Data-based Advertising

by Basheer Badran

Advertising is at the heart of our content experience online, and whether we know it or not, it is what funds our experience.

The ads we see online differ on how annoying or useful they are to us. Often, the more useful ads are the ones that are customized to our specific needs. But for some people, those ads also feel a bit intrusive. 

Data is used to identify what would appeal to 

us in ads that are tailored to our needs. And this information is collected by

 different parties based on our online behavior and our privacy settings. 

What is Data-based Advertising?

It is a marketing strategy that employs customer information to optimize and target media buying and creative messaging.so it’s considered one of the most transformative changes in digital marketing history.

This kind of marketing uses data to optimize an ads’ audience, message, and creativity so that it’s maximally appealing to the people who see it.

How does it work ?

Data-based advertising is widely used online. It was introduced in the early 2000s by companies like Yahoo and MSN, and it shifted the advertising paradigm from contextual advertising, which was the common model until then. In contextual advertising, advertisers look for content that is topically related to their ads. For instance, an advertiser would try to advertise running shoes next to content about running or other sports. And this is the most common advertising model in the magazine industry. And in the early days of the Internet, that was the advertising model adopted by most websites.

Data-driven advertising is different. Ads are matched with the audience who sees them, regardless of where the ad appears. So an ad for running shoes would appear to a person interested in running, independent of whether that person is looking at running-related content or not, at the time when they see the ad.

Benefits of Data-Driven Advertising

Here are just some of the benefits of using data-driven advertising strategies:

  • Targeting the right consumers: marketing messages are optimized to be shown only to the appropriate targets for the marketing campaign.
  • Strengthen Emotional Connections With Your Audience

With data-driven advertising, you can gain more insights into how buyers engage with your brand. 

  • With the data, brands can also measure and improve their strategies in real time.

Summary

It’s crucial for advertisers to be able to target ads to those who are more likely to be interested in them. Data-based advertising enables advertisers to deliver ads to people based on their demographics, location, interests, or previous behaviors. And research has demonstrated that data-based advertising is over 500% more effective than advertising without data.