This week’s guest blog post is contributed by Nora Callas, Platform Partnerships Lead, TV & Video, Oracle Data Cloud.
Due to its sheer scale and impact, TV continues to be a driving force in advertising.
Reaching the largest screen in any given household—leveraging that ideal combo of sight, sound, and motion—was a cornerstone of most large-scale campaigns.
But, in recent years, the explosive growth of digital-ad spending caught up and now passes TV’s share of ad spend.
eMarketer reports that TV took in $71.3B domestic in 2016, just under digital advertising's $72.5B in the IAB's digital ad revenue report.
The primary reason digital experienced such a meteoric rise is its ability to finely target audiences using a variety of declared and behavioral data.
Meanwhile, TV targeting was historically limited to only demographic (age & gender) targeting and daypart.
The TV landscape evolved to include smart TVs with internet connections, and the ability to stream and watch content across multiple devices—now you can more accurately reach your intended audiences.
Still not convinced? Here are three main benefits of using data-driven audience targeting for your next TV ad campaign.
Online behavior and intent data tells you a person’s interests and preferences.
Not every Male 18-34 has the same interests, so targeting your TV advertising based on broad demographic targets often means you also hit a large group of folks not in-market for your product.
By layering in online data based on browsing behavior and other intent signals (which help marketers understand what customers might purchase next), you can ensure you’re reaching folks showing interest in your specific product or category.
This might cut down on overall total reach but keeps the reach against your true target the same.
Other tools like look-alike modeling allow you to gain that reach back by finding the people with similar attributes who more accurately reflect them as consumers rather than a broad demographic bucket.
Hone in on your specific target audience instead of wasting money on broad contextual and demographic buys.
By casting a wide net to go after a specific program that highly indexes against your target audience, you’ll also likely hit many folks outside your target. Depending on the product and category, a wide net could mean a huge miss and a big waste in media spend on consumers uninterested in or not in-market for your product.
Using audience data to build a more data-driven media plan allows you to achieve the same GRPs across a variety of networks and shows specific to where your audience is watching.
Less media dollars spent on audiences outside your target means more dollars available to connect with your true target audience.
Reach past purchasers using audiences built on credit card, loyalty card, or transaction data.
The best indicator for future purchase is past purchase. If you are a retailer with your own transaction data, leveraging that in TV audience targeting could be transformational for your business.
Target that audience to cross-sell or upsell them to other products in your portfolio. Use it as a seed audience to model and find customers that look like people you know purchased your product.
If you are a company without transaction data, there are multiple vendors that allow you to build third-party audiences based on credit and loyalty card data.
Reaching people who might have bought your products or competitive category products takes us one step closer to a feedback loop that unifies advertising and sales.
The precision and power of digital advertising combined with the impact of TV as an advertising medium can be a huge asset to marketers.
Uniting these for your next campaign will help you reduce advertising waste, increase audience targeting accuracy, and improve overall ROI.
About Nora Callas
Nora leads the TV & Video Platform partnership team at Oracle Data Cloud. Her group builds and manages partnerships enabling TV and video targeting and measurement on behalf of 100+ advertiser needs.