Date post: | 11-Nov-2014 |
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Business |
Upload: | joe-heitzeberg |
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Targeting
Targeting
• Targeting is about selecting the right audience for the advertisement. Users call this “relevance”.
• For ad-based businesses, that means knowing rour users very well so you can sell to the right advertiser and campaign at highest possible value.
• “Selecting the right audience is a much larger driver of value than is creative theme”
Demographic Targeting• This means defining audiences in terms of
‣ Age
‣ Gender
‣ Income
‣ Occupation
‣ Household size
• Works well for broad-interest advertisers (consumer electronics, travel, etc).
Contextual Targeting
• Placing ads on a page in relation to the content. Example: shampoo ads next to articles about hair care.
• Advertisers value the context, the location and the editorial environment in which their ads appear – i.e. association of the company’s brand with high quality content. This is why there is a reluctance to advertise on UGC sites.
Behavioral Targeting
• Learning about the audience by observing their visits across the web, then serving appropriate ads, regardless of context.
• Example: you visited an indie music site, a child care site and a site dedicated to researching BMW prices --> show the car ads on the child care site
Geographic Targeting
• Geotargeting = Serving ads to particular geographic areas.
‣ DMA (designated market zones)
‣ Area code
‣ Time zones
‣ Country, city, state, zip
‣ IP address
• Works best to drive people to local offers
Factoid: 27% of all searches are for local products and services.
Daypart Targeting
• Targeting based on the time of day or day of week
‣ morning commute radio ads
‣ 8pm - 10pm = prime time TV
‣ beer ads on friday afternoons
‣ lunchtime ads for KFC
Affinity Targeting
• Targeting the users of a particular site who are known to like the site more than other visitors.
• Example: running ads on fan sites
Purchase-Based Category Targeting
• Targeting ads based on detailed profiles assembled from watching the site visiting and spending habits of the audience.
‣ example: heavy shaving gel users tend to visit sport sites, online auction sites and automotive sites but not bulletin-board sites
Misc Targeting
• “The Roadblock” = buying up ad space such that people can not escape it
‣ ex-1: running an ad across all major network tv stations at the same time, so when flipping channels you can’t escape
‣ ex-2: running your banner ad on all major portals and media sites at lunch on friday
Reach and Frequency
Basics
• Reach = how many people you show the advertisement to
• Frequency = how many times you show the ad to them
‣ overexposing can lead to underperforming
‣ rule of thumb: effectiveness diminished somewhere between 4 and 10 exposures
• Don’t forget, high quality messages matter too, because dumb messages with huge reach and frequency don’t matter.
Definitions• Percent Reach: the percentage of individuals who visited a particular website among
the total number of individuals using the web during a given time period
• Planned impressions: the number of impressions in the media buy for the particular site during a given time period.
• Target impressions: the number of impressions in the media buy served to a particular audience at that site. Derived from total page views by that audience as a % of total pages.
• Percent planned / target impressions: number that shows the “demo conversion factor” for each entity
• Frequency: the number of ads the average person could be exposed to in a given time period
• Unique visitors delivered: the number of people in the target audience who will have the opportunity to see an ad at least once
• Percent reach delivered: the percentage of the target audience who will have the opportunity to see the online advertisement at least once.
• Average frequency: the number of ads the average person in the target audience is exposed to in a given time period
Managing Reach & Frequencyby balancing usage groups
• Balance heavy, medium and light users and ensure that heavy users don’t consume all the inventory
‣ Implication: advertisers spread their buy across many sites
‣ Implication: our effective inventory is lower if we spread it across the usage groups
Depth of visit
• Ads tend to get higher click-through rates when displayed as the first few pages of a person’s visit to the site