Make every impression count: 3 ways to save billions on ads

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Digital advertising spending has increased dramatically in recent years. But the epidemic has also transformed rapidly evolving media channels – such as CTV and emerging social platforms. EMarketer (subscription required) projects that will spend $ 239.9 billion on digital advertising in 2022, an increase of 13.6% from 2021. With this level of cost, however, marketers now face the multi-billion dollar problem of determining media quality – how can they avoid low-quality placements where one never even sees the impression?

Meanwhile, the privacy law developed with the depreciation of third-party cookies in popular browsers reduces the effectiveness of cookie-based targeting techniques. It also leads marketers to discover new strategies that can support their objectives and connect with their respective audiences. Marketers need to double down to protect their digital dollars from fraud and other media waste when they prefer effective high-quality impressions.

Here are three ways marketers can optimize campaign advertising costs:

Investigate the reality of fraud for advertising costs

Digital advertising, such as bots, for invalid traffic has zero impact. They never reach their desired audience. If you are wondering why advertising fraud issues set marketers on edge, let’s put a price tag on this issue. Juniper Research estimates that by 2023, advertisers will lose an estimated $ 100 billion in annual advertising costs for advertising fraud, such as boat traffic – up from about $ 42 billion in 2019.

If left unchecked, marketers who do not have a strategy to reduce advertising fraud can lose significant budgets and only lose impressions on invalid traffic. If these invalid clicks are not seen early and frequently, marketers will continue to make bad decisions based on bad data. Invalid traffic removes money from campaigns and creates functional insights that are not based on true metrics.

The first step is to use a data analytics platform to detect fraudulent patterns when making sure ads are viewed by real people.

Reference effect

While advertising fraud is a clear source of media and budget waste, it is not the only one. When ads appear in contexts that do not drive the desired campaign results, opportunity costs. These ads could have been placed more effectively in the appropriate high-performance context. But not all contexts are the same to resonate with your audience.

Just focusing on reaching the right audience may not be enough to make your campaign a success. Targeting for-profit segments and personalizing their messaging is the key to unlocking the more detailed understanding of customers and finding the right moment to engage them. Contextual ads provide a powerful way to engage with customers at a particular time and provide a clear window into their mindset.

Here is an example of how this works. Let’s just say you enjoy beer from time to time. You can accept brand advertisements of alcoholic beverages while browsing restaurant or lifestyle content. But if you are in a professional mindset, such as reading content on LinkedIn or a business journal, you are less receptive. You’re still the same person, but context changes your perception into advertising.

Using the right data to successfully identify the relevant customer habits and tendencies, and then optimizing them for the context of your ads, can have a dramatic effect on campaign results.

One way advertisers can get started on this step is to understand what kind of targeting options are already available in their current DSP. With this knowledge in mind, consider conducting head-to-head tests between contextual targeting segments rather than targeting traditional audiences. This can offer an invaluable window into contextual targeting and optimization opportunities and can have huge benefits over KPIs.

Protect Emerging Media

The TV is not the only thing that now lives in the box of your living room. Consumers have changed their viewing habits towards video streaming on connected TV (CTV) devices during the epidemic. This rapid consumption continues even as the world progresses from the early stages of the epidemic.

In 2022, CTV will, for the first time, account for more than one-fifth of the total programmatic video advertising costs, as well as one-tenth of the total programmatic digital display, according to e-marketers. However, just as marketers shift their spending to emerging media based on consumer trends, so do fraudsters. Where CPM is higher, the opposite is true for fraudsters. Many feel that they can move beyond the technology that is holding them back.

Changing media usage habits with marketers preparing for the post-cookie world is a complete storm, and now is the right time to reset. Marketers have the opportunity to identify different ways to prepare for the future and reach their desired audience. The key is to create your strategy for a privacy-first environment while minimizing media waste and reaching out to real people in a contextual environment where they are most receptive. Data is a crystal ball for delivering relevant messages at the right time through the right channels.

With the right preparation and focus on media quality, marketers have a very real opportunity to engage with their audience and reclaim their lost billions of lost advertising impressions and dollars to count every impression.

Tony Marlowe is the CMO of Integral Ad Science,


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