Personalize Your Offers and Gain Revenue With Behavioral Targeting

As consumers have to break through an increasing amount of noise on the web, you might help them immensely by personalizing your offers. In this, behavioral marketing – targeting your content based on consumer behavior – might be the go-to approach.

According to Statista, 95% of marketers claimed that their personalized campaigns were successful. They presented audiences with relevant solutions to their problems through affiliate ads, emails, banners, social media, and other marketing channels to acquire and convert more leads. Thus, behavior-based marketing resulted in stronger appeal and more frequent engagement with a company.

Read on to learn how behavioral targeting works, discover its types, and see how to apply this technology to your business.

What Is Behavioral Targeting?

Successful advertising campaigns are all about delivering upon the client’s expectations. Behavioral targeting, also known as behavioral marketing, enables advertisers and publishers to understand the preferences and interests of their audience to provide them with relevant offers, increasing the likelihood of a purchase. 

Marketers delve into the minds of their prospects by gaining behavioral insights obtained from tracking tools, exploring the time users spend on sites, which products remain in their carts, how often they visit separate resources, etc.

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Once behavioral targeting statistics are collected, a marketer separates the audience into segments, striking each with an accurate email, social messaging, or website campaign. For example, clients who recently searched for cheap plumbers receive ads promoting plumbers with correspondingly low prices.

Behavioral Targeting Step-by-Step

To personalize your message and launch a resonating behavioral marketing campaign, you must undertake three crucial steps.

Step 1. Data Collection

Regardless of the digital advertising medium you use, the online behavioral advertising process begins with collecting the relevant data about your customers. It requires you to utilize data management platforms (DMPs), analytical platforms, and CRM sites to learn the clients’ tendencies. 

Here are some typical behaviors you can build your targeting around:

• Videos, blog posts, and social pages they engage with
• Items they add to their shopping carts
• Websites they visit, session duration, and timing

It’s worth noting that cookies are now less involved in online advertising targeting. As third-party cookies phase out due to legal complexities, marketers tend to avoid them, opting for more reliable and data-rich sources.

In general, data collection involves both website and third-party data items:

Website Data	Advertisers collect data from visitors to their websites, subscribers to their social pages, and recipients of their email letters, etc. This approach facilitates the finest personalization as it reveals the most accurate intents and interests.
Third-Party Data	Marketing specialists gather consumer data across multiple platforms; ideally, as many data sources as they can reach. As a result, such comprehensive behavioral marketing allows them to win clients from competitors.

Step 2. Audience Segmentation

If your offers don’t boil down to a single service or a product, your audience likely consists of users with different interests and intents. Therefore, to ensure deep personalization, you have to divide your audience into groups based on their behavior and create a distinct appeal for each. Customer groups may be “young householders” or “60-year-olds who are looking for health insurance.”

Step 3. Delivering Offers

Now it’s time to put the information you collected and formatted into action. 

Let’s say you’re looking for fresh leads that are eager to take a loan. By knowing that a specific prospect was searching for a $500 instant loan, you know that you should offer a payday loan here.

It’s also crucial to consider the sales channels you employ. For example, users who spend a significant amount of time reading emails should get email letters from you, while those who prefer surfing sites might convert better through ad campaigns. 

Step 4. Adjusting the Campaign

Lastly, you must continuously track your progress and update your campaign accordingly – for example, by analyzing clicks and conversions with Lynx:

 

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Build your plan to kick things off right away, or book a demo to learn how Phonexax can optimize your behavioral targeting. 

Behavioral Targeting Benefits and Examples

Brands that don’t personalize their offers repel a huge number of prospects and deprive themselves of more than half of their potential revenue. Therefore, advertisers must leverage behavioral targeting through as many channels as possible for the best lead acquisition and ROI. 

Here are the other unique benefits of behavioral targeting:

Audience expenditure	As you segment your audience, you explore new branches of potential customers with similar interests, allowing you to reach them with specific campaigns.
Connect based on real-life activities	Behavioral targeting can provide a more comprehensive portrait of your customers, enabling you to communicate your message based on their genuine interests, rather than just mindless clicks. It boosts your customer lifetime value, resulting in a better ROI.
Explore users’ activity during seasonal events	Browsing through the behavioral data records reveals the previous actions of your prospects. For example, you can learn that the user was more active during Black Friday or similar sales, suggesting that you should intensify the campaign during corresponding events.

Many businesses elevate their game through these behavioral tracking perks. The first one that comes to mind is Jeff Bezos with his firmly established Amazon. This marketplace constantly collects target behaviors, tracking and analyzing them to present goods based on users’ browsing history and preferred pages.

Another notable behavioral advertising adept is Google, which has applied personalization since its inception. The platform’s search engine regularly stays on top of users’ recent searches, refining their proprietary ads by factoring in real users’ interests. 

Marketing Techniques That Synergize With Behavioral Targeting

While behavioral targeting alone is a robust technique for acquiring leads more effectively, it may show better results when paired with other marketing approaches.

Contextual Targeting

As its name suggests, contextual targeting considers the page’s context before communicating a sales message to a user. 

Here’s a contextual vs behavioral targeting comparison:

	Behavioral Targeting	Contextual Targeting
Considerations	Digital behavior that encompasses clicks, engagement with blog and social posts, shopping cart contents, etc.	The context of the page that stems from photos, keywords, and the text on the page
Benefits	High level of personalization based on users’ interests	Cheap pricing and the acquisition of basic customer info (gender, geo, age, etc.)
Examples	Promoting bicycles to a user whose complex online actions hint at his intent, regardless of the site they’re on	Promoting cakes to those who browse cake-selling websites

In its nature, contextual targeting is very narrow and focuses on users’ interests based solely on their current actions. So it’s optimal to merge contextual and behavioral targeting to ensure that your campaigns are relevant based on both users’ current actions and past behavior. 

Behavioral Retargeting

In addition to the pre-interaction data – how users behaved before they landed on your website – you also explore how they acted on your platform. You discover if one left items in the shopping cart or browsed specific categories over the others. It reveals your products that have already hooked users, highlighting a marketing offer that you need to propose at that very moment.

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In a world where 75% of users try new shopping behavior and 76% get frustrated when their ads aren’t personal, relying solely on primitive targeting methods, like the contextual approach, is detrimental to your business.

Source: McKinsey

By employing Phonexa’s proprietary HitMetrix software, you mix comprehensive behavior data records with a smart analysis to route your leads mindfully and gain revenue:

• Friction insights: You know why exactly the audience behavior changed with click rate, speed-browsing, bounce, and other metrics.
• Data visualization: Phonexa presents you with an intuitive dashboard that reveals primary analytics, including click and scroll data.
• Weak spot highlights: Learn which stages of your sales funnel fail and see what facets of your campaign you can improve.

 

Get Your All-in-One Performance Marketing Software Suite

HitMetrix does an impeccable job of behavioral tracking and analysis, but you still need a comprehensive system if you want to cover your entire marketing from top to bottom. That’s where Phonexa shines, an eight-in-one toolkit that synergizes all lead generation strategies, sources, and campaigns:

 

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Frequently Asked Questions

What is behavioral targeting?

Behavioral marketing is a technique that implies analyzing your prospects’ online behavior to communicate your offer based on actionable insights. The approach leverages information about users’ clicks, the sites they tend to visit and stay at, their social interactions, and so on.

How do I increase my profit through ad personalization?

By tailoring your sales message directly to your clients’ needs, you resonate with them, thereby increasing the likelihood of a desired action. Personalized offers can reach your clients through emails, website banners, and social media communication methods. 

Why should I use behavioral instead of contextual targeting?

While contextual targeting is an affordable solution, it’s suitable only for starting businesses. If you possess a budget that can afford behavioral targeting, you can acquire an absolute tool that will drive your sales to the next level by speaking directly to your audience.