If you want to see how far technology has come, read up on digital advertising and tracking technology and how the tech giants (Google, Meta, Twitter, to name a few) are collecting huge amounts of data to literally predict the future. Think this is nuts? Read until the end.
I was setting up a campaign for a client a few weeks ago in Google Ads. I used the target ROAS bidding strategy. Don’t let the name scare you. I’ll explain what it means. Basically, you tell google that for every $1 spent on ads, I want to make x amount in return.
Google then uses audience signals and then taps into the huge amount of data they have to predict user behavior. They know what the user is searching for, and they know what he likes to read online.
They know what he loves to watch online and much more, and they can infer from this data what action a user is likely to take, anyway, back to my client’s campaign. It was a shopping campaign. After setting up the campaign. I let it run for a few days (learning phase)
I set up a target ROAS of 300%, meaning for every $1 you spend on ads, you make back $3 in revenue) After a week or so, the campaign stabilized and had an overall ROAS of exactly 300%! Can you see how insane this is?
They show my ads for a subset of users who have a high likelihood of purchasing from the site based on user signals like age, gender, affinities, etc. Like they know for a fact that x user has an x% chance of purchasing x product.
It’s just something that is really fascinating and got me thinking.