The number of interactive marketers using behavioral targeting is picking up speed, growing from 16% in 2007 to 24% last year.
But, despite the increase and the promise behavioral targeting holds to narrowly target messages, few marketers are getting the most out of their spending, according to a new study by Forrester Research.
Forrester recommended the following five ways to improve ROI of behavioral targeting campaigns:
1. Pick one objective and share it with networks. In order to maximize performance, behavioral targeting marketers need to decide on one objective—brand or direct response—but not both. Multiple campaigns must be created to achieve multiple objectives.
2. Build in a testing period. Use the first few months of a behavioral campaign to test where target segments can be refined. By observing results from each segment targets can be adjusted to achieve maximum results.
3. Use your own site data. Advertisers often don’t incorporate proprietary data. Campaigns that incorporate this additional data significantly outperform those that don’t include it.
4. Use dynamic ad serving. Develop specific creatives for behavioral targeting campaigns. Marketers that don’t have the budget or in-house expertise to handle the work can look to networks such as Specific Media, who offer in-house creative services that include dynamic ad serving.
5. Share your success metrics. Work as a partner with your ad network by sharing performance metrics. This allows the network to do a better job of optimizing and saves the partner money by not paying too much for repeat leads.
“Rather than shop around to many behavioral targeting partners and pit them against each other while keeping your cards close to your vest, find one or two trustworthy networks that you can really collaborate with to maximize ROI,” the study’s author, Emily Riley, said in the report. “Good behavioral networks are only successful if marketers are successful, so they are motivated us use your data to help you improve performance.”
To view the full survey, visit, http://www.forrester.com/go?docid=53643.
