Programmatic is still relatively young and new to the radio industry, however, it has gotten so big in the retail world that Target has created its own in-house data management platform and formed direct relationships with demand-side vendors.
Target also offers a private marketplace to supplier brands who also want to get in on the programmatic buying. Target VP For Digital Brent Rosso tells Digiday Programmatic is no longer about poor inventory…
Rosso says Programmatic is about how you can marry the best inventory to your data and the publishers you have relationship with, and maybe form a private marketplace. Target’s private marketplace is called “Target Guest Access” which, fed by the retailer’s consumer data, could deliver much better return-on-investment.
Here’s a great example of what Target is doing with Programmatic, according to Digiday: “By looking at the aggregate demographics of people who purchased allergy relief Flonase at the Target stores before, Target knew that Flonase purchasers were more likely to be 24-44-year-old female with kids in the household, and home owners with incomes ranging $25,000-$99,000 a year. And they also tended to purchase personal care products, bathroom supplies, pet products, and household cleaners. Based on those information, Target ran a campaign — including programmatic ads — with nine different audience segments for Flonase, which increased the sales by 40 percent.”
It’s all about the data. Digiday says on an annual basis, millions of shoppers walk into more than 1,800 Target stores and hand over terabytes of information about themselves. “They use their customer loyalty cards, redeem coupons they have received in the email, or pay with a credit card, while most are unaware that Target can then link their purchases to an individualized demographic profile. An in-house team of around 25 people are crunching those data and gleaning consumer insights to run programmatic for Target itself and its media buying business.”
Read the full Digiday article HERE
