DataXu MarketPulse: “Comparing Exchange Targeting Strategies: Following the Crowd Will Cost You”


 

Today, we released our fourth MarketPulse  newsletter, a regular publication utilizing DataXu’s proprietary data to uncover and reveal interesting trends in digital advertising.  This month’s issue compares exchange targeting strategies – Audience Targeting, Retargeting and Optimization – to find the real cost of the media.

The full pdf is available here: DataXu MarketPulse_Exchange Trading Strategies_September 2010 and below is snapshot of the report.

DataXu MarketPulse: September 2010

“Comparing Exchange Targeting Strategies: Following the Crowd Will Cost You”

campaign type chart

This analysis was prepared averaging cost of media across campaigns for consumer electronics, financial services, software, and automotive.

Data Highlights:

  • The cost of media for Optimized ROE is 1.2X more expensive than media for general ROE buys
  • The cost of media for Audience Targeting is 3X more expensive than ROE (but effectiveness as measured by CPA was 2.7x better for Optimized ROE than for Audience Targeting)
  • The cost of media for Retargeting is on average 3X more expensive than ROE
“The data shows what the smart media buyers know: Audience Targeting and Retargeting are effective, but the scarcity of placement opportunities causes media prices to spike and impedes campaign scale,” said Sandro Catanzaro, VP of Analytics and Innovation. “Optimization, however, is not similarly constrained as it works across a much wider swath of impressions, which enables more buying efficiency and scale.”
 
 
 
 

For the full MarketPulse report, you can download the pdf here: DataXu MarketPulse_Exchange Trading Strategies_September 2010

DataXu’s MarketPulse explores the data that defines today’s digital advertising marketplace. Sign up here to have future MarketPulse newsletters delivered directly to your inbox.