Contextual advertising is an automated process of matching an advertising message with relevant digital content—the algorithms behind contextual advertising select ads based on keywords and other metadata included in the range. The resulting ad is relevant and targeted, encouraging users to click through to the ad. This click activity generates revenue for the content publisher and additional traffic for the advertiser.
Understanding Contextual Advertising
Contextual advertising makes up the majority of online advertising. The biggest PPC player is Google (now Alphabet Inc), with its AdSense platform. AdSense allows a publisher to insert code into a website where AdSense serves ads. The site is slunk for keywords and context, and relevant ads are placed. The website owner can modify certain features, such as where and how ads are shown and the types of products or services advertised.
How does Contextual Advertising Work?
Content-based advertising involves the process of content targeting through a demand-side platform that will place your ad on web pages that match your parameters. For example, in the Google Display Network, this process works like this:
- Choose parameters for contextual targeting
- Google analyzes the pages in its network
- Your ad is placed
The Benefits of Contextual Advertising
- Easier and more affordable to implement
- Not constrained by privacy legislation
- More brand safe
- Sometimes context matters more than behavior
- Relevant without being creepy
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