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BREAKING NEWS & VIEWS

Ad Targeting Remains Elusive on the Web
Monday, December 21, 2009

Despite the hype over online “accountability” and unprecedented tools for “one-to-one marketing,” Web publishing woefully underutilizes the technological tools that have been at its disposal for years. The habits of publishers and marketers have not kept pace with the technologies.

According to research from eConsultancy and ad optimization service Rubicon Project (via eMarketer), only 51% of worldwide publishers offer marketers geographic targeting to increase the value of their Web advertising. Only 49% offer contextual targeting. Only a quarter offer time-of-day scheduling, and just one-fifth offer retargeting, the most basic form of behavioral tracking.




Behavioral targeting in particular had shown positive results for most publishers who used the technique, but many confessed to skepticism or confusion about the technologies. In a survey last summer by Advertise.com and the Search Engine Marketing Professional Organization (SEMPO) just 30.5% of marketers had used retargeted display ads. Retargeting efforts tag and track a user who has been to an advertiser’s own site in order to serve them an ad from the brand elsewhere on the Web. Since the user has shown a previous interest in the brand, these "retargeted" ads can be enormously effective in bringing users back to the branded site and keeping the brand in the top of the consumer's mind during a purchase decision.

The statistics continue to bear out that, despite rhetoric to the contrary, most marketers use the simplest and least sophisticated forms of display advertising. This suggests that the display format has a long way to go in earning marketers' trust as a unique advertising tool.

By contrast, search engine marketing has become a remarkably complex, metrics-driven industry that deploys all manner of tools and best practices to optimize performance. On the whole, display advertising buying and selling continues to rely on “spray and pray”—buying in volume and hoping for a branding effect.

If you have breaking news to share please contact Steve Smith at ssmith@accessintel.com

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