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TARGETED INTERNET
ADVERTISING
VIIANEN JONNE
KAVÉN EETU
AGENDA
• BENEFITS
• METHODS
• LOCATION BASED ADVERTISING
• BEHAVIORAL TARGETING
• RISKS
BENEFITS
• TARGETING LEADS TO COST EFFICIENCY
• ADS ARE SHOWN TO THE DESIRED SEGMENT(S) OF CUSTOMERS
• 2.7 TIMES AS MUCH REVENUE PER AD ON AVERAGE (BEALES, 2010)
• ENABLES SPECIFIC CUSTOMIZATION OF ADS
• COMPANIES ARE ABLE TO ANSWER CUSTOMERS NEEDS MORE EASILY
• ADVERTISEMENT CAN BE PART OF THE PRODUCT OR SERVICE VALUE CREATION
METHODS
LOCATION BASED ADVERTISING (LBA)
• HAS EMERGED AS AN CONSIDERABLE PLATFORM
• MADE POSSIBLE DUE TO GREAT AMOUNT OF SMART DEVICES
• TAKES ADVANTAGE OF GPS AND GNSS (SATELLITES) TO PINPOINT THE LOCATION OF USERS
•  LOCATION SPECIFIC ADS
• LBA IN IT’S OWN DOESN’T ENSURE THAT THE CONSUMER IS INTERESTED IN THE SHOWN AD
+ PRODUCT IS AVAILABLE NEARBY
- NOTHING EXCEPT THE LOCATION IS KNOWN OF THE CUSTOMER
BEHAVIORAL TARGETING
• CONSUMERS WEB BROWSING BEHAVIOR IS MONITORED AND ANALYZED
• COOKIES, WEB BEACONS AND SIMILAR TRACKERS ARE USED TO GAIN DATA
• EXTREME SAMPLES OF TRACKERS CAN BE TROJAN VIRUSES
• END GAME IS TO FIND OUT THE AGE, GENDER AND PURCHASING PREFERENCES OF THE
CONSUMER
• VALUABLE INFORMATION WHICH INCREASES THE CPM FOR ADVERTISERS, BUT IT’S WORTH IT
• EFFECTIVENESS CAN BE BOOSTED WITH OTHER TARGETING METHODS
RISKS
• LEGAL ISSUES IN PRIVACY
• DIFFERS BY COUNTRY. CHINA VS SWEDEN
• CUSTOMERS POINT OF VIEW
• MOST CUSTOMERS ARE AGAINST TRACKING
• TARGET AUDIENCE SHOULD BE CAREFULLY PICKED
• USUALLY FEW TRIES ARE NEEDED TO FIND THE MOST COST EFFICIENT AUDIENCE
• ANTIVIRUS SOFTWARE PROVIDE ANTI-TRACKING TO REVITALIZE THE USAGE OF PAID SERVICES