Reasons to Get Involved with Behavioural Marketing
With a growing list of reasons to get involved with behavioural marketing, the new technology certainly deserves its own space on our blog.
At the time of writing, the method is still new and largely underused, but there’s already plenty of material to get marketers and brands talking about it.
The technology isn’t short of qualities: It has even been called the new ‘Holy Grail’ in online advertising. But before getting acquainted with these qualities, here’s a brief introduction of what behavioural marketing is all about.
Behavioural Marketing in a Nutshell:
Businesses purchase adverts from publishers’ websites, and these adverts are then tailored to specific users, based on demographics, location, past browsing and search behaviour.
Editorial pages like HotWired, retail and e-commerce websites were among the first ones to embrace this technique. The best-known example of behavioural targeting is probably the recommendation of products, showing users what they might like to buy next, seen in large e-commerce sites like Amazon, and on social-media platforms like Facebook.
Behavioural marketing can also activate new users, give positive reinforcement as it helps customers learn about products, and also enhance customer support.
So without further ado, let’s get to the pros of behavioural targeting:
While demographics are pretty static, concerning age brackets and gender, behavioural data is dynamic, as our shopping behaviours are fluid, ever-changing.
Behavioural data lets marketers follow these trends and changes closely, then adapt strategies and drive more effective marketing spend.
The process is also a lot quicker than relying only on demographics. So the benefits of pairing demographics with behavioural data are pretty tangible.
Relevant content will always be a high priority. More and more we look for ways to filter out the irrelevant and the spammy from the content that we consume.
Relevancy is at the core of any effective campaign, especially when it involves behavioural marketing. As the technology tailors digital content and ads, messages become refined and more relevant. It takes away the one-size-fits-all aspect and instead, it speaks to each person individually.
Content that is more relevant to viewers will not only hold their attention, but it can lead to more welcoming and positive receptions. That means behavioural marketing can breathe new life into ads.
The technology is an efficient solution for both the customer and the marketer — it’s a win-win scenario. It simply makes sense to place the right service/product in front of the right people.
With Great Efficiency Comes Great ROI
The detailed targeting of behavioural marketing often translates to well-calculated risks and successful campaigns. A study called An Economic Analysis of Online Advertising Using Behavioral Targeting shows that an online publisher’s revenue can double in some scenarios, when behavioural targeting is used.
However, certain factors (competition, for instance) can affect the end result, so the increase is not guaranteed. Nevertheless, the potential for it is still huge and shouldn’t be overlooked.
Personalisation is Key
There has been a notable shift in marketing. Consumers increasingly expect more personalised experiences with brands, from individual feedback on Facebook interactions to customisable trainers by Nike, or even Nutella jars sporting our own names.
So by that logic, the personalised aspect of behavioural marketing is indeed an advantage. Personalisation may take different shapes across various channels, but the core of it remains the same: making it all about the end user.
Overall, behavioural marketing has a strong case by making our online experience a lot smarter. For those of us who are used to it, it is quite the handy tool. It would feel somewhat primitive to surf the web without it.
The issue with privacy is one of the main challenges, but that is not to do with the technology itself. Publishers simply need to act ethically and have a clearly stated policy for the consumer to opt out from having data collected.