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BizReport : Advertising archives : January 28, 2015

ChoiceStream: Sports audiences costing brands more

2014 was a big year for sports - the FIFA World Cup, a strong showing in the baseball World Series and the usual NCAA and NFL hype. But, according to new data out from ChoiceStream, eight different sports related ad segments showed significant cost increases from 2013 to 2014.

by Kristina Knight

The increases, experts stipulate, are likely because most digital ad targeting is done manually using traditional targeting/audience segments. ChoiceStream's data identifies some interesting trends:

• The world soccer segment skyrocketed around the FIFA World Cup
• The overall cost index increased 4.2% each month
• Trending brand sales, ad campaigns and segment costs are linked

"Brands, on average, are targeting segments with labels that match the intuitive audience definition," says Bill Guild, VP of Marketing at ChoiceStream. "This indicates that the prevalent mode of digital ad targeting is still manual. As more brands adopt automated optimization, we expect targeting to shift toward the non-obvious correlations discovered by machine learning, and we expect the linkage between predefined segments and markets to blur."

The ChoiceStream Audience Cost Calendar has been monthly to date, but will change to quarterly going forward. ChoiceStream monitors how ad costs change throughout the year.

Tags: advertising, advertising trends, ChoiceStream, digital audience costs

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