Targeted advertising helps you “hit” the right target audience. When setting up your ads, you can specify dozens of parameters. Gender, age, marital status, income level, interests, even the location of the people to whom your ad will be shown.
The goals and objectives of targeted advertising
Consider the purposes for which targeting advertising can be used.
Increasing recognition. This goal is appropriate if your company is concerned with brand development, wants to broadcast its values to the audience, or simply – to make a product that is not yet known to anyone recognizable.
Improve the quality and frequency of customer contact. Allows you to target people who already know about your company or product. This goal is appropriate, for example, if you are launching a new product line or opening a new chain establishment.
Increase in sales. This goal is achieved with the help of performance marketing, in which an important role is given to targeting advertising. Together with other tools, it allows you to achieve clear, measurable indicators.
Contact with the audience. Targeted advertising is set up for a specific target audience with the right parameters, who are already interested in buying your product or service.
Testing different audiences. In this case, you can divide your audience into segments (say, single, married and families with children), set up on each group targeted ads and test their effectiveness (conversion rate).
How targeting works
The accuracy (and effectiveness) of targeting is based on the collection of user information. There is no magic in it: when someone signs up to a social network (for example, Facebook) – he fills in the profile data: year of birth, place of residence, gender, marital status, etc..
All this data is collected by the system in one large database (with the user’s permission, of course). And when you create a campaign in the advertising cabinet – in the targeting settings to specify the business parameters of interest: the same sex, age, place of residence, etc.. So advertising will be shown only to those users who are interested in it.
Advantages of targeting advertising
These include:
Precise targeting. Your ads will be shown to the CA, whose size (coverage) you define yourself, by specifying in the advertising settings the criteria you want. By setting the values of age, gender, marital status, hobbies and other parameters, you are clearly delineating the circle of people who can see your targeting ads and become interested in your proposal.
Personalization. As a rule, the CA of any product can be divided into narrower segments. In each segment – identify people’s preferences, requests or pains. And create a personalized ad based on these parameters. By changing the headline, images (creatives), and text summaries – you can get the most accurate targeting in the expectations of the audience of each segment.
Testing and optimization. Each ad campaign allows you to change its content on the fly, based on real-time impressions statistics collected. You can change the headline and audience parameters, or even turn off ads if they cost too much to run (as compared to other ad variants). And if the cost of impressions is low – you can also increase the budget on the fly and get more leads.
It’s easy to find customers. Even without registered groups in social networks, with the help of some platforms (like myTarget), you can easily find your audience. You can find clients in communities of interest, identify and “borrow” your competitors’ audience, set up targeting on people with specified parameters (and those who are similar to them). Targeted advertising platforms provide all the opportunities for businesses to sell their products quickly and easily.
Types of Targeted Advertising
In addition to ad formats (there are quite a few), targeting is distinguished by “targeting” settings, i.e. – by the categories to which advertising is adjusted. The main ones are:
Sociodemographic metrics. This is the “basis” of any ad settings, because this is where you specify gender, age, marital status, income and other important data.
Geography (regionality). Here you can set up not only the exact location (down to the neighborhood or even street), but also the locations that the user has recently visited or where they are regularly. This setting works especially well with physical outlets (stores, cafes, etc.).
Behavioral factors. The service allows you to tune in to people with certain online behavior. For example, those who frequently visit some sites or make online purchases. You can also “pull” those who are already interested in your or similar products (typed them into the search).
