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Contextual targeting is having a comeback, and it’s smarter, sharper, and more strategic than ever before. By 2030, annual contextual advertising spend is anticipated to reach $562 billion! As marketers move away from cookie-based targeting and adjust to a privacy-first digital world, contextual advertising is becoming one of the most effective ways to reach engaged audiences.
Unlike the basic contextual keyword targeting of the past, today’s contextual strategies are built on data, machine learning, and deep audience insights. Experian, with Audigent, plays a key role in powering this evolution, enabling marketers to execute contextual campaigns with the precision, performance, and compliance needed for today’s environment.
Let’s talk about how advertisers are reaching audiences in a changing advertising era with smarter contextual targeting.
What is contextual targeting?
Contextual targeting, by definition, is a cost-effective, privacy-safe way to engage audiences based on what they’re reading or watching in the moment without relying on personal identifiers. It places ads on webpages that contain content relevant to your product or service.
Contextual targeting vs. behavioral targeting
The concepts of contextual and behavioral targeting are commonly confused. Both aim to deliver relevant ads, but their methods differ significantly.
Let’s break it down.
Behavioral: Based on online behaviors
Behavioral targeting builds user profiles based on factors like browsing history, clicks, and purchases, tracking users across platforms using cookies and device IDs. For example, if someone researches new SUVs on multiple sites, they might see car-related ads long after they’ve stopped actively looking.
While 68% of consumers say they’re concerned about how their data is used in advertising, marketers have the opportunity to build trust through better targeting with Experian. We help brands meet rising consumer expectations with responsible, privacy-forward behavioral data and targeting options that enable you to reach audiences effectively while aligning with your privacy and control needs.
Contextual: Based on content and environment
Behavioral targeting will continue to play a valuable role in personalized marketing strategies, but contextual targeting is a compelling alternative or complement for strong performance in a privacy-safe, scalable, cost-conscious way.
Contextual targeting focuses on the ad environment. It analyzes the page’s content, such as keywords, tone, and structure, and serves ads that align with that context without personal identifiers or user tracking.
With Experian Marketing Data, you can enhance contextual targeting further by layering in data about who’s likely to be on the page. That combination of content signals and audience intent creates smarter, more privacy-compliant campaigns that perform better.
Innovations in contextual targeting
In its early form, contextual targeting depended on simple keyword matches. While functional, it lacked nuance and often resulted in broad or irrelevant placements.
Today, the approach is far more intelligent. Thanks to AI, machine learning, and natural language processing (NLP), platforms can now assess the full context of a webpage, analyzing tone, sentiment, structure, and content depth to determine the best ad match.
Contextually-Indexed Audiences
Experian’s Contextually-Indexed Audiences take contextual targeting one step further by analyzing traffic from websites and mobile applications to identify the types of frequent visitors to those pages with the power of rich consumer insights. Instead of simply showing up on relevant pages, brands can reach pre-qualified audiences mapped to those environments, combining intent, content, and data-driven strategy in a single solution.
This is where contextual targeting is headed and why it’s no longer just an alternative to behavioral but a strategic advantage in its own right.
A privacy-first future
Even as third-party cookies remain in use, their long-term reliability is uncertain, and the industry continues moving toward solutions that don’t depend on personal identifiers. Laws like the General Data Protection Regulation (GDPR) and California Consumer Privacy Act (CCPA) have led advertisers to rethink how they engage audiences, shifting focus from individual tracking to content and context.
With modern tools, advertisers can use contextual targeting programmatic strategies to reach audiences in privacy-compliant ways that still deliver high performance. Programmatic platforms like demand-side platforms (DSPs) now offer pre-built contextual segments by industry, interest, seasonality, and more.
In a few clicks, marketers can launch campaigns that align with content environments where consumers are already engaged without behavioral tracking. For brands looking to future-proof their media strategies, contextual is one of the few options that checks every box.
Why more marketers are using contextual targeting
Contextual targeting can help you grow your audience, drive web traffic, boost visibility, and increase conversions as data privacy regulations grow stricter worldwide.
Here’s a deeper dive into the benefits of this targeting strategy.
Connect with ready-to-engage audiences
One of contextual targeting’s greatest advantages is the ability to meet consumers exactly where and when they’re most receptive. It places your ads on pages where they naturally add value to the user experience. When someone is actively reading or watching content about a specific topic, they’re already in the right mindset, which makes your ad feel more like a helpful recommendation than an interruption.
For example, if someone is reading a blog post comparing hiking backpacks, they’re far more likely to engage with an ad for outdoor apparel or trail shoes than one for an unrelated product like kitchenware.
Drive sales and revenue while lowering costs
Another draw of contextual targeting is its affordability for brands with limited budgets. It doesn’t require third-party data, identity graphs, or tracking infrastructure, so it’s easier on your media budget.
By aligning ads with page context, brands can also see real business results, such as:
- Lower cost per thousand impressions (CPM): Since contextual ads are served based on the content of the page rather than user profiles, they often have a lower price tag — especially in verticals where access to behavioral segments may be more competitive.
- Reduced cost-per-acquisition (CPA): More relevant impressions mean fewer wasted clicks and better ROI.
- Lower cost-per-click (CPC): On networks like Google Display, CPCs for contextually targeted ads can be as low as $0.45, especially in e-commerce and consumer goods sectors.
- Higher conversion rates: Ads placed in relevant environments outperform generic placements, which increases the likelihood of action and conversion.
- Higher lifetime customer value (LTV): Users who arrive at your site from contextually aligned ads are more likely to convert and become repeat customers, driving long-term revenue.
Quick and easy setup, built to perform
Contextual campaigns can also be launched quickly,often within a day, and produce immediate results.
One powerful option is Experian’s Contextually-Indexed Audiences, which combines real-time analysis from over two million websites with access to more than 1,400 trusted audience segments. Available through top demand-side platforms’ contextual marketplaces and Audigent private marketplaces (PMPs), this solution offers a scalable way to reach high-intent consumers without cookies or IDs.
Getting started is simple. With a few inputs like relevant topics, keywords, or content categories, you can activate ads in environments where your audience is already engaged. And the best part? The ease and speed to launch doesn’t mean you’re sacrificing results. Because your ads show up alongside content your audience is already interested in, they feel timely and relevant, which leads to more clicks, stronger engagement, and better overall performance.
Personalized experience based on known interest
Consumers crave personalization. In fact, Deloitte conducted a 2024 study that found 80% of consumers want personalized brand experiences and spend 50% more with the ones that do. Contextual targeting meets that expectation by delivering relevance in the moment without tracking users’ online behavior.
Experian’s Contextually-Indexed Audiences use contextual cues across the web to find common sets of audiences and identify where high-intent audience segments tend to show up. This helps advertisers deliver relevant, privacy-safe messaging to consumers who are more likely to engage, thereby building trust, capturing attention, and increasing performance while respecting user privacy.
Brand safety
Contextual targeting even helps brands avoid reputational pitfalls. With the help of AI and NLP, today’s contextual tools can assess what a page says and how it says it. That means you’re not just protecting user privacy but also your brand by ensuring your ads appear in relevant, trustworthy environments that reflect your values.
Contextual targeting examples
Contextual targeting works across nearly every industry, helping brands connect with audiences based on the content they’re consuming in the moment.
Here are a few examples of this in action across verticals.
Contextual targeting for automotive buyers
Most car buyers don’t just walk onto the lot. They arrive informed, having begun their journey online, researching makes, models, financing options, trade-in values, and credit requirements. It’s during this discovery phase that contextual targeting shines.
Advertisers in the automotive space can serve ads alongside car reviews, dealership comparisons, or articles about electric vehicle tax credits, connecting with shoppers actively gathering information and signaling strong purchase intent. When your ad appears in the middle of that research journey, it feels like the next logical step.
Contextual targeting also helps local dealerships and national brands stay top of mind during key decision-making moments without relying on third-party cookies.
Contextual targeting for first-time parents
New parents are one of the most information-hungry audiences online. From sleep training and stroller reviews to feeding schedules and baby-proofing tips, they consume a massive amount of content across various topics.
That content provides a rich canvas for contextual targeting. Brands selling baby gear, wellness products, insurance plans, or parenting services can place ads on relevant articles and forums, connecting with parents when they’re researching their options and making purchase decisions.
Contextual targeting for political campaigns
Contextual targeting helps political advertisers connect with voters in relevant, mission-aligned environments. In a time when misinformation and divisiveness can influence public perception, maintaining this control is more critical than ever.
With contextual targeting, campaigns can place their ads alongside trustworthy, high-quality content that addresses issues relevant to their supporters, whether it’s local policy, national news, or editorial commentary aligned with their platform. Advertisers can also avoid content that may contradict their message or brand values.
The future of contextual targeting
While Google no longer plans to fully deprecate third-party cookies, the industry has already moved forward. Most marketers have invested in cookieless solutions, and that momentum isn’t slowing down.
As contextual targeting becomes even more essential to future-proofing media strategies, its effectiveness depends on the quality and responsibility of the data behind it. That’s where Experian leads the way.
Experian Marketing Data as the foundation
At the core of Experian’s contextual targeting capabilities is Experian Marketing Data: a rich, privacy-compliant data set built from verified offline sources. This foundational data powers everything we do and fuels the full suite of Experian’s audience and targeting solutions.
Marketing Attributes and Audiences
One of the key products built from this data is Marketing Attributes, which transforms raw information into detailed, privacy-safe variables like lifestyle preferences, financial behaviors, and media habits. These attributes form the building blocks of Experian Audience solutions, allowing you to create highly specific segments tailored to your goals.
When applied to contextual targeting, these segments help you align your messaging with the types of content your ideal audiences are consuming in real time. We’ll help you activate contextually relevant campaigns using real audience insight to place the right message in the proper environment at the ideal moment.
Contextually-Indexed Audiences
Powered by Experian Marketing Data, Contextually-Indexed Audiences brings a new level of precision to contextual targeting. By analyzing traffic from over two million websites and apps, we offer access to 1,400 audience segments (like luxury shoppers or frequent travelers) that are most likely to visit specific content.
This lets you place your message in environments where your target customers already are, combining contextual relevance with data-driven intent. It’s a smarter, privacy-safe way to reach the right people without relying on cookies or user tracking.
You can activate these audiences instantly through the top demand-side platform’s contextual marketplace or partner with Audigent to create a custom PMP. A PMP offers more control and flexibility and allows you to enhance campaign performance with additional performance optimization capabilities and activation across any media-buying platforms.
Experian collaboration with Audigent and Peer39
Experian and Audigent partner to deliver SmartPMPs, or private marketplace deals that give advertisers access to premium inventory and privacy-first data activation in one streamlined solution.
What makes this partnership unique is Audigent’s supply-side integration. Instead of only running audience segments through the DSP, SmartPMPs pair Experian’s high-performing audiences with curated inventory from thousands of publishers, all accessible through a single deal ID.
This supply-side approach unlocks:
- Better reach across CTV, display, video, and more
- Stronger performance through real-time supply optimizations
- Personalized campaigns that don’t rely on cookies or user-level identifiers
We’ve also partnered with Peer39 and Audigent to expand contextual targeting capabilities further. These partnerships make it possible to match Experian syndicated audience segments, including geo-indexed and behavioral data, to contextual signals in real time.
Advertisers can now run fully cookieless campaigns with exceptional scale and performance by indexing Experian Marketing Data through our identity graph and activating through platforms like Audigent’s Hadron ID or Peer39’s integrations.
In one beta test with Audigent, a major national advertiser used this solution to run a 15-day campaign that exceeded CTR benchmarks by 25% with no cookies or IDs.
Talk to an Experian team member today
The future of digital advertising is about trust as much as performance.
Turn to Experian for help reaching your audience in the right environments using ethically sourced, privacy-first data. We help brands run scalable, contextually aligned campaigns built for today’s privacy landscape and tomorrow’s performance goals.
With tools like Marketing Attributes, Contextually-Indexed Audiences, and Audigent PMPs, we make it possible to connect meaningfully without crossing privacy boundaries. Let’s talk about how we can help you lead the way.
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As the days get longer and the weather warms up, spring’s revitalizing energy naturally leads to realignment. For marketers, it’s the perfect moment to reevaluate strategy, especially as consumer behavior changes ahead of summer and brings a renewed interest in travel, outdoor activities, and social events. Making seasonal adjustments to your marketing strategy helps you adapt to these shifting behaviors, capitalize on 2025 marketing trends, and keep your brand relevant year-round. When it comes to your marketing strategy, spring cleaning means clearing out outdated tactics, optimizing what works, and making room for smarter, more connected solutions. Take the time to ask yourself questions like: Are our audiences still relevant? Are we activating our data across the right channels? Are we collaborating with the right partners and using the right data clean room providers? If there’s room for improvement, now is the best time to audit, refine, and refresh your marketing strategy before the high-stakes summer and winter seasons. With identity resolution, data enrichment, data clean room collaboration, and omnichannel activation through Experian, you can clean up what’s outdated and prep your strategy for summer success! Rethink your data and identity resolution strategy Your data is foundational to your strategy and is a great place to start your marketing strategy spring cleanup. If your customer information is outdated, incomplete, or fragmented across systems, every campaign built on top of it risks underperforming. Before jumping into segmentation, activation, or partnerships, assess the health of your data and identity infrastructure. This is your deep clean and an essential first step in ensuring everything else works better. With signals disappearing, buying channels proliferating, and customer journeys getting more complex, the key to maintaining addressability is investing in persistent identity, complete consumer data, and collaborative measurement strategies that can weather these changes. Here are some ways to rethink your marketing data management and identity strategies for the current environment. Set the data foundation A solid identity resolution strategy starts with high-quality, unified data. Consider a comprehensive refresh of your customer records by auditing and enhancing what you have for accuracy and depth. As you’re thinking through spring marketing ideas, it’s an ideal time to enrich your first-party data by appending missing details, removing outdated records, and ensuring you enter summer with reliable, up-to-date profiles. Data enrichment Customer data naturally degrades, and eventually, you’ll need to dust it off by supplementing consumer records with current, high-quality insights and attributes. Experian data enrichment can help you seamlessly refresh records with updated demographic and behavioral data, giving detailed insights for precise targeting and relevant campaigns. With over 5,000 attributes available, covering everything from age and income to shopping habits and media preferences, you can maintain the deepest, most up-to-date view of your consumers through every season. Offline identity resolution and append Offline identifiers — like names, physical addresses, and phone numbers — are the most persistent identity markers as they rarely change compared to digital cookies and device IDs. They’re essential for a stable identity foundation, and you can use them to develop a consistent, unified view of each household and individual. Use this season to audit and tidy up your offline records. Are key identifiers missing? Are you relying on outdated addresses or duplicate names? Experian’s Offline Graph serves as the foundation to help unify those fragmented pieces, resolving identities across households and individuals to create a clean, consistent view of every customer. Think of this step as scrubbing baseboards or cleaning behind the fridge. It’s often overlooked but a prerequisite to a thorough spring refresh. You can also use Offline Identity Append to append missing identifiers to improve match rates, boost data accuracy, and ensure addressability so that when summer campaigns launch, you’re ready to confidently meet your audience where they are. Digital resolution via Digital Graph This next step is like replacing your air filter each spring. You won’t see it, but you’ll definitely feel the difference in performance. Digital resolution ensures persistent, accurate targeting across devices and channels in a fragmented omnichannel environment. Experian’s Digital Graph facilitates easy consumer identification and connection across the digital ecosystem. Our graph links digital identifiers like mobile ad IDs (MAIDs), connected TV IDs, and hashed emails to consumer profiles. So, when a customer interacts on a smartphone, a smart TV, and a laptop browser, those actions can all be tied back to the same individual or household in your database. Collaborate securely in data clean rooms to close gaps Matching partner data within your own secure space, a trusted third-party clean room, or Experian’s privacy-safe environment is an essential next step in your marketing spring cleaning strategy. But what is a data clean room? A data clean room is a privacy-first way to enhance marketing data in a secure environment that allows brands and partners to match and analyze data without exposing personally identifiable information. It’s almost like organizing a shared closet. You both bring what you have, sort it safely, and leave with something more valuable without mixing up or exposing what’s personal. Secure collaboration enriches your understanding of consumers, boosts match rates, and ensures the highest data security standards. Here are key data challenges you can tackle through data collaboration—whether in a clean room or across your broader data strategy. Lack of insights or usable data Without third-party cookies, marketers run the risk of losing valuable consumer insights. Collaborating with key partners lets brands enrich their first-party data and obtain a more comprehensive view of customer behaviors for informed decision-making. Let’s say, for example, that an advertiser with sales data but no exposure data struggles to attribute sales to specific campaigns. By collaborating securely with a measurement partner who provides exposure data, the advertiser can confidently link sales to ad exposure and optimize future campaigns with an understanding of who saw their ad and made a purchase. We anticipate that data collaboration will be a key marketing trend in 2025 alongside signal loss. Low or no match rates When businesses handle matching internally, discrepancies like name variations (e.g., John Doe vs. Jonathan Doe) or mismatched identifiers (hashed emails vs. MAIDs) often result in poor match rates. Experian’s identity resolution capabilities, meticulous hygiene processes, resolution logic, and comprehensive identity graphs significantly enhance these match rates. For example, if a data provider had physical addresses and a demand-side platform (DSP) had email addresses, they couldn’t collaborate with different identifiers. Using Experian Collaboration, however, their data could be resolved with offline identity data from our graph, enabling them to share their collaboration data and improve their marketing efforts. Data security When it comes to data collaboration, protecting your proprietary and customer information is non-negotiable. That’s why Experian operates with some of the industry's strictest data security, privacy, and compliance protocols. We support identity resolution and data collaboration within the most secure environments available — data clean rooms built to prevent sensitive customer data from ever being exposed. Instead of moving or sharing your raw data, we ensure all records are anonymized before any analysis occurs. Additionally, Experian’s clean room integrations with trusted partners give clients flexibility without compromising compliance. All solutions are designed to meet GDPR, CCPA, and industry-specific data governance standards, with full audit trails and customizable access controls. Connect and activate Once your data is clean, enriched, and resolved, the next step is to activate it efficiently across the channels where your audiences spend time. This step is like putting everything back in place after a deep clean so everything is functional, easy to access, and ready to deliver results. As you get ready to put your spring marketing ideas into motion, it’s time to streamline your activation approach and make sure your customer data is working hard for you. First-Party Onboarding With Experian First-Party Onboarding, you can ship data where needed using flexible data solutions for your activation strategy. This step is like labeling and organizing your freshly cleaned marketing closet, so each audience segment is ready to deploy wherever you need it. We make it easy to: Understand your customers on a deeper level Seamlessly onboard your customer data for use across programmatic, social, and advanced TV platforms Combine your first-party data with Experian syndicated audiences for enriched targeting Deliver those audiences to any destination that accepts Experian Audiences — whether a DSP, social platform, or publisher Increase match rates, extend reach, and lower activation costs Transact in the ecosystem with the Experian ID To aid in the activation process, Experian ID is a unified identifier that acts as a privacy-safe bridge between fragmented emails, device IDs, and addresses, helping you activate audiences across all media channels. Experian ID keeps your data protected and connected whether you send it to DSPs, social platforms, or data clean rooms. This allows for secure activation and performance tracking across the ecosystem without exposing personally identifiable information (PII). Like sealing and storing your seasonal belongings in airtight containers, Experian ID keeps your data clean, safe, and always ready for use. Use fresh audience insights to inform segmentation After deep-cleaning your data, enriching profiles, and resolving identities, you’ll want to ensure your segmentation reflects that renewed foundation. Just like clearing expired ingredients from your pantry, spring is an ideal time to toss outdated audience definitions and replace them with insights that are fresh, relevant, and ready to perform. With Experian’s modern audience tools, you can create smarter segments, power omnichannel strategies, and continue reaching high-value consumers even in cookieless environments. Our marketing data management tools make it easy to: Build detailed, personalized profiles using over 5,000+ behavioral and lifestyle marketing attributes that go far beyond basic demographics. Choose from 2,400+ pre-built syndicated segments or collaborate with Experian to create custom audiences tailored to your KPIs and campaign goals. Append fresh attributes to your CRM to keep profiles accurate, performance-ready, and reflective of current consumer behaviors and life stages. Together, these tools help sharpen your segmentation strategy and ensure up-to-date audience insights power every campaign. Let’s break down how smart combinations and contextual precision can further elevate your segmentation. Combine our identity graphs and Marketing Attributes for sharper targeting Combining Experian’s identity graphs with Marketing Attributes gives you both the who and the why behind your audience and helps you act on that insight with precision. It’s like giving your closet a total spring refresh — not just purging what doesn’t fit but also organizing what’s left into ready-to-wear outfits. Digital Graph + Marketing Attributes: Link real-time digital behavior (like CTV, mobile, or web activity) with rich consumer insights to create segments that perform across channels, from mobile to CTV to social. Offline Graph + Marketing Attributes: Tie persistent offline identifiers like name and address to behavioral and lifestyle data, making it easier to plan full-funnel strategies from direct mail to digital display. This approach gives you the clarity and flexibility to build richer personas, reach more qualified audiences, and target with confidence across any environment. Activate smarter with Contextually-Indexed Audiences Spring cleaning your strategy also means letting go of legacy tools, especially those relying on cookies or outdated tracking methods. With Experian’s Contextually-Indexed Audiences, you can reach consumers based on the content they’re engaging with, not their identifiers. We map millions of websites to real audience segments so you can target high-intent consumers in a privacy-safe, way. For example, an automotive brand looking to reach high-intent luxury EV shoppers can activate Experian’s “in-market for a luxury electric car” segment. With contextually-indexed targeting, that brand’s ads will appear on websites that over-index for visitors in that audience — such as premium car review sites or sustainability-focused blogs — without relying on user identifiers. This allows the brand to scale performance safely and efficiently in cookieless environments while achieving strong engagement metrics. Activate across channels with confidence After refreshing your data, segmentation, and partner strategies, the final step in your spring cleaning is putting all that prep work into action — efficiently and at scale. Think of this as your final sweep: optimizing where and how you activate your audience to ensure every touchpoint is aligned, accurate, and impactful. With your updated segments and sharpened identity framework in place, you can reach consumers across display, mobile, connected TV (CTV), and emerging digital channels. Experian provides the tools to activate seamlessly — backed by privacy-safe, high-quality data and flexible integration options. Third-Party Onboarding: Expand reach with external data sets Experian’s Third-Party Onboarding capabilities make it easy for brands to augment their first-party data strategies on their preferred activation platforms with easy access to high-quality, activation-ready third-party audiences. For you, this means you no longer have to manage the onboarding process yourself or worry about compatibility. Instead, you can: Enhance your first-party targeting with third-party data that’s already privacy-safe and activation-ready. Reach more qualified consumers by layering in external behavioral, lifestyle, or intent signals. Maximize scale across your preferred platforms using Experian’s established integrations and ecosystem support. With Experian as your trusted partner, your audience strategy becomes more flexible, more scalable, and more effective, giving you the power to engage the right consumers beyond your own CRM. Start preparing now for summer campaigns You’ve cleared out the clutter, restocked your toolkit, and optimized your data strategy, and now, you’re ready to get ahead of the summer rush. While summer is go-time for high-impact marketing campaigns, now is the time to clean, organize, and prepare. Another reason to start now? Tariffs, inflationary pressures, and changing consumer confidence are already impacting product demand, budget planning, and go-to-market strategies for the rest of the year. Brands need to be ready and agile in the face of economic turbulence. So, think of this as your final recap checklist before the season (and the economy) changes: a set of intentional steps that ensure all your prep work translates into real performance when it counts. Start now to: Cleanse and enrich your data: Make sure outdated records don’t weigh down your summer outreach. Refresh profiles with Experian’s latest attributes to stay aligned with consumer behavior. Solidify your identity resolution strategy: Transition to persistent, privacy-safe identifiers like Experian’s unified ID to maintain addressability across devices and channels. Collaborate with key partners: Run pilot campaigns with trusted collaborators to augment your data and maximize scale ahead of peak season. Refresh audience segments: Update personas and segments based on the latest data insights. Trial omnichannel strategies: Use spring to test messaging across display, CTV, social, and mobile so your summer creative hits with precision. Confirm measurement readiness: Double-check attribution and analytics tools so you can optimize in real time and prove ROI. Tailor creative to the season: From backyard barbecues to road trips, ensure your messaging taps into the themes and activities consumers care about most this summer. Spring is the warm-up. Summer is the performance. Start today to improve your marketing data management and overall strategy, and you’ll be ready to hit the ground running. Let’s plan your seasonal strategy together Whether you’re looking for more spring marketing ideas or want to launch a high-impact summer campaign, Experian is ready to help. From strategy to segmentation and data clean rooms to real-time activation, we partner with you to build a marketing engine that performs now and keeps growing through the seasons. Connect with us today, and let’s turn your seasonal refresh into long-term momentum Latest posts

Retail media networks (RMNs) are on the brink of a major shift. While they are poised to capture over 20% of ad spend in 2025, on-site monetization won't be the growth driver it once was. With advertisers consolidating spend among just six or seven RMNs on average, including giants like Amazon and Walmart, it’s hard for smaller RMNs to compete. Off-site retail media ad spend is projected to grow 42.1% in 2025 – nearly three times the rate of on-site growth (15.1%), according to eMarketer's November 2024 forecast. This dramatic shift underscores that while on-site placements are maturing, off-site is where the momentum (and money) is heading. To remain competitive, RMNs must move beyond traditional, on-site placements and embrace a broader, more integrated approach to media activation. The future of retail media is about utilizing enriched first-party data to drive performance across the open web, connected TV (CTV), and other digital channels. Break free from your owned and operated properties Historically, RMNs have limited ad placements to their own digital properties. While this approach has delivered high-margin returns – on-site ad margins can reach 70-90%, compared to 20-40% for off-site – it’s also inherently limiting. Retailers only have so much owned inventory to sell, and advertisers demand greater scale and flexibility. As brands push for more reach, RMNs must extend their impact beyond owned-and-operated (O&O) properties. Omnichannel retail media ad spending is forecast to hit $61.2 billion in 2025. Brands are looking beyond retail sites to build integrated, multi-channel strategies that drive results across the funnel.eMarketer Off-site doesn’t just mean digital. Walmart’s recent expansion of its Fuel and Convenience stations – planning to open or remodel 45 in 2025, bringing the total to 450 – shows how physical spaces are also becoming extensions of a retailer’s media network. These locations create new touchpoints where advertisers can engage shoppers with timely, context-aware messaging while they fuel up or grab a snack. These quick-stop environments are ideal for limited-time offers or impulse-triggering messages – especially since 68% of U.S. adults say discounts contribute to their latest in-store impulse purchase. Maximize the value of first-party data One of retail media’s biggest promises is the power of first-party data for precision targeting. While on-site ads are inherently lower-funnel, off-site activation allows advertisers to move up the funnel and apply retailer customer data holistically across the open web. For example, DoorDash and Macy’s now offer self-service audience data to advertisers via The Trade Desk, allowing brands to target consumers programmatically. Meanwhile, Walmart is taking a different approach – cloning The Trade Desk’s technology to maintain its walled garden. These moves demonstrate how retailers are rethinking data monetization strategies to scale beyond O&O limitations. Drive new revenue streams with off-site activation Off-site activation enables RMNs to drive incremental reach on channels where audiences are actively engaging, including CTV, programmatic display, and social media. This expansion allows brands to connect with consumers beyond retail websites. Retailers are also utilizing non-endemic advertising opportunities in environments like gas stations and kiosks. Unlike traditional grocery or apparel aisles, these spaces are brand-neutral, allowing advertisers who don’t sell products in-store to still activate campaigns using retailer data. In fact, 53% of brands have already partnered with a retailer that doesn’t carry their product, and that number is expected to grow as advertisers seek new ways to tap into retail media’s rich targeting capabilities. Retailers looking to extend the value of their data beyond O&O inventory have two primary off-site opportunities: First, they can use an identity graph to resolve customer identifiers into addressable IDs that can be enriched with additional attributes and activated across channels like the open web and CTV. This allows retailers to find and reach known customers with relevant messaging outside of their owned platforms. For example, a grocery RMN can identify lapsed snack buyers and deliver streaming TV ads that reengage them on CTV platforms. CTV retail media ad spending alone is expected to grow 43.1% this year, reaching $4.86 billion, highlighting the appetite for video-based upper-funnel strategies. Second, RMNs can broaden reach by activating first-party audiences, syndicated segments, or custom-built audiences through onboarding capabilities. These audiences can be sent to a variety of programmatic and CTV destinations, enabling advertisers to engage shoppers in high-impact environments. For example, a home improvement retailer can send its audience segments to programmatic ad exchanges, ensuring DIY shoppers see relevant offers even while browsing unrelated sites. Together, these approaches allow retailers to monetize their data more effectively while giving brands the ability to reach consumers in moments that matter beyond just retail websites and apps. Scale and measure success with data partnerships For smaller RMNs to compete with larger players, they need more than just inventory – they need the ability to scale campaigns and prove performance. Data partnerships play a critical role in both expansion and measurement. Measurement remains one of the biggest challenges for RMNs moving off-site. On-site retail media offers closed-loop attribution, but off-site activations introduce complexity. Retailers can work with an identity resolution partner like Experian to connect ad exposures to actual retail outcomes, such as store visits or purchases, across digital and physical environments. Whether it's through pixels placed on campaign ads or TV impression logs, these connections help RMNs demonstrate real impact. This approach helps unify disparate data – such as a CTV ad exposure and a subsequent online or in-store purchase – into a clear, measurable outcome. These insights not only show what’s working, but help RMNs optimize future campaigns and provide advertisers with transparent, third-party-validated reporting. As retailers like Walmart integrate loyalty programs like Walmart+ into their physical extensions, they gain valuable behavioral insights into how customers shop across formats – from fueling up to filling carts. These data signals help refine identity graphs and improve measurement across increasingly hybrid consumer journeys. Beyond ads: The data monetization opportunity Smaller RMNs may struggle to scale ad-supported revenue, but there’s another path forward: Data-as-a-Service (DaaS). Providing anonymized, privacy-compliant audience insights to brands offers a high-margin, scalable revenue stream. In fact, some retailers are already embracing this model by licensing their data to programmatic platforms. A playbook for smaller RMNs to win off-site The future of retail media belongs to those who harness data to influence consumer behavior across all digital marketing channels. To succeed, RMNs should focus on: Moving beyond owned inventory: Activate first-party data across CTV, social, and programmatic channels to meet advertisers where their audiences are. Expanding reach through partnerships: Collaborate with identity resolution providers to maximize match rates and campaign effectiveness. Building a full-funnel offering: Position off-site retail media as a brand-building play, tapping into ad budgets that traditionally fund upper-funnel campaigns. Monetizing data, not just ads: Explore DaaS models to generate passive revenue. The time to move off-site is now Retailers that wait too long to embrace off-site activation risk falling behind. Those that expand beyond their owned inventory, invest in off-site data strategies, and build strategic partnerships will be the ones that shape the future of retail media. Experian isn’t just part of the RMN conversation. We’re driving it. Let’s talk. Connect with our team Latest posts

Not all customers are the same, so why waste your budget marketing to them like they are? McKinsey research shows that 71% of consumers want personalized shopping experiences, and 76% get frustrated when they don’t have them. That’s where demographic segmentation comes in. But what is demographic segmentation, exactly? We define it as a process that helps you categorize your audience into meaningful demographic groups so you can reach the right people with impactful custom messages. Businesses across industries are partnering with Experian to power smarter decisions and better results through solutions like demographic segmentation — but what does this look like in action? This article breaks down five real-world demographic segmentation examples, showing how businesses have worked with us to drive measurable success so you can see exactly how it can work for you. What is demographic segmentation? Demographic segmentation involves dividing your audience into smaller, more specific groups based on shared demographics like income, education, gender, job, family status, and more to gain a more granular understanding of your brand’s target segments. The better you know your audience, the better you speak to their unique needs — and the more effective your campaigns will be, as you’ll be able to target each segment with highly personalized content that resonates. For instance, a company might market a new tech gadget to young adults in one way while promoting the same product to families with young children in a completely different way, ensuring the message speaks to each group’s lifestyle and priorities. Demographic segmentation attributes Some of the most common attributes used in demographic segmentation include: Age Each age group has different wants and needs. A new video game might catch the eye of teenagers, while a retirement plan is more likely to appeal to someone in their 50s or 60s. Gender Gender impacts preference for certain products, from fashion to gadgets, so knowing who you’re talking to helps make your marketing more relevant. Income Someone with a higher income might be more likely to purchase premium products, while someone on a budget will respond better to discounts or value-based offers. Education The level of education a person has can influence what kind of messaging will resonate with them, whether it’s complex or more straightforward. Occupation A marketing message targeting busy professionals might differ from one aimed at students or retirees. Occupation can tell you what’s important to a person in terms of their needs and lifestyle. Family Status A family with young kids likely has different priorities than a single person or a couple without children. You can adapt your messaging to be more relevant to what matters most to them, like convenience or value. Benefits of using demographic segmentation Demographic segmentation offers several valuable benefits for marketers. Here’s why it’s one of the most commonly used and effective ways to target audiences: Improved targeting and personalization: Demographic segmentation powers highly customized campaigns so you can cater to different income levels, family structures, job types, and so forth. B2C brands can provide offers based on factors like age, income, and gender, while B2B brands can target by occupation to reach decision-makers. Better product and service development: Understanding which demographics use your product or service is a great way to inform future improvements. Higher engagement: With highly customized content, you can speak directly to specific demographic groups and increase engagement. Cost efficiency: As you target the most relevant segments, you optimize your spending around the most likely buyers and will see better returns. Increased conversion and retention: Relevant, targeted messaging leads to higher conversion rates, and when people feel understood, they’ll want to keep coming back. Clearer customer insights: Demographic data provides precise, actionable insights for refining your marketing strategy. Simplicity and effectiveness: Demographic insights are immediately actionable and easy to implement, which gives you a great starting point for focused campaigns. When to use other segmentation types While demographic segmentation provides valuable consumer insights, there are times when other approaches may offer a more effective strategy: Your business provides location-dependent services. If you strictly serve a local area, geographic segmentation would be more effective in targeting customers based on location. You have access to detailed behavioral data. If you collect data on customer behavior (like browsing history or purchase patterns), behavioral segmentation would allow for more personalized targeting than demographics. You're selling high-end luxury products. While income is a useful demographic variable, factors like values, aspirations, and lifestyle better capture the desires of luxury consumers. Your target audience shares similar behaviors, regardless of demographic factors. Behavioral segmentation might offer more insight if your customers engage with your product or service based on shared behaviors rather than demographic traits. Your product or service targets specific needs or pain points. Segmenting by need or issue rather than traditional demographic variables would likely yield better results if you're offering a solution to a particular problem (like a health-related product). How our customers are using demographic segmentation to produce tangible results Demographic segmentation is about knowing your audience and using data to create marketing strategies that drive measurable outcomes. Let’s look at some real-world use cases from brands like yours that have been successful in this effort, working with Experian to translate demographic insights into significant business growth. Use case #1: Identifying customer spending potential to boost growth for a retail chain Objective A large retail chain wanted to understand the spending potential of each customer in their stores. Their goal was to uncover and maximize untapped spending potential. Solution The large retail chain licensed Marketing Attributes to identify the top demographic factors that drove spending in the retail store the previous year. The four key drivers were: Age Income Family structure (household composition) Location/region Results By combining these attributes to create custom segments, we uncovered two valuable annual estimates: Potential spend: A conservative estimate of how much a customer could spend if they reached the top 20% of spenders within their specific demographic segment (based on data from the highest spenders). Unrealized spend: The difference between a customer's annual potential spend and their current spend. An estimate of how much more they could be spending each year. These demographic segments provided the marketing strategy the retail chain used to target $1.1 billion in unrealized spend. This revealed how much additional revenue could be captured by targeting the right customers with tailored marketing and offers through demographic segmentation. Use case #2: Helping a financial institution identify regional DE&I opportunities Objective A large financial institution needed help identifying regional diversity, equity, and inclusion (DE&I) opportunities. They wanted to better prioritize their outreach to underserved communities in the Los Angeles area. Solution We provided the data and insights to pinpoint specific areas needing attention. We used three key indices to analyze the region: Income index: Measured each underserved economic group by comparing the percentage of low-to-moderate income consumers against the entire L.A. area. Ethnicity index: Measured the percentage of consumers by ethnicity, such as African-American, Hispanic, Asian, and others, against the entire L.A. area. Credit index: Identified potential credit disparities by looking at the average FICO score and the percentage of customers with credit accounts against the entire L.A. area. Results Our client received an analytics dashboard to track and report these metrics, providing clear, traceable data to prioritize DE&I outreach. This dashboard helped them measure progress toward more inclusive practices. Use case #3: Segmenting a health supplement ambassador program for enhanced engagement Objective A health supplement company wanted to identify specific segments within their ambassador program to provide better support and increase engagement. Solution We developed tailored customer segments to address specific needs and behaviors. These segments included: Young and independent: Younger, lower-income singles or starter households who are just beginning to establish their own lives. Families with ends to meet: Young and middle-aged families with kids who are budget-conscious, often using coupons and enjoying fast food. High-end families: Middle-aged families with kids and high incomes, financially secure big spenders who also give to charities. Empty nesters: Older households with no kids who focus on cooking at home and may have more disposable income. Results Segmenting at registration allowed for more effective communication and engagement with prospects. Customized messaging, guided by customer demographics and purchasing behaviors, improved acquisition and retention by helping the right messages reach the appropriate individuals through their preferred channels. Use case #4: Comparing customer bases: Insights for a retailer across two cities Objective A national retailer with locations in two major cities (their home base city and a recent expansion city) wanted to understand how different their customer base was in each city. They aimed to uncover key demographic and behavioral differences to refine their marketing strategies and ensure each location received the most relevant messaging and promotions. Solution We analyzed each city’s customers across a wide range of characteristics:. Demographics: The expansion city had a younger population with more families, while the home base city had an older and more established customer base. Purchasing behavior: Customers in the expansion city spent more per transaction than those in the home base city. Preferred marketing approach: Customers in the home base city were likelier to be Brand Loyalists, responding well to familiar, trust-driven messaging. Shoppers in the expansion city were Savvy Researchers who responded better to value-based content and product comparisons. Results Using these insights, the retailer tailored its marketing approach to align with each location’s customer base: Home base city: Focused on maintaining loyalty by emphasizing brand trust and highlighting long-term customer benefits. Expansion city: Positioned marketing to appeal to younger, family-focused consumers to showcase high-value purchases and competitive pricing These adjustments led to improved engagement and higher sales in both cities. Use case #5: Optimizing direct mail to help a nationwide retailer maximize impact on a limited budget Objective Facing a shrinking marketing budget, a nationwide retailer needed to refine their direct mail strategy to reach the right customers while reducing costs. Solution We developed a comprehensive dashboard summarizing two dozen recent direct mail campaigns, which allowed the retailer to: Understand the demographic composition of high-response customers across different regions. Identify key patterns in response rates, helping them pinpoint the most receptive audiences. Discover that the Power Elite Mosaic Group representing affluent, high-spending households comprised only 17% of their mailed audience but accounted for 47% of responses. Results With these insights, the retailer restructured their direct mail strategy to target the highest-performing segments. Changes like these led to a 30% reduction in mailing costs while retaining 92% of sales, proving that strategic segmentation can drive efficiency without sacrificing revenue. Explore demographic segmentation with Experian Now that we’ve defined demographic segmentation and provided real-world examples, it’s time to explore how Experian data can help you better understand and connect with your audience. Experian’s Marketing Attributes provide rich, privacy-conscious insights into consumer demographics, lifestyles, and behaviors. These insights empower marketers to personalize experiences, refine targeting strategies, and make more informed decisions. With a deeper understanding of who your customers are, you can create more meaningful, impactful campaigns that drive stronger engagement and results. Connect with us today to see how our data and expertise can improve your targeting, personalization, and campaign performance. Connect with us Latest posts