Since Hotmob’s proprietary data analytics retargeting solution DARTS launched in 2015, a vast number of advertisers have taken the free trial opportunity to realize the improvement in campaign performance comparing to non-retargeted mobile campaigns.
A DARTS Performance Measure Report has been completed recently on how retargeting has performed on various categories of mobile campaign, by looking at the incremental performance of retargeted versus non-retargeted mobile campaign.
The report has made reference to average click-through rates for online ad retargeting campaign and uses as a performance measurement. According to Internet results, the average click-through rate for online display ads is 0.07% and the average click-through for retargeted ads is around 0.7%, which is 10 times higher. This result demonstrates that retargeted ads could drive greater traffic and increased brand awareness comparing to non-retargeted ads.
For DARTS performance measurement, a score has been calculated for each applicable campaign based on the level of increment between non-retargeted and targeted campaign. A score of 0 represents a relatively small increment and a score of 5 represents a high performing campaign.
Out of all retargeting campaigns, 80% of these campaigns obtained scores of 1 to 3, which represents a relatively high campaign performance comparing to non-retargeted campaign with CTR increment between 6.8% to 74.6%. A particular campaign received a high score of 5, that is a 100% or more increment from non-retargeted campaign. This could be explained by the close relevancy of selected retargeting categories for the mobile campaign. Only a small share of retargeting campaigns did not pose a great difference to the performance of non-retargeted campaign.
The CTR score varies between campaign could be due to several factors including:
- Frequency Cap Control
Overexposure can result in decreased campaign performance, hence need to be strategic with how often the ad is served.
- Selected Platforms
The selected platforms for ad placement could make a difference to campaign performance due to the difference in pool size, the kind of content offer and the variety of audience with different interests.
- Category Relevancy
The selected retargeting categories has a huge impact to overall campaign performance. It is suggested to run A/B tests for measurable results or by rotating creatives to help determine the optimal combination of ad copy, calls-to-action and graphics.
- Creative Optimization
According to experience, the most attractive ads are often came with simple design and a recognizable calls-to-action to enable users to follow.