Baltimore, MD - October 25, 2005 - Advertising.com, Inc., a leading provider of results-based interactive marketing services, today released new findings from its Optigence® research platform that demonstrate the effects of behavioral targeting on interactive marketing performance. Conducted using Advertising.com's Audience LeadBack behavioral targeting technology, the study confirmed that targeting consumers based on previous online behaviors not only significantly increases conversion rates, it can also improve overall campaign efficiency.

Audience LeadBack anonymously tracks consumer activity across Advertising.com's web network, dividing them into audience segments based on their web-surfing behavior. Ads are targeted to users in these populations after they exit in-market sites and visit sites within the Advertising.com network. The behavioral information tracked is never tied to personally identifiable information.

This study examined three advertiser campaigns targeted to Advertising.com's personal finance, automotive and education behavioral populations. For each advertiser, identical creative messages were sent to both a run-of-network audience and the behaviorally segmented audience.

In each study, conversion rates increased markedly for targeted impressions vs. run-of-network impressions. However, click-through rates experienced the opposite effect - with the number of clicks decreasing for targeted impressions. These findings suggest that behavioral targeting actually increases the value of each click, as consumers who click on a targeted ad are more motivated to convert.

Advertising.com's network advertising model was vital to the success of the underlying behavioral techniques. The number and diversity of publishers within the network ensured that the audience segments were both precisely defined and statistically significant.

Scott Ferber, president and CEO of Advertising.com said, "While we anticipated the rise in conversion rates, the reduction in click-through rates was an anomaly we didn't predict. It suggests that behavioral targeting can deliver more qualified clicks that result in more conversions. The result is increased efficiency - because fewer impressions and clicks are required to generate a higher volume of actions."

About Advertising.com™

Advertising.com conducts strategic direct-response and brand marketing campaigns that guarantee bottom-line results for our clients. From web ads to search listings, we offer diverse tactical tools, innovative thinking and the most expansive reach in the industry. Advertising.com is a wholly owned subsidiary of America Online, Inc. For more information, visit www.advertising.com or call 410.244.1370.

Source: Advertising.com

Source: Wired News