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CUSTOMER STORY

Maximizing ad impact: Personalized AI-driven audience targeting

33%

Uplift in click-through rate by leveraging personalized ad targeting 

40%

Growth in ad impressions without compromising user experience quality

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SOLUTION: Hyper-personalization
PLATFORM USE CASE: Delta Lake
CLOUD: Azure
PARTNER: Eviden
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“With Databricks solution, the team can effectively understand the vast amount of data and prepare personalized segments for online ads targeting that shows great increase in performance compared to the previous solution.”

– Lukáš Šmol, CEO at CPEx

In an online world cluttered with ads, CPEx has successfully cut through the noise by harnessing the power of the Databricks Data Intelligence Platform to create highly targeted advertising campaigns. Recognizing the challenge of outdated and inefficient ad targeting methods, CPEx turned to AI and machine learning to build a solution that adapts in real time, ensuring that audiences receive relevant ads that match their evolving interests. This approach not only improved the user experience but also drove significant gains in ad performance.

Navigating the complexity of online advertising

The digital advertising landscape is vast and complex, making it challenging for businesses like CPEx to ensure their ads reach the right audience effectively. An association of the biggest Czech publishers providing online advertising space using real-time bidding technology, CPEx reaches 85% of the Czech online population and is a top player in the Czech Republic field of online advertising. CPEx had been using rule-based methods for audience targeting, which had been effective in the past but began showing limitations in the dynamic online advertising market. This resulted in challenges with audience selection and varying audience sizes, affecting their ad campaigns and user engagement. Recognizing the need to evolve, the company looked for a more dynamic and data-driven approach to enhance its advertising effectiveness and stay competitive. Given the fact that every day we are exposed to up to 10,000 advertising messages on the internet, only those that are relevant to the user can catch their attention and bring increasing business results for the advertisers.

Implementing a cutting-edge AI solution

To address these challenges, CPEx collaborated with DataSentics, a center of excellence within Eviden and a Databricks Elite partner, to develop an Azure Databricks architecture. This solution enabled the processing of large data volumes and the use of machine learning models for more precise audience segmentation and content classification. The integration with a front-end application allows for real-time, nuanced targeting by combining predefined client attributes, directly feeding into marketing tools. The entire process, from data ingestion to audience specification, capitalizes on the functionalities of Databricks Delta Lake. It accommodates a broad spectrum of data types, which is essential for managing the unstructured data from web analytics. The multi-hop architecture of the system ensures a systematic data flow and regular pipeline scheduling, which are essential for efficient processing. This approach enabled them to create more personalized and engaging ads that resonated with their target audience. 

"Utilizing MLflow, Databricks Repos and integrations with marketing tools has streamlined our workflow significantly,” said Tomáš Z., Data Specialist at DataSentics. “The delta format storage, with its time-travel and caching capabilities, coupled with FeatureStore for ETL and ML outputs, has greatly improved our handling of large data sets for targeted advertising."

The benefits of data-driven advertising

The implementation of Azure Databricks proved to be a game changer for CPEx, yielding substantial benefits that propelled their efforts to new heights. One of the most notable advantages was the 33% increase in click-through rates for the ads. This newfound success can be attributed to the enhanced ad relevance and engagement that resulted from the data-driven approach powered by Azure Databricks. With a more targeted and personalized delivery of the ads, CPEx was able to captivate the audience and drive higher levels of interaction. 

In addition to the considerable boost in click-through rates, CPEx also witnessed a significant 40% increase in the number of ad impressions. This surge in ad delivery underscored the efficiency of the new approach, ensuring that their ads reached a wider audience and garnered increased exposure. As a result, CPEx was able to maximize their advertising efforts and achieve greater results for their clients without compromising on budget constraints. 
Moreover, the targeting capabilities offered by Azure Databricks allowed CPEx to optimize their campaign strategies further. By leveraging the power of AI, CPEx could refine their audience targeting parameters, ensuring that their ads reached the right individuals at the right time. This not only enhanced the relevance of their ads but also enabled a more cost-effective allocation of the advertising budgets, resulting in more stable and efficient campaign courses.

Embracing a future of personalization

These remarkable outcomes exemplify the transformative impact of data-driven and AI-enabled advertising strategies powered by Azure Databricks. By harnessing the power of advanced analytics and machine learning, CPEx is able to elevate the effectiveness and efficiency of their online advertising campaigns to unprecedented levels. Through the integration of Azure Databricks, CPEx successfully navigates the complexities of the digital advertising landscape, achieving remarkable performance, establishing a stronger connection with the target audience and conducing to the future of the personalization in online advertising.