A new study from
Interpublic’s Magna and the IPG Media Lab reinforces the idea—embraced by the industry for a number of years now—that ad personalization is one of the best techniques to help brands
deliver more relevant and effective ad experiences.
The study focused on three key ad categories—auto, retail and finance—and includes responses from more than 6,000
participants. Testing was conducted on two audience types: brand target demographics and high-value audiences based on people-based IDs created by precision targeting platform Kinesso. Six types of
data sources for personalization were tested: demos, past purchases, location, life events, search terms and precision messages for high-value audiences.
The study found that most forms
of ad personalization had some value and that higher levels of personalization were more effective at shifting difficult-to-move metrics. The study found that personalizing ads based on
major life events struck an emotional chord with people, leaving them interested in hearing more from the brand (+16%) and more likely to purchase the brand (+12%) compared to the same video ad
without a personalized message. Similarly, personalizing ads based on search terms, which are also deemed more sensitive than other forms of data such as age, drove brand preference (+8%).
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“Relevance is a critical part of brand marketing strategy because people today are inundated with content on a daily basis and it can be overwhelming,” stated Kara Manatt, senior vice
president/ group director, intelligence solutions at Magna Global. “Personalized messaging can not only help create more relevant ads, but also help amplify brand stories, forging stronger, more
solid personal connections.”
Access the full report here.