PAC PAC Audience Targeting and Segmentation 2 — Questions and Answers
Question 1: What is retargeting (remarketing) in programmatic advertising?
- Showing ads to users who have previously visited a website or interacted with a brand (Correct answer)
- Targeting competitors' customers with alternative offers
- Re-running a paused campaign after optimization
- Targeting a new audience after a campaign's initial flight
Correct answer: Showing ads to users who have previously visited a website or interacted with a brand
Retargeting uses pixels or audience lists to re-engage users who showed prior interest, typically yielding higher conversion rates.
Question 2: What is a 'customer data platform' (CDP) and how does it differ from a DMP?
- A CDP stores persistent, identified first-party customer data for long-term use, while a DMP primarily handles anonymous, cookie-based third-party data (Correct answer)
- A CDP is used only for email marketing while a DMP is used for display advertising
- A CDP is a real-time bidding tool while a DMP is a data storage system
- A CDP is a paid data marketplace while a DMP is built in-house
Correct answer: A CDP stores persistent, identified first-party customer data for long-term use, while a DMP primarily handles anonymous, cookie-based third-party data
CDPs unify known customer data (CRM, transactions, behavior) into persistent profiles, unlike DMPs which work with anonymous cookie segments with short data lifespans.
Question 3: What is 'geo-targeting' in programmatic advertising?
- Delivering ads to users based on their geographic location such as country, city, or zip code (Correct answer)
- Targeting users who travel frequently based on travel data
- Displaying map-based creative formats in ads
- Targeting based on weather data at the user's location
Correct answer: Delivering ads to users based on their geographic location such as country, city, or zip code
Geo-targeting uses IP addresses or GPS signals to serve ads only to users in specific geographic areas relevant to the campaign.
Question 4: What does 'audience suppression' mean in programmatic campaigns?
- Excluding specific audience segments from seeing ads, such as existing customers or recent converters (Correct answer)
- Blocking fraudulent bot traffic from auction participation
- Muting ads for users who have opted out of personalization
- Reducing bid amounts for low-priority audience segments
Correct answer: Excluding specific audience segments from seeing ads, such as existing customers or recent converters
Audience suppression prevents wasted spend by excluding users who have already converted or are irrelevant to the campaign objective.
Question 5: What is 'deterministic matching' in audience targeting?
- Linking user identities across devices using verified data like email addresses or login credentials (Correct answer)
- Using statistical models to predict audience behavior
- Matching ad creative to contextual page content
- Identifying users by their IP address and browser fingerprint
Correct answer: Linking user identities across devices using verified data like email addresses or login credentials
Deterministic matching uses confirmed identifiers (logged-in user data) for highly accurate cross-device audience resolution.
Question 6: What is 'probabilistic matching' in audience targeting?
- Using statistical signals like IP address, device type, and behavior patterns to infer user identity across devices (Correct answer)
- Matching ad bids to inventory based on probability scores
- Predicting conversion likelihood using machine learning models
- Using demographic data to estimate audience size
Correct answer: Using statistical signals like IP address, device type, and behavior patterns to infer user identity across devices
Probabilistic matching infers cross-device identity using statistical signals, trading some accuracy for broader reach than deterministic methods.
What is retargeting (remarketing) in programmatic advertising?