Sense Networks (which bills itself as the "original Big Data mobile location company") has announced a retail retargeting solution as part of its AdMatch platform, which enables retailers to identify shoppers who have been to their stores and then retarget these shoppers with mobile ads. Retail retargeting also allows retailers to identify and target prospects that are frequently near the retailer's location and target prospects that meet the retailer's behavioral targeting priorities, thus helping retailers attract and convert new customers.
The AdMatch platform uses predictive location and behavioral targeting to match consumers to relevant offers from retailers via mobile display advertising. Sense Networks claims it can reach an audience of 90 million users with 6 billion location-enabled impressions, and that its Retail Retargeting solution has the ability to identify shoppers of each of the top 1,000 US retailers.
Predictive (Versus Historic) Targeting – Is That Possible?
Sense Networks claims that while competitors rely on a "ring fencing" approach to target consumers at one point in time when they are at retail locations, its technology applies proprietary and predictive algorithms to location patterns to build user-based audience profiles that reveal which mobile users are shoppers, and then retarget shoppers when they are no longer in-store.
This approach results in up to five times more targeting opportunities, claims Sense Networks. With Retail Retargeting, brands have the opportunity to recontact customers immediately after shopping at their locations, as well as to reach shoppers in advance when they plan their purchases. Retargeting consumers before they plan their next shopping trips in theory results in higher CTRs and increased return on investment (ROI).
What this does is to, in essence, ignore the demographics. Never mind what the average 18-30-year-old supposedly wants to buy; what does this particular 18-30-year-old actually buy (or want to buy)? Maybe he’s not your typical millennial shopper, and is less a fan of “The Big Bang Theory” and more an aficionado of kayaking. Or baroque music. In addition to retargeting current customers, Retail Retargeting enables brands reach prospects based on more drill-down behavioral targeting priorities from Sense Network’s flexible platform of 1,000+ behavioral attributes (i.e. college students or sports fans that live within 5 miles of a store). Retailers can then target and retarget prospects who are often near the store or who shop at competitors’ stores, then connect with those consumers in advance of their next purchases. So, in theory, brands can reach prospects they can’t normally reach via mobile, and convert prospects away from competitors.
Ad targeting is projected to be the leading focal point of future data-driven marketing activity, with respondents to a January Winterberry Group survey rating it an average of 4.4 on a 5-point scale of data use significance. Retargeting generated the highest lift in brand search behavior at 1046% lift of six online targeting strategies, according to 2010 data from comScore. The study measured the relative effectiveness of those six strategies, including audience targeting (ads served based on online behavioral data), contextual targeting (ads served to related page-level content), efficiency pricing (cost-per-click), premium pricing (placements on premium publishers), retargeting (served to users that have previously visited an advertiser’s site), and run-of-network (RON) (ads which appear anywhere in the network, often optimized by conversion).
Retargeting is getting some positive press of late, with Epsilon two weeks ago unveiling its Email Response Network (ERN),and chief among its capabilities: retargeting (through what Epsilon calls “win-back” campaigns). ERN's Reactivation Engine is designed to identify consumers at various states of disengagement, allowing an ERN client to launch an intelligently tiered win-back strategy. It can, for example, remind customers of abandoned shopping carts on e-commerce sites.