What is Household IP Targeting?
IP Targeting is a new method of digital advertising where residential and business IP addresses are identified, and display ads are shown only at those homes or businesses. This new technology allows advertisers to serve online ads to offline lists (e.g., mailing lists, customer database, etc.). This form of digital advertising is extremely targeted because it targets down to the address level, similar to direct mail.
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Comparing IP Targeting With Direct Mail
IP Targeting and Direct Mail both share the same degree of targeting capabilities due to the fact that both can deliver advertisements to select households. Automotive dealerships use direct mail to send buyback offers to previous customers, sale offers to service records, special financing event invitations to FICO lists, and many more creative uses. In each instance the mailers are being sent to a specific list of select recipients, not a general list based on zip code. This hyper targeted, direct response advertising allows advertisers to tailor a custom marketing message for a custom audience. With IP Targeting, automotive dealerships can now match the street addresses on a mailing list with the IP Address of the household and deliver custom advertisements to those homes on their list.
Is IP Targeting Better Than Direct Mail?
In some ways, yes, mainly because with IP Targeting you have greater frequency. In other words, you can display ads 20 to 50 times in each household rather than just the one-time shot with direct mail. IP Targeting can also produce more conversions since users can click on the ad and be sent to any web page for conversion or lead generation. Another benefit that IP Targeting has over direct mail is that it can be fully tracked. 100% of the performance of an IP Targeting campaign is reported so that you see where every penny went and what the rate of return was on the investment. Not a single penny is wasted; not a single action is lost. With direct mail there are a lot of mysterious aspects of the campaign since it’s not fully trackable. There’s simply no way to know how many people saw the ad or how many people threw it away, how many people actually responded to the ad, and so forth. With IP Targeting the campaign reports make it easy for any advertiser to see exactly where every penny went and whether or not the campaign was successful.
Can IP Targeting be Combined With Direct Mail?
Absolutely. Contact us today for a free consultation on IP Targeting and how this new digital technology can be combined with traditional direct mail marketing.