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1
BEHAVIORAL
MARKETING
THE MOST EFFECTIVE WAY TO MARKET TO BUYERS, NOT SUGGESTED DEMOGRAPHICS
2
WHAT IS BEHAVIORAL MARKETING?
INDIVIDUAL BEHAVIORS
MARKETING AUTOMATION
BEHAVIORAL MARKETING
+
=
3
WHAT IS BEHAVIORAL MARKETING?
Behavioral Marketing is the next generation of online advertising. It’s a
new way of thinking that breaks digital marketing through the old limits
of traditional marketing.
Until now, digital marketing meant buying ad space on a site where you
hoped your audience would be. It was the online equivalent of buying a
roadside billboard and crossing your fingers your buyers in your market
drove by. It was both broad and limited.
With Behavioral Marketing, your campaign is free of those constraints.
Paired with Real Time Bidding, you can track individual users and pres-
ent your ads on a case-by-case basis. You’re no longer wasting billboard
views, you’re delivering your message to your buyers individually.
4
WHAT IS BEHAVIORAL MARKETING?
Behavioral Marketing includes:
SITE RETARGETING
marketing to those who are familiar with your company
SEARCH RETARGETING
marketing to those who are looking for your company
KEYWORD CONTEXTUAL RETARGETING
marketing to those who are interested in your products and services
5
WHY BEHAVIORAL MARKETING?
Data has evolved to the point that it can tell us what businesses want,
and even let them tell us what they want themselves. Search retargeting
uses queries and user search data to measure buyer behavior and intent
and uses this data to present them with the products and companies
that answer the questions they’re asking.
Harvard Business School professor Clay Christensen calls this process
“Integrating around the job to be done.”1
The user “hires” a product to a
“job”. Understanding this helps companies develop their marketing plan
around what causes a business to buy a product and not by their iden-
tity with a particular demographic segment.
With Behavioral Marketing though, this kind of nuance is recognized and
put to use. It allows for a more tailored approach that can be adjusted
during a campaign, instead of set in stone before a launch. Behavioral
Marketing recognizes the importance of granular data and takes care of
all the heavy lifting for you, leading to higher ROI
1 http://hbswk.hbs.edu/item/6496.html
6
WHY BEHAVIORAL MARKETING?
focus on
INDIVIDUAL BUYER BEHAVIOR
and not
LOOSELY-RELATED LEADS
7
WHY BEHAVIORAL MARKETING?
the standard 468x60 banner
sees a CTR of 0.04%1
THAT’S A CLICK-THROUGH
GROWTH OF 300%
1 http://blog.hubspot.com/marketing/horrifying-display-advertising-stats
behavior-based targeted ads see
a CTR of up to and over 0.12%
8
WHY BEHAVIORAL MARKETING?
Segments break audiences into demographic pools based on basic data:
location, business size, perceived industry and others. None of these are
predictors of buying behavior and may not be up-to-date.
Behavior-based tracking, however, reflects real-time user interest. A user
searching for “office chairs” and “desks in bulk” and visiting websites like
OfficeDepot.com is more likely to be about to buy office furniture than a
lead that simply belongs in the “Facility Managers” segment.
THESE AREN’T JUST ANY LEADS
THESE ARE LEADS LOOKING TO BUY NOW
9
BEHAVIORAL EMAIL
Behavioral marketing covers more than display advertising and search
and site retargeting, it also applies to your email campaigns. Open and
click-through rates for behavior-based email campaigns is leagues above
interaction rates for batch messages.
For email, behavior-based can mean a lot of things. Abandoned cart
emails for commerce websites. Follow-ups to sales for client feedback.
Upgrade alerts for past clients. These kind of triggered emails see signifi-
cantly higher engagement than others.
10
WHAT IS REAL TIME BIDDING?
Real Time Bidding is the essential technology that allows for the delivery
of behavior-based marketing campaigns and one of the fastest growing
avenues in digital marketing.
Real Time Bidding (RTB) is a method of buying display ad space one
impression at a time at prices that reflect their real-time value. It’s a cost-
saving alternative to bulk-buying a block of impressions at a single set
price over a long period of time.
Driven by computer algorithms, RTB software reacts to immediate data
and bids for impressions with targeted users—not specific websites—the
moment they’re available.
11
BEHAVIORAL MARKETING AND RTB
Behavioral targeting and real time bidding offer incredible granularity
and nuance in campaigns. Combined, they allow businesses to display
their messaging in front of buyers looking for companies like them—
while they’re looking for them.
Separately, they provide incredible mines of data for digital marketers.
Behavioral targeting has the leads and real time bidding has the means.
Together, they mean a revolution in digital marketing.

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Behavioral Marketing

  • 1. 1 BEHAVIORAL MARKETING THE MOST EFFECTIVE WAY TO MARKET TO BUYERS, NOT SUGGESTED DEMOGRAPHICS
  • 2. 2 WHAT IS BEHAVIORAL MARKETING? INDIVIDUAL BEHAVIORS MARKETING AUTOMATION BEHAVIORAL MARKETING + =
  • 3. 3 WHAT IS BEHAVIORAL MARKETING? Behavioral Marketing is the next generation of online advertising. It’s a new way of thinking that breaks digital marketing through the old limits of traditional marketing. Until now, digital marketing meant buying ad space on a site where you hoped your audience would be. It was the online equivalent of buying a roadside billboard and crossing your fingers your buyers in your market drove by. It was both broad and limited. With Behavioral Marketing, your campaign is free of those constraints. Paired with Real Time Bidding, you can track individual users and pres- ent your ads on a case-by-case basis. You’re no longer wasting billboard views, you’re delivering your message to your buyers individually.
  • 4. 4 WHAT IS BEHAVIORAL MARKETING? Behavioral Marketing includes: SITE RETARGETING marketing to those who are familiar with your company SEARCH RETARGETING marketing to those who are looking for your company KEYWORD CONTEXTUAL RETARGETING marketing to those who are interested in your products and services
  • 5. 5 WHY BEHAVIORAL MARKETING? Data has evolved to the point that it can tell us what businesses want, and even let them tell us what they want themselves. Search retargeting uses queries and user search data to measure buyer behavior and intent and uses this data to present them with the products and companies that answer the questions they’re asking. Harvard Business School professor Clay Christensen calls this process “Integrating around the job to be done.”1 The user “hires” a product to a “job”. Understanding this helps companies develop their marketing plan around what causes a business to buy a product and not by their iden- tity with a particular demographic segment. With Behavioral Marketing though, this kind of nuance is recognized and put to use. It allows for a more tailored approach that can be adjusted during a campaign, instead of set in stone before a launch. Behavioral Marketing recognizes the importance of granular data and takes care of all the heavy lifting for you, leading to higher ROI 1 http://hbswk.hbs.edu/item/6496.html
  • 6. 6 WHY BEHAVIORAL MARKETING? focus on INDIVIDUAL BUYER BEHAVIOR and not LOOSELY-RELATED LEADS
  • 7. 7 WHY BEHAVIORAL MARKETING? the standard 468x60 banner sees a CTR of 0.04%1 THAT’S A CLICK-THROUGH GROWTH OF 300% 1 http://blog.hubspot.com/marketing/horrifying-display-advertising-stats behavior-based targeted ads see a CTR of up to and over 0.12%
  • 8. 8 WHY BEHAVIORAL MARKETING? Segments break audiences into demographic pools based on basic data: location, business size, perceived industry and others. None of these are predictors of buying behavior and may not be up-to-date. Behavior-based tracking, however, reflects real-time user interest. A user searching for “office chairs” and “desks in bulk” and visiting websites like OfficeDepot.com is more likely to be about to buy office furniture than a lead that simply belongs in the “Facility Managers” segment. THESE AREN’T JUST ANY LEADS THESE ARE LEADS LOOKING TO BUY NOW
  • 9. 9 BEHAVIORAL EMAIL Behavioral marketing covers more than display advertising and search and site retargeting, it also applies to your email campaigns. Open and click-through rates for behavior-based email campaigns is leagues above interaction rates for batch messages. For email, behavior-based can mean a lot of things. Abandoned cart emails for commerce websites. Follow-ups to sales for client feedback. Upgrade alerts for past clients. These kind of triggered emails see signifi- cantly higher engagement than others.
  • 10. 10 WHAT IS REAL TIME BIDDING? Real Time Bidding is the essential technology that allows for the delivery of behavior-based marketing campaigns and one of the fastest growing avenues in digital marketing. Real Time Bidding (RTB) is a method of buying display ad space one impression at a time at prices that reflect their real-time value. It’s a cost- saving alternative to bulk-buying a block of impressions at a single set price over a long period of time. Driven by computer algorithms, RTB software reacts to immediate data and bids for impressions with targeted users—not specific websites—the moment they’re available.
  • 11. 11 BEHAVIORAL MARKETING AND RTB Behavioral targeting and real time bidding offer incredible granularity and nuance in campaigns. Combined, they allow businesses to display their messaging in front of buyers looking for companies like them— while they’re looking for them. Separately, they provide incredible mines of data for digital marketers. Behavioral targeting has the leads and real time bidding has the means. Together, they mean a revolution in digital marketing.