How to Target Customers Under the New Digital Advertising Privacy Rules
The phase-out is well underway with regard to the changes Apple and Google made to each of its longstanding ad targeting practices. Add to these the new privacy regulations that are quickly gaining momentum, and it’s no wonder advertisers are looking for ways to shake up how they target and measure their ads’ effectiveness.
There’s no denying the industry is changing. As e-commerce accelerates and platforms continue to clamp down on ad targeting, companies must master data and digital technologies. To facilitate this long-term competitive advantage, companies should consolidate insights collected from first-party data such as marketing and social media, as well as retail, e-commerce sales, and lead generation. This valuable information can then be used to design tailored messaging to your different audiences. Big brand companies have begun doing this and are reporting impressive sales increases, higher ad recall, and increases in consumers’ likelihood of buying its brands versus benchmarks.
All that data you are likely already collecting must be well organized to produce optimum insight so you can leverage it at a scale that works for your needs. Keep in mind that not all data is created equal, some will be better predictors of behavior than others. For example, purchasing history and geographic location work well to predict behavior – like someone living in a hot environment is likely to buy a cold beer – than traditional demographics. Also, compare your data to that of your competition. Chances are your first-party data will outperform other media platform’s consumer segments.
Regional marketing programs also enable you to gather useful information on consumers because it gives you an opportunity to collect more nuanced first-party data, which helps improve your targeting, ROI, and research and development. This data can help you determine how much to spend on each platform, the success of each ad, and the point of diminished returns. This decreases your reliance on any one media platform.
Both Facebook and Google are working with digital advertisers to help determine the best way to utilize first-party data. Facebook’s Lookalike program is a great use of generating the right impressions, traffic, and lead generation opportunities.