What is Behavioural Targeting?
In a nutshell, Behavioural Targeting is a marketing technique that uses consumer data to improve the targeting of marketing campaigns. It involves collecting relevant data on consumers from numerous sources, such as demographic, browsing, and purchase data. Marketers can then use this information to create marketing emails and campaigns that are highly relevant to the specific consumers’ needs, wants, and desires. And what’s even better, Behavioural Targeting can recover an enormous 13% in lost sales revenue. Impressive.How does Behavioural Targeting work?
Behavioural Targeting sounds great. Right? But how does this marketing magic actually work? Read on to understand the 4 step process. 1. Collect data The first step is to actually collect the data which you can use for targeting. This can be done in a number of ways. Such as:- Cookies to track website and browsing behaviour
- Data capture forms for demographic information
- Past purchase data to identify previously bought items
- Geolocation data to determine where in the world consumers are
Examples of Behavioural Targeting
If all of the above sounds of interest you, then let’s delve into some more specific examples of how you could be using Behavioural Targeting. Segmentation Let’s begin with the simplest form of Behavioural Targeting, segmentation. As mentioned, this refers to placing user groups into different segments based on similarities, such as demographics or past purchases. Once you have created these segments, you can send targeted campaigns to each group. For instance, promoting specific clothes ranges to certain ages or genders. Or advertising the latest sale of a brand to those who regularly browse and purchase that line. One common tactic to implement is RFM (recency, frequency, monetary) segments. Where users are split into groups based on how recently, and frequently they purchase, or whether they are high spenders. For instance, you could promote your latest sale to those who spend most frequently. Or showcase your higher-ticket items to those who spend the most.
Recommended products
With the use of AI and automation technology, brands can use Behavioural Targeting in an even more advanced way. Targeting the specific individual, as opposed to a segment.
Recommending products is a fantastic tactic when it comes to Behavioural Targeting. Using individuals’ past purchases and browsing data, brands can automate email campaigns recommending similar items pre-purchase, and cross-selling post-purchase.
For instance, a brand can send recommended dresses to a consumer who has been browsing dresses but is yet to make a purchase.
Or, brands can follow up a recent purchase of an electronic toy by advertising long-life or rechargeable batteries.
However, if you want to get more sophisticated, you can combine Behavioural Targeting with dynamic content for a truly automated experience. Dynamic content can be used both in email and on websites and will showcase the most relevant imagery, content, and products to each individual based on their data.
For instance, if a consumer is looking at toys, but hasn’t been convinced into making a purchase, the brand can dynamically populate a recommendation block to promote similar items that may be of more interest.
Stock and pricing updates
We’ve all been there. Painstakingly mulled over a purchase or an item that’s in the sale, excitedly decided to part with our hard-earned cash, headed over to the website to make the purchase. And it’s either increased in price or has sold out.
For consumers, this is an incredibly disappointing experience.
This is why it’s so important to keep them regularly updated with any stock or pricing updates. This is also a great opportunity to shout about items that have come back in stock. Or products and services that are in a promotion or price decrease.
These updates can be automatically sent out by email based on recipients’ past purchasing or behavioural data. And, with the use of dynamic content, both emails and landing pages can update in real-time. So every time a consumer opens their email or refreshes a landing page, the information will be accurate.
Retargeting
Sometimes a consumer will visit your website, browse your products and will be this close to making a purchase. Just to abandon the process altogether.
It’s a frustrating, but common scenario. But fortunately, all is not lost.
With Behavioural Targeting, brands can automatically send out retargeting campaigns to those lost prospects. And remind them exactly what they’re missing out on.
Commonly, you’ll find retargeting in the form of abandoned basket emails. Which remind the consumer that they’ve left something in their basket, and encourage them to finish the transaction.
But with Behavioural Targeting, you can also automate browse abandonment emails, for those consumers who have regularly visited an item but haven’t got any further in their purchasing journey.
Retargeting can also be used for consumers who have already purchased from you. Brands can send out replenishment campaigns or renewal reminders to encourage consumers to purchase regular items such as vitamins or cosmetics. Or to renew a subscription or service.
