Why Dynamic Creative Optimization is Advertisers’ Biggest Opportunity of 2020

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The biggest opportunity for advertisers in 2020 lies in optimization. Dynamic creative optimization (DCO) represents real-time, personalized ads created from data about the viewer at the exact moment the ad is served. Data has been a notable topic of discussion the last few years, including how it will transform ad tech. But DCO is one of the first truly tangible examples of data powering technology in real-time for hyper personalization.

Optimization eliminates static, lackluster marketing campaigns. It is vital in digital advertising to develop compelling, agile and fluid campaigns, which are customizable and measurable. Internal pressures such as tight budget allocation cycles and proof of performance force marketers to measure and sometimes make decisions too quickly. According to eMarketer, 30 percent of US marketers stated they weren’t utilizing DCO in 2018, while at the same time acknowledging that doing so would achieve better results. The technology has finally caught up. DCO gets results by combining deep data with powerful technology.

Advanced personalization equate to higher conversion

A report from The Relevancy Group found that personalized marketing has the potential to drive a $20 ROI per $1 spent. Hyper personalization is a powerful way to improve performance and ultimately drive sales or brand uplift. Effective artificial intelligence, or machine learning, continuously changes ads according to each shopper’s browsing history and preferences. For example, if a shopper searches for a specific dress at a retail location, but doesn’t purchase it, DCO can serve ads for the same or similar dresses in the exact size the shopper wants and even determine which store has the best price—an extremely effective union of data and technology.  Furthermore, the ad creative can also be tailored to each user.  

Deliver optimal business outcomes

At Kinesso, we’re enhancing our robust DCO capabilities by leveraging proprietary technology in the Activation Suite that uses machine learning and automation to make decisions for custom media mix models, scale workflows to be more efficient and guide insightful decision-making to help deliver optimal business outcomes for clients. The tool also quickly identifies which creative should run based on audiences, contextual moments, and additional triggers. 

Types of DCO campaigns that Kinesso offers

It is important to note that there are two different types of DCO campaigns that marketers can use to further promote a brand:

1. Geo-targeting campaigns – Tap into location data or time of day to customize ads

2. Social product campaigns – Retarget customers based on their social media likes, history and engagement

The Verdict: An essential tool for brands

Nearly 70 percent of marketing decision-makers at enterprises with revenue greater than $1 billion struggle to create and deliver personalized ad experiences at scale according to a recent study by Forrester and RevJet. There is no better programmatic trend to drive conversions for a brand than DCO. By making use of valuable customer data, brands are able to remain relevant and provide timely offers to their customers.  All of which heighten opportunities for elevated conversion rates!

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