Contextual ad targeting paves the way for new opportunities
Advertisers and marketers are always looking for ways to remain competitive in the current digital landscape. The challenge of signal loss continues to prompt marketers to rethink their current and future strategies. With many major browsers phasing out support for third-party cookies due to privacy and data security concerns, marketers will need to find new ways to identify and reach their target audience. Contextual ad targeting offers an innovative solution; a way to combine contextual signals with machine learning to engage with your consumers more deeply through highly targeted accuracy. Contextual advertising can help you reach your desired audiences amidst signal loss – but what exactly is contextual advertising, and how can it help optimize digital ad success?
In a Q&A with our experts, Jason Andersen, Senior Director of Strategic Initiatives and Partner Solutions with Experian, and Alex Johnston, Principal Product Manager with Yieldmo, they explore:
- The challenges causing marketers to rethink their current strategies
- How contextual advertising addresses signal loss
- Why addressability is more important than ever
- Why good creative is still integral in digital marketing
- Tips for digital ad success
By understanding what contextual advertising can offer, you’ll be on the path toward creating powerful, effective campaigns that will engage your target audiences.
Check out Jason and Alex’s full conversation from our webinar, “Making the Most of Your Digital Ad Budget With Contextual Advertising and Audience Insights” by reading below. Or watch the full webinar recording now!
Macro impacts affecting marketers
How important is it for digital marketers to stay informed about the changes coming to third-party cookies, and what challenges do you see signal loss creating?
Jason: Marketers must stay informed to succeed as the digital marketing landscape continuously evolves. Third-party cookies have already been eliminated from Firefox, Safari, and other browsers, while Chrome has held out. It’s just a matter of time before Chrome eliminates them too. Being proactive now by predicting potential impacts will be essential for maintaining growth when the third-party cookie finally disappears.
Alex: Jason, I think you nailed it. Third-party cookie loss is already a reality. As regulations like the General Data Protection Regulation (GDPR) and the California Consumer Privacy Act (CCPA) take effect, more than 50% of exchange traffic lacks associated identifiers. This means that marketers have to think differently about how they reach their audiences in an environment with fewer data points available for targeting purposes. It’s no longer something to consider at some point down the line – it’s here now!
Also, as third-party cookies become more limited, reaching users online is becoming increasingly complex and competitive. Without access to as much data, the CPMs (cost per thousand impressions) that advertisers must pay are skyrocketing because everyone is trying to bid on those same valuable consumers. It’s essential for businesses desiring success in digital advertising now more than ever before.
Contextual ad targeting: A solution for signal loss
How does contextual ad targeting help digital marketers find new ways to reach and engage with consumers? What can you share about some new strategies that have modernized marketing, such as machine learning and Artificial Intelligence (AI)?
Jason: We’re taking contextual marketing to the next level with advanced machine learning. We are unlocking new insights from data beyond what a single page can tell us about users. As third-party cookies go away, alternative identifiers are coming to market, like RampID and UID2. These are going to be particularly important for marketers to be able to utilize.
As cookie syncing becomes outdated, marketers will have to look for alternative methods to reach their target audiences. It’s essential to look beyond cookie-reliant solutions and use other options available regarding advertising.
Alex: I think, as Jason alluded to, there’s a renaissance in contextual advertising over the last couple of years. If I were to break this down, there are three core drivers:
- The loss of identity signals. It’s forcing us to change, and we must look elsewhere and figure out how to reach our audiences differently.
- There have been considerable advances in our ability to store and operate across a set of contextual signals far more extensive than anything we’ve ever worked with in the past and in far more granular ways. That’s a huge deal because when it comes to machine learning, the power and the impact of those machine learning models are entirely based on how extensive and granular the data set is that you can collect. Machine learning can pull together critical contextual signals and figure out which constellations, or which combinations of those signals, are most predictive and valuable to a given advertiser.
- We can tailor machine learning models to individual advertisers using all those signals and find patterns across those in ways that were previously impractical or unfeasible. The transformation is occurring because of our ability to capture much more granular data, operate across it, and then build models that work for advertisers.
Addressability: Connect your campaigns to consumers
How does advanced contextual targeting help marketers reach non-addressable audiences?
Jason: Advanced contextual targeting allows us to take a set of known data (identity) and draw inferences from it with all the other signals we see across the bitstream. It’s taking that small seed set of either, customers that transacted with you before that you have an identity for, or customers that match whom you’re looking for. We can use that as a seed set to train these new contextual models. We can now look at making the unknown known or the unaddressable addressable. So, it’s not addressable in an identity sense, it is addressable in a contextual or an advanced contextual sense that’s made available to us, and we can derive great insight from it.
One of the terms I like to use is contextual indexing. This is where we take a set of users we know something about. So, I may know the identity of a particular group of households, and I can look at how those households index against any of the rich data sets available to us in any data marketplace, for example, the data Yieldmo has. We can look at how that data indexes to those known users to find patterns in that data and then extrapolate from that. Now we can go out and find users surfing on any of the other sites that traditionally don’t have that identifier for that user or don’t at that moment in time and start to be able to advertise to them based on the contextually indexed data.
Historically, we’ve done some contextual ad targeting based on geo-contextual, and this is when people wanted to do one to one marketing, and geo-contextual outperformed the one to one. But marketers weren’t ready for alternatives to one to one yet. We want marketers to start testing these solutions. Advertisers must start trying them, learning how they work, and learn how to optimize them because they are based on a feedback loop, and they’re only going to get better with feedback.
Alex: Jason, you described that perfectly. I think the exciting opportunity for many people in the industry is figuring out how to reach your known audience in a non-addressable space, that is based on environmental and non-identity based signals, that helps your campaign perform. Your known audience are people that are already converting – those who like your products and services and are engaged with your ads. Machine learning advancements allow you to take your small sample audience and uncover those patterns in the non-addressable space.
It’s also worth noting that in this world in which we are using seed audiences, or you are using your performing audiences to build non-addressable counterpart targeting campaigns, having high-quality, privacy-resilient data sets becomes incredibly important. In many cases, companies like Experian, who have high quality, deep rich training data, are well positioned to support advertisers in building those extension audiences. As we see the industry evolve, we’re going to see some significant changes in terms of the types of, and ways in which, companies offer data, and make that available to advertisers for training their models or supporting validation and measurement of those models.
Jason: Addressable users, the new identity-based users, are critical to marketers’ performance initiatives. They’re essential to training the models we’re building with contextual advertising. Together, addressable users and contextual advertising are a powerful combination. It’s not just one in isolation. It’s not just using advanced contextual, and it’s not just using the new identifiers. It’s using a combination to meet your performance needs.
It’s imperative to start thinking about how you can begin building your seed audiences. What can you start learning from, and how do you put contextual into play today? You are looking to build off a known set and build a more advanced model. These can be specialized models based on your data. You can hone in and create a customized model for your customer type, their profile, and how they transact. It’s a greenfield opportunity, and we’re super excited about the future of advanced contextual targeting.
Turn great creative into measurable data points
Why does good creative still play an integral part in digital advertising success?
Jason: Good creative has always been meaningful. It’s vital in getting people to click on your ad and transact. But it’s becoming increasingly important in this new world that we’re talking about, this advanced contextual world. The more signal that we can get coming into these models, the better. Good creative in the proper ad format that you can test and learn from is paramount. It comes back to that feedback loop. We can use that as another signal in this equation to develop and refine the right set of audiences for your targeting needs.
Alex: If you imagine within the broader context of identity and signal loss, creative and ad format becomes incredibly powerful signals in understanding how different audiences interact with and engage with different creative. In the case of the formats that serve on the Yieldmo exchange, we’re collecting data every 200 milliseconds around how individual users are engaging with those ads. Interaction data like the user scrolling back or the number of pixel seconds they stay on the screen, fills this critical gap between video completes and clicks. Clicks are sparse and down the funnel, and views and completes are up the funnel. All those attention and creative engagement type metrics occupy the sweet spot where they’re super prevalent, and you can collect them and understand how different audiences engage with your ads. That data lets you build powerful models because they predict all kinds of other downstream actions.
Throughout my career, I learned that designing or tailoring your creative to different audience groups is one of the best ways to improve performance. We ran many lift studies with analysis to understand how you can tailor creative customized for individual audiences. That capability and the ability to do that on an identity basis is starting to deteriorate. The ability to do that using a sample of data or using a smaller set of users, either where you’re inferring characteristics or you’re looking at the identity that does exist in a smaller group, becomes powerful for being able to customize your creative to tell the right story to the right audience. When you layer together all the interaction data collected at the creative level on top of all the contextual and environmental signals, you can build powerful models. Whether those are driving proxy metrics, or downstream outcomes, puts us in a powerful position to respond to the broader loss of identity that we’ve relied on for so many years.
Our recommendations for marketers for 2023 and beyond
Do you have recommendations for marketers building out their yearly strategies or a campaign strategy?
Jason: Be proactive and start testing and learning these new solutions. I mentioned addressability and being in the right place at the right time. That’s easier in today’s third-party cookie world. But as traditional identity is further constricted, you will have these first-party solutions that will not be at scale, so you’re less likely to find your user at the scale you want. It would be best if you thought about how to reach that user at the right place at the right time. They may not be seen from an identity basis. They might not be at the right place at the right time when you were delivering or trying to deliver an ad. But you increase your chance of reaching them by building these advanced contextual targeting audiences using this privacy-safe seed ‘opted-in’ user set; this is a way to cast that wider net and achieve targeted scale.
Alex: Build your seed lists, test your formats with different audiences, and understand what’s resonating with whom. Take advantage of some of the pretty remarkable advances in machine learning that are allowing us, really, for the first time to fully uncork the potential and the opportunity with contextual in a way that we’ve never done before.
Jason: At the end of the day, it’s making the unaddressable addressable. So, it’s a complementary strategy; having that addressable piece will feed the models. But also, that addressable piece still needs to be identity-based, addressable still needs to be part of your overall marketing strategy, and you need to complement it with other strategies like advanced contextual targeting. The two of them together are super complimentary. They learn from each other, and it’s a cyclical loop. Now is the time to take advantage and start testing and understanding how these solutions work.
We can help you get started with contextual ad targeting
Contextual advertising can help you stay ahead of the curve, identify your target audience, and continue to drive conversions despite signal loss. We’ve partnered with Yieldmo to help make sure that your marketing campaigns are reaching the right target audiences on the platforms that are most relevant. To get started with contextual ad targeting to reach the right audience at the right time and drive conversions, contact our marketing professionals. Let’s get to work, together.
Find the right marketing mix in 2023
Check out our webinar, “Find the right marketing mix with rising consumer expectations.” Guest speaker, Nikhil Lai, Senior Analyst from Forrester Research, joins Experian experts Erin Haselkorn, and Eden Wilbur. We discuss:
- New data on the complexity and uncertainty facing marketers
- Consumer trends for 2023
- Recommendations on finding the right channel mix and the right consumers
About our experts
Jason Andersen, Senior Director, Strategic Initiatives and Partner Solutions, Experian
Jason Andersen heads Strategic Initiatives and Partner Enablement for Experian Marketing Services. He focuses on addressability and activation in digital marketing and working with partners to solve signal loss. Jason has worked in digital advertising for 15+ years, spanning roles from operations and product to strategy and partnerships.
Alex Johnston, Principal Product Manager, Yieldmo
Alex Johnston is the Principal Product Manager at Yieldmo, overseeing the Machine Learning and Optimization products. Before joining Yieldmo, Alex spent 13 years at Google, where he led the Reach & Audience Planning and Measurement products, overseeing a 10X increase in revenue. During his time, he launched numerous ad products, including YouTube’s Google Preferred offering. To learn more about Yieldmo, visit www.Yieldmo.com.
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Ideas focusing on home improvement and decor Craft advertising campaigns aimed at audiences with modest net worth, using insights into their financial profiles to promote accessible and essential products and services. Net Asset Score (Lower Tiers): Develop ad campaigns for cost-effective home improvement services and budget-friendly home appliance options, targeting consumers whose net asset scores indicate more modest financial resources. These ads should highlight the products' durability and energy efficiency, appealing to the consumers' need for long-term savings. Discretionary Spend – Home Furnishing: Design ad campaigns for upscale home furnishing collections, targeting audiences with significant discretionary spending power. These ads should spotlight your home furnishings' premium quality, sophisticated design, and superior craftsmanship, appealing to consumers' tastes for luxury and exclusivity. Campaigns for consumers in entertainment Execute targeted advertising campaigns designed for consumers with high disposable income, utilizing insights from their net asset and investable asset scores. Net Asset Score (Higher Tiers): Launch advertising campaigns for premium entertainment experiences, including exclusive concert seats, backstage passes, and custom festival packages. Target consumers whose net asset scores suggest significant disposable income to ensure your promotions reach the most likely attendees. Discretionary Spend — Entertainment: Design advertising campaigns for high-profile music and entertainment events, focusing on individuals known for their significant expenditures on entertainment. Create promotions that resonate with their lifestyle, emphasizing the connection between a vibrant social life and exclusive entertainment opportunities. As you can see by understanding and utilizing the nuances of financial data, advertisers can create highly targeted, relevant, and effective campaigns across various sectors. This approach exemplifies the innovative spirit of audience usage, proving that with a bit of creativity, data applications are as limitless as our imagination. Financial Personalities and Consumer Financial Insight audiences and their in-platform names Find these syndicated audiences in your demand and supply-side platform of choice. Insurance financial personality – Audiences to help understand a consumer's behavior and confidence in their ability to find the right life insurance. Financial Personalities > Insurance Financial Personality Credit card personality – Used to identify consumers based on their credit card usage and behaviors. Financial Personalities > Credit Card Financial Personality Deposits financial personality – These audiences include consumers who are likely to look for bank offers based on their spending behaviors. Financial Personalities > Deposits Financial Personality Investments financial personality – Audiences to help understand a consumer’s comfort and behaviors with making financial investments. Financial Personalities > Investments Financial Personality Home equity financial personality – Audiences to help understand a consumer’s home equity circumstances and behaviors. Financial Personalities > Home Equity Financial Personality Mortgage financial personality – Audiences to help understand a consumer’s behavior and preferences with mortgages. Financial Personalities > Mortgage Financial Personality Investable assets (FLA/Fair Lending Friendly)* – Audiences that include consumers who have available investable assets in seven total tiers with Tier 1 being the highest, and Tier 7 being the lowest. Consumer Financial Insights > Investable Assets Net asset score (FLA/Fair Lending Friendly) – Predict a consumers likely net asset score ranging from less than $25,000 to over $5,000,000. Consumer Financial Insights > Net Assets Score (Net Worth) Discretionary spend – Predicts the annual discretionary spend for the category listed in the audience.Consumer Financial Insights > Discretionary Spend – Travel Consumer Financial Insights > Discretionary Spend – Jewelry Consumer Financial Insights > Discretionary Spend – Home Furnishings Consumer Financial Insights > Discretionary Spend – Entertainment Consumer Financial Insights > Discretionary Spend – Electronics Consumer Financial Insights > Discretionary Spend – Education Consumer Financial Insights > Discretionary Spend – Donations Consumer Financial Insights > Discretionary Spend – Dining Out Consumer Financial Insights > Discretionary Spend – Total Consumer Financial Insights > Discretionary Spend – Clothing/Apparel Household deposits/balances (FLA/Fair Lending Friendly) – Audiences that include households that have bank deposits balance in six total tiers with Tier 1 being the highest, and Tier 6 being the lowest. Consumer Financial Insights > Household Deposits/Balances Investment Balances (FLA/ Fair Lending Friendly) – Audiences that include consumers who have an investment balance in six total tiers with Tier 1 being the highest, and Tier 6 being the lowest. Consumer Financial Insights > Investment Balances Mortgage refinance (FLA/Fair Lending Friendly) – Predicts the likelihood the consumer is to refinance their mortgage. Consumer Financial Insights > Mortgage Refinance Footnote * “Fair Lending Friendly” indicates data fields that Experian has made available without use of certain demographic attributes that may increase the likelihood of discriminatory practices prohibited by the Fair Housing Act (“FHA”) and Equal Credit Opportunity Act (“ECOA”). These excluded attributes include, but may not be limited to, race, color, religion, national origin, sex, marital status, age, disability, handicap, family status, ancestry, sexual orientation, unfavorable military discharge, and gender. Experian’s provision of Fair Lending Friendly indicators does not constitute legal advice or otherwise assures your compliance with the FHA, ECOA, or any other applicable laws. Clients should seek legal advice with respect to your use of data in connection with lending decisions or application and compliance with applicable laws. Latest posts
This summer’s games in Paris represent an extraordinary opportunity to connect with sports audiences on a global scale. As we anticipate this momentous event that happens once every four years, it’s clear that the passion and excitement surrounding sports are more vibrant than ever. With one billion viewers expected to tune in, now is the time to take advantage of the fervor of sports fans and tailor your strategies to resonate with this audience. In this blog post, we’ll explore audience segments that can maximize the impact of sports and influencer marketing campaigns, drawing inspiration from the anticipation of this summer’s games. What are the benefits of advertising in sports? Before we explore these audience segments, first let’s review three benefits of advertising in sports. Increase product awareness Sports viewers are less likely to skip commercials, so you can increase product awareness by reaching more engaged consumers. Reach current customers during sports games to remind them of your products and inspire more purchases. Build a strong connection with dedicated fans Fans exhibit unwavering loyalty to their teams, staying dedicated whether their team wins or loses. This loyalty is highly beneficial for brands, as loyal fans are not only enthusiastic spenders but also form lasting, meaningful connections with the brand. Improve audience targeting Live sports are now available to watch on many streaming services like Peacock and Amazon, allowing marketers to better choose and target audience segments across connected TV (CTV) to deploy more personalized ads – something that is limited with traditional TV sports broadcasting. When you work with Experian, you work with the #1 ranked data provider that gives you access to demographic and behavioral targeting that allows you to reach consumers based on who they are, where they live, and what they do. To fully take advantage of the benefits of sports advertising, here are the audience segments we recommend targeting to drive engagement and conversion. Sports fans Harnessing the enthusiasm of sports fans can drive powerful engagement and brand loyalty. Align your campaigns with major sporting events, teams, or athletes to tap into the emotional connection fans have with their favorite sports or countries. Here are 10 audience segments that you can activate to target sports fans: Likely to be a sports enthusiast: Lifestyle and Interests (Affinity) > Activities and Entertainment >MLB EnthusiastsNASCAR EnthusiastNBA EnthusiastsNFL EnthusiastsNHL Enthusiasts PGA Tour Enthusiasts Travels to see professional sports: Travel Intent > Activities > Professional Sports Event NEW! Pickleball enthusiast: Retail Shoppers: Purchase Based > Sporting Goods, Apparel > Pickleball Enthusiast NEW! Wilderness sports and camping enthusiasts: Retail Shoppers: Purchase Based > Outdoor Activities > Wilderness Sports and Camping Enthusiasts Worldview WorldView offers immediate access to essential demographic and consumer data using advanced satellite technology and machine learning. Marketers planning campaigns ahead of this summer’s games can use WorldView to understand their audience, optimize distribution, and identify untapped market areas across 90 countries. With WorldView, you can benchmark performance, visualize customer data, and create a consistent global audience strategy for digital activation. This comprehensive solution provides valuable insights for location planning, data enrichment, and targeted digital advertising, without relying on personal information, making it ideal for geo-targeted marketing approaches. Sporting events and travel beyond this summer’s games While this summer’s games are a major draw, there are still many sports fans who may prefer events that aren’t connected to the summer games during this time. You can pair our Travel Intent > Activities > Professional Sports Event audience with our Lifestyle and Interests (Affinity) > Sports and Recreation > Sports Enthusiast audience to target individuals who have expressed interest in attending sporting events or traveling for sports-related activities. We can deliver our syndicated audience segments to 30+ activation platforms, which means we have a solution however you want to consume and use our data. Sports spectators Enhancing the experience of sports spectators can create memorable moments and lasting impressions. Target individuals interested in attending sporting events, promote ticket sales, VIP experiences, and exclusive merchandise to elevate their game-day experience and foster a sense of belonging within the sports community. Here are 7 audience segments that you can activate to target sports spectators: Interested in sports: Lifestyle and Interests (Affinity) > Sports (FLA / Fair Lending Friendly)*Baseball (FLA / Fair Lending Friendly) Football (FLA / Fair Lending Friendly) Visits sports venues: Mobile Location Models > Visits >College Sport VenuesNFL Stadium VisitorsUniversity Stadium College Football Visitor MLB Stadium Visitors You can also develop targeted advertising campaigns promoting travel packages or hotel deals around Paris. Highlight proximity to this summer’s games, special experiences, or exclusive offers for travelers during this summer’s games season. By targeting specific travel preferences and behaviors, you can capture the attention of individuals planning trips around this summer’s games. When you work with Experian, you work with a single data provider that gives you access to audiences across multiple verticals and categories like travel and retail. Sporting goods shoppers You can use Experian audiences to reach consumers interested in sports and fitness ahead of the summer games. Targeting individuals in the market for sports equipment and apparel can help you reach those actively seeking sporting goods. By focusing on this segment, you can increase conversion rates and optimize ad spend by reaching an audience already inclined toward sports and fitness shopping. Here are 6 audience segments that you can activate to target consumers who are spending on sports apparel: NEW! Wears athleisure: Retail Shoppers: Purchase Based > Sporting Goods, Apparel > Athleisure Sportswear Apparel Women's activewear high spenders: Retail Shoppers: Purchase Based > Apparel > Women's Activewear / Yoga: Online High Spenders Men's activewear high spenders: Retail Shoppers: Purchase Based > Apparel > Men's Apparel (Clothing): Men's Activewear: High Spenders Athletic footwear high spenders: Retail Shoppers: Purchase Based > Apparel > Footwear (Shoes): Athletic Footwear: High Spenders Golf equipment frequent spenders: Retail Shoppers: Purchase Based > Sporting Goods, Apparel > Golf Equipment, Apparel, Entertainment Frequent Spenders Sporting goods shoppers: Mobile Location Models > Visits > Sporting Goods Shoppers Athletes For brands catering to athletes and sports enthusiasts, targeting active players is crucial. Offer products, training tips, and motivational content that inspire and empower them to excel in their chosen sports. Here are 5 audience segments that you can activate to target athletes: Likely to play sports: Lifestyle and Interests (Affinity) > Sports and RecreationPlays HockeyPlays Soccer Plays Tennis Likely to play golf: Lifestyle and Interests (Affinity) > Activities and Entertainment > Play Golf NEW! E-motion riders: Retail Shoppers: Purchase Based > Outdoor Activities > EMotion Riders E-Scooters E-Bikes E-Skateboards Influencer marketing campaigns Collaborate with influential athletes or sports personalities to create sponsored content that resonates with sports fans. You can pair our Social media heavy user audience with our Likely to be a sports enthusiast and TrueTouch conversion channel audiences to reach those who are likely to be influenced by endorsements from celebrities or athletes. Targeted advertising in sports with Experian audiences By using Experian's syndicated audiences in sports advertising, you can reach sporting goods shoppers, passionate sports fans, active players, and enthusiastic spectators. Our deep understanding of people in the offline and digital worlds provides you with a persistent linkage of personally identifiable information (PII) data and digital identifiers, ensuring you rich insights, accurate targeting across devices, improved addressability, and measurable advertising. Just as athletes strive for excellence, with the right approach, your advertising in sports initiatives will stand out as champions in the arena of consumer engagement. Can’t find the audience you’re looking for or need a custom audience? Connect with our audience team for more information. Connect with our audience team You can activate our syndicated audiences on-the-shelf of most major platforms. For a full list of Experian's syndicated audiences and activation destinations, download our syndicated audiences guide. Check out other seasonal audiences you can activate today. View now Footnote * “Fair Lending Friendly” indicates data fields that Experian has made available without use of certain demographic attributes that may increase the likelihood of discriminatory practices prohibited by the Fair Housing Act (“FHA”) and Equal Credit Opportunity Act (“ECOA”). These excluded attributes include, but may not be limited to, race, color, religion, national origin, sex, marital status, age, disability, handicap, family status, ancestry, sexual orientation, unfavorable military discharge, and gender. Experian’s provision of Fair Lending Friendly indicators does not constitute legal advice or otherwise assures your compliance with the FHA, ECOA, or any other applicable laws. Clients should seek legal advice with respect to your use of data in connection with lending decisions or application and compliance with applicable laws. Latest posts