Launch! Advertising and Promotion in Real Time, 2009a
Launch! Advertising and Promotion in Real Time, 2009a Launch! Advertising and Promotion in Real Time, 2009a
conversation. The customer would have already supplied Pudding with his or her zip code, age range, and gender, so ads would be targeted by demographics and location, as well as by real-time conversation. [4] Dig Deeper Behavioral targeting allows advertisers to identify our consumption practices so that they can tailor ads to our precise interests. They argue that this technology increases efficiency, saves money, and reduces advertising bloat because we won’t be bombarded with commercial messages for products we don’t want. On the other hand, critics of this practice argue that we’re “making a deal with the devil” because we’re giving companies access to our personal behaviors. This controversy has surfaced on Facebook, which is now sharing data about users’ online behaviors with advertisers. What is the current status of this conflict? How can advertisers do a better job of targeting while respecting the privacy of consumers— especially those who don’t want to be targeted? SS+K Spotlight Targeting the msnbc.com User SS+K was charged with two goals for the new msnbc.com campaign: increase the number of unique viewers who visit the site, and increase the number of clicks per visit among current msnbc.com users. To refine their understanding of how to develop the msnbc.com proposition, SS+K enlisted the aid of Energy Infuser, a market research company in Chicago that specializes in unearthing consumer insights through qualitative methods such as focus groups, projective techniques, and consumer diaries. A number of “triads” (groups of three consumers) were recruited and agreed to offer their time and consumer experiences of online information seeking. Through analysis of the group’s transcripts, the SS+K team developed a better sense of why a user might choose msnbc.com over other options: relative to competitors like bland news aggregators and “cold” and “serious” CNN.com, msnbc.com virtually sparkled with energy and personality. The site was inviting for users who enjoyed browsing for news and tidbits, including lighthearted information on entertainment, fashion, and sports. KEY TAKEAWAY Targeting is the process of selecting the customers whose needs you’re likely to satisfy. Targets need to be easily identifiable and measurable. As technology continues to develop, behavioral targeting that allows Saylor URL: http://www.saylor.org/books Saylor.org 191
advertisers to customize messages and products to the needs of each individual will become a more central part of advertisers’ strategies. EXERCISES 1. Targeting helps define who the customers are. Targeting calls for the advertiser to take three steps. Describe and detail each of those three steps. 2. Good target markets have a series of properties that make them very attractive to advertisers and marketers. Describe and detail the four properties of a good target market. 3. Discuss the logic of using behavioral targeting to reach consumers. Be specific in your discussion. [1] Eric Bellman, “Suzuki’s Stylish Compacts Captivate India’s Women,” Wall Street Journal, May 11, 2007, B1. [2] “Consumers Willing to Trade Off Privacy for Electronic Personalization,” Marketing Daily, http://www.mediapost.com (accessed January 23, 2007). [3] Aaron O. Patrick, “Microsoft Ad Push Is All About You: ‘Behavioral Targeting’ Aims to Use Customer Preferences to Hone Marketing Pitches,” Wall Street Journal, December 26, 2006, B3; Brian Steinberg, “Next Up on Fox: Ads That Can Change Pitch,” Wall Street Journal, April 21, 2005, B1, http://www.aef.com/industry/news/data/2005/3105; Bob Tedeschi, “Every Click You Make, They’ll Be Watching You,” New York Times, April 3, 2006,http://www.nytimes.com/2006/04/03/business/03ecom.html?ei= 5088&en=9e55aeacf695c33a&ex=1301716800&partner=rssnyt&emc= rss&pagewanted=all (accessed November 15, 2008); David Kesmodel, “Marketers Push Online Ads Based on Your Surfing Habits,” Wall Street Journal, April 5, 2005,http://cob.bloomu.edu/sbatory/CH%2006%20E%20Mktg%20&%20Customer%20Relationships%202 Oct06%20n48.ppt (accessed November 15, 2008). [4] “Startup Offers Free Calls in Exchange for Eavesdropping,” InformationWeek, September 24, 2007,http://www.informationweek.com/news/internet/ebusiness/showArticle.jhtml?articleID=202101023 (access ed November 15, 2008). Saylor URL: http://www.saylor.org/books Saylor.org 192
- Page 142 and 143: Chapter 5 Know Your Audience: SS+K
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conversation. The customer would have already supplied Pudd<strong>in</strong>g with his or her zip code, age range,<br />
<strong>and</strong> gender, so ads would be targeted by demographics <strong>and</strong> location, as well as by real-time<br />
conversation. [4]<br />
Dig Deeper<br />
Behavioral target<strong>in</strong>g allows advertisers to identify our consumption practices so that they can tailor ads to<br />
our precise <strong>in</strong>terests. They argue that this technology <strong>in</strong>creases efficiency, saves money, <strong>and</strong> reduces<br />
advertis<strong>in</strong>g bloat because we won’t be bombarded with commercial messages for products we don’t want.<br />
On the other h<strong>and</strong>, critics of this practice argue that we’re “mak<strong>in</strong>g a deal with the devil” because we’re<br />
giv<strong>in</strong>g companies access to our personal behaviors. This controversy has surfaced on Facebook, which is<br />
now shar<strong>in</strong>g data about users’ onl<strong>in</strong>e behaviors with advertisers. What is the current status of this<br />
conflict? How can advertisers do a better job of target<strong>in</strong>g while respect<strong>in</strong>g the privacy of consumers—<br />
especially those who don’t want to be targeted?<br />
SS+K Spotlight<br />
Target<strong>in</strong>g the msnbc.com User<br />
SS+K was charged with two goals for the new msnbc.com campaign: <strong>in</strong>crease the number of unique<br />
viewers who visit the site, <strong>and</strong> <strong>in</strong>crease the number of clicks per visit among current msnbc.com users.<br />
To ref<strong>in</strong>e their underst<strong>and</strong><strong>in</strong>g of how to develop the msnbc.com proposition, SS+K enlisted the aid of<br />
Energy Infuser, a market research company <strong>in</strong> Chicago that specializes <strong>in</strong> unearth<strong>in</strong>g consumer <strong>in</strong>sights<br />
through qualitative methods such as focus groups, projective techniques, <strong>and</strong> consumer diaries. A number<br />
of “triads” (groups of three consumers) were recruited <strong>and</strong> agreed to offer their time <strong>and</strong> consumer<br />
experiences of onl<strong>in</strong>e <strong>in</strong>formation seek<strong>in</strong>g. Through analysis of the group’s transcripts, the SS+K team<br />
developed a better sense of why a user might choose msnbc.com over other options: relative to<br />
competitors like bl<strong>and</strong> news aggregators <strong>and</strong> “cold” <strong>and</strong> “serious” CNN.com, msnbc.com virtually<br />
sparkled with energy <strong>and</strong> personality. The site was <strong>in</strong>vit<strong>in</strong>g for users who enjoyed brows<strong>in</strong>g for news <strong>and</strong><br />
tidbits, <strong>in</strong>clud<strong>in</strong>g lighthearted <strong>in</strong>formation on enterta<strong>in</strong>ment, fashion, <strong>and</strong> sports.<br />
KEY TAKEAWAY<br />
Target<strong>in</strong>g is the process of select<strong>in</strong>g the customers whose needs you’re likely to satisfy. Targets need to be<br />
easily identifiable <strong>and</strong> measurable. As technology cont<strong>in</strong>ues to develop, behavioral target<strong>in</strong>g that allows<br />
Saylor URL: http://www.saylor.org/books<br />
Saylor.org<br />
191