Retargeting via mobile devices is an industry-wide challenge, but a new study shows digital media buyers are experimenting with paid social exchanges to fill the gap left by cookies. About 41 percent of both brands and agencies said they believe that social exchanges are “key” to retargeting on mobile devices, as these exchanges reach users regardless of whether they are at a desktop or on the go.
“I think it’s the only way to go at this point,” said Erich Marx, Nissan’s director of interactive and social media marketing. “There’s really no other option.”
The study, commissioned by Chango and fielded by Digiday, asked 400 media buyers, agency executives and brand executives how they are using retargeting and what, if any, effects mobile and social marketing have on retargeting. Social exchanges emerged as a promising tactic for retargeting via mobile.
“It’s becoming more and more important because there are starting to be more ways to do paid social than there ever were before,” said Barry Lowenthal, president of The Media Kitchen. “And now it’s becoming more of a consideration. I mean, just look at Facebook’s mobile numbers for evidence.”
Even among those who were not sure if social is a silver bullet, many believed they would play a key role moving forward. Retargeting on mobile is still a risky endeavor, as the technology lacks a proven way to identify and target users. Social targeting, respondents said, could be a way around that.
In general, advertisers and their agencies are spending more money on paid social. About 38 percent of buyers are employing Twitter’s tailored audiences and 67 percent are using Facebook’s FBX to reach consumers.
Using social exchanges as a work-around on mobile shows how fervently brand and agencies believe in retargeting as a tactic overall. Respondents to the April study said about 56 percent of brands and agencies rely on retargeting to acquire new customers, 42 percent use it build brand awareness and 42 percent to increase direct revenue.
The study also found:
- Seventeen percent believe mobile targeting is “standard practice.” Forty-five percent of respondents believe it will soon mature into a “standard practice.” Thirty-four percent see the tactic as experimental.
- Eleven percent of brands and 7 percent of agencies use retargeting to acquire their competitors’ customers.
- Sixty-three percent of respondents take retargeting budgets from display advertising budgets; 49 percent of brands and 68 percent agencies are moving dollars from display into retargeting.
- Ten percent of agencies and 9 percent of brands give retargeting its own budget.
- Thirty-three percent of brands and 36 percent of agencies give paid social its own budget.
More from Digiday
Amazon Ads, Reddit and MTV are 2024 Digiday Content Marketing Award finalists
This year’s Digiday Content Marketing Awards finalists focused on creating more relatable, interactive campaigns to improve consumer engagement. These shortlist entries showcase the companies and campaigns successfully using content to modernize media and marketing. With themes spanning social responsibility, personalization, collaborative campaigns with shoppable content and messaging with storytelling and humanization at the core, these […]
Publishers revamp their newsletter offerings to engage audiences amid threat of AI and declining referral traffic
Publishers like Axios, Eater, the Guardian, theSkimm and Snopes are either growing or revamping their newsletter offerings to engage audiences as a wave of generative AI advancements increases the need for original content and referral traffic declines push publishers to find alternative ways to reach readers.
WTF is the CMA — the Competition and Markets Authority
Why does the CMA’s opinion on Google’s Privacy Sandbox matter so much? Stick around to uncover why.