pablo Sanchez-Guadarrama
  • Dec 23, 2025
  • 4 min read

Introduction: Advertising After the Cookie


For over a decade, digital advertising relied heavily on third-party cookies to track users, measure performance, and optimize campaigns. That era is ending.

With Google moving forward on third-party cookie deprecation and regulators enforcing stricter privacy laws worldwide, marketers are being forced to rethink how they collect, share, and activate data. According to Google’s Privacy Sandbox initiative, the future of digital advertising must prioritize user privacy while still enabling measurement and relevancehttps://privacysandbox.com/


This shift has created an urgent question for brands:

How do we continue to grow without violating user trust or regulatory requirements?

The answer is not abandoning data—it’s using it responsibly. That’s where data clean rooms come in.

At Buo Tech, data clean rooms are not a compliance workaround. They are a strategic foundation for sustainable, privacy-first growth.



Why Privacy Has Become the Defining Constraint in Advertising


Regulation Changed the Rules


Privacy regulations are now global and enforceable. Laws such as:

  • GDPR (European Union)

  • LGPD (Brazil)

  • LFPDPPP (Mexico)

  • CCPA / CPRA (United States)

require companies to limit data use, gain explicit consent, and protect personal information.

According to the OECD, more than 70% of the global population is now covered by some form of data protection regulationhttps://www.oecd.org/digital/privacy/

Non-compliance is no longer theoretical—it carries real financial and reputational risk.


Consumers Are More Aware Than Ever


Privacy is also a consumer issue. A Pew Research Center study found that 81% of Americans feel they have little control over how companies collect and use their datahttps://www.pewresearch.org/internet/2019/11/15/americans-and-privacy-concerned-confused-and-feeling-lack-of-control-over-their-personal-information/

Trust has become a measurable brand asset. Brands that demonstrate transparency and restraint increasingly outperform those that do not.



What Is a Data Clean Room?


A data clean room is a secure, privacy-safe environment where multiple parties can analyze combined datasets without exposing raw or personally identifiable information.

In simple terms, it allows companies to answer important questions—without sharing sensitive data.


What Data Clean Rooms Do

  • Enable audience overlap analysis

  • Measure campaign performance and incrementality

  • Support attribution modeling

  • Allow secure collaboration between brands, platforms, and publishers


What Data Clean Rooms Do Not Do

  • They do not allow raw data exports

  • They do not reveal individual user identities

  • They do not permit unrestricted access to datasets


Only aggregated, anonymized insights leave the environment.

This model aligns with best practices recommended by organizations like the Interactive Advertising Bureau (IAB)https://www.iab.com/insights/data-clean-rooms/



Why Data Clean Rooms Matter in a Cookieless World


The Decline of Third-Party Identity


With browsers restricting cross-site tracking and mobile platforms limiting device identifiers, advertisers can no longer rely on universal IDs.

Google has stated that future advertising systems must rely on aggregation, anonymization, and on-device processing rather than individual trackinghttps://blog.google/products/chrome/privacy-sandbox-milestones/

Data clean rooms provide exactly that structure.


First-Party Data Needs Protection


Brands now rely on first-party data such as:

  • CRM records

  • Purchase history

  • App and website behavior

  • Loyalty program data

While this data is valuable, sharing it directly with partners creates compliance and security risks. Clean rooms allow collaboration without exposure.



How Data Clean Rooms Work (Step by Step)


1. Secure Data Ingestion

Each party uploads encrypted datasets into the clean room environment. No participant can see another party’s raw data.


2. Privacy-Safe Matching

Identifiers are hashed or encrypted. Privacy thresholds prevent analysis on very small audience segments, reducing re-identification risk.


3. Controlled Analysis

Approved queries can answer questions such as:

  • Did exposed users convert at a higher rate?

  • What was the incremental lift of this campaign?

  • How much audience overlap exists between platforms?


4. Aggregated Output Only

Only summarized insights are exported. No user-level data ever leaves the environment.

This structure is why the Association of National Advertisers (ANA) recommends clean rooms for modern measurementhttps://www.ana.net/content/show/id/clean-room-guidance



Key Use Cases for Data Clean Rooms


Incrementality Measurement

Clean rooms allow brands to measure true impact, not just correlation. By comparing exposed vs. control groups in a secure environment, marketers can determine whether advertising actually drove incremental results.

This approach is increasingly favored by platforms like Google Ads and Amazon Adshttps://advertising.amazon.com/library/guides/measurement-clean-rooms


Retail Media Collaboration

Retail media networks rely heavily on clean rooms to share insights with advertisers while protecting shopper privacy. This is especially important as retail media grows rapidly in Latin America.

According to eMarketer, retail media is now one of the fastest-growing digital ad channels globallyhttps://www.emarketer.com/content/global-retail-media-forecast


Privacy-Safe AI Training

Clean rooms can be used to train machine learning models on aggregated behavioral patterns without exposing personal data. This aligns with emerging research in privacy-preserving AIhttps://www.technologyreview.com/2023/03/15/privacy-preserving-machine-learning/



How Buo Tech Uses Data Clean Rooms

Privacy-by-Design Strategy

At Buo Tech, privacy is built into campaigns from the start. We assume:

  • No third-party cookies

  • Limited identifiers

  • Strict regulatory requirements

Clean rooms are integrated at the strategy phase—not added later as a fix.

Secure Partner Collaboration

When working with publishers, platforms, or retail networks, clean rooms allow Buo to extract insights without creating data risk for any party involved.

Smarter Optimization With Less Risk

By analyzing frequency, overlap, and lift inside clean rooms, Buo can optimize campaigns more aggressively—because compliance and security are maintained.



Case Study: Privacy-First Performance

A retail brand working with Buo Tech transitioned from cookie-based retargeting to a clean-room-driven strategy using first-party data.

Results included:

  • 21% increase in incremental conversions

  • 34% reduction in wasted impressions

  • Full compliance with regional privacy regulations

This confirms a key reality: privacy-first does not mean performance-last.



The Role of AI in Clean Room Environments

Aggregated Learning

AI models can learn from patterns and trends without accessing personal data. This approach is supported by research from MIT Technology Reviewhttps://www.technologyreview.com/topic/artificial-intelligence/

Federated Learning

Some clean rooms support federated learning, where models are trained locally and combined centrally—further reducing privacy risk while maintaining accuracy.



Challenges and Limitations

Data clean rooms are powerful, but they require:

  • Technical expertise

  • Clear governance frameworks

  • Alignment between partners

They also require a mindset shift—from collecting more data to asking better questions.

At Buo, we guide teams through this transition strategically.



The Future of Privacy-First Advertising


According to Gartner, by 2027 more than 80% of digital advertisers will rely on clean-room-style environments for measurement and collaboration


Privacy-first advertising will not be optional—it will be standard infrastructure.



Conclusion: Growth Without Compromise

The future of advertising belongs to brands that can grow responsibly.

Data clean rooms enable:

  • Secure collaboration

  • Accurate measurement

  • Ethical personalization

  • Sustainable performance


At Buo Tech, privacy is not a limitation—it’s a competitive advantage.

Ready to build privacy-first growth? Let’s talk.

 
 
 

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