Personalization is the word that gets your conversion scale moving in today’s digital world.
What’s the hype about personalization?
Your clients are unique and expect hyper-personalized shopping experiences to stick to your brand. With 90% of marketers believing that personalization contributes to business profitability, overlooking it might have detrimental effects on a brand’s image.
So, the question is, how do you provide a personalized experience when customers interact with your brand?
Enter dynamic creative optimization.
It’s a display technology that creates personalized ads for specific viewers based on information about that viewer.
In this article, we first understand what creative optimization is, its importance, and how it helps enhance digital marketing strategy.
What Is Dynamic Creative Optimization?
Dynamic creative optimization, or DCO, is an ad-serving system that chooses personalized advertisement content and incorporates creative elements based on customer data.
As it uses machine learning, DCO incorporates customer data, such as product views, geolocations, product views, gender, and age.
By displaying personalized and customized ads, DCO improves customer experience, enhances engagement, and increases conversion rates.

The DCO process involves utilizing customers’ data and details regarding customers when serving the ad.
Marketers that use the DCO techniques improve the impact of banner ads by infusing real-time data, testing, and optimization.
As these ads get created using DCO techniques are tested and dynamics, they are hyper-relevant and work much better than static ads.
Typically, a marketer using the DCO understands their audience and chooses the best creative combination to ensure hyper-relevant ads.
A marketer creates content for these DCO ads based on the behavioral aspects of various customers, including browsing history, products previously purchased, and products added to the shopping cart.
For example, a customer who recently looked at the advantages of using baby diapers and lives in a rural area might receive an advertisement about premium baby diapers. In comparison, someone browsing a sandwich might receive an advertisement based on fresh vegetables.
If you consider your ads as a blank canvas, DCO makes impressions on that canvas that help encourage your target audience to make a purchase.
With 91% of customers likely to shop with brands that recognize and provide relevant offers and recommendations, DCO is a system that helps a business scale its operations.
DCO is the next big thing when it comes to digital marketing.
How DCO Can Enhance Your Digital Marketing Strategy
Here are a few ways DCO in which enhances your digital marketing strategy:
1. Adds Personalization To Every Ad
Whether it’s the millennial generation or baby boomers, the interests and preferences of every customer are unique. While some 50 years old might be interested in visiting Switzerland, others might want to visit a pilgrimage.

When a travel company creates a basic advertisement related to the destinations it offers, it results in a hit-and-miss marketing campaign. Why? Even though a segment of your audience might be interested in your ads, you might overlook the requirement of some customers.
Using DCO, a brand creates a framework of ads that appeal to your audience. It drastically reduces the risk of producing ads with zero value to your target customers.
77% of customers prefer choosing, recommending, or paying more for a brand that offers personalized customer service.
Personalization is the key to providing a personalized and positive shopping experience, making DCO an essential component of your digital marketing strategies.
2. Responds To Customers In Real-time
Creating personalized advertisements for every customer might seem challenging, especially if you have a large pool of customers.
That’s where DCO makes your task much easier.
DCO responds and adapts to customers’ requirements in real time and collects data based on your customer’s search and browsing data. This creates personalized ads.
It also ensures that these ads cater to your target market in real time.
As customers see only the most relevant ads, it helps in boosting conversions and sales. This also creates a win-win situation for both companies and marketers.
3. Combats Ad Fatigue
Ad fatigue is a phenomenon that occurs when a customer sees the same advertisement multiple times, usually with the same creativity.
With time, customers might start ignoring these ads as they don’t provide any value and might mark them as spam or irrelevant.

Ad fatigue results in lower conversion and clicks rates, which might mean a lower return on the money spent on advertisements.
As DCO empowers marketers to create countless variations of ads, it might stay fresh in your customer’s minds, thereby delivering value.
A new and fresh ad is likely to interest your customers and increase their likelihood of making a purchase.
4. Enhances The Reach Of Advertising
No advertisement campaign delivers results within one or two days of launch. Patience is the key to making any ad campaign successful.
Often, due to this, marketers are skeptical of using tools that enhance advertising reach pretty fast. It’s common as your brand’s reputation is at stake.
Interestingly, DCO offers immediate impact, enhances the reach of your advertising, and also maximizes ad performance.
DCO brings two benefits to the customers; first, it provides a personalized experience to customers, and second, it produces ad performance by generating ads that match every customer’s requirement.
5. Increases Brand Awareness
If you’re trying to reach a new target market segment and want to create a positive impression, DCO might be a beneficial tool. DCO’s smart and personalized messaging enables you to address customers’ pain points and fulfill their requirements.
Targeted and personalized ads make you feel connected to your brand, increasing brand awareness.
Interestingly, customers are likely to click on an ad from an unknown product if it delivers a personalized message.
These personalized messages help in delivering and growing your brand presence digitally.
Best Practices For Dynamic Creative Optimization
To maximize engagement and drive sales, focus on these DCO best practices:
1. Create Your Buyer’s Persona
Creating a buyer persona is obvious but worth mentioning. Knowing who your target audience is, helps you market to them effectively. Having a detailed buyer persona for your target segment is essential.
Knowing demographic, geographic, behavioral, and psychographic data helps create a buyer’s persona.

Use data from customer feedback, market data, social media, and customer service records to create a buyer’s persona.
While other factors might influence your buyer’s persona, building a picture of who your customers are, understanding their problems and priorities, and convincing them to make a purchase is essential.
71% of companies that exceed revenue and lead goals have documented buyer’s persona, making it an essential tool for attracting leads.
2. Craft Compelling Messages And Ad Elements
You probably have a content marketing strategy in place; the same applies to ad content. As your customers are likely to view your content only for a few seconds, crafting compelling ad copy with proper headlines, images and CTAs is imperative for success.
The trick is to complete compelling copy and call-to-action based on the buyer’s persona.
When crafting your messages, ensure it aligns with your brand’s voice and audience requirement.
3. Monitor Performance
As the ad campaign continues to deliver personalized ads, monitoring its success is vital. Before launching a campaign, know the key performance indicators (KPIs) you’re likely to track to understand the success and failure of your campaign.
By monitoring performance, you know which DCO strategies are working and which strategies might require some changes.
You also get to know which ads propelled your customers to make a purchase and which ads were completely overlooked by customers.
4. Stay On Your Brand
DCO empowers a brand to combine creative elements and create a virtually limitless variety of ads for the audience.
Your DCO is successful only when the messages are consistent with your brand’s image and voice.
Changing the color of your logo or using a different color palette in every ad might confuse the customers. They might prefer to ignore your ad rather than click on the intended CTA in such a situation.
Additionally, staying on your brand helps you create trust and reputation, which positively impacts your bottom line.
Supercharge Your Digital Marketing Strategy With DCO
Today, customers have limited time and unlimited choices to choose from, making it imperative to make every interaction meaningful.
A part of developing meaningful relationships is about delivering personalized customer experience. That’s why more and more companies are reaping the benefits of using dynamic creative optimization that creates highly-relevant and real-time-based ads.
While the DCO involves a higher ad-serving cost, its benefits in the long run easily surpass this initial investment.
Remember, when starting your advertising campaign, focus on working smarter instead of harder, and that’s precisely what DCO helps achieve.
DCO is a must-have strategy in your digital marketing arsenal because it gives you the creative freedom to reach your audience and display ads that inspires and motivates them to make a purchase.