Wednesday, 01, Dec 2010 12:14
To create more targeted online marketing campaigns, many businesses use behavioural marketing; one expert has been looking at how this can affect return on investment (ROI).
Writing for ClickZ, Andrea Fishman of BGT Partners suggests that this kind of targeting has the ability to offer a better user experience and thereby improve conversion rates.
However, she highlights that this works best for businesses which offer lots of options for their product, for example holidays, or for those with a wide range of merchandise.
Noting that targeted marketing can be high-cost, she stresses that if the expenses outweigh the gains from conversions, then it might not be the best route for a business to go down.
And if a company notices its ROI is not improving while using behavioural targeting, it could be for several reasons.
Having too much data can make relevant information harder to pick out and use, while an increasing focus on the protection of personal data means that it can be an inefficient choice if companies find themselves losing time.
In a recent post for Econsultancy, Tamaka Kee suggested that affluent shoppers should not be forgotten when businesses are creating marketing campaigns for Christmas sales.
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