Taking Contextual Advertising Offline

 

Marketers realize the connection between relevance and program success.

Social Media tactics act like Ginsu knives; marketers can slice and dice
their consumer groups into razor thin segments. Instead of talking to thousands
of somewhat engaged consumer prospects, we are concentrating on establishing
buy-in from just hundreds. Consumers benefit from highly targeted and
granular advertising messages, relevant in location and in context. Benefits
exist for brands as well. It costs less to cast a smaller net, while reaching
active consumers. Relevance = ROI.

Online contextual advertising takes advantage of the relevance ideal by
promoting ads that are chosen based on the webpage content displayed to the
user. Taking this concept outside of your desktop and on to the streets has
always been a challenge. How can we take the benefits of online contextual
advertising, offline?

A recently introduced social media platform called LocalResponse claims to aggregate public
posts and “check-ins” across multiple channels with the goal of helping brands
and business to reach existing and prospective customers.

With LocalResponse, brands can target consumers with relevant ads, coupons
and Tweets based on their “check-in” history, and their “implied check-ins”.
What is an “implied check-in”? Consider the next time you’re at your local pub
you decide to Tweet a picture of your meal to your network. Even though you
haven’t revealed any specific location information, LocalResponse classifies
this as a “check-in”. Brands and companies then use this information to send
something relevant (a coupon for the next visit) to the Tweeter.

Highly-targeted relevance ads net impressive conversion rates. According to
an article on Techcrunch, click-through rates are achieving an average of
60%, with 15-20% redemption rates. LocalResponse only sends messaging through Twitter;
plans to expand the platform through to other channels are in development.
I’m interested to hear more from LocalReponse. Marketing doesn’t get much
more targeted than this. We are getting even closer to the marketing and
advertising utopia dreamed about back in 2002’s ‘Minority Report’.

Michael Orpen – Program Design Leader

 

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