Targeted Advertising Review – What is Behind the Ads that You See

What is Targeted Advertising?

In online marketing, Targeted advertising refers to the advertisement for a specific audience in a particular demographic or group of people.

Targeted advertising means as advertisements chosen concerning the content of the website and assumption relevant to the audience. Targeted Advertising is the advertiser’s practice using a specific characteristic, search engine, demographics, cookies, and statistics to promote the consumer’s needs and wants.

What are the types of Targeted Advertising?

There are types of targeting, like contextual, social media targeting, geotargeting, and retargeting.

Contextual advertising targets the behavior of the users, such as the queries that they have and the website that they visit. The data from the behaviors of the consumers become an indicator of their interests. These guide the decisions of the advertisers about the ads that they will serve.

A social media targeting employs several approaches in selecting the audience for a specific advertisement. Take Facebook as an example; a media company may target specific ads based on the data of the user like gender, age group, and interests. The next approach is to serve the advertisements to people based on the pages and posts that the friends of the users like on the page.

Geotargeting is another type of Targeted Advertising. It serves advertisements on a specific market based on the geographic location of the potential buyers. It includes the city, state, or country that constitutes a niche market for a particular product or service.

The last but not the least is retargeting. It is also called remarketing that involves targeting ads for products or services after the consumers visited the site of a business. Retargeting is also the technology used behind the advertisement that follows the people from a specific site to another.

What are the Data Habits in Targeted Advertising?

The daily data habits of the users play a significant role in the advertisements that they see. Included in the clickstream, let’s take an in-depth look into the data for the targeted ad.

  • Search data: The search data is compiled whenever the user types an inquiry in the search engine such as Yahoo or Google. The search engine companies analyze the words typed in the search bar- including the habits of the users. This information helps in positioning the targeted advertising.
  • Profile data: When a person creates a social media profile and log in a social networking site, s/he enters some information and demographics. It can be age, religion, education, location, interest, and many more. Social media sites also use the information to build a custom ad. There are plenty of options to get customer’s data, and targeted advertising is becoming popular and lucrative in the wave of the digital age.
  • Purchase data: It is the information collected from online purchases of the consumers in the past. The online stores use cookies in tracking the things that you buy and the stuff that you don’t buy. Through this, advertisers can target ads for the product or service that you will likely purchase in the future.

How Targeted Advertising happens?

Targeted Advertising has plenty of components that are combined for tailoring advertisements that are specific to the behavior of the consumers. This information is pulled out from the web usage of the consumers; the search engines, products viewed in the past, and other online activities such as their activities on their social media pages.

Advertisers use specific characteristics from which they base their ads. It includes the socio-economic groups, behavioral pattern, time of the day, and the location.

The primary source of the information that is being used to develop a custom ad are the search data, clickstream data, profile, and purchase data. With this information, advertisers create an image of the potential interests, attitudes, and hobbies of the consumers because targeted ads are accurately the needs of the consumers. It explains why a particular advertisement show up in your search of the weather after you previously searched about a specific product.

The clickstream data is the source of information; it is where the internet pulls the information for the targeted advertisement. Clickstream is the record of the webpages that users have previously visited. The data is collected from the cookie; where the information is stored. It merely means that the websites communicate with the computers through the cookies to track the users’ online inquiries and movement on the web pages.

What is My Final Thought?

Targeted Advertising is the process of placing advertisements based on specific demographics and the buying history of the consumers. Advertisers use this form of online advertising to promote their products and services.

In this world of technology, targeted advertising proliferates online. We see advertisements everywhere, and a targeted ad is behind this ad that we see.  Targeting the prospects as well as gauging the results are becoming accessible for business owners because of targeted advertising.

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