Back To The Future: Why Contextual Advertising Is Back In Vogue

Asian woman using smart phone for voting with emoticon hologram effect. Isolated on background.
SHARE
THIS



The advertising industry is busily preparing for a (not-so-distant) privacy-led future.

Google’s decision to deprecate third-party cookies coupled with Apple’s move away from the IDFA means that the idea of ‘tracking’ a user as they navigate the web will no longer work as the market exists today.

These changes aim to promote privacy online and give users a greater sense of transparency and control when it comes to the way in which advertisers use their data.

However, a privacy-first advertising ecosystem can still provide advertisers with opportunities to target relevant customers using different techniques that do not require cookies or other tracking devices.

THE RISE OF CONTEXTUAL ADVERTISING 

Contextual advertising has emerged as a way to meet privacy expectations while still delivering results.

Traditionally, contextual advertising has been used on TV and in newspapers, magazines and on websites to match brand messaging to relevant content in an effort to elicit  interest by the audiences consuming that content. An airline might book a half-page ad in the travel section of a Sunday paper, for example.

Today, advancements in technology mean these same principles can be used at scale in a personalised and digital format.

“Being in the right place at the right time makes the right audience more likely to read, remember and react favorably to a message. Audiences are more leaned in on quality content, so focusing on the environment where a brand appears can drive more awareness and lift,” Kargo general manager APAC Robert Leach told B&T.

Data-driven contextual advertising provides new opportunities, allowing insights and automation to deliver a more complex understanding of the various elements that make a good match between an ad and content. Fun, happy content isn’t necessarily the right placement for every brand, nor is just an obvious industry match like travel ads on travel articles. A serious research-based article might lend credibility to an ad for a healthcare brand, for example. And a travel article about road trips might work better for an auto ad than a hotel brand. 

“Marketers typically assume it’s best to focus on positive content, which will then hopefully drive a more favorable opinion of the surrounding ads. This simplistic use of contextual may not be what’s best for the brand. There are a multitude of different contextual factors that determine the best match between an ad and the right content, which is the beauty of using data-driven, automated contextual targeting,” he said.

CONTEXTUAL ADVERTISING IN A PRIVACY-FIRST WORLD

With the upcoming changes around third-party cookies, marketers are looking at ways to deploy contextual advertising, while respecting user privacy.

Kargo’s Cohort Intelligence uses an AI-powered algorithm to identify the most performant and brand-safe contextual environments for a brand’s audience and utilises natural language processing and predictive analytics to help advertising partners align their message with relevant content.

“We see the shadow that users cast across the content they explore, using their interests, mindsets, emotions and behaviors to predict the contexts in which they’re most likely to act,” said Leach.

“Drawing on our exclusive 1:1 publisher integrations and powered by IBM Watson, our proprietary algorithm examines site pages to identify and validate the content attributes and how they combine to provide the most performant context for reaching your audience.”

“Most current contextual solutions only rely on dispersed individual attributes without analyzing their relationships. They don’t see the forest for the trees. We do. On top of that, we validate what contextual data points are telling us with industry partners like comScore.”

Leach added that while Kargo still has access to cookies, they are currently being used to validate and strengthen these algorithms.

ADS FOR THE SMALL SCREEN

For Kargo, which specialises in mobile advertising solutions, it is important to consider the screen when it comes to contextual advertising, said Leach.

“The screen itself is part of the context considered, not just the content on a page. And so mobile contextual advertising should reflect consumer habits specific to the phone,” he said.

“For instance, social embed usage. Social is often today’s main source for breaking and reporting on the news. Social embeds are on the rise, creating a new advertising opportunity for brands.

Having seen this trend of embeds, Kargo recently acquired Rhombus, a technology that allows publishers to monetise social posts embedded into editorial.

“This is a unique offering in the market and it saw a 483 per cent quarterly revenue increase since the Kargo relaunch of Rhombus as Social Canvas,” Leach said.

In Q4 2020 the available supply of social embeds increased by 250 per cent.

“Providing advertisers the ability to target ads around contextually relevant social embeds with high-profile visibility in a brand-safe context, Social Canvas drives 36 per cent higher viewability, 58 per cent longer dwell time, resulting in five per cent higher CTR,” said Leach.

 

Please login with linkedin to comment

contextual advertising kargo

Latest News

Tinkerbell Is Putting Vegemite On Pizza
  • Marketing

Tinkerbell Is Putting Vegemite On Pizza

Over the years, VEGEMITE has been largely misunderstood across the globe, with Aussies often having to defend the spread and detail exactly “how to” best enjoy the stuff. But as it turns out, Australians have been getting it wrong this whole time! VEGEMITE and Thinkerbell ventured to food mecca New York to recruit Brooklyn Master […]

Subway Makes Return To High Seas With ‘Sink A Sub’ Battleship Game
  • Campaigns

Subway Makes Return To High Seas With ‘Sink A Sub’ Battleship Game

Subway has this week, officially launched its digital game Sink A Sub, with the first $10,000 prize already being awarded to a lucky recipient in Queensland. Subway’s Sink A Sub game is a user-friendly experience based on the infamous naval war board game Battleship. It was successfully launched for the first time in 2020 as […]

NITV Appoints Peter Noble To General Manager
  • Media

NITV Appoints Peter Noble To General Manager

National Indigenous Television (NITV) has announced the appointment of Peter Noble as general manager, to support the continued growth and evolution of the channel dedicated to First Nations voices and perspectives. Noble (pictured) a proud Girramay and Bandjin man, joins NITV with more than 20 years’ experience in the media industry, working across content disciplines […]

Queen Of Aussie Pop Culture Abbie Chatfield Signs Podcast Deal With LiSTNR
  • Media

Queen Of Aussie Pop Culture Abbie Chatfield Signs Podcast Deal With LiSTNR

Reality TV star, influencer and unabashed over-sharer Abbie Chatfield has signed with SCA to bring her hugely popular and fiercely candid podcast, It’s A Lot to Australia’s biggest audio content creator –  LiSTNR. Chatfield’s never been afraid to call out bad behaviour or tell it like it is. And that’s just what people love about […]

Sydney Headshots; Daniel Sommer Photography; Sydney Headshot Photographer; Daniel Sommer
  • Marketing

Cheetah Digital Announces Major CM Group Merger

CM Group, a portfolio of martech companies focused on multichannel digital marketing, today announced its merger with Cheetah Digital under the CM Group name. The merger expands and enhances both CM Group’s and Cheetah Digital’s ability to deliver innovative email, omnichannel, personalization, and loyalty solutions. The combined company will own a broad array of technologies […]

Smart Accelerates CTV Growth Ambitions Via Publica Partnership
  • Advertising
  • Technology

Smart Accelerates CTV Growth Ambitions Via Publica Partnership

Independent ad tech platform Smart has announced a new partnership with connected TV (CTV) ad platform Publica to accelerate its growth ambitions. The integration is a major step in Smart’s commitment to building a scaled, vertically-integrated TV advertising platform for media buyers and sellers following its recent acquisition of global premium CTV demand-side platform (DSP) […]

Edge Creates First Local Campaign For Nevro, “I Am Not My Pain”
  • Campaigns

Edge Creates First Local Campaign For Nevro, “I Am Not My Pain”

Independent creative agency Edge has launched Nevro’s first local campaign, “I am not my pain”. Nevro is a medical technology company offering innovative solutions to chronic pain. Their HFX therapy has been available in Australia since 2011 and is a form of spinal cord stimulation (SCS), where an electrical device is implanted surgically near the […]

IPG Unveils “Remarkable” 15% Q3 Growth
  • Advertising
  • Media

IPG Unveils “Remarkable” 15% Q3 Growth

With COVID behind it and no gigantic meteors on the horizon, Interpublic predicting healthy growth into 2022.

by B&T Magazine

B&T Magazine
Pinterest Announces New Tools, Features and Experiences For Users
  • Media

Pinterest Announces New Tools, Features and Experiences For Users

Pinterest has introduced a new suite of creator and Pinner products and experiences globally, as the platform continues to evolve to become home for the next generation of creators. At its second annual Pinterest Creators Festival, featuring Megan Thee Stallion and Storm Reid.  Pinterest creators Kerin Rose Gold, Wendy’s World, Henri Purnell, Carolina Gelen and […]