Using Behavioral Targeting for targeting ads is a significant revenue source for web content and services providers. A NAI sponsored BT-study performed on 9 ad networks in US (of top 15) for full year 2009 reveal the following:
| eCPM | Conversion rate | |
| Run Of Network ads | USD1.98 | 2.8% |
| Behavioral Targeting | USD4.12 | 6.8% |
The survey results reveal three key findings (from report):
(1) Advertising rates are significantly higher for behaviorally targeted ads. The average CPM for behaviorally targeted advertising is just over twice the average CPM for run- of- network advertising. On average across participating networks, the price of behaviorally targeted advertising in 2009 was 2.68 times the price of run of network advertising.
(2) Advertising using behavioral targeting is more successful than standard run of network advertising, creating greater utility for consumers from more relevant advertisements and clear appeal for advertisers from increased ad conversion.
(3) Finally, a majority of network advertising revenue is spent acquiring inventory from publishers, making behavioral targeting an important source of revenue for online content and services providers as well as third party ad networks.
BT Verticals Pricing
The automotive BT vertical is the most valued followed by Entertainment, Travel, and Health. Finance and Home is less valued.
The figures are based on an ad inventory of 3,323 Millions USD. For full report, check out: www.networkadvertising.org/pdfs/Beales_NAI_Study.pdf
