Contextual Targeting: Definition, Types, and Advantages

In the past, digital advertisers depended tremendously on behavioral targeting to display their ads, which used browser cookies. This marketing strategy does not emphasize real-time content consumption and resonance with the user. Users get irrelevant and non-contextual ads displayed at any time, which can hamper the results of the performance marketing campaigns.

According to a report by Survey Monkey, nearly 74% of users think there are too many ads on all the digital platforms. Almost 44% of the respondents find ads irrelevant to their demands and requirements.

Marketing leaders are exploring opportunities to adapt to contextual targeting advertising to make an impact. Advertisers should make strategic decisions about the targeting types and data pools once cookies are withdrawn. Adopting contextual marketing strategies is one of the most effective options to protect privacy.

In this blog, we will have a look at contextual targeting definition, its benefits, and contextual vs. behavioral targeting.

What is Contextual Targeting?

Contextual targeting is an advertising strategy where marketers place the ads depending on the content of the specific web page.

For instance, if the enterprise sells artificial intelligence (AI) products and services, the marketers can adopt contextual advertising practises by showcasing ads on web pages that have content relevant to AI and its applications.

Marketers leverage contextual targeting approaches to place their ads on websites that have content that resonates with the products and services.

Types of Contextual Targeting

Following are a few advertising targeting types that marketers should consider:

● Category Contextual Targeting:

Category targeting portrays ads depending on generic categories like automotive, finance, or beauty. It is a very basic form of targeting based on context, and the ads are showcased to a broad audience, which means targeting cannot always be accurate.

● Keyword Contextual Targeting

Keyword targeting allows marketers to specify target keywords to penetrate through the right audience based on the keywords. Marketers get more flexibility and accuracy while placing ads if they embrace this approach.

● Semantic Contextual Targeting

Semantic targeting is an advanced marketing strategy that leverages machine learning capabilities to evaluate the context of a specific web page and determine whether the ad is a suitable fit or not.

Contextual Targeting vs. Behavioral Targeting

Contextual targeting enables marketers to display ads based on topics and keywords.

Behavioral targeting allows pre-sales teams to showcase ads depending on the user’s online activity.

Behavioral targeting is like an online detective that keeps a tab on the user’s digital footprints. It has the ability to track what links the user clicks, the time they spend on a particular page, and the searches the user executes. Targeting based on behavior tracks the user’s online behavior and showcases ads based on previous searches.

For instance, if the user searches for AI chatbots, behavioral targeting will display ads of all the companies that offer AI-powered chatbots.

In terms of contextual targeting, when a user is reading an article on AI-driven chatbots, an ad related to the similar products and services will pop up on the webpage.

Also Read: What is a Supply-Side Platform? A Definitive Guide

What are the Advantages of Contextual Targeting?

There are various notable advantages of contextual targeting that marketers can consider. This marketing approach can expand the reach of the brand to a wider audience if done correctly. Following are a few advantages of contextual advertising:

1.Expand the Reach to the Right Audience

One of the most significant advantages of contextual targeting is that it allows the

pre-sales teams to penetrate through a receptive audience quickly. Irrespective of the type of contextual advertising, depending on the categories or keywords selected, the ads will be showcased on web pages that add value to the users. Marketers that showcase relevant ads provoke users to take action to complete the required call to action (CTA).

2. Cost-effective Advertising Strategy

One of the most significant advantages of contextual targeting is its affordability. Implementing a contextual advertising campaign is an easier and cost-friendlier option than behavioral marketing campaigns. Businesses with a limited marketing budget can leverage this marketing strategy to showcase relevant ads to make more value for money.

3. Seamless Implementation

This advertising campaign is easy to implement because it does not need vast amounts of time or data to set up. Marketers can design and deploy an effective campaign within a few minutes. Utilizing tools such as Google Display Network, marketers can display their ads after establishing a few parameters.

4. Tailored Ads Experience

Delivering tailored experiences and conversations is critical in digital marketing. Offering customized experiences and interactions can be an effective way to engage with the target audience and develop trustworthy relationships with the clients. It is easy to add customization to any marketing campaign. One of the ways is contextual targeting; however, it is not the only way. Various comprehensive marketing platforms are available for marketers to customize their digital ads, display ads, emails, and others to offer more meaningful experiences.

5. Improve Sales

Driving sales is an essential factor for any organization to ensure growth. Higher sales rates will improve the bottom line, allowing the business to scale by reaching new audiences and accomplishing ambitious goals. Contextual advertising will ensure the brands have higher sales by displaying relevant ads to a receptive audience.

This marketing approach helps in increasing website traffic and conversion rates. Contextual targeting works because it enables marketers to offer value to users as they have a keen interest in topics relevant to the products and services. Creating a compelling landing page is essential to redirect the prospects to improve the conversion rate.

6.   Cookie-less Is the New Black

Cookies have become a focal point of discussion for marketers. The regulatory body in the European Union (EU), the General Data Protection Regulation (GDPR), has identified cookies as personal data, hence resulting in various legal implications. The legal implications of cookies will be more intense in the future. Websites today have to get the user’s consent in order to gather cookies. One other significant benefit of contextual marketing is that it is cookie-less. As a result, marketers need to comply with all the relevant laws set by the governing bodies.

Wrapping it up

Businesses are exploring opportunities to embrace contextual advertising strategies to reach the right target audience at the right time and at the right place. This type of targeting in digital advertising enables marketers to display relevant ads to users interested in similar topics. Marketers can get immense benefits if they draft and deliver efficient contextual targeting campaigns.