San Francisco-based DeltaClick this week rolled out its product, which it says integrates the best of two separate Web marketing propositions — sponsored links and targeting by users’ Web habits.
The eleven month-old, privately-held firm makes a Web browser add-on that suggests pages similar to the ones a surfer is visiting, with the goal of delivering targeted offers and ads based on the site a user views.
Admittedly, that’s something of an old idea — companies like Dash.com, Gator.com and Annotate.net’s flagship products have similar targeting features. Delivering ads or offers based on what users are doing at the moment potentially allows marketers to target users at their highest moment of interest — for instance, delivering an offer for car merchandise when a user is visiting a car aficionado site.
But DeltaClick, which sells its “recommended links” to online merchants, operates on a pay-for-performance basis. It already has deals in place where affiliates pay for each click or newsletter/email signup, and said it will soon begin inking “cost-per-transaction” deals.
The pay-for-performance technology, which DeltaClick chief executive Greg Stuart said could also be rolled into other Web applications, like chat, is its biggest differentiator.
And since he maintains that Web publishers don’t know how to effectively price performance-based advertising — often placing CPA ads in their lowest-performing inventory — DeltaClick fills a need for them too, since it offers co-branded versions for publishers to distribute in a revenue-sharing arrangement.
“I think we address the major issue today for results-driven online marketers,” he said. “DeltaClick is built on the concept that effective performance-pricing solutions are technology driven, not media driven. That’s why Web content publishers don’t do performance-pricing well. Our suite of marketers’ tools and proprietary technologies were designed specifically to meet the needs of action-oriented marketers. No one else has done that to date.”
Like other programs, DeltaClick can segment consumers based on the category of sites being visited, surfing behavior or preferences, and user-supplied demographics. The system can also target specific URLs — allowing an automobile retailer to have its Web site link appear when users visit Autobytel.com, for instance — and lets marketers input a brief text message next to their site link or special offer.
DeltaClick said it has “thousands” of participating advertisers and has commitments by Web publishers to have one million registered users during the next year.
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