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Targeted Display Advertising tips

Targeted Display advertising is often used to try and convert customers, who have shown interest in a product on your site and not bought. Some use it to build brand awareness for a specific audience. Others use it to re-market to existing customers. In every case, live by the rule: customers don’t want to hear from you, unless what you have to say is relevant to them. You really have to put yourselves in their shoes and ask yourself: 

"if I were a consumer receiving this message would it make sense to me?"

As a retailer you have to pay attention to what you are communicating to your customers. Your goal has to be to deliver the best customer experience possible.

Sometimes targeted display advertising campaigns, while meaning well, can get actually end up creating confusion for those on the receiving end. The perfect example of this is re-marketing to an existing customer with an advert for a product they’ve just bought. If they’ve just bought it, why would they want to buy it again so soon? Especially if it’s a product which isn't bought frequently.

So retailers should join together data and use it to execute targeted display advertising campaigns, which improve the customer experience. 

Here are some targeted display advertising tips:

  • Show complementary products to those which were bought. Pick a focal product and create a segment of customers who bought this focal product on it's own. Then create a set of ads that show complementary products to the focal product. If it’s a Sofa, it could be cushions or a throw. If it’s jeans then maybe a suitable top. 
  • Identify a group of customers with a high predicted lifetime value, who are at risk of churning. Identify their average order value and the average amount of discount received and provide a targeted incentive to come back and buy, which doesn't overly subsidise margins.
  • For products which can be consumed on a repetitive basis (e.g. vitamins) target customers with replenishment offers, an appropriate number of days after their initial purchase. This requires you to be able to easily identify consumption duration for each product and use that to trigger an advert at the appropriate point in time. 

All these tips are equally applicable to email marketing. To make them work for display advertising you need to have in place the right system that enables you to link CRM data for a customer to a web cookie. If you don't have such a system in place then use email campaigns to target such customers and focus targeted display advertising campaigns on converting customers who've shown intent to buy, but haven't done so yet.