Gopuff Brings Ads Platform In-House
Gopuff has brought its retail media operations in-house. The move has allowed the on-demand commerce and delivery company to create custom tools and capabilities designed specifically for its ad partners and platform, such as objective-based buying, personalized audience targeting recommendations, and bid optimization.
Previously, Gopuff Ads was powered by third-party platforms. Now, it leverages custom-built artificial intelligence and machine learning models informed by more than 1,000 real-time variables and 10 years of historical customer data, paving the way for new intelligent and predictive advertiser tools, particularly for sponsored product ads.
According to a media release, Gopuff Ads takes into account individual customers' shopping behavior, their previous purchases, the time of day, localized product popularity and other data points to serve relevant ads and products — all in less than 50 milliseconds.
[Also Read: Gopuff Platform Powers CPG Brands' DTC Operations]
Gopuff says it has seen increases in relevance (50%), click-through rates (25%), conversion (24%) and a decrease in cost per click (30%) since launching the in-house platform in beta.
“At Gopuff, we believe everyone wins when we match the right advertiser to the right customer at the right time — it’s what makes ad placements feel like content," Daniel Folkman, senior vice president of business at Gopuff, said in the release.
New and enhanced capabilities include:
- Objective-based buying: A new audience targeting solution designed to deliver the best results based on a campaign’s objectives, such as to increase household penetration, drive loyalty through lapsed buyers or convert new-to-brand customers. Advertisers can access relevant context and real-time data to optimize their spend.
- Bid automation: A new bid option that automatically adjusts a brand’s bid in real time, based on the potential for conversion. The ad platform increases bids for highly relevant shopping queries likely to convert to sales and decreases bids for less impactful placements.
- Predictive audience targeting: Powered by in-house machine learning and AI, brands can segment and target audiences based on past purchase history, time of day, geographic regions, behavioral and contextual data as well as if they're lapsed buyers, customers who are new-to-brand or brand loyalists. Additionally, Gopuff’s “Likely Buyer” audience builder identifies potential buyers who haven’t shopped a brand’s products before but otherwise behave like brand loyalists.
- Actionable insights: Allows advertisers to view and analyze campaign performance across audiences, regardless of campaign targeting, and leverage predictive analytics. For example, a brand can see whether new-to-brand consumers are more likely to convert for single-serve SKUs or multiple packs, whether or not they targeted new consumers for that campaign.
- Simplified interface: A custom-built interface offers a simpler way to view campaign performance at a glance, understand performance across audiences, or build a new campaign. The new tools and interface provide brands with an end-to-end view of the customer journey, from buying to reporting, in one place.
In addition to these new capabilities for sponsored product ads, Gopuff allows partners to run ads across in-app display, off-platform audience extension, instant sampling (i.e., in-bag samples and marketing inserts), non-endemic advertising and other touchpoints. As the company continues to innovate, it expects streamlined reporting to also provide brand partners greater visibility of their businesses across the Gopuff ecosystem.
“With the new Gopuff Ads platform, brands can easily reach shoppers with the most relevant content to create authentic experiences and inspire customers to engage,” Folkman added. “We’re thrilled to offer advertisers greater access to the Gopuff platform and data with intelligent, new tools and look forward to continuing to drive innovation as the industry evolves.”
