RSS feed Get our RSS feed

News by Topic

BizReport : Advertising : October 28, 2020

Expert: Why hypertargeting is more important than ever

It's been a minute since hyper-targeting took center-stage in the digital marketing space, but thanks to consumers and businesses being locked down in a pandemic, more attention is being given to the phrase. We asked one expert what is different, this time around, for the marketing effort.

by Kristina Knight

Kristina: Hyper-targeting was a big buzzword about five years ago. Why is buzz
beginning to sound around the term now as it relates to customer engagement?

Dan Neiweem, Principal & Co-Founder, Avionos: Five years ago, hyper-targeting was an idea and at its peak of inflated expectations.  Now, it is becoming a reality after technology aligned to expectations.  For successful hyper-targeting, companies need the right data strategy, the right technology and the right messaging. With the
emergency of AI/ML, the identification of the right audience, message and channel are becoming more automated, allowing marketers to focus more on the strategy and message.

Customers expect brands to know them and are relating to those that do it well. In
our 2019 Consumer Expectations Report, when all else is equal between two brands or
retailers, 78% of online consumers are more likely to make a purchase with the
company that better personalizes their experiences. Customers increasingly expect
more sophisticated personalization. Our 2020 Consumer Expectation Report found that
when shopping online, 36% of customers expect personalized product
recommendations on the website homepage, up from 28% in 2019.

Kristina: According to Avionos data nearly three-quarters (73%) of people 'expect'
that brands will personalize online experiences - are merchants currently set up
for this?

Dan: Most merchants have much of the data but don't have the solutions or teams in
place to take advantage of that data. In many cases, they don't have the automation
capabilities to make the personalization meaningful.

Kristina: What is it that consumers want from a personalized experience - is it
related products, for example?

Dan: In a B2C commerce experience, customers are typically looking for
recommendations. Those recommendations can come in the form of related products,
recommended products and potential finds they may like. Many customers want to
replicate the impulse purchase from the store experience and want to find the next big
thing. Many customers also want the product information in the context of how they plan
to use it and when it is seasonally appropriate. For example, many food companies are
looking to describe their food with seasonality in mind like referring to it as 'back to school'.

Kristina: What happens when this personalized experience doesn't happen? 

Dan: Many consumers are turned off when personalization isn't relevant, crosses
personal lines, or shows items that they just purchased, which leads to a negative
experience. From our 2019 Consumer Expectations Report three-fourths of online
shoppers (73%) are likely to avoid brands and retailers after a single negative
experience. With so many companies to choose from, consumers don't hesitate to
move on when let down

Kristina: How can merchants and brands quickly adjust strategy to include
personalized experiences?

Dan: Merchants and brands should establish KPIs and associated success metrics.
From there, many merchants should just get started in their efforts to include
personalized experiences for shoppers. A valid strategy is start small, test and learn,
and grow into the capability. Many personalizations can be simple like AB Testing,
related products and 'customers also bought'sections.

Tags: advertising, Avionos, customer data, ecommerce advertising, hypertargeting strategy, personalized experience, targeted advertising

Subscribe to BizReport



Copyright © 1999- BizReport. All rights reserved.
Republication or redistribution of BizReport content is expressly prohibited without the prior written consent.
BizReport shall not be liable for any errors in the content, or for any actions taken in reliance thereon.