A recent study shows that behavioral targeting is more engaging than contextual, particularly with increased frequency.
Preliminary results from a recent study from TACODA suggests that contextual targeting should be used at the beginning of a campaign but that for subsequent frequency behavioral targeting should be used.
Contextual targeting is the placement of ads in editorial contexts related to the product being advertised, such as ad for a computer next to an article about computers. Behavioral targeting reaches online audiences with advertising based on where people go and what they do, as indicators of what their interests are most likely to be.
According to Tacoda, this is the first study to use eye tracking to compare behavioral targeting to contextual targeting in terms of advertising awareness, branding measures and ROI. The study, designed to test the belief about higher attentiveness in contextual targeting, was conducted by Next Century Media for Tacoda.
The study found that the same ads receive 17 percent more looks when seen in behavioral unrelated-content sites than when seen in content directly related to the advertised product or service. Results indicated that behavioral targeting can help the ads be noticed more often and for more time the more that consumers are exposed to them.
In addition, the study found that visitors pay more attention to ads in behavioral targeting mode. After first exposure, looks in behavioral targeting increased 54 percent versus the same ads in a contextual setting.
The results indicate that the advantages of behavioral targeting increase dramatically with frequency. The build of frequency in behavioral targeting, unlike contextual targeting, suggests that there is a surprise effect that does not wear out. The surprise effect occurs when someone in the market for a product finds an ad for that product in a completely unrelated site, the user might react to the surprise of the unexpected event by looking at the ad. Researchers determined that the repeat surprise effect results in more chances for the ad to engage the user, unlike the clamor effect, which occurs when too many ads for the same product category seek the user’s eye in contextual targeting. Although users are on the site researching a planned purchase, they might try to stay focused on the editorial content during that process while resisting the abundance of similar ad messages.
Seconds
Researchers measured the number of times the subjects looked at each ad on each page (looks) and measured aggregate time spent looking at each ad on each page (seconds).The pattern of increasing behavioral targeting advantage with frequency is illustrated here with the case of car advertising.
Bill Harvey, CEO of Next Century Media, noted that behavioral targeting ads likely generate more looks than contextual targeting due to a combination of more relevancy and less clutter.
“It could be that there are just too many ads for the same product category attacking the user’s eye in contextual targeting, causing the user to avoid looking at any of them. Even though they are on that site researching a planned purchase, they might try to stay focused on the editorial content during that process, resisting the bombardment of similar ad messages,” says Harvey. “On the other hand, when in the market for a product, and finding an ad for that product in a completely unrelated site, the user might react to the surprise of that unexpected event by looking at the ad. We call these two hypotheses ‘Clamor’ and ‘Surprise’ respectively, and will be studying both of them more in future studies.”
“This is really landmark research. We never expected to find that behavioral targeting seems to escape the same banner burn-out problem that contextual targeting suffers from,” says Dave Morgan, CEO of Tacoda. “Behavioral targeting is certainly being revealed to be even more powerful than any of us expected and this study suggests new ways to use behavioral and contextual targeting to complement each other to achieve the greatest advertising effectiveness.”
Examples of ads shown
Tacoda and Next Century Media conducted the study in November and December 2005 as part of a year long study. Researchers compared identical ads -- Panasonic plasma TVs, a car company and computer company -- exposed in behavioral and contextual targeting. Panasonic agreed to be named in the study. Researchers interviewed subjects between the ages of 18-64 who were in the market for plasma TVs, new cars and computers. Subjects viewed each of the brands four times in behavioral and contextual targeting formats. Researchers measured the number of times the subjects looked at each ad on each page (looks) and measured aggregate time spent looking at each ad on each page (seconds).
Researchers will complete phase two of the study within a few weeks, which focuses on pre- and post- brand awareness and response. Phase three, slated for completion in the spring, will focus on the P300 brainwave, the brainwave produced when a surprise occurs.
Nanette Pietroforte is an editor with iMedia Connection.
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