Machine learning and artificial intelligence (AI) are powerful technologies that have been integrated into programmatic advertising for a long time. These technologies have revolutionized the way marketers target and engage with their audiences.
Programmatic advertising is an automated process of buying and selling online ads. It utilizes machine learning algorithms to optimize ad delivery and target specific audiences. By using data-driven insights and automated decision-making, programmatic advertising allows marketers to deliver the right message to the right person at the right time.
The integration of machine learning and AI has taken programmatic advertising to the next level. These technologies have allowed marketers to improve their targeting and personalization strategies, making it easier to reach their ideal audience. With machine learning, algorithms can learn from user behavior and adjust targeting based on real-time data. This allows for more efficient ad delivery and greater ROI.
Machine learning is the use of data and algorithms to imitate the way that humans learn, gradually improving it’s accuracy.
Machine Learning and AI in Media Optimization
Above The Fold’s optimization algorithms have relied on Machine Learning as a critical component for several years. In the upcoming year, we anticipate this technology will advance upstream to enhance cross-channel media planning optimization.
Above The Fold emphasizes automating processes to enable both customers and service teams to effectively manage and improve the performance of the high volume of campaigns executed on our platform each day. In this endeavor, we are extensively utilizing Machine Learning and AI.
Over the course of the next year, we expect Machine Learning to move upstream to further optimize cross-channel media planning.”
Machine Learning and AI in Audience Building for Advertising
Most programmatic companies have a fragmented approach. Using machine learning, we cluster users together to get a better identification as we are bidding in your behalf and helping provide you with an attribution view.
We believe the difference between those who win at driving programmatic results and those who do not, are those who can take disparate IDs and stitch them together and cluster them together and identify the households using machine learning.
Everyone is going to have a little bit of secret sauce in their Identity graphs, especially the meta graphs that many of the DSPs or the more prominent ones are putting together. The real winners are going to be those who are taking advantage of the machine learning to really drive that opportunity.
Machine Learning and AI in Ad Performance Tracking
Tracking is one way that we utilize machine learning. As any marketer will attest, tracking today is highly complex and challenging. Attribution has become the quest of most marketing professionals and advertisers. We capture various data types available to us; then, we use machine learning to pull this data together. This allows us to continue to target and pull this data back together for attribution purposes. The beautiful part is that our approach is privacy friendly and complies with all existing legislation. Our technology partners work with audit groups and other parties to ensure we are always in compliance. Whenever we launch a new campaign, we think about how it needs to look to allow us to track it in a complex way while ensuring privacy is kept appropriate.
Machine Learning in A Real-Life Example
A nationwide family entertainment center aimed to increase its online conversions and foot traffic, leading to a campaign with a budget of almost $500,000. While this may seem unfeasible for smaller local stores, it is important to note that the campaign targeted about 500 locations, with an average budget of only $1,000 per store. Above The Fold’s OTT/CTV solution with foot traffic attribution and Addressable Geo-Fencing was utilized to target specific households and track offline conversions. Additionally, Keyword Contextual Search Retargeting and Site Retargeting were included, featuring 15-second OTT/CTV video creative, pre-roll video, and display ads to reach users on various screens. The media plan also included two other vendors to validate foot traffic attribution and compare performance via a single source of reporting.
The first campaign’s goal was to generate online form fills, aimed at encouraging moms with kids aged 2-10 to book birthday party packages online with a $90 Cost Per Action (CPA) based on online reservations. The second goal was to drive in-store visits for the new “All You Can Play” promotion, targeting families with a low Cost Per Visit (CPV) objective. Custom address lists were developed based on the target demographic of women aged 25-44 with kids aged 2-10 in English and Spanish, incorporating Above The Fold’s Addressable Geo-Fencing solution and Site Retargeting.
As the campaigns progressed, in-flight optimizations and machine learning led to improved performance. The online form fills campaign achieved a CPA of $59, surpassing the $90 goal, and the in-store visits promotion had a CPV of $3.44 as measured by third party, Cuebiq. Moreover, the results outperformed every other advertising partner for both online conversions and in-store foot traffic, highlighting the success of the strategy.
How Can You Utilize Machine Learning and AI in Your Advertising Campaigns?
Above The Fold has successfully integrated machine learning into their programmatic approach, allowing brands to succeed in the advertising and media game. By utilizing machine learning in media planning and optimization, audience building, tracking, and real-life examples, they have shown the power and effectiveness of this technology. As the world of advertising continues to evolve, it’s important to stay ahead of the curve and take advantage of advancements in technology. At Above The Fold, they are dedicated to staying at the forefront of this industry and using the latest tools and strategies to help your brand thrive. So, are you ready to harness the power of machine learning and take your marketing plan to the next level? Contact Above The Fold today to learn more.