National Upscale Home Goods Retailer Maximizes Reach and Drives Down Impression Costs with Simpli.fi’s ZTV Solution
ENHANCING MARKETING STRATEGY WITH ZIP CODE LEVEL TARGETING
By the second half of 2022, approximately 98% of households could be reached with programmatic advertising via Connected TV (Statista, 2022). While many individuals still tune in to linear TV programming, some households are moving to streaming-only platforms or opting for both forms of content consumption. Due to this shift, advertisers need effective marketing solutions to help increase their reach and maximize their relevance with target audiences.
Recently, a large upscale home goods retailer was looking to increase customer retention and prospecting of affluent homeowners located in regions inhabited by their primary competitor. The brand has partnered with Simpli.fi for the last two years and has successfully utilized various targeting tactics and creative types. With the introduction of Simpli.fi’s ZTV solution, the retailer decided to incorporate the ZIP code level targeting into their marketing efforts to help maximize their programmatic footprint in relevant areas across the U.S. During the 30-day campaign, the advertiser wanted to increase both online and offline conversions, attain strong Video Completion Rates (VCR), and ultimately expand their advertising reach.
TARGETING AFFLUENT HOMEOWNERS BASED ON ZIP CODE
The upscale home goods retailer leveraged Simpli.fi’s ZTV solution, backed by a proprietary weighted ranking system, to identify relevant ZIP codes out of 33,000+ ZIPs across the U.S. The ranking system uses ACR and U.S. Census data to index ZIP codes based on age, gender, household income, and audience viewing habits. The advertiser supplied the following criteria to identify 432 ZIP codes across their 9 top-performing markets with a specialty storefront:
- Household income of 100K-250K
- Household income of 250K+
The Simpli.fi team selected ZIP codes based on how each indexed with the advertiser’s specific target audience as well as the viewers’ propensity to utilize ad-enabled streaming services. Based on the demographic data, the advertiser implemented income-specific :15 and :30 CTV creative focused on two distinct audiences:
- Audiences likely to purchase high-end custom home organization products
- Audiences likely to purchase budget-friendly custom home organization products
To maintain brand integrity, the advertiser also supplied a blocklist to ensure their ads were only being served on approved streaming services and programs. In addition, Simpli.fi’s cross-device matching capabilities allowed the advertiser to track both online and offline conversions, regardless of the device on which the ad was served, including from those served on the big screen in the living room.
SIMPLI.FI DRIVES DOWN IMPRESSION COSTS
Overall, the campaign led to a $11.98 CPM for both the high-end and budget-friendly ads, which is more than two times lower than their benchmark KPI determined by traditional CTV advertising. In addition to surpassing the retailers’ benchmark goal for CPM, the campaign generated almost 150 total actions, which consisted of in-store visits or online form fills. The utilization of the ZTV solution also led to a low Cost Per Action (CPA) of $25.77 for the ads focused on budget-friendly custom home organization products and $78.62 for the ads focused on high-end custom home organization products. Lastly, the video campaign resulted in a high VCR of 93.65% for :15 second ads and 91.67% for :30 second ads. Thanks to the impressive results of the 30-day test campaign, the upscale home goods retailer has continued utilizing Simpli.fi’s ZTV solution to increase incremental reach, retain current customers, and prospect new customers.
Interested in using Simpli.fi’s ZTV solution to drive incremental reach and reduce CPM costs?
Fill out the form below, contact your Simpli.fi representative, or email us at hi@simpli.fi for next steps.
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