Targeted advertising

Targeted advertising is a form of online advertising that is directed towards audiences with certain traits, based on the product or person the advertiser is promoting. These traits can either be demographic which are focused on race, economic status, sex, age, the level of education, income level and employment or they can be psychographic focused which are based on the consumer's values, personality, attitudes, opinions, lifestyles and interests. They can also be behavioral variables, such as browser history, purchase history, and other recent activity. Targeted advertising is focused on certain traits and the consumers who are likely to have a strong preference will receive the message instead of those who have no interest and whose preferences do not match a product's attribute. This eliminates wastage. Targeted advertising is a form of online advertising that is directed towards audiences with certain traits, based on the product or person the advertiser is promoting. These traits can either be demographic which are focused on race, economic status, sex, age, the level of education, income level and employment or they can be psychographic focused which are based on the consumer's values, personality, attitudes, opinions, lifestyles and interests. They can also be behavioral variables, such as browser history, purchase history, and other recent activity. Targeted advertising is focused on certain traits and the consumers who are likely to have a strong preference will receive the message instead of those who have no interest and whose preferences do not match a product's attribute. This eliminates wastage. Traditional forms of advertising, including billboards, newspapers, magazines and radio, are progressively becoming replaced by online advertisements. Information and communication technology (ICT) space has transformed over recent years, resulting in targeted advertising to stretch across all ICT technologies, such as web, IPTV, and mobile environments. In next generation advertising, the importance of targeted advertisements will radically increase, as it spreads across numerous ICT channels cohesively. Through the emergence of new online channels, the need for targeted advertising is increasing because companies aim to minimize wasted advertising by means of information technology. Most targeted new media advertising currently uses second-order proxies for targetings, such as tracking online or mobile web activities of consumers, associating historical web page consumer demographics with new consumer web page access, using a search word as the basis for implied interest, or contextual advertising. Web services are continually generating new business ventures and revenue opportunities for internet corporations. Companies have rapidly developing technological capabilities that allow them to gather information about web users. By tracking and monitoring what websites users visit, internet service providers can directly show ads that are relative to the consumer's preferences. Most of today's websites are using these targeting technologies to track users' internet behavior and there is much debate over the privacy issues present. Search engine marketing uses search engines to reach target audiences. For example, Google's Google Remarketing Campaigns are a type of targeted advertising where websites use the IP addresses of computers that have visited their websites to remarket their ad specifically to the user who has previously been on their website as they use websites that are a part of the Google display network, or when searching for keywords related to a product or service on the google search engine. Dynamic remarketing can improve the targeted advertising as the ads are able to include the products or services that the consumers have previously viewed on the advertisers' website within the ads. Google Adwords have different platforms how the ads appear. The Search Network displays the ads on 'Google Search, other Google sites such as Maps and Shopping, and hundreds of non-Google search partner websites that show AdWords ads matched to search results'. 'The Display Network includes a collection of Google websites (like Google Finance, Gmail, Blogger, and YouTube), partner sites, and mobile sites and apps that show AdWords ads matched to the content on a given page.' These two kinds of Advertising networks can be beneficial for each specific goal of the company, or type of company. For example, the search network can benefit a company with the goal of reaching consumers searching for a particular product or service. Other ways Advertising campaigns are able to target the user is to use browser history and search history, for example, if the user typed in promotional pens in a search engine, such as Google; ads for promotional pens will appear at the top of the page above the organic pages, these ads will be targeted to the area of the users IP address, showing the product or service in the local area or surrounding regions, the higher ad position is a benefit of the ad having a higher quality score. The ad quality is affected by the 6 components of the quality score: When ranked based on this criteria, will affect the advertiser by improving ad auction eligibility, actual cost per click (CPC), ad position, and ad position bid estimates; to summarise, the better the quality score, the better ad position, and lower costs. Google uses its display network to track what users are looking at and to gather information about them. When a user goes onto a website that uses the google display network it will send a cookie to Google, showing information on the user, what he or she searched, where they are from, found by the IP address, and then builds a profile around them, allowing google to easily target ads to the user more specifically. For example, if a user went onto promotional companies' websites often, that sell promotional pens, Google will gather data from the user such as age, gender, location, and other demographic information as well as information on the websites visited, the user will then be put into a category of promotional products, allowing Google to easily display ads on websites the user visits relating to promotional products. these types of adverts are also called behavioral advertisements as they track the website behavior of the user and displays ads based on previous pages or searched terms. ('Examples Of Targeted Advertising')