Let's look at one more issue that often comes up in existing ad targeting systems and explore some ways to fix this problem:

3)      Not Enough People are Targeted

The flipside of being careful to target just the right people is when the targeting becomes too precise.  That is great if all you care about is high CTR, but what happens when you find that there are only 5000 high-quality targets on the social network you are advertising on?  In these cases, you have to search for other closely related interests that suggest the person will be motivated to try your product anyway.

So for example if you are selling Anime DVDs, you would want to be sure to target not only people who have explicitly stated that they like Anime, but also those who like things such as Manga, J-Rock, Cosplay and Role Playing Games.

The pool of potential targets has to be expanded in a careful manner to include those who will be likely to have an interest in the ad but who have not explicitly said so in their UGC.  By building a strong psychographic profile of the user based upon millions of other users, the targeting of a campaign can be optimized to take

all of the above points into consideration for maximum ROI.