What is Behavioral Targeting?

Behavioral Targeting (BT) is the ability to target users based on their behavior on the internet. Most commonly it used to target online ads but the technique can be very well used to target products and content.

Behavioral (Ad) Targeting promises to precisely target the audience that matter most. Hit the users with the right message, a message that they care about. It is all about audience.

How Behavioral Targeting work?

Users are segmented based on the content they view or actions they take on a site(s) and then are targeted with a message (ad) relevant to that segment.

There are two ways behavioral targeting has been deployed

  1. On-Site Targeting
  2. Network Targeting

On-Site Targeting:

The user are segmented based on content views or actions on one site and then are targeted on the site itself.
For example: Users who view 5 or more pages related to auto and view online interest rates page they can be classified as “In Market Auto Buyer”**. Once classified these users can be then targeted with messages from those advertisers who want to reach “In Market Auto Buyers”.

Network Targeting:

The user are segmented based on content views or actions on one site (usually advertisers) and then are targeted where ever they go on sites participating in the behavioral ad network.
For Example: A user views pages 5 or more related to Alaska tours on a travel site, this and then leaves the site without buying. This user is segmented as “Alaska Tour Buyer”**. A very valuable segment for the travel site. This travel site can then tap into the network and share their segment (based on cookie – more on this later) with others in the network and then target them with relevant message to bring them back to the site and convert the sale.

**(How users are segment and what they are called is totally dependent on how marketer wants to define their segment. There is no industry standard, however every now and then I have seen push for creating industry standard way of creating these segment. In my opinion it is too hard to create standards for creating segment as it totally depends on each individual business).

Originally posted at : Behavioral Targeting 101 – Web Analytics, Behavioral Targeting and Optimization by Anil Batra

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