Retargeting With Demand-Side Platforms in Display Performance Media

A key driver for growth in display advertising is the rise of technology that seeks to bring efficiency to ad impression buying — i.e., demand-side platforms (DSPs). Approximately 10 percent of today’s online spending flows through DSPs, with forecasts calling for that figure to increase to as much as 50 percent over the next few years.

A key driver for growth in display advertising is the rise of technology that seeks to bring efficiency to ad impression buying — i.e., demand-side platforms (DSPs). Approximately 10 percent of today’s online spending flows through DSPs, with forecasts calling for that figure to increase to as much as 50 percent over the next few years.

Large brands will fuel much of this growth as they shift large ad network budgets to DSPs for better pricing, increased transparency/brand safety, centralized ownership, protection of visitor data, among other benefits. Even marketers who failed with display in the past can achieve success with the ad vehicle in the present via DSPs, thanks to the inherent advantages some DSPs bring to the table.

Many direct and performance-based marketers who were unable to measure traditional display buys to a reasonable return on investment in the past are starting to explore DSPs as a new source of incremental sales and leads. Since a retargeting buy is publisher agnostic (i.e., the advertiser is buying impressions served to specific cookies, not impressions served on specific websites or content channels), DSPs offer the most scale and efficiency, reaching 98 percent of internet users through one-bid management platform using global frequency controls.

Thanks to these advantages and the relevance they offer, retargeting campaigns often convert two times to 10 times more than traditional display ads, and can, at times, show an ROI equal to or better than generic search or content targeting campaigns.

Display advertising continues to evolve, and certain key strategies are starting to take shape that can help advertisers control risk while gaining valuable insights for future channel maximization. Depending on website traffic and ROI flexibility, performance-based advertisers typically have the most success kicking off testing with site-based retargeting.

This strategy enables advertisers to retarget consumers who visited their site, browsed and left without ever converting into a lead or sale. By placing a retargeting tag in the footer of these pages (e.g., the home or shopping cart pages), advertisers can build and bid on multiple retargeting segments using segment-specific messaging or offers across the web through an ad buy on either a DSP or ad network.

So why not just limit testing to retargeting? Although advertisers may be able to achieve ROI close to search or affiliate campaigns with retargeting, impression volume will eventually limit growth. Similar to the role of generic terms in driving brand term volume in a paid search campaign, it’s important to test and explore a broader set of display performance media strategies that may work at higher, more flexible RS/CPA levels in conjunction with retargeting to help drive site traffic that feeds a retargeting cookie pool.

DSPs can help advertisers implement these strategies. Run of network buys (testing different DSPs/networks with and without filters), contextual targeting and site targeting, when bought in a biddable marketplace, are all viable in driving cost-effective traffic to an advertiser’s site. If an advertiser has the right tools and processes in place, DSPs can even be profitable in and of themselves.

For advertisers that are willing to be more flexible and effectively leverage it, display performance media can quickly become the next big untapped channel. These emerging strategies will continue to evolve and pave the way for targeted display advertising for years to come.

Special thanks to contributing author Kirstin Peters of Performics.

Craig Greenfield’s Redefining Performance Marketing: Holding Performance Marketing Campaigns Accountable

Facebook recently passed Google to become the most visited website in the U.S., according to Hitwise. This achievement from the social networking giant reminds marketers not only of the growing importance of social media, and Facebook in particular, but of choosing the right approach and success measurement plan.

Facebook recently passed Google as the most visited website in the U.S., according to Hitwise. This achievement from the social networking giant reminds marketers not only of the growing importance of social media, and Facebook in particular, but of choosing the right approach and success measurement plan.

Performance media offers marketers several solid choices to connect with target audiences, but marketers should clearly define campaign goals up front to ensure they choose the right campaign tactics and success measurement scheme. With concrete goals in place, marketers can consider incorporating fan pages, ads and applications into their campaigns and create plans to observe and measure engagement, conversions, connections and opinions (ECCO) to quantify success.

Facebook pages
Facebook pages offer free, simple ways to update people about promotions, events, new products and more. Marketers should select a memorable Facebook vanity URL for their pages, and promote them on their brands’ native sites, blogs and other promotional materials since consumers need to opt in or click the “Like” button on the page to engage with the brand.

Search engines rank social site pages high for branded searches, and marketers can use them to own more of the search engine results page since search engines only display two results from marketers’ native sites.

Applications
Applications foster viral sharing, encourage brand interaction and generate leads through “tell your friends” and “add to profile” buttons. Papa John’s, for example, uses sweepstakes apps to capture names and email addresses while staying top of mind with consumers. Tools exist to track user interaction with applications.

Social ads
Performance media ads are text- and image-based ads that appear in the right sidebars of Facebook users’ profile pages. Marketers trigger these cost-per-click or cost-per-impression ads based on user attributes like gender, geography, age and interests. These powerful microtargeting capabilities enable marketers to effectively target only the most suitable of Facebook’s more than 400 million users.

ECCO success tracking

A performance marketing campaign’s success hinges on whether, and to what extent, it achieved its goals. ECCO offers a concrete approach to measuring and quantifying success. It can be adapted to a specific campaign’s goals and tactics to establish clearly defined success metrics and milestones, but the approach always incorporates some combination of engagement, conversion, connection and opinion measurement. These terms are explained in more detail in the following list:

  • Engagement. What immediate reaction or interaction was created? Often measures clickthroughs, rollovers, interaction rates, video streams, time spent with ads, games played, etc.
  • Conversions. Following engagement, what actions did the campaign spur? Commonly consists of sales/orders, leads/emails, downloads, sweeps entries and other post-click activity.
  • Connections. How well did the campaign reach its target? What impressions were left? Measures reach, frequency, cross-site duplication, impressions delivered, site visits and more.
  • Opinions. How was the campaign perceived? What reactions were elicited? Can include brand studies, polls/surveys, ad recall, brand awareness, purchase intent, among other things.

Marketers and their partners must assign the right values and indicators to each ECCO element, but the framework provides an adaptable approach that can support a wide range of performance media campaigns and other social media programs. Whether just getting started or devising the next in a long line of effective performance marketing campaigns, marketers can lean on ECCO to hold Facebook campaigns accountable.