Best Practices: Dynamic Creative Optimization (DCO)

Personalization has become a must for digital marketers, as today’s online consumers expect ads to show them what they want, when they want it. An overwhelming 80% of shoppers say they’re more likely to make a purchase when a brand offers a personalized experience, while 70% say they’re more loyal to companies that demonstrate a clear understanding of their personal needs.

To deliver these kinds of highly targeted and hyper-relevant marketing campaigns at scale, savvy advertisers are utilizing innovative display ad technologies like dynamic creative optimization (DCO). Powered by a combination of dynamic, data-driven content and automated machine learning, DCO is quickly becoming one of the most effective strategies for delivering the types of personalized campaigns that today’s online audiences demand.

What Is Dynamic Creative Optimization & How Does It Work?

DCO is a type of programmatic advertising technology that gives marketers the ability to optimize dynamic creatives in real time. Using data that’s collected when the ad is being served, it creates a highly personalized experience tailored to the user’s needs at that exact moment in time. Dynamic elements are instantly updated to provide content that’s most relevant based on a broad range of data signals, such as location, weather, gender, device, buying behavior, and where the user is in the buyer’s journey.

One of the reasons DCO is so effective is because the process is completely automated and continuously improving itself. AI takes care of the multivariate testing and automatically optimizes ads based on data, which not only improves performance but also allows marketers to produce a high volume of ad variations quickly and at scale. 

DCO is also easy to implement when integrated with a data management platform (DMP) for access to data feeds and a creative management platform (CMP) for access to creative assets like copy, images, and display.

Getting It Right: 5 Best Practices For Dynamic Creative Optimization

While DCO is a hands-off marketing tool in many respects, it does require some forethought and strategy for success. To make the most of your next campaign, keep the following best practices in mind.

1. Meet Customers Where They Are

Successful DCO campaigns adapt to the audiences they serve at every touchpoint. This includes determining where users are in the sales funnel and displaying creatives that best match that mindset. For example, creatives served to customers close to action might feature harder-selling pitches than those designed for higher-funnel consumers. You can also use conversion tags to track your creatives’ performance in the buyer’s journey and replace poor performers with new variations that might catch customers on their way out.

2. Include Contextual Elements

Use data triggers like location, time, and weather to keep campaigns grounded in a user’s environment. For example, images for a fast food restaurant can be set to reflect time of day, displaying breakfast sandwiches and coffee in the morning and fries and burgers in the afternoon. Or a retailer can recommend umbrellas and Wellies during a rainstorm and sunscreen and visors on a sunny day.

3. Diversify Your Assets

DCO gives you the opportunity to test a wide range of creative assets and it’s important to take advantage of this technology and use it to the fullest. The more diverse your variation of CTAs, headlines, images, and other creative assets, the more your campaign will benefit from DCO.

4. Trust the Machine

As the “O” in DCO implies, one of the biggest advantages of the technology is that it’s specifically built to optimize your creatives. But the platform only has as much control as you allow it. Resist the urge to make ads too busy and overload them with as many products as a template will allow. Trust the DCO platform’s AI to do its job and select the most effective elements for the moment based on data.

5. Review Performance

While DCO handles the minutiae of multivariate testing, it’s up to you to examine your campaign as a whole and determine if it needs adjustment. Make time to review your creative’s performance data regularly so you can identify the elements that are most effective in driving engagement and optimize your strategy accordingly.

In Conclusion

DCO is a must-have tool for creating highly targeted and personalized dynamic ads. Using a powerful combination of advertising display and analytics, the technology helps brands deliver the right message to the right customer at the right time. It drives engagement and increases brand loyalty by creating the contextual relevance that today’s consumers not only prefer, but have come to expect.

You may also like...

Subscribe to Our Blog

Subscribe to receive an email when we publish new content!

    Ready To Empower Your Business?

    We can help you future-ready your business with customized, innovative solutions designed to foster sustainable growth.

    Let’s Talk

            Meto

            Meto

            Meto is a tech-based nonprofit intent on making access to quality higher education a reality for all students. We have a special focus on creating scholarships for low-income students.


            In 2018, Meto was founded to connect African students with university opportunities. Along the way, we have learned that all students can benefit from our innovative model, wherein universities make the first move and invite good-fit students to apply. So, in 2023, we opened our platform to students across the globe.

            website: https://meto-intl.org/

                      Nikhil Badlani Foundation

                      The Mission of the Nikhil Badlani Foundation (the “Foundation”) is to enhance the lives of underserved children in West Orange, NJ and neighboring communities through music lessons, scholarships, and traffic safety education for all.

                      Since the Foundation was established in 2011, Theorem has consistently been an annual sponsor of and team participant in the STOP for Nikhil 5K Run/3K Walk. This event intends to raise traffic safety awareness and to serve as a way to remembervbgfc ≈ and honor those who have been killed or seriously injured in traffic accidents. We recognize the importance of raising awareness and road safety amongst teenagers and parents alike, especially in the local communities of our Chatham, New Jersey office. Learn more about the Nikhil Badlani Foundation at nikhilbadlanifoundation.org

                      Diversity and Inclusion

                      Theorem actively aids in the ongoing fight against systemic racism and discrimination, realizing the importance of ongoing discussions surrounding diversity and inclusion.

                      By contributing to organizations such as Black Girls Code and the Anti-Racism fund, we aim to be a fundamental supporter of diversity in the workplace and beyond. These organizations specifically speak to Theorem’s role as a leading voice in the technology innovation space and we avidly support their missions. The vision of Black Girls Code is to empower girls of color, ages 7-17 to become innovators in STEM fields and encourages them to be the builders of their own futures. The Anti-Racism Fund serves as a response to the inequities experienced by the African-American community. It provides monetary support to a dynamic portfolio of curated organizations as a way to inject and enable social change.

                      Feeding America

                      Feeding America is the largest charity working to end hunger in the United States. By partnering with local food banks, food pantries and other community food programs, Feeding America looks to advance change across the country and ensure equitable access to nutritious food.

                      As a long-standing contributor and sponsor of Feeding America, we deeply believe in their vision of an America without hunger. The need for and importance of organizations like Feeding America has has become more and more prevalent as communities face more hardships as a result of the pandemic and the current economy. Theorem is dedicated to its continued contributions to Feeding America to do our part to empower and strengthen our communities. Learn more about Feeding America at www.feedingamerica.org

                      Grameen America

                      Grameen America is dedicated to helping entrepreneurial women who live in poverty build businesses to enable financial stability mobility.

                      Since their founding in the United States in 2008, Theorem has supported Grameen America’s mission, which seeks to build upon the legacy of Presidential Medal of Freedom, Congressional Gold Medal and Nobel Peace Prize winner Muhammad Yunus. Through financial contributions and event participation, Theorem has contributed to Grameen America’s cause. As an immigrant entrepreneur himself, our CEO Jay Kulkarni is especially eager to support the organization’s mission of aiding underserved communities. Learn more about Grameen America at www.grameenamerica.org

                      Vision Spring

                      VisionSpring is making the wonder of clear vision possible for all by helping provide affordable and quality eyeglasses to those in need. For many, lack of access to affordable eyeglasses leads to loss of employment or less educational opportunities.

                      VisionSpring partners with organizations who join them in their mission of supporting livelihood initiatives, enhancing potential for all. Learn more about Vision Spring at https://visionspring.org Theorem has consistently partnered with VisionSpring to organize free events, such as eye check-ups, across multiple villages in the Mysuru, India region, impacting over 3,000 rural residents. We stand with VisionSpring in their mission to increase accessibility to quality eyewear and eye care.

                      Covenant House

                      Covenant House provides housing and supportive services to youth facing homelessness, helping young people transform their lives.

                      For more than 5+ years, Theorem has supported Covenant House with corporate sponsorships, leading career-building workshops at their Newark, NJ shelter facility and participation in the organization’s fund raising Sleep Outs. Covenant House utilizes these Sleep Outs to raise funds and help shine a light on the injustice of youth homelessness, inspiring communities to step up and protect the vulnerable. We are proud to support Covenant House’s programs, which are designed to empower young people to overcome and rise above adversity, today and in the future. Learn more about Covenant House at www.covenanthouse.org

                      Contract Type

                      |

                      Location

                      Job Title

                      Contract Type

                      |

                      Location

                      Job Title

                      Lorem ipsum dolor sit amet, consectetur adipiscing elit. Ut elit tellus, luctus nec ullamcorper mattis, pulvinar dapibus leo.

                      Apply Now