More Targeting Brings Advertisers Big Lift in Results, TransUnion Study Finds
For all the effort that goes into planning and buying the media inventory most likely to have an impact on consumers, measurement of outcomes is still a relatively new commodity.
In the olden days when the big networks ruled, media planners would pore over reams of data to look for fresh clues about purchase proclivity from demographic and psychographic metrics. How much better were they doing that if they had thrown darts at a schedule board? It was difficult to quantify, but agencies and their clients had faith the work was worthwhile.
Now there is more data about viewers available than ever before. Artificial intelligence is being employed to analyze all that data and help make recommendations. And most importantly, a bigger share of media is addressable. That means that once you’ve identified a target audience, you can buy media that more precisely reaches those viewers–and avoid exposing viewers disinterested in the marketer's product or service.
All of this comes at a cost for data, for matching and for buying smaller, more discrete slices of viewership.
Is it worth it? A new study released by TransUnion, a large-scale provider of data used for ad targeting, says the answer is a big time yes. And the more targeting the better.
TransUnion looked at data from campaigns run in 4Q 2025 by 25 brands in five industries. Each brand spent from $5 million to over $100 million in the quarter, representing total spending of $!.5 billion on data-based addressable advertising. Those channels included connected TV, digivital video, display, search and social. Ad exposure, conversion rates and return on ad spend (ROAS) were analyzed using TransUnions MTA platform and TruAudicene identity graph.
The headline: sophisticated targeting can increase ROAS by up to nine times, Those high-performing campaigns successfully targeted consumers using six separate characteristics.
Those characteristics included age, income, presence of children, and neighborhood type, TransUnion said.
Using fewer correctly chosen characteristics for targeting meant smaller, but still substantial increases in ROAS, the study found.
Campaigns combining four characteristics saw a 8,3 times lift in ROAS, When three characteristics were combined, ROAS rose 7.2 times and when two characteristics were combined the gain was 3.6 times. Even when only a single well-chosen characteristic was used for targeting, ROAS went up 97%
Source: TransUnion
“In a world with thousands of targeting choices, the challenge is selecting the most effective option from many that appear similar,” said Matt Spiegel, executive of TruAudience Growth Strategy at TransUnion . “Our data proves that even within common attributes like income or age, the performance difference can be massive.”
Of course there’s a downside here to be aware of. Making the wrong decision about which consumer characteristics to target reduced campaign effectiveness. Using a single poorly chosen attribute for targets reduced ROAS by 49%. Six bad picks, cut ROAS by 90%. Makes sense. If you target viewers unlikely to buy your product, the cash register is unlikely to ring.
“This isn't guesswork — it's measured behavior," said Mike Finnerty, senior VP, Marketing Solutions at TransUnion. "Recognizing the impact of the best targeting decisions on the bottom line and pulling out actionable insights is only possible when you have a persistent view of identity that runs through every marketing activity, from planning to measurement."
Sounds like there’s a better mousetrap out there for marketers and there’s another warning to traditional, linear media to get with the program or let your ads become increasingly irrelevant.
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Anoki said it is working with the Trade Desk to bring smart-TV makers who don’t have their own TV operating system technology that helps viewers find ad supported streaming content and a FAST app through The Trade Desk’s Ventura TV operating system.
The Trade Desk launched Ventura last year as an entry into the fragmented TV OS marketer after three years of development. Sonos was reportedly going to use Ventura in an upcoming video product, but that project was put on the back burner. The deal with Anoki might indicate life in Ventura.
Selling ads and data has become the most lucrative part of being in the TV set business, with manufacturers like Roku, Vizio and Samsung enjoying growing ad revenue.
“Ventura is designed to create a more transparent and lucrative CTV business for advertisers, publishers and OEMs,” said Matthew Henick, senior VP, Ventura TV OS. “Anoki’s personalized FAST solution and commitment to a fair ad auction aligns with the Ventura mission. Together, we intend to provide more ways for OEMs to drive revenue and deliver smarter, more engaging TV experiences.”
Working with Anoki, Venture will enable turnkey integration for OEMs, a fair and transparent ad supply chain, personalized discovery and a design that promises both interoperability and privacy protection, the companies said.
“Our work with Ventura TV OS is poised to be a huge leap forward in reshaping the connected TV experience,” said Raghu Kodige, CEO of Anoki. “Ventura’s dedication to a fair ad auction, combined with our personalization engine, will help to enable a smarter, context-aware and delightful content journey for viewers.”
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GSTV said it will work with measurement company iSpot to quantify the incremental reach and results advertisers get with GSTV’s network of 29,000 screens at gas stations and other out-of-home locations.
“GSTV advertisers have long understood the power of “Newtonian advertising” —influencing a consumer in motion has an outsize impact on business outcomes,” said Eric Z. Sherman, executive VP of Insights and Analytics at GSTV. “iSpot’s independent, third-party measurement will help our partners understand just how big that opportunity is—quantifying the incremental reach GSTV provides as they work with the network to amplify their linear and CTV campaigns.”
A study by IPG’s Magna found that video ads on GSTV led to 12% more foot traffic into Applebee's restaurants.
“We’re thrilled to partner with GSTV to help lead the charge in DOOH measurement,” said Alex Freed, VP Partnerships at iSpot. “We think having Unified Measurement across platforms will help GSTV showcase the value of their vast network to customers, give brands an opportunity to drive positive business outcomes while simultaneously allowing brands and agencies a way to create the best content experiences for these engaged consumers, who many times are simply steps away from a point of sale.”
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Speaking of smart TV makers, TCL said it is working with streaming monetization platform Transmit to generate revenue for the FAST channels on TCLtv+.
Transmit enables the insertion of addressable, non-disruptive ad formats. Integrated via an arrangement with Wurl, Transmit also says it gives consumers a positive viewing experience.
“We’re excited to bring our in-stream ad technology to TCLtv+, a platform that shares our vision for performance, innovation, and viewer experience,” said Seth Hittman, CEO of Transmit. “Together, we’re helping content partners monetize more moments and grow revenue without sacrificing the integrity of the stream.”