Most companies are not maximizing their effectiveness in digital advertising. Through advanced targeting and engagement techniques, companies can deliver content that is relevant to consumers' interests, enabling brands to engage consumers at scale. Read the full report: http://on.bcg.com/138mzc3

1. But most advertisers are missing out on
big gains in performance
Compared with standard digital-display-advertising campaigns,
campaigns that used advanced targeting techniques led to:
$200
billion
Money is pouring
into online advertising
Globally, digital-advertising
revenues are forecast to surpass
$200 billion in 2017
BOOSTING
DIGITAL
ADVERTISING’S
ROI
200%
50%
improvement
in cost per action
(CPA)
32%
better CPA in
some instances
70%
reduced costs
(per click and
per view)
All achieved with no loss of
campaign reach or scale
better action
rates for clicks
and view throughs
Advanced targeting and engagement techniques represent
a step change in digital advertising’s effectiveness
The evolution of online advertising
Advanced targeting helps identify groups of consumers that are more
readily and deeply engaged
One bank in the study used
advanced techniques to target more
engaged consumers during a
five-week campaign
A case study in advanced targeting
Footnotes:
• The study analyzed digital-display-advertising campaigns for five large North American and European advertisers.
Each advertiser’s campaign was split into control and test groups.Campaigns that targeted the test group included
advanced techniques; campaigns that targeted the control group did not.
• Source for online advertising revenues:Magnaglobal June 2014,Global Forecast Model.
• This infographic is based on the BCG report Adding Data,Boosting Impact:Improving Engagement and Performance
in Digital Advertising, which was commissioned by Google.
You need all 3 to get the best performance
Site-based targeting:
Displays ads based on
the content of the website
(good for scale); e.g.,categories
and keywords,site-specific buys
Standard behavioral
targeting: Displays ads
based on consumers’ previous
online behavior
(good for specificity); e.g.,
remarketing from website,
third-party lists
Advanced behavioral
techniques: Work across
digital channels and are
even more data driven
(good for both specificity and
scale); e.g., look-alike lists,
video/search remarketing,
behavioral analytics
Spent an
additional
30minutes
browsing
Done right, digital-display advertising delivers
content that is relevant to consumers’
interests and intentions at that moment—
enabling brands to engage consumers at scale
Bottom
Line
Adopting
unified
technology
tools
Making
full use of the
capabilities of
digital talent
Learning
from the
wealth of data
Addressing
fragmentation
and removing
complexity
Embracing
advanced
techniques
For advertisers and their agencies,
better performance can be achieved by
Compared with consumers in the control group, who were
targeted using only standard techniques, these consumers:
Visited
more pages
14
Made
additional
site visits
7
Had a
lower bounce
rate
10%
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