Behavioral advertising program or Interest-based advertising

Amarnath Prabhakar March 14, 2009 0

We have seen what are the advertisement types and we know the targeting of advertisements are based on many criteria.

There is an emergence of a new targeting model, this is called the interest based advertising as christened by google or behavioral advertising as it is popularly called.

What is behavioral advertising?

Different people possess different interest levels on varied products. For instance a kid would not understand the need for an insurance plan, where as a middle aged employee would know the imporatance of it. People behave differently to different things based on their interest on that product or service that is being offered.

Behavioral advertising is nothing but, targeting specific audiences for specific products based on our understanding or based on data. It is universal and common sense to understand that children like icecream and chocolates. There is no requirement for futher segregation. On the other hand a man in his late 20s might have varied interests on a lot of things. Some men like sports, some finance, some gadgets, etc., This is the behavior they possess and as advertisers it would sure be great information if we are to know their interests.

Advertising to these men based on their interests on certain products and services is termed as behavioral advertising.

Why do we need interest based advertisements?

It is very simple a logic which will benefit the advertiser, the publisher and the end user alike. The benefits of behavioral advertisements are something that hasn’t yet been scrutinised but overall discussions and the direction already gives us good news. The possible benefits of behavioral advertisements can be

Greater CTR – A higher click-through-rate is always great news for the publisher as well as the advertiser. This can happen because we are showing the ads most relevant to the internet user based on his interests.

Better Conversion – A better click through rate would only mean that most of the clicks will convert into a sale.  This way  the advertiser is happy.

Targeted Advertising – This means that the internet user is happy because he/she gets to see the advertisements of products he/she is interested in. There might not be dissatisfaction among the internet users for having disturbed by irrelevant advertisements. Imagine getting advertisements on chocolates and ice-creams when you are searching for dieting information.

More Money - Greater the conversions the better the possibility of making more money for advertisers and the publishers are also supported to make money online through greater CTRs

Overall, the benefits of interest based advertising is evident and the same can only be scrutinised with data. All said and done this seems to be a blessing in disguise for all the people using the internet irrespective of whether it is an information provider or an information seeker.

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