Multivariate Creative Optimization: Give the People What They Want


Multivariate optimization in mobile advertising is set to take the world by storm. As digital advertising continues its journey toward consumer-first creative, an executive’s final world may as well be silence. In the future, creative teams will have one audience to convince – the target consumer. Even though we are in the early stages of evolving the ad ecosystem for this mindset, consumers are already building expectations for ads that “get” them.

In Netflix’s new show “Unbreakable Kimmy Schmidt,” writers showcase retargeting to poke fun at consumer-first advertising. A banner ad is displayed above live coverage of the Indiana Mole Women trail for the mole sauce created by one of the mole women (Episode 11 at 8:41). The scene is an exaggeration of retargeting, one of several technologies contributing to the shift toward personalized advertising.

Multivariate is another technology critical for the industry’s creative evolution into a consumer-first mindset. It places the focus of creative optimization on target consumer preferences.

In A/B testing an advertiser selects two test variables: variation A and variation B. For example, a red CTA button and a blue CTA button. The goal of A/B testing is to determine which variation is more effective with the target consumer.

In multivariate testing an advertiser selects multiple test variables to determine which combination is the most effective. For example, a red CTA button, a blue CTA button, a white background and a black background. The multivariate test will showcase which  combination of variants is most effective, instead of which single variant is more effective. Rather than just changing one ad element, like a button, you can change a myriad of different elements to see which combinations perform better with target consumers. Ads served are then automatically optimized for the higher performing combinations.  

It’s easy to imagine how this technology is also more efficient, a single test with multivariate technology would otherwise require multiple A/B tests.

Multivariate technology automates consumer-first creative optimization, an important part of the journey closer to highly personalized and targeted creative mobile advertising. At Aarki, we are continuously innovating ways to keep our mobile advertising platform, Aarki Encore, ahead of mobile advertising evolutions. Contact us to learn more or access a free trial of Aarki Encore, the industry’s leading creative optimization and media buying platform for video and content-based mobile ads.  

 

Topics: Creative Insights