What Is Contextual Advertising? Contextual advertising is an automated process where a promotional message is matched to relevant digital content. The algorithms underpinning contextual advertising select the advertisements based on keywords and other metadata included in the content.

How do they work?

Generally or simplifying the process works as follows:

1.Choose Keyword and key phrases or Topic-Based Parameters for Contextual Targeting. An advertising system needs to know what your campaign is about in order to place your ads on relevant web pages. …

2.Google Analyzes the Pages in Its Network. …

3.Your Ad Is Placed.

How is contextual different from targeting?

The difference between contextual and behavioral ad targeting lies in the ad serving method – contextual targeting selects contextually relevant content to serve ads to, while behavioral targeting delivers ads based on a user’s historical browsing data to increase personalization.

Contextual advertising uses various factors to determine which content is most relevant to users when placing an ad. It targets potential customers by relying on context such as the content of a webpage, location or weather. Machine learning can apply data science to targeting and take these pieces of information to deliver the right ad to the right users. For example, if a user is reading an article about wedding planning, the user might see an ad for wedding dresses on the page.

While advertisers have traditionally practiced behavioral targeting, that is, using a potential customer’s data surrounding their browsing and shopping habits, rising concerns about privacy have led advertisers to find alternative options. Advertisers no longer must rely on cookies or behavioral signals to deliver relevant ads. By using insights surrounding the context of the ad, companies can still create messaging that resonates with audiences. Companies are beginning to make this shift in how they approach their advertising, with contextual advertising projected to reach over USD 376 billion by 2027.

M3 consultants can assist you in the best practices and approaches to optimize your contextual campaigns.