AdMedia Explains Why Precise Messaging Is So Important and How You Can Achieve It
Consumers are frequently targeted with competing advertising messages. From their social media feeds to their favorite websites, customers have learned to tune out ads that don’t hold their interest visually. As a result, it is even more critical for advertisers to target their messages to the precise customers they want to reach.
The Los Angeles, CA firm AdMedia, Contextual Targeting Advertising expert, provides a unique service by helping companies select their ideal consumer and meeting this customer at essential decision points throughout the buying journey. This article will explain how the company’s contextual targeting advertising works and why it is important to create value-added consumer messages.
How Does Targeted Advertising Work?
The company has a sophisticated system for targeting consumers with relevant, exciting ads. Its data-driven algorithms draw information from customer behavior, previous purchases, and browsing history to determine the proper placement of advertisements.
The algorithm works through the power of machine learning and artificial intelligence. When the algorithm is fed large amounts of consumer data, it can sift through it and discover related points where customers can be found.
Supervised machine learning comes with criteria that the computer is looking for to answer the user’s questions. For example, Netflix and other streaming video and audio websites like Spotify use this type of machine learning to create their increasingly accurate recommendation engines. Machine learning algorithms can pick out the specific characteristics of a customer and discover how they have behaved online, increasing the likelihood of advertising success.
The company’s algorithm analyzes particular interest signals, including behavioral activity and search terms. Contextual mapping is then used to discover the framework in which the consumer is prepared to act.
The company’s targeting algorithms can also track how a user behaves on Facebook and use that information without actually buying ads on the platform. Since many people use Facebook to research products today, this is a highly effective method of targeting an advertisement.
How Effective is Targeted Advertising?
A study published in the Journal of Consumer Research and cited in the Harvard Business Review found that targeted advertising increased consumers’ likelihood of buying an item. Up to a point, consumers like knowing that they are meeting discerning characteristics, and they will take away some effect on their self-image.
Researchers discovered that ads that tracked a consumer’s previous purchases were more likely to produce a sale. Consumer trust was also a large part of the puzzle.
Advantages of Customer Targeting
Targeting ads to particular population segments allows advertisers to cut through the clutter of today’s crowded online landscape. Customers are constantly being fed advertising messages, and they have become adept at mentally blocking them out if they are not relevant or interesting.
Customer targeting enables advertisers to focus their campaign dollars only on the population segments that may buy a product rather than on people who have little to do with these interests. For example, a makeup company may want to advertise to women who have previously purchased these products on other sites. Targeting advertising in this way not only saves money but also produces increased returns on investment.
The company’s marketing messages are highly targeted to the consumer’s behavior and characteristics. They are shown ads for items that they recently researched and considered buying, calling back to their recent behavior and reminding them that they have a need for that item.
A spokesperson for AdMedia commented, “Our proprietary technology stack allows us to be agile and deliver best-of-breed solutions ranging from foundational to growth products to continually improve ROI for our enterprise advertisers across our product portfolio of 27 products and counting. Products on the roadmap are focused on PPC tactics including search, shopping, and omni-channel.”
Ads are especially effective when consumers are about to purchase an item. The late stages of the decision process are one of the best places to target an advertisement.
Disadvantages of Customer Targeting
Advertisers need to watch out and ensure that their messages are not perceived as too “creepy” or intrusive. This can happen when an algorithm infers something about a customer’s life that they have not explicitly revealed online. A famous example is Target’s previous advertising process that revealed a teen’s pregnancy to her father through pregnancy and baby-related direct mail. The algorithm found that when customers purchased twenty specific items from Target, they were likely to be pregnant. The accuracy of this marketing information does not excuse its intrusiveness.
The company prides itself on serving relevant ads without triggering customers’ distrust. Its proprietary algorithms are transparent, basing their information on readily available information, and do not make inferences about a customer’s life offline.
The Importance of Targeting Advertisements
When non-targeted ads are served online, they become part of the visual clutter that clogs most people’s online experience. On the other hand, a finely targeted ad with useful, relevant information can cut through the noise and ensure that the right consumers receive your company’s message.
Contextual advertising is the wave of the future, and AdMedia can help your company leverage its many advantages. Contact the company today for help with your targeted ad strategy.
