This is the summary of an article in Skyje.com. It talks about how behavioral targeting works and what its benefits are for the publisher, online retailers and users. Here’s the link to the original behavioral targeting article: Optimizing Revenue – The 411 on Behavioral Targeting.
For some time now, the practice of behavioral targeting has been done online. Basically, it has to do with the use of software and applications, which can gather data incurred by a person as he or she surfs the Web. This data is then analyzed by the online publisher or retailer in targeting their advertisements to specific people only, in particular those who have signified interest in their products while surfing the Internet.
The Google Illustration
One clear illustration of how behavioral targeting works is Google, a leading, if not the most popular, search engine in the World Wide Web today. Aside from making a search, users can also open a free email account through Gmail, Google’s corresponding electronic messaging service. Notably, when one checks, views, and sends email, he or she might see some advertisements and links displayed on the screen. More often than not, these ads would appeal to them because it is actually based on previous searches that they have made on Google. Put simply, their online activities were taken note of and employed in deciding which advertisements they would most like to see.
Benefits for the Online Publisher
For the online publisher, behavioral targeting is definitely one of the things that would help them gain plenty of benefits. For one if thing, if a user decides to click on an ad or link that they just “happen” to come upon, this means that their targeting strategy actually works. What’s more, this means increase in traffic and number of hits, which spells more profit, of course.
Benefits for the Retailer
For the retailer, behavioral targeting is absolutely something that they should venture into. If a retailer is selling musical instruments, for example, wouldn’t it be best if he or she can target those who are really into music? Not everybody who goes online would be interested in playing the guitar or piano. However, if an entrepreneur, through data tracking software, can find out the people who do, then this would be a great help to his business. Well-matched and targeted ads can lead to a possible sale; and of course increased sales means greater returns.
Benefits for the Web User
Meanwhile, users can also benefit from behavioral targeting. As mentioned earlier, a Gmail user may find links and ads on his wall that are related to his preferred topics or interests. This can actually help save him the time of conducting an online search in the first place. If he is a guitar player looking to find the best strings or accessories for his instruments, he would certainly find it helpful if the advertisements displayed on his Gmail are music stores offering just what he needs.
Indeed, behavioral targeting and related strategies are beneficial to not just one, but to everyone who accesses the Internet. Whether one is a publisher, retailer, or a user, they would find that the practice holds a number of advantages for all of them.