If you’re like most marketing executives, one of your greatest concerns is how to improve the ROI of your marketing campaigns. In the past, corporations would make changes to branding campaigns and hope to see a bump in sales weeks or months later. But today, sophisticated techniques can be used to improve results much more quickly.
One of those techniques is called Behavioral Targeting. This is the process of using methods to target individuals who have shown an interest in your products and services or your competitor’s products and services.
This can be accomplished by tracking a prospect’s online behavior as they visit various websites. For example, a prospect who is in the early stages of buying a car might have visited CARS.com or might have clicked on a banner ad for a car that was on ESPN.com. Either of those behaviors would be of interest to the Ford Motor Company.
By using behavioral targeting, Ford can upload banner ads to the websites the prospect visits. So, instead of seeing banner ads for products or services they’re not interested in, the prospect sees ads for Ford.
Studies have shown that the click-through rate on behaviorally-targeted ads can be 670% higher than non-behaviorally-targeted ads. (Source: Network Advertising Initiative)
This kind of marketing doesn’t just happen on desktop computers. Today, a growing percentage of prospects are searching for products and services via mobile devices (which include smartphones and tablet computers).
By using a technique called geo-fencing, businesses are able to target prospects who are within proximity of their retail locations. You can imaging the impact this is having for restaurants, book stores, coffee shops and other retailers who are interested in connecting with prospects at the exact time that they’re conducting a search for their products or services.
Some privacy advocates have expressed concerns about behavioral targeting, but the direct mail industry has been employing similar techniques for nearly 50 years. In addition, the data used is not about the individual user. Instead, it’s statistical data about trends and behaviors so, to some extent, the user’s privacy is protected.
Action Steps for You:
- Take a Look at Your Current Campaigns. Are you using sophisticated techniques like behavioral targeting or geo-fencing?
- If not, Consider Adding it to Your 2013 Plan. If you work with an advertising agency, they’ll be able to walk you through these techniques.
- In the Meantime, Read This Post. We have a post with an accompanying video called “What Is Behavioral Targeting?” Check it out for more information on this technique.
Posted by Jamie Turner, Founder of the 60 Second Marketer and co-author of “How to Make Money with Social Media” and “Go Mobile.” He is also a popular marketing speaker at events, trade shows and corporations around the globe.