It’s the catch-22 that’s increasingly giving marketers a headache. Brits now spend 1 in 12 of their waking hours online, giving advertisers a greater chance of their ads being viewed. Yet at the same time, consumers are increasingly becoming switched off to online advertising because they’re being subjected to so many banner ads. So how can advertisers not only first grab the attention of their audience with an ad, but keep their attention right up to the point of purchase?
Casting the net too wide
With so many potential eyeballs online, many marketers are taking the simple route and opting for automation tools to scatter their display ads far and wide. Programmatic buying is one such tool. Just like a stock exchange, it relies on algorithms and automated systems to sift through great volumes of data and then bid for digital space on ad marketplaces in real-time. But by bucketing consumer data together and using broad, pre-packaged audience segments, marketers aren’t getting their ads in front of their desired audience every time. This means they’re wasting much of their digital ad spend by unintentionally displaying their ads in the wrong places.
Just because I’m a 20-something professional male doesn’t mean I’m in the market for a brand new sports car and so I’m unlikely to click through on a banner ad displayed on the web page I’m viewing. Marketers must remember that not every customer within an audience segment is the same, so they have to take a more targeted approach if they’re to stand a chance of increasing their conversion rates.
Marketers need to learn to treat their customers as individuals: not only tailoring their ad campaigns to their broad demographics, but also to their personal tastes and interests. Set algorithms are a good start, but marketers need to go deeper and use more granular-level targeting. By focusing on the quality, not quantity of consumer data, they will be empowered to segment audience groups down to an individual user level and target them more effectively.
Search Retargeting is a digital ad technique that uses an anonymous individual’s recent history on search engines likes Google, Yahoo! or Bing, or an on-site search box, to identify their intent to buy something. By then looking at the relationship between particular keyword phrases and other variables, like time lag between actions (recency), a relevant ad that corresponds to the user profile can be served.
This technique allows marketers to target people on a much deeper level. If marketers can serve consumers with ads that match up to their personal interests and recent search history, it will ramp up the chance of them clicking through and converting to a sale.
Making data more intelligent
Once you’ve boiled down your audience segments to an individual level, the next step is to decide when to target them. Ideally, you want to be serving them a display ad just before they make a purchase. Smart data and Search Retargeting are the perfect combination because they enable marketers to pin point consumers at the exact moment of purchasing intent. This method is far more likely to lead to a purchase because it allows marketers to intelligently deliver ads exactly when that individual is looking to buy.
Whilst the opportunity to get banner ads in front of an online audience is ever increasing, so too is the complexity of the ad-tech ecosystem. Savvy brands and agencies that act now and make smarter decisions about their consumer data will reap the rewards of increased conversion rates and improved ROI on each campaign.
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