The Advertiser’s Challenge: Standing Out in a World of Noise
We know that advertisers care about higher value inventory, increasing conversion rates and grabbing the consumer’s attention.The challenge for advertisers is how to transform invasive ads into relevant content that consumers will engage with.
The trouble with that is consumers have shut off the traditional world of marketing. They own a DVR to skip commercials, often ignore magazine ads, and now have become so adept at online “surfing” that they can take in online information by ignoring banners or buttons, making them irrelevant. There isn’t a simple TV-to-EAR relationship anymore: the world is fragmented and people have developed extraordinary skepticism due to choice paralysis, where too many choices cause people to give up on choosing at all.
“Somewhere in the last century the focus shifted from the consumer to mass growth, scale and monetization,” said Aaron Strout. “Now there are these opportunities for advertisers to come together and create a more beneficial experience for both parties. But consumers have more or less stopped paying attention to advertising.”
The Solution: Changing the Delivery Method - Audience Intelligence Provides Context
“The key difference between intrusive ads and relevant content is context,” said Schneidermike. The more you know about your consumer the more relevant your message is. We are not far from a future in which content is constantly adapted and served based on user context.
Schneidermike says that contextual data can help create responsive mobile experiences in which the user interface adapts to the given context of a user. For instance, a retailer might develop a “store mode” within an application that presents an entirely separate interface based on whether a user is shopping at home or at a brick-and-mortar location.
The Results: More Relevant Content = Higher Conversion Rates
The aggregation of location data from mobile devices enables publishers to know the interests, activities, shopping patterns and mobile behavior of their audiences at a given time and place so that they can anticipate the right content to share at the convenient time.
Contextual information based on location enables users and advertisers to come together, understand each other, and promote a more beneficial experience. More contextual data on users allows for better targeting for brands, more relevant content for consumers, and higher value ad inventory for publishers. True context data delivers higher profitability for the same ad impressions. Context-based content is the next step in the evolution of personalization.