The identification of consumers who are in-market for broad categories of goods has always been a mainstay of behavioral targeting. Still, marrying dynamically targeted creative with that behavioral data continues to be a work in progress. But one provider, Permuto, has an interesting model for aggregating data from e-commerce sites into a more automated system of targeting people who are in-market for specific products with equally specific ads.
As we assemble in New York on Thursday for the East Coast edition of OMMA Behavioral, the prospects for the behavioral advertising segment are at once strong and guarded. EMarketer Senior Analyst Dave Hallerman has some hefty projections for growth in the category: 21.6% this year and 20%+ growth out through 2014. More so than ever before, though, the issues surrounding online privacy and industry regulation threaten to restrict growth.
Next month Scout Analytics will begin testing keystroke dynamics -- technology that creates individual digital fingerprints for each consumer user -- as a behavioral targeting tactic. Then Scout plans to offer its technology to retailers and other businesses that target ads directly to consumers through behavioral targeting platforms.
Understanding exactly how consumers perceive the value exchange between advertising and free content is pretty much anyone's guess. Ask any group of readers whether they like ads, and they answer resoundingly, "no." Ask the same group if they prefer getting their content for free, and you are likely to get as resounding a "yes." But what do consumers really think if you rephrase the question about free content and online ad technologies, and try to get at their attitudes about value exchange and trade-offs between behavioral tracking and free access?
At first, global expansion can create more headaches than benefits for companies. No one knows that better than Denise Colella, AudienceScience's newly appointed chief revenue officer, who plans to strengthen the company's international footprint.
Spyware was and still is the bane of neophyte PC users. I don't know how many times over the years I have been enlisted to cure the dysfunctional computers of my teen daughter and her friends. But according to Harvard Business School Assistant Professor Ben Edelman, spyware and its behavioral tracking is also hurting marketers by contributing to click fraud.
EMarketer estimates online advertisers in the United States will spend about $2.6 billion by 2014 on behaviorally targeted advertising, up from more than $1.1 billion this year. Estimates put the industry on a growth rate of about 20% from 2009 through 2014. But even with all that projected growth, do advertising and marketing executives understand its benefits and challenges? A BT ranking system would help.