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How advertisers use your online data
As Kipp reported this week, your private data is fair game on the internet. Anna Gibbons of neo@Ogilvy explains how advertisers use your data.
August 5, 2010 4:40 by e.andraos
We are all very aware that the digitisation of media is changing the way we communicate, the way we seek information, and the way we spend our free and work time, which, in turn, is changing the marketing and advertising industry beyond recognition.
Over the past 18 months, the global economic crisis has underscored the need for cost efficiency and accountability in advertising.
As a media agency – concerned with planning and buying and, therefore, by definition one of advertising’s more data- and dollar-driven disciplines – we know that providing a tangible ROI is more urgent than ever. Digital channels are not yet at the point where they can replace broadcast media – but, as an increasing number of channels become digital, we understand how to make the best use of them.
What digital does best: Targeting
Previously, DM was the only way to reach customers and prospects one-to-one and, generally, brand “Advertising” (traditional, with a capital “A”) meant communicating through broadcast and print with limited targeting capabilities.
Through digital channels, we can focus our advertising like never before, communicating directly to our target.
Historically, geo-targeting meant buying postal data for direct mail or ad space in the local community newspaper.
Digital technology allows us to target a message based on someone’s exact location, taking the message directly to the consumer. Using mobile advertising as an example, we can ensure that a client’s message is shown only to people within a certain radius of a location as per the GPS phone coordinates or proximity to a Bluetooth location.
For example, sending me a mobile voucher offering “25 percent off” at the café downstairs from my office would definitely get me up and out of my seat in preference to ordering-in.
This type of targeted communication, overlaid with some basic time of day/week targeting, reduces wasted exposure 10-fold.