Using Internet Behavior to Deliver Relevant Television Commercials

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INTMAR-00124; No. of pages: 11; 4C:

Available online at www.sciencedirect.com

Journal of Interactive Marketing xx (2013) xxx – xxx
www.elsevier.com/locate/intmar

Using Internet Behavior to Deliver Relevant Television Commercials Steven Bellman a,⁎& Jamie Murphy b, d & Shiree Treleaven-Hassard a & James O'Farrell c & Lili Qiu c & Duane Varan a
a

Audience Research Labs, Murdoch University, 90 South Street, Murdoch, WA 6150, Australia Australian School of Management, Level 1, 641 Wellington Street, Perth, WA 6000, Australia Business School, University of Western Australia, 35 Stirling Highway, Crawley, WA 6009, Australia d

Curtin Graduate School of Business, 78 Murray Street, Perth, WA 6000, Australia b

c

Abstract
Consumer footprints left on the Internet help advertisers show consumers relevant Web ads, which increase awareness and click-throughs. This “proof of concept” experiment illustrates how Internet behavior can identify relevant television commercials that increase ad-effectiveness by raising attention and ad exposure. Product involvement and prior brand exposure, however, complicate effective Internet-targeting. Ad relevance matters more for low-involvement products, which have a short pre-purchase search process. For the same reason, using Web browsing behavior to make inferences about current ad relevance is more accurate for low-involvement products. Prior brand exposure reduces information-value, even for relevant commercials, and therefore dampens ad relevance's effect on attention and ad exposure. © 2013 Direct Marketing Educational Foundation, Inc. Published by Elsevier Inc. All rights reserved. Keywords: Consumer search behavior; Advertising; Ad relevance; Product involvement; Behavioral targeting; Attention; Ad avoidance; Television; Internet; Experiment; Heart rate

Introduction
Television, declining in value for advertisers in recent years, is shrinking as a mass medium due to the proliferation of networks and consequent audience fragmentation. At the same time, digital video recorders (DVRs) simplify TV ad avoidance (Wilbur

2008). Finally, advertising budgets are shifting to other media such as the Internet, where interest-based targeting has increased banner ad effectiveness by 65% (Goldfarb and Tucker 2011).
Addressability, heralded decades ago, uses technology to
track customer preferences and subsequently tailor advertising (Blattberg and Deighton 1991). Sending ads only to interested households improves advertising's value for consumers by
increasing its relevance, and for advertisers by reducing
wastage (Gal-Or and Gal-Or 2005; Gal-Or et al. 2006; Iyer,
Soberman, and Villas-Boas 2005). Advertising addressability
⁎ Corresponding author.
E-mail addresses: s.bellman@murdoch.edu.au (S. Bellman),
jamie.perth@gmail.com (J. Murphy), treleaven-hassard@audiencelabs.com (S. Treleaven-Hassard), jamesofarrell@hotmail.com (J. O'Farrell), lili.qiu@uwa.edu.au (L. Qiu), varan@audiencelabs.com (D. Varan).

based on consumer Web behavior could apply to other media
and devices such as television, smart phones, tablet devices and satellite radio (Shkedi 2010). Although search engine keywords and online social network data could augment targeting based on Web browsing behavior (Delo 2012; Jansen and Mullen

2008; Jansen et al. 2009), this addressable advertising “proof of concept” paper uses solely Web browsing behavior.
Currently, TV advertisers target relevant commercials based on location, lifestyle and purchasing information (Marcus and Walpert 2007). A cable company, for instance, might use subscriber
information to send different ads to different ethnic groups (Vascellaro 2011b). But information in these databases can be months or years old. Current product and brand interest based on Internet behavior could add a new layer to a targeting database. Nearly all (85%) of the United States population are Internet users (Pew Internet and American Life Project 2012), leaving digital...
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