Personalized Ads attract High-Value Customers.

ChoiceStream announced the findings of its 2008 Personalization Survey. According to the survey, retailers’ most attractive prospects–those who spend the most money and shop most frequently–are more likely to click on personalized ads than non-personalized ads. Overall, 39 percent of consumers are more likely to click on an ad if it is personalized; of those who shop online at least several times a month that number climbs to 58 percent. The survey also finds that the bigger the spender, the greater the interest in personalized ads with 50 percent of those spending more than $250 online over the past six months indicating that they are more willing to click on ads that are personalized.

“Online consumers are a savvy bunch and it’s not surprising that they’re more likely to tune in to ads personalized to their tastes and interests. What is surprising, though, is the extent to which the higher quality prospects seem to be more interested in personalized ads,” said Cheryl Kellond, senior vice president at ChoiceStream. “Advertisers that are spending premiums to target the biggest spenders and the most frequent shoppers should take note that those shoppers want intelligent ads that speak to their specific needs and shopping intent. The more personalized those ads are the better chance retailers have of connecting with those consumers.”

The survey also finds consumers surprisingly savvy about online advertising in terms of its effect on their behavior. 70 percent of consumers admit that their purchase decisions are at least sometimes influenced by having seen an ad for an item. A smaller, but still significant percent of consumers admit that they are influenced by brand advertising as well, with 39% admitting that they are more likely to buy from vendors or retailers that they have seen advertised than from unrecognized sources. In both cases, the bigger the spender, the more likely they are to admit to being influenced by advertising.

Consumers are also aware of how shopping sites use data to target ads to them. A full 60 percent of shoppers are aware that retailers use information about their online shopping behavior to target advertising to them.

“The results of the 2008 survey clearly show that today’s online consumers are smarter and more sophisticated than ever before. They understand the value of online advertising and know retailers have information about their shopping behavior that can make their experience more relevant,” said Steve Johnson, president and CEO of ChoiceStream. “Especially in these tough economic times, advertisers should be investing in more personalized forms of advertising that attracts high-quality prospects and repeat customers to shop in their stores.”

To view highlights CLICK on link below:
http://www.choicestream.com/pdf/ChoiceStream_2008_Personalization_Survey.pdf>