Dynamic Creative Optimization (DCO): Definition and Issues

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Online advertising is an important element in developing your sales at points of sale. In fact, 55% of online advertising investments generate in-store sales 1 . In recent years, the advertising sector has become very competitive. Did you know that 1,200 to 2,200 advertising messages are sent to each individual per day 2 ? How can you make your local advertising stand out among all this competition? In particular, thanks to Dynamic Creative Optimization (DCO) . Don't worry, we'll decipher this marketing practice for you. Discover the definition and challenges of DCO in this article.

1. Dynamic Creative Optimization: definition
2. The challenges of Dynamic Creative Optimization
Conclusion


Dynamic Creative Optimization: definition

1. Dynamic Creative Optimization: definition
Dynamic Creative Optimization is a method of buy afghanistan cell phone number list personalizing your local digital ads . It uses programmatic marketing and algorithms.

When you set up your local advertising campaign , the DCO algorithm automatically modifies contextual elements such as location, weather and design.

Remember that 51% of consumers appreciate location-based promotions 3 , so location-based ads are the best way to reach your target audience.

A local advertising campaign consists of different elements: color, design, images, call-to-action buttons, etc. Dynamic Creative Optimization takes all of these elements into account and adapts them according to the user who is viewing the advertising banners.

This optimization is continuous because the algorithm itself detects the combinations (of colors, images, etc.) that generate the most leads . The DCO therefore adapts in real time the elements to be integrated into the advertisements.

Thanks to Dynamic Creative Optimization , your advertising campaigns are automatically adapted to the local context. For example, to a geographical area (sea or mountain), to the presence of your consumer within a catchment area (nearest point of sale), to the weather or by presenting your products according to the stocks in stores.

In the example below we can see the local advertising campaign of Volvic. To promote its range of flavored waters, Volvic relied on Dynamic Creative Optimization. Local advertisements were adapted to the temperature, the catchment area as well as the graphic taste of consumers. During a hot period, prospects seeing the ad could click on the banner and find the nearest point of sale where they could buy Volvic. Thanks to this local advertising campaign, Volvic announced 160,000 incremental visits to stores as well as a 6% increase in turnover 4 . A great ROI for its drive-to-store campaign !


Dynamic Creative Optimization Volvic

Volvic local advertising campaign
implemented using Dynamic Creative Optimization


To set up a DCO campaign for local advertising, you need to rely on precise segmentation of prospects and customers. You can feed the Dynamic Creative Optimization algorithm with your CRM, rented databases or even open data. This will allow you to broadcast ultra-targeted geolocalized advertising.

Google Ads and Facebook Ads local advertising campaigns allow you to use the advantages of DCO. As a reminder, 62% of users say they became interested in a brand or product after seeing it in a story 5 . The combined use of Google and Facebook local campaigns is therefore optimal for attracting customers to the point of sale.


The challenges of Dynamic Creative Optimization

2. The challenges of Dynamic Creative Optimization
Dynamic Creative Optimization first of all allows you to increase your drive-to-store . Indeed, thanks to its continuous personalization, DCO will adapt your ads to the local context. Depending on the consumer's location, your ad will present the point of sale closest to them. With, for example, the distance to travel to get there and the access map.

Keep in mind that 68% of smartphone users have used the “Get Directions” or “Click to Call” options in local mobile ads 3 . Hence the importance of location-based personalization.

Dynamic Creative Optimization also helps improve the conversion rate and click-through rate of your local ad. Indeed, by presenting local elements to your consumer, they will more easily click on your ad. Let's remember that 19% of mobile users have made an unplanned purchase after seeing a local ad 3 .

With DCO, you can easily create personalized and proximity local ads that meet consumer expectations. Their ROI is thus maximized and generates more leads than a national ad.

In the example below, we can see a Dynamic Creative Optimization campaign that is tailored to geographic areas and weather. Depending on the consumer's location, and the weather of the day, the brand offers them a summer dress, a raincoat or a winter coat.


DCO geolocalized advertising clothing

Geolocalized advertising for clothing, optimized thanks to DCO

We're not going to hide it from you, setting up a Dynamic Creative Optimization local advertising campaign requires advanced configuration and a relatively long preparation time. But then, the algorithm works alone and generates a significant ROI. To save time, you can rely on a local marketing platform and set up your DCO campaigns more quickly.

Once Dynamic Creative Optimization local advertising is launched, you no longer have to manually customize each banner to the local context. The tool takes care of it for you, giving you time to focus on analyzing the results.

Conclusion
Dynamic Creative Optimization is a powerful tool that allows real-time personalization of your local ads . Thanks to its algorithm, DCO continually adapts the content of your geolocalized ads to present consumers with the combinations that generate the most conversions.

Thanks to Dynamic Creative Optimization, your drive-to-store is increased as well as the ROI of your local advertising campaigns. After a configuration time, and ultra-precise targeting of your prospects, the tool is autonomous and frees up your time to analyze the performance of your campaigns.

To maximize your time, you can rely on a local marketing platform like Digitaleo. The team will be happy to support you in building and implementing your Dynamic Creative Optimization strategy for your local advertising campaigns.