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What is dynamic creative?
Dynamic creatives or dynamic ads are ads that can be updated in real-time according to each viewer’s preferences based on parameters predefined by advertisers. Dynamic creatives take multiple creative elements such as text, images, videos, and CTA that can be swapped manually or through programmatic automation to deliver extremely relevant and personalized ads.
What is dynamic creative optimization?
Dynamic Creative Optimization or DCO is a Machine Learning-based technology that creates personalized ads for viewers in real time. Dynamic ads outperform static ads and are typically used for retargeting and prospecting. In the process of DCO, multiple iterations are created out of a base ad creative based on several factors like past performance, audience, etc., thus, creating relevance for the viewer.
Why is DCO important?
Dynamic creative optimization improves efficiency by eliminating the need to create different versions of an ad for different audiences, locales, etc. It also enables advertisers to deliver more personalized ad experiences to their users.
How does dynamic creative optimization work?
Let’s understand the components involved in the process of dynamic creative optimization.
- The DCO ad server receives inputs from two sources: Data management platform (DMP) and creative management platform (CMP).
- The DMP and DCO ad server are connected such that data from all the DMP’s sources, such as browsing history, IP address, location, device, etc., is fetched by the DCO ad server in real-time to enable it to serve ads instantly.
- The DCO ad server integrates with the CMP to pull ad creative elements and assemble them.
DCO works in two main steps. Here is a brief explanation.
- The DCO server decides which creative elements to include in the ad based on relevance to the viewer. For example, text, number of products to show, video, or image - all this is decided by the DCO ad server.
- The DCO puts together all the elements chosen to create an ad that is relevant and attractive to the viewer.
Ad creatives refer to the visual and textual elements used in advertising campaigns to attract and engage the target audience. These elements can include images, graphics, videos, and copywriting, all designed to communicate a message and promote a product, service, or brand.
Data Management Platform
A Data Management Platform (DMP) is a single unified platform to collect, organize, and activate first, second, and third-party data about users or customers of a business from various online and offline sources.
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