• McKenna Sweazey

How accurate are auto segments in advertising?


The news is all about car sales slowing due to chip shortages. Does this give marketers a great runway to build brand identity for consumers who will have to wait longer to make their purchases? Only if they have accurate data to reach the right audiences who might be interested in their models.


Data for car owners seems abundant, with thousands of segments focused on targeting luxury car owners, specific manufacturers, and simply car owners overall represented among the 3rd party segments in programmatic marketplaces. But will these segments actually help you find receptive audiences and drive ROI?


If your audience is owners of a particular brand, your audience targeting will be more effective the more common that brand is. But that still doesn’t mean that you’ll be using completely accurate segments. Kia sold almost 15% of all cars in the US in 2020 and the Kia owners segment had a Truthscore ™ of 0.58, the highest for non-luxury brand car owners, in a study across a variety of providers. To say it another way, in that segment, there was a 58% chance any user was a Kia owner. The average accuracy across all manufacturers was only 42% - the segment you are using is more wrong than it is right!


How do you avoid spending money on the other ~50% of those records that aren’t in your target market? It’s simple! The easiest way to improve your targeting is to use Truthset Scored segments, available wherever you buy 3rd party segments, like LiveRamp Data Marketplace, Adobe’s AAM and TubeMogul, Lotame, The Trade Desk, Xandr, AdSquare, Salesforce/Krux, etc.


Truthset Scored segments only include the records that meet a threshold for accuracy, meaning we’ve removed the IDs least likely to be the purported attribute of the segment, in this example the owners of that brand of car. This leaves only the more accurate IDs for advertisers to run their impressions against.


If you have any questions about how you can improve the ROI of your marketing with independently validated audience segments, contact us.


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