Precise targeting foiled by imprecise data: Why weak data accuracy and coverage threaten advertising effectiveness

This article discusses the threat of weak data accuracy to targeting and advertising effectiveness in the United States.

INTRODUCTION

In the pre–digital media world, “target audience” described the age/gender population group that most likely would buy a brand and respond to a campaign. “Segment“ was a more sophisticated way to describe different consumer groups with different brand-related behaviors and motivations. But today, marketers “buy audiences” and direct ads to “target segments” all based on what they are told are data-driven target segments—hundreds of thousands of highly relevant, commercially available demographic and behavioral digital target segments from providers such as Experian, Acxiom, Epsilon, and others. 

Targeting based on very specific consumer characteristics and behavior has secured a rock-solid place in digital advertising...

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