Ad Targeting: Why It Will Always Be The Focus Of Advertising Technology

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Last updated on
31st May, 2022
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24th Mar, 2017
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Ad Targeting: Why It Will Always Be The Focus Of Advertising Technology

Businesses have limited marketing budget at their disposal. Marketers are charged with the challenging task of ensuring allocation of marketing budget in such a way that it converts customers and delivers sustainable profits to business. Marketers, in order to ensure that their ads are being served to the right customers, need to have in place the right knowledge about their customers.

The marketing team should be able to understand their product well enough and also be able to identify at the very beginning that their target audience is. This is marketing 101. According to a research done by Forbes, marketing executives see the value of up-and-coming technologies that enable brands to target exact audiences with the right messaging and to validate reach and effectiveness.

Digital marketing offers a plethora of opportunities to aptly target your audience. With the proliferation of social media, digital marketers are taking to channels like Facebook, Twitter or Instagram, etc. to reach out to audiences. The best part about such channels is that they offer marketers effective ways to connect with target audience through a number of pre-defined criteria.

Digital marketing offers marketers to tap into the right audience base by customizing criteria. Most ad platforms and Ad Server Solutions offer marketers ad tools to that allow marketers to control who their ads are served to, the time ads are showcased and even the number. Through a variety of targeting techniques that includes targeting based on geography, time, online behaviour and psychographic factors, marketers can aptly ensure that their ads are being served only to the relevant target audience who are most likely to convert. Ad targeting can render several advantages to your business.

Ads are generally seen to be a nuisance by users. This can become especially prominent if your ads are displayed to the wrong people. Pop-ups or other flashy ads can annoy users. It is important to show your ads to only those people who may find value in your ads. Displaying ads to the wrong set of audience not only increases your cost and brings down your ROI, but may also negatively impact your brand. Ads need to appear as an organic part of the online page so that users don’t find them intrusive and be able to derive value when they click on them.

With targeted ads, you know that you are reaching out to only those people who are most likely to click on them. If you have business that runs only in USA, would you want it to be blast to people in Australia? No. It doesn’t make sense. With ad targeting, you can control your geographical location and ensure that your ads are only being shown to whom you want and no one else. This increases the likelihood of getting more clicks-through.

Another significant advantage that ad targeting renders is that it helps to reduce unnecessary clicks, and increases ROI. If your model is such that you pay to the platform for every click you get, it of utmost importance to ensure that every click is an opportunity for conversion. Wrong groups of users clicking on your ad and not converting means you are paying for a lost cause. Thus, to make sure you have a tight control on who clicks and who does not, ad targeting becomes a prime factor to help achieve this.

Looking from a different perspective, ad targeting helps you enhance your revenue earning capability. If your digital asset is known for garnering high amount of relevant click-through, advertisers will flock to you and will be ready to pay even a high amount for placing their ads on your website or page.

Ad targeting is a win-win for all. It helps advertisers reach out to specific audience groups. For publishers, ad targeting enables them to earn better revenues and for end users, a chance to interact with brands that can add value.

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Samantha Robin

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Samantha, as a research and development blogger has more than 5 years of experience in writing blog posts that gives great insights to readers about the current trends in supply chain management solutions sector. She tries to make the world just a bit more pleasant enough by working on strategies that would help them prevent and create more awareness on SCM. Connect to know more