Businesses are trying every possible method to observe consumer behavior in order to better target its audience. Thanks to nowadays’s technology, businesses are able to predict on consumer’s behavior. The ability to trace what consumers click on website, what consumers type in the searching engine, and what consumers are watching online gives businesses data to predict consumer’s future behavior. Not only the business are better with predicting consumer’s behavior, but also the businesses could create ads that are targeted to their main customers.
According to a study that performed by the researchers at Ohio state university, they find out that the click-on rate of an ad increases by 670% if the businesses publish an ad that is targeted on customer. There are also three interesting findings from this study.
The result of fist study is that consumer are more likely to purchase a Groupon that features a “high end” restaurant. The study also states that consumers think that the Groupon ads are based on their searching history. This reflects that consumers loves the ads that portrait a high class product or a business that has strong positive image. It gives businesses insight to always come up an ad that presents high value, positive image or exceptional services.
Consumers generally think that the ads that they see while they are browsing reflect their characteristics. This tells a lot to the business about how they should design the ads. The businesses should design the ads that closely fits to their target groups’ characteristic. If most of the consumers can find a common place between the ads and their characteristic, the chances of consumers looking into the business or purchasing the product will increase dramatically.
There are other reasons affect consumer behavior
Although the study shows some correlation between consumer behavior and the targeted clicked on ads, there are other factors to considers. The targeted ads might based on consumers past browsing history rather than what the consumers are browsing right now.