“AdTech refers to the tools and systems that connect advertisers with publishers. This enables efficient ad buying and selling across online channels like social media, websites, and streaming platforms,” says LinkedIn Advertise. “The purpose is to help businesses reach the right audience with the right message while optimizing costs and outcomes. It helps create a sophisticated ecosystem that automates previously manual processes and enables precise targeting that traditional advertising methods can't match.”
In the healthcare sector, AdTech companies drive innovation and efficiency in marketing, patient engagement, and care delivery. Additionally, they use digital advertising tools to help healthcare organizations reach patients, improve access to care, and support public health.
Role of AdTech companies in healthcare
In the healthcare sector, advertising technology (AdTech) enables data-driven, targeted communication between healthcare organizations and patients. According to the study Privacy in targeted advertising: A survey, AdTech systems rely on a complex infrastructure of multiple intermediaries, such as advertisers, analytics providers, and ad networks, to deliver personalized advertisements based on user data. Its functions includes the following:
Enables targeted healthcare advertising
AdTech allows healthcare organizations to reach specific audiences by delivering personalized ads based on user behavior, demographics, and interests. This improves the relevance of healthcare messaging and patient engagement.
Relies on extensive data collection and tracking
These systems continuously collect data from websites, apps, and online interactions using tracking technologies. This data forms the basis for targeted advertising strategies.
Builds detailed user profiles
AdTech platforms aggregate and analyze user data to create profiles that reflect user interests and behaviors. In healthcare, this may include inferred health-related information.
Supports user segmentation and personalization
Users are grouped into categories based on behavioral patterns, allowing healthcare providers to tailor messages to specific audiences more effectively.
Facilitates real-time advertising ecosystems
AdTech enables real-time bidding and instant ad delivery by sharing data across multiple platforms, ensuring that the most relevant ads are displayed to users.
Improves campaign performance and engagement
Healthcare organizations can track user engagement and adjust campaigns dynamically, enhancing outreach and return on investment.
Related: Leveraging social media platforms for HIPAA compliant patient outreach
HIPAA compliant AdTech companies
Marketing in the healthcare industry is more complex than in other sectors because of its focus on ensuring HIPAA compliance. Here is a list of HIPAA compliant AdTech companies:
- Paubox
- Freshpaint
- SmartBot360
- NexHealth
- Google BigQuery
- Liine
- Podium
- Salesforce
- Keragon
- Yext
Benefits of using an AdTech company for healthcare marketing
A study published by the Journal of Artificial Intelligence Research and Applications found that the integration of AdTech platforms and Customer Data Platforms (CPDs) resulted in “substantial improvements in marketing efficiency.” These findings can be translated to other covered entities.
Here is how using an AdTech company for healthcare marketing offers numerous benefits, including:
- Targeted advertising: AdTech companies use advanced targeting techniques that can reach specific demographics, geographic regions, or individuals with particular health interests or conditions to ensure relevancy.
- Cost-effectiveness: AdTech platforms enable healthcare organizations to optimize their advertising spend by targeting only the most relevant audiences.
- Personalization: AdTech solutions allow for personalized communication with patients and healthcare consumers.
- Measurable results: AdTech companies provide robust analytics and reporting tools that allow healthcare organizations to track the performance of their marketing campaigns in real time.
- Enhanced patient engagement: AdTech platforms enable healthcare organizations to engage with patients across multiple digital channels, including websites, social media, mobile apps, and email.
- Compliance and privacy: Reputable AdTech companies prioritize compliance with healthcare regulations, such as HIPAA, GDPR, and CCPA, ensuring that patient data is handled securely and following the applicable privacy laws.
- Access to expertise: AdTech companies specialize in digital advertising technology and have deep expertise in optimizing marketing campaigns for healthcare organizations.
What PHI do AdTech companies handle?
- Demographic information: This includes data such as a person's name, address, date of birth, gender, and contact information, collected as part of targeted advertising campaigns or patient engagement initiatives.
- Behavioral and usage data: AdTech companies often collect behavioral data from digital interactions, such as website visits, search queries, app usage, and engagement with online content. While this data may not always directly reveal health information, it can be used to infer preferences, interests, and potential health-related behaviors.
- Geolocation information: Some AdTech platforms use geolocation data to target advertising based on a user's physical location, which could be relevant in healthcare marketing campaigns targeting specific geographic regions or local healthcare facilities.
Go deeper: What is protected health information (PHI)?
How to handle PHI
AdTech companies that handle PHI must take strict measures to comply with the Health Insurance Portability and Accountability Act (HIPAA). Here are some steps AdTech companies should take to handle PHI responsibly:
- Implement security measures: AdTech companies should implement robust security measures to protect PHI from unauthorized access or disclosure through the encryption of data both in transit and at rest, access controls, strong authentication mechanisms, regular security assessments, and vulnerability management.
- Train employees: All employees who may come into contact with PHI should receive training on HIPAA requirements, data security best practices, and their responsibilities for handling PHI.
- Execute business associate agreements (BAAs): AdTech companies that handle PHI on behalf of a covered entity or their business associate are considered business associates themselves under HIPAA. As such, they must enter into BAAs with the regulated entity outlining each party's responsibilities for protecting PHI.
- Limit data access and use: AdTech companies should restrict access to PHI to only those employees who require it to perform their job duties. This ensures compliance with HIPAA’s Minimum Necessary Standard.
- Monitor and audit access: Regular monitoring and auditing of PHI access and usage allow organizations to detect and respond to any unauthorized or inappropriate activities.
- Secure data transmission: AdTech companies should use secure channels and encryption protocols when transmitting PHI over networks or between systems to prevent interception or unauthorized access.
- Adhere to data retention policies: AdTech companies should establish and enforce data retention policies that specify the length of time PHI will be retained and the methods for securely disposing of it when no longer needed.
- Conduct risk assessments: Regular risk assessments should be conducted to identify potential security vulnerabilities, threats, and risks to PHI.
- Stay informed and updated: Stay informed about changes to HIPAA regulations, industry best practices, and emerging threats related to PHI security.
Related: FAQs: Protected health information (PHI)
Watch: Business associate agreements are important
Why choose Paubox as your AdTech solution in healthcare
When navigating the intersection of healthcare marketing and advertising technology (AdTech), choosing a platform that prioritizes both engagement and compliance is important. Paubox Marketing provides a solution that allows healthcare organizations to communicate efficiently with patients while maintaining strict data privacy standards.
In contrast to traditional AdTech platforms that rely on third-party tracking, cookies, and data sharing, Paubox focuses on secure, HIPAA compliant email communication. This makes it valuable in a healthcare environment where protecting patient information is not optional but a regulatory requirement.
Privacy-first approach to patient engagement
Paubox lets you communicate through secure email without using invasive tracking tools by enabling direct communication through secure email. This reduces the dependence on third-party data brokers and minimizes the risk of unauthorized data exposure.
HIPAA compliant communication by design
The platform is built to meet HIPAA requirements, ensuring that PHI is encrypted and securely transmitted without requiring complex workflows for patients or providers.
Improves patient trust and transparency
Healthcare organizations can build stronger relationships with patients who are increasingly concerned about how their data is used by avoiding traditional AdTech tracking methods.
Seamless and user-friendly experience
Emails sent via Paubox Marketing are delivered directly to patients’ inboxes without requiring logins or portals, making communication more accessible and increasing engagement rates.
Supports targeted communication without compromising privacy
While Paubox does not rely on behavioral tracking, it still allows segmentation based on consented and internally managed data, enabling healthcare providers to send relevant and timely information.
Reduces compliance and legal risks
Traditional AdTech ecosystems can expose healthcare organizations to compliance gaps. Paubox helps mitigate these risks by ensuring that all communications align with HIPAA standards.
Enhances marketing effectiveness ethically
Healthcare organizations can still run effective outreach campaigns, such as appointment reminders, health education, and wellness promotions, without compromising patient confidentiality.
See also: HIPAA compliant email marketing: What you need to know
FAQs
What challenges do AdTech companies face in the healthcare industry?
Some key challenges include:
- Ensuring compliance with privacy laws like HIPAA, GDPR, and CCPA.
- Balancing targeted advertising with patient confidentiality.
- Addressing consumer concerns about the use of sensitive health data.
- Navigating the restrictions on pharmaceutical and medical device advertising.
How do AdTech companies ensure HIPAA compliance?
To ensure HIPAA compliance, AdTech companies:
- Avoid using PHI without patient authorization.
- De-identify data to remove identifiers.
- Partner only with compliant platforms.
- Implement robust security and privacy measures.
What requirements does HIPAA have for marketing?
HIPAA sets requirements for marketing activities involving PHI. Covered entities generally need patient authorization before using PHI for marketing purposes, with some exceptions for communications about healthcare-related products or services within specific regulatory guidelines. Additionally, marketing communications must include clear opt-out mechanisms for patients who do not wish to receive further marketing messages.
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