Targeting And Retargeting: What You Need To Know
When you get served up an ad online, it has been delivered based on several different data points. Here, smrtr CMO Paul Argus [pictured] sheds some light on targeting and retargeting and explains how data can be used to find new customers.
When it comes to digital advertising, the terms ‘targeting’ and ‘retargeting’ are often used interchangeably. However, there are subtle differences between these two approaches which could make a big difference in the overall effectiveness of your campaign.
The basic difference comes down to the audience each approach is aiming to reach. When targeting, marketers are looking for ‘cold’ audiences (meaning an audience that has not interacted with your brand recently), while retargeting is aimed at warmer audiences that might have visited your website recently.
The logic behind retargeting is relatively straightforward. If a potential customer has interacted with your brand they are more likely to make a purchase. This can even apply to ‘hot’ audiences, where customers have shown heavy engagement, such as adding an item to the cart before exiting. These customers are deemed the most likely to convert and will therefore be the most receptive to marketing campaigns.
The downside here is that as customers are quite late in the buying journey by the time they are retargeted. In some cases they may have already made a purchase. This, combined with the fact retargeting focuses heavily on the use of third-party cookies – which are set to be discontinued in the coming months – means this technique is set to become less relevant for marketers in the future.
Targeting
Targeting, meanwhile, is less straightforward of an exact science. Given customer signals are not as clear, marketers must draw on other factors to ensure they are messaging relevant audiences. When done well, however, targeting serves as an effective tool for finding new customers and making marketing spend more effective.
For a long time, this style of online targeting has been built around digital identifiers, particularly third-party cookies, which track how someone navigates the web. While this has been shown to be effective, there are also limitations. Cookies only track devices, meaning the ‘offline’ (and real) world is left largely unaccounted for.
But by using data – whether it be first, second or third party – marketers can start to map real-world interactions and target potential customers based on their behaviours and characteristics. A great example of how data can be used to target new audiences is when promoting an upcoming movie. Firstly, transaction data can be used to model individuals more likely to visit the cinema again or other similar films that might be out at that time.
Additionally, online signals can also be added. If the movie is starring Chris Hemsworth, for example, marketers can target audiences that have shown online interest with Hemsworth, such as following him on Instagram. By combining this online and offline data, an accurate audience can be created and the marketing spend can be allocated mainly at individuals who are likely to buy a ticket.
Similarly, psychographic signals – which relate to characteristics like personality, hobbies, values, beliefs and interests – can be combined with online data to target interested customers. Patagonia has demonstrated the power of this in recent years, through realising its outdoorsy customers are highly environmentally conscious. This has meant the brand can start to appeal to people who demonstrate an active interest in protecting the environment.
These signals can be collated via an Identity Graph. Identity Graphs are databases which show customer profiles and all known identifiers attached to these customers in a privacy-compliant manner. The smrtr Identity Graph uses a wide number of opted-in, privacy-compliant datasets to connect different forms of Personal Identity. Importantly, as we enter a ‘privacy first’ based web, online marketing will become less about targeting a single individual (device) and take a more aggregated segment based (people) approach. While this does limit the accuracy of the targeting given assumptions are made about the people being grouped together, the advancement of analytic techniques and data availability mean this is minor. Additionally, predictive segment based targeting opens up targeting at scale and also reaches people before they make a purchase decision – for so long the achilles heel of re-targeting.
At smrtr, we believe the true picture appears when multiple data points are connected together. We combine online and offline signals to help our partners target new customers by taking a longitudinal (rather than rear view mirror) approach. We are prepared for a world without cookies and use the aggregated data of over 16 million Australians to help build audience segments that work.
Please login with linkedin to comment
smrtrLatest News
TikTok’s Head Of People AUNZ Laura Chuck Leaves After Nearly 4 Years
TikTok’s head of people for Australia and New Zealand Laura Chuck has left after nearly four years in the role. In an emotional LinkedIn post, Chuck said “It’s with mixed emotions that I bid farewell to my incredible journey at TikTok, where I’ve spent nearly four incredible years”. Chuck joined TikTok in June 2020 and was […]
News Corp Australia Gets Ready For D_Coded 2024
News Corp Australia will be unveiling transformative solutions to navigating today’s rapidly changing digital landscape at the company’s annual D_Coded event next week. Over two days in Sydney and Melbourne, a series of live presentations and product announcements will outline how brands can gain a strategic advantage, build stronger customer relationships and achieve long-term growth. […]
Ideally Continues high growth trajectory, appoints senior marketing lead
Ideally has appointed international brand marketer Maura Halpin to the newly created role of marketing lead, effective immediately. The appointment comes at a pivotal time in the brand’s ambitious growth strategy following its launch in August 2023. Since launch Ideally has announced a $2.15m seed investment has grown to nearly 20 staff across Australia and […]
Feel-Good Gin! The Oasis Committee And Spirit of Little Things Collab On Charity Gin
The Oasis Committee in partnership with Spirit of Little Things has created the perfect bottle of gin for every media office bar cart with all proceeds from the signature gin to go towards Oasis Project and Western Australia’s disadvantaged youth. The Oasis Committee is focused on leveraging the power of the WA advertising and communications […]
TV Ratings (06/05/2024): Emotional Lego Masters Goodbye Does The Numbers For Nine
And we thought Lego could only make you cry when you accidentally stood on a piece.
Lisa Wilkinson AM To Join Cannes In Cairns As Keynote Speaker
Multi-Award Winning Journalist and TV Host Lisa Wilkinson AM to speak at Cannes in Cains, sponsored by Pinterest.
Mamamia Names Natalie Harvey As New CEO
Mamamia has today announces the appointment of Natalie Harvey as Chief Executive Officer.
‘The Media Has A Way To Go On Diversity’ – Diversity Council Leader Lisa Annese On Industry Diversity And Why Sunita Gloster Is An Important Addition To Their Board
Few are more qualified than a Gruen regular to knock adland and the media into shape on diversity.
Mike Shows Up At A Wake And Still Hasn’t Seen That Show, In Latest Instalment Of ‘I Saw It On Binge’, Via Thinkerbell
Why is it we pay for 19 SVOD accounts namely due to FOMO but then rarely bother to watch the shows anyway?
Flexiroam Partners With Specialist Agencies To Launch “Ready For Anything” Global Campaign
Do you return from overseas with Bali belly, a possible STI & a huge phone bill? FlexiRoam may help with the last one.
Samsung Unveils Power Of AI To ‘Upscale Every Moment’ With Neo QLED 8K
Got mates who brag about their 83-inch, 10K resolution, OLED screen TV? You're just as bored & baffled as all of us.
Media-Wize Wins AUSCERT PR Account
Media-Wize calls itself "a media training and technology and cyber security PR agency". Think nerds with better hair.
Snapchat Taps Gelato Messina In New Brand Campaign
B&T needs little tempting to scoff more Gelato Messina. Apart from having to go up a size.
Travel Insurer Trippi Draws Ire From The Brazilian Embassy Over Cheeky Brazilian Ad
There's a very fine line between "playful" and "utterly offensive". These ads are almost a dictionary definition of it.
Racing NSW Hits Tabcorp With Legal Action Over $6 Million Revenue Loss
Here's some horse racing news that thankfully doesn't require a silly hat or passing out in a nearby rose bush.
AI Tools Such As ChatGPT Leading To ‘Content Overwhelm’ Among Marketers
Study says tech leading to an avalanche of content for marketers. Not to mention having to read the instruction manuals.
Stake Appoints 72andSunny As It’s Creative Partner
72andSunny nabs Stake's creative. And by that we mean the investment platform, not the nemesis of all vampires.
61% Of Aussies Want Corporate Australia To Stay Away From Social & Political Issues Leo Burnett Study Finds
Do you love a study that appears to fly in the face of every study before it? Be mesmerised by these results from Leos.
Brendon Cook, OAM, Inducted into the OMA Hall of Fame
Other than Australia's typically pleasant weather, no one's done more for outdoor than the former oOH! boss.
New Campaign Highlighting Renewable Gas As A Crucial Component Of Energy Transition
It's hard not to make a renewable gas ad sound like a tedious Year 9 science lesson. So well done to the agency here.
Love Media Welcomes Alana Dowling As New Client Director
Seasoned media pro Alana Dowling joins the Love Media team. Clearly replacing someone who didn't love it
B&T 30 Under 30 – Where Are They Now? Until Recently, Prison!
A prestigious 30 Under 30 gong can get you headhunted, promoted or, in this instance, a two-year stint in the slammer.
“We Will Never Tell A Journalist What To Write” – Nine’s Aimie Rigas On How Data Is Shaping News
Data becoming the journalist's tool for more engaged content. Still not beating dodgy MAFS contestants or a Kardashian.
Beware The Bad Guy. Billie Eilish Fans Brace Themselves For Scammers
Thought getting Tay Tay tickets was an unimaginable nightmare? Read on as Billie Eilish promoters say hold my beer.
Twilio Names Chris Koehler As CMO
Chris Koehler named as Twilio's CMO. Which may prove a prickly tongue twister after a lengthy open bar tab.
ARN Announces Ad Sales Partnership With The Athletic
Can we slow the rotation of the sun? Because that's the only way we'll fit all these new podcasts into one day.
Burger Wars Continue As Hungry Jack’s Brings Back The Big Jack & Mega Jack
Hungry Jack's' Big Mac ripoff set to return after recent legal win. Still no one racing to clone the Filet-O-Fish.
Diverse Voices, Sustainable Choices: Natalie Dean-Weymark On Why Sustainability Is A Non-Negotiable
Here, Compass Studios' Natalie Dean-Weymark talks diversity in media. It's the human equivalent of the Family Assorted.
New Partnership Between The Sweetshop And The Gardening.Club
Thought you'd be getting tips on aphids & fungus gnats from this Gardening. Club news? Prove yourself totally wrong here.
‘A Very Rare Breed Of Creative’ – Clemenger BBDO hires Chief Creative Officer
B&T's chatting with Clems boss Dani Bassil on Adrián Flores CCO appointment. We never got to Italian or Thai herbs.
Concrete Playground Debuts Innovative Urban Exploration Platform With Lexus As Launch Partner
Concrete Playground announced the launch of its redesigned website in partnership with Lexus. This partnership introduces a new era of urban discovery, enabling a deeper, more intuitive engagement with cities through a state-of-the-art digital platform. Revolutionised Digital Experience Concrete Playground’s website has undergone a significant transformation, designed to enhance the way users interact with their […]
Mindshare And The Brand Agency Take Top April’s New Business Rankings
Which agencies soared like an eagle for the month of April? As in stellar performance, not Eddie the hapless ski jumper.
Suntory BOSS Coffee Fuels Ambition With New Campaign From It’s Friday
Does your workplace have a strict, policed illegal drug policy? Then Suntory BOSS Coffee will have to do.
Resolution Digital Wins MyPlates Media Account
The best thing about personalised number plates is it makes spotting wankers on the road far easier. And drug kingpins.
Debunking The “Three Year Lie”: A New Approach To Retail Digital Strategy
This columnist says it's wrong to claim digital always has a three-year pay off. Has no opinion on the seven-year itch.
TV Ratings (06/05/2024): The Farmer Is Back And He Wants A Wife
It was a good night for lovers of farming and love.