Yahoo! Behavioural TargetingIntelligent User Profiling Comes to the UK

Richard Frankel17 January 2007

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Behavioural Targeting: A Brief History

• 1999: Yahoo! starts content categorization

• 2001: First BT product sold

• 2005: 2.0 Platform started

• 2006: BT 2.0 Ships in the US in May

• 2006: International platform begun

• Q1 2007: First product offered in the UK

• Onward: The rest of the world

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Finance | Loans | Mortgage

1,900,000 people looking for mortgage loans. Y! Finance Audience Mortgage Loans Target Mortgage Loans Target

+121.9% CTR Lift

Yahoo! Behavioural Targeting

Prepared forClient name

Mortgages Home Loans Refinancing Ditech

Financing section in Real Estate

Mortgage Loans area in Finance

Real Estate section in Yellow Pages

Includes users anywhere on the Yahoo! Network who actively seek Mortgage Loans. Interest is targeted through searches and clicks, relevant pages viewed and/or advertising clicked during the time horizon defined uniquely for this product category.

+626.0% Conv Lift

Example search terms qualified for this target:

Example Yahoo! Pages visited:

Source: Campaign Click thru Rate lift is determined by Yahoo! Internal research. Conversion is the number of qualified leads from clicks over number of impressions served. Audience size represents the audience within this Behavioural interest category that has the highest propensity to engage with a brand or product and to click on an offer.

Date: March 2006

Results from a recent client campaign on Yahoo! US Network

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Autos

3,200,000 people looking for cars.

Yahoo! Autos Audience Autos Target

+35.8% CTR Lift

Yahoo! Behavioural Targeting

Source: Campaign Click thru Rate lift is determined by Yahoo! Internal research. Audience size represents the audience within this Behavioural interest category that has the highest propensity to engage with a brand or product and to click on an offer. Date: March 2006

Prepared forClient name

Category profile is the aggregate of the following subcategories:Includes users anywhere on the Yahoo! Network who have demonstrated active interest in Autos. Interest is targeted through searches and clicks, relevant pages viewed and/or advertising clicked during the time horizon defined uniquely for this product category.

Sedan Truck SUV

US Non US Price Range

Coupe Convertible Sport

Wagon Alternative Fuel Used

Results from a recent client campaign on Yahoo! US Network

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CPG | Beauty & Personal Care

3,200,000 people looking for beauty care. Women 25 - 54 Target Beauty & Personal Care Target

+43.2% CTR Lift

Yahoo! Behavioural Targeting

Prepared forClient name

Makeup Lipstick Perfumes Shampoo

Makeup section in Shopping

Fashion & Beauty in Geocities

Women’s Fragrances section in Shopping

Includes users anywhere on the Yahoo! Network who have demonstrated active interest in beauty products and services. Interest is targeted through searches and clicks, relevant pages viewed and/or advertising clicked during the time horizon defined uniquely for this product category.

Source: Campaign Click thru Rate lift is determined by Yahoo! Internal research. Audience size represents the audience within this Behavioural interest category that has the highest propensity to engage with a brand or product and to click on an offer. Date: March 2006

Results from a recent client campaign on Yahoo! US Network

Users searched keywords such as:

Users visited pages such as:

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Behavioural Targeting Trends

Growing Acceptance Across Advertising Industries

Autos

FMCG

Entertainment

Finance

Retail

Pharma

Tech

Telco

Travel

Finance

Retail

Tech

Travel

2004 2006

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How does Yahoo! Behavioural Targeting work?Network + User Behaviours + Modeling

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How it works – ‘DNA’ emerges from registration & behaviours

500 million users worldwide … each unique

Male, age 37

Lives in the UK

Marketing Exec,Insurance Industry

Clicked on a Jaguar ad

Responds most to ads in

Yahoo! News

Visits Yahoo! Finance daily

Looked for flights to Italy on Yahoo!

Travel

Frequent visits Yahoo! games

Added RSS feeds from the BBC and The

Times

Searched for GPS,DAB, Plasma TV

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How it works – what behaviors go into the models?

Relevant behaviors…

Pageviews

Ads clicked

Search queries

Search clicks AU

TO

S /

SED

AN

Behavio

ura

l In

tere

st

Sedan

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How it works - Recency

When the behaviour was done matters

Heavier Weight to Recent Behaviors

NOW

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How it works - Activity level is also considered

Relative intensity of behaviour helps distinguish user most likely to respond.

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How it works - Network + interests + modeling

We analyzed predictive patterns for purchase cycles in each product category.

Varying Product Purchase Cycles

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How it works - Network + interests + modeling

We analyzed predictive patterns for purchase cycles in each product category.

In each category, we built models to describe behaviour most likely to lead to an ad response.

Matching Users to Models

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How it works - Network + interests + modeling

We analyzed predictive patterns for purchase cycles in each product category.

In each category, we built models to describe behaviour most likely to lead to an ad response (i.e. click).

We scored each Y! user for his fit with every category. Re-score daily

Varying User Scores

EXAMPLE PRODUCT CATEGORY

Target your ads to users who get highest ‘relevance’ scores in the targeting categories you choose

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Many major commercial categories …

And more ….For even narrower targets, filter each Behavioural interest category with gender, demographic and other targeting solutions.

Finance Bank Accounts Credit Cards Investment Insurance Loans Real Estate

Services Local Wireless Gas & Electric

Entertainment Games Movies Television Gambling

Travel Europe Americas Air Lodging Rail

Autos Econ/Mid/Luxury Saloon/Coupe/SUV

Tech Hardware Software Consumer Mobile

Retail Apparel Gifts Home

FMCG Personal Care

Other Health Parenting Moving

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UK Case Studies

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Yahoo! Finance Finance/Deposits Target

Users searched keywords such as:

Bank Account Savings Account

Best Bank Account Providers

Finance | Bank Accounts

100.000 people looking for Bank Accounts.

Banking Section in Yahoo! Finance

Compare Banks function in Yahoo! Finance

Banking Survey in Yahoo! Groups

Includes users anywhere on the Yahoo! Network who actively seek Bank Accounts. Interest is targeted through searches and clicks, relevant pages viewed and/or advertising clicked during the time horizon defined uniquely for this product category.

+86% CTR Lift

Results from a recent client campaign on Yahoo! UK & Ireland

Users visited pages such as:

Yahoo! Behavioral Targeting

Source: Campaign Click thru Rate lift is determined by Yahoo! Internal research. Audience size represents the audience within this behavioral interest category that has the highest propensity to engage with a brand or product and to click on an offer. Date: Jan 2007

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Yahoo! Cars Cars Target

Cars

1.226.000 people looking for Cars.

Source: Campaign Click thru Rate lift is determined by Yahoo! Internal research. Audience size represents the audience within this behavioral interest category that has the highest propensity to engage with a brand or product and to click on an offer. Date: Jan 2007

Includes users anywhere on the Yahoo! Network who have demonstrated active interest in Autos. Interest is targeted through searches and clicks, relevant pages viewed and/or advertising clicked during the time horizon defined uniquely for this product category.

Results from a recent client campaign on Yahoo! UK & Ireland

+30% CTR Lift

Users searched keywords such as:

Used Car Renault Clio 2007

SUV BMW MINI

Users visited pages such as:

Yahoo! Behavioral Targeting

Yahoo! Cars SectionCars related groups in Yahoo! Groups Cars related news articles in Yahoo! News

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Yahoo! RON Beauty & Personal Care Target

FMCG | Beauty & Personal Care

428.000 people looking for Beauty Care.

+53% CTR Lift

Makeup Lipstick Perfumes Shampoo

Hair & Makeover section in Yahoo! Groups

‘What’s the best shampoo?’ in Yahoo Answers!

Women’s Fragrances section in Yahoo! Shopping

Includes users anywhere on the Yahoo! Network who have demonstrated active interest in beauty products and services. Interest is targeted through searches and clicks, relevant pages viewed and/or advertising clicked during the time horizon defined uniquely for this product category.

Source: Campaign Click thru Rate lift is determined by Yahoo! Internal research. Audience size represents the audience within this behavioral interest category that has the highest propensity to engage with a brand or product and to click on an offer. Date: Jan 2007

Results from a recent client campaign on Yahoo! UK & Ireland

Users searched keywords such as:

Users visited pages such as:

Yahoo! Behavioral Targeting

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How could Yahoo! Behavioural Targeting help drive your brands?

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Thank-you for your time today.

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Additional UK Case Studies

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Yahoo! Mail Telco Target

Telecommunications

4.500.000 people looking for Telco products & services.Includes users anywhere on the Yahoo! Network who actively research products and services related to Telecommunications. Interest is targeted through searches and clicks, relevant pages viewed and/or advertising clicked during the time horizon defined uniquely for this product category.

Results from a recent client campaign on Yahoo! UK & Ireland

+136% CTR Lift

Users searched keywords such as:

Ring tone Sony Ericsson 700i Mobile Deals

Users visited pages such as:

Yahoo! Behavioral Targeting

Source: Campaign Click thru Rate lift is determined by Yahoo! Internal research. Audience size represents the audience within this behavioral interest category that has the highest propensity to engage with a brand or product and to click on an offer. Date: Jan 2007

Yahoo! Mobile

Mobiles on Yahoo! ShoppingMobile Phone in Yahoo! Groups

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2.000.000 people looking for television entertainment.

Includes users anywhere on the Yahoo! Network who actively research products and services related to Television Entertainment. Interest is targeted through searches and clicks, relevant pages viewed and/or advertising clicked during the time horizon defined uniquely for this product category.

Results from a recent client campaign on Yahoo! UK & Ireland

Users searched keywords such as

Source: Campaign Click thru Rate lift is determined by Yahoo! Internal research. Audience size represents the audience within this behavioral interest category that has the highest propensity to engage with a brand or product and to click on an offer. Date: Jan 2007

Entertainment | Television

Yahoo! Behavioral Targeting

Soap News in Yahoo! TV Gossip sectionTV Listings in Yahoo! TV Entertainment News in Yahoo! News

Desperate HousewivesNews ProgrammeTV Listings Sports

18+ Age Target Entertainment/Television Target

+54% CTR Lift

Users visited pages such as:

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U.S. Case Studies

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Telecommunications | Cell & Wireless Services

2,800,000 people looking for cell & wireless services. Age 18+ Target Cell & Wireless

Services TargetCell & WirelessServices Target

+475.8% CTR Lift

Yahoo! Behavioural Targeting

Prepared forClient name

Ring Tones Cell Phones Cingular T-

Mobile

Yahoo! Mobile

Wireless section in Yellow Pages

Mobile Phones & Plans in Shopping

Includes users anywhere on the Yahoo! Network who actively research products and services related to Cell & Wireless Services. Interest is targeted through searches and clicks, relevant pages viewed and/or advertising clicked during the time horizon defined uniquely for this product category.

+291.5% Conv Lift

Example search terms qualified for this target:

Example Yahoo! Pages visited:

Source: Campaign Click thru Rate lift is determined by Yahoo! Internal research. Conversion is the number of qualified leads from clicks over number of impressions served. Audience size represents the audience within this Behavioural interest category that has the highest propensity to engage with a brand or product and to click on an offer.

Date: March 2006

Results from a recent client campaign on Yahoo! Network

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Finance | Insurance | Autos

1,600,000 people looking for car insurance.

Yahoo! Behavioural Targeting

Source: Campaign Click thru Rate lift is determined by Yahoo! Internal research. Conversion is the number of qualified leads from clicks over number of impressions served. Audience size represents the audience within this Behavioural interest category that has the highest propensity to engage with a brand or product and to click on an offer.

Prepared forClient name

AAA Geico Progressive Auto Insurance

Insurance section in Autos

Auto Insurance area in Finance

Auto Insurance section in Yellow Pages

Includes users anywhere on the Yahoo! Network who actively seek Auto Insurance. Interest is targeted through searches and clicks, relevant pages viewed and/or advertising clicked during the time horizon defined uniquely for this product category.

Y! Finance Audience Auto Insurance Target Auto Insurance Target

+73.5% CTR Lift

+376.1% Conv Lift

Example search terms qualified for this target:

Example Yahoo! Pages visited:

Date: March 2006

Results from a recent client campaign on Yahoo! Network

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Autos | Sedan

396,000 people looking for sedans. Yahoo! Autos Audience Autos Sedan Target

+302.9% CTR Lift

Yahoo! Behavioural Targeting

Prepared forClient name

Ford Focus Alero Honda Accord Lexus Sedan

Nissan Maxima page in Groups

Audi A4 Make & Model page in Autos

Honda Accord Kelley Blue Book Page in Autos

Includes users anywhere on the Yahoo! Network who have demonstrated active interest in Sedan. Interest is targeted through searches and clicks, relevant pages viewed and/or advertising clicked during the time horizon defined uniquely for this product category.

Source: Campaign Click thru Rate lift is determined by Yahoo! Internal research. Audience size represents the audience within this Behavioural interest category that has the highest propensity to engage with a brand or product and to click on an offer. Date: March 2006

Results from a recent client campaign on Yahoo! Network

Users searched keywords such as:

Users visited pages such as:

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Technology | Consumer Electronics

4,300,000 people looking for consumer electronics. Age 18 - 54 Target Consumer Electronics Target

+164.2% CTR Lift

Yahoo! Behavioural Targeting

Prepared forClient name

DVD Digital Cameras Best Buy iPod

Yahoo! Mobile

Consumer Electronics section in Shopping

Mobile Phones in Clubs

Includes users anywhere on the Yahoo! Network who actively research Consumer Electronics related products. Interest is targeted through searches and clicks, relevant pages viewed and/or advertising clicked during the time horizon defined uniquely for this product category.

Example search terms qualified for this target:

Example Yahoo! Pages visited:

Source: Campaign Click thru Rate lift is determined by Yahoo! Internal research. Audience size represents the audience within this Behavioural interest category that has the highest propensity to engage with a brand or product and to click on an offer. Date: March 2006

Results from a recent client campaign on Yahoo! Network

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Technology | Computer Hardware

3,800,000 people looking for computer hardware. Age 18 - 54 Target Computer Hardware Products Target

+64.1% CTR Lift

Yahoo! Behavioural Targeting

Prepared forClient name

Computer Webcam Router Dell

Computers in Shopping

Semiconductors section in Message Boards

Computer Hardware section in Clubs

Includes users anywhere on the Yahoo! Network who have demonstrated active interest in Computer Hardware. Interest is targeted through searches and clicks, relevant pages viewed and/or advertising clicked during the time horizon defined uniquely for this product category.

Example search terms qualified for this target:

Example Yahoo! Pages visited:

Source: Campaign Click thru Rate lift is determined by Yahoo! Internal research. Audience size represents the audience within this Behavioural interest category that has the highest propensity to engage with a brand or product and to click on an offer. Date: March 2006

Results from a recent client campaign on Yahoo! Network

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Telecommunications

1,100,000 people looking for telco products & services.

Age 18+ Target Telco Target Telco Target

+250.1% CTR Lift

Yahoo! Behavioural Targeting

Prepared forClient name

Includes users anywhere on the Yahoo! Network who actively research products and services related to Telecommunications. Interest is targeted through searches and clicks, relevant pages viewed and/or advertising clicked during the time horizon defined uniquely for this product category.

Category profile is the aggregate of the following subcategories:

Cable Cell & Wireless Services

Internet Access Local Service

Long Distance Satellite

+30.4% Conv Lift

Source: Campaign Click thru Rate lift is determined by Yahoo! Internal research. Conversion is the number of qualified leads from clicks over number of impressions served. Audience size represents the audience within this Behavioural interest category that has the highest propensity to engage with a brand or product and to click on an offer.

Date: March 2006

Results from a recent client campaign on Yahoo! Network