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"Is My Digital Ad Working?"

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At the Advertising Research Foundation’s (ARF) 2011 annual re:think convention, a key issues forum presentation was held entitled “Is My Digital Ad Working?” Panelists discuss which metrics ...

At the Advertising Research Foundation’s (ARF) 2011 annual re:think convention, a key issues forum presentation was held entitled “Is My Digital Ad Working?” Panelists discuss which metrics are the best indicators of campaign performance?
Panelists include, Sibel Satiroglu, WW Digital Insights for HP & Suzanne Leighton, EMEA Insights for HP. Panel was moderated by Kate Sirkin, EVP, Global Research of StarcomMediaVest.

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    "Is My Digital Ad Working?" "Is My Digital Ad Working?" Presentation Transcript

    • “IS MY DIGITAL ADWORKING?” Moderator Kate Sirkin EVP, Global Research Starcom MediaVest
    • Coming Together of theDigital PiecesPOV: Measuring Awareness BuildingDigital Banner Campaign PerformanceSibel Satiroglu Suzanne LeightonWW Digital Insights EMEA InsightsHP HP
    • Situation OverviewMove to digital• HP’s advertising is increasingly digital• Attitudinal ad and brand surveys used to measure digital campaigns – Tracked in some countries only• Perception that digital is more measurable, given the abundance of metrics – Yet silos of metrics which need to be triangulated• CTR is an easily available, well established, often cited campaign metric – but what does it really measure?Ad and brand surveys: control-exposed web intercept methodology
    • CTR Examples CTR differs vastly between countries and campaigns without indicating campaign performance Country Impressions CTR Site Type Impressions Clicks CTR LEADERBOARD & UK 26,959,639 0.09% chip.de SKYSCRAPER 788,810 3,781 0.48% France 32,211,486 0.40% chip.de MPU 138,052 116 0.08% Germany 26,186,369 0.15% LEADERBOARD & computerbild.de SKYSCRAPER 100,390 606 0.60%Netherlands 14,490,373 0.44% Ligatus IMAGE & TEXT 201,754,920 14,640 0.01% Italy 24,207,302 0.13% LEADERBOARD & Business Ad SKYSCRAPER 599,043 4,499 0.75% Poland 541,247,145 0.04% EMEA 665,302,313 0.08% Germany 203,381,215 23,642 0.01% Or 0.23% excluding Or 0.55% excluding Poland because of Ligatus as different media different media strategy strategy
    • Key Questions1. What is the relationship between CTR, attitudinal and site behavioral metrics?2. Which metrics are the best indicators of campaign performance?3. What is the role of CTR in assessing digital campaign performance?
    • Relationship Between Metrics Not explicitly understood, tends to be assumed Media Behavioral ? Impressions ? Reach/Frequency CTR/CPCOnline Ad Breakthrough Interaction Rate/CPI VisitsMessage Breakthrough Site Bounce Rate Brand Awareness Attitudinal Behavioral Engagement Rate Brand Consideration Brand Perceptions ? Time Spent/Deep ClicksWhich metric or combination of metrics do we use to answer the questions: Is my digital advertising effective? How can I optimize it?
    • Methods• Campaign metrics collected across 3 groups – Data matched by campaign, creative and site identifiers• Data set included – 5 brand/awareness campaigns between Oct ‘10-Jan ‘11 – US, UK, France and Germany – Consumer and Small Business segments – 1500M impressions, 1M site visits – 75% of creative units standard flash banners; 25% takeover high impact units (non-video)• Spearman rank correlation used to analyze relationships between metricsSpearman Rank: Dunn-Bonferroni correction applied to account for multiple comparisons.
    • ResultsNo correlation between CTR and attitudinal metricsHowever, strong negative correlation between CTRand engagement rate on the site rs P Critical P Significant?CTR & Unaided Awareness 0.06 0.71 0.01 NOCTR & Aided Awareness 0.26 0.10 0.01 NOCTR & Ad Breakthrough -0.07 0.66 0.01 NOCTR & Message Breakthrough -0.04 0.80 0.01 NOCTR & Purchase Consideration 0.13 0.41 0.01 NOCTR & Bounce Rate (Site) 0.28 0.08 0.025 NOCTR & Engagement Rate (Site) -0.69 <0.0001 0.025 YES n range = 39-42 Critical P: Dunn-Bonferroni correction
    • Results What does negative correlation between CTR and engagement rate mean? Does NOT mean low CTR results in high engagement.Simply, as CTR , the proportion of unengaged visits , RELATIVE to engaged visits. n = 151
    • Key Conclusions 1. What is the relationship between CTR, attitudinal and site behavioral metrics? • A No relationship CTR is not a surrogate for Media campaign performance A Behavioral B No relationship Inverse relationship • B Inverse Relationship CTR Balance creative/placement CTR optimization with site engagement ? Site – Linking back to objectives Attitudinal Insufficient Behavioral – Site design is important! Ensure data to analyze relevance of site to creative.Brand and Ad Metrics Engagement Rate A relevant site increases opportunity to increase engagement by meeting visitor expectations See also: 1) Mallon K. and Bruner R. 2009: “Can Rich Media Metrics Predict Brand Impact?”, Dynamic Logic and Google, ARF Rethink; 2) McMarthy K and Fulgoni G. 2009: “The Click Remains Irrelevant: Natural Born Clickers Return”, comScore and Starcom; 3) Lotame. 2010: “Online Brand Optimization Metrics That Matter And How To Use Them To Effectively Change Campaign Outcomes.
    • Key Conclusions2. Which metrics are best indicators of campaign performance? Require assessment over the longer term but we must have short-term metrics as indicators and for optimizationTo Measure Metrics Countries AssessmentCampaign Attitudinal metrics to assess brand impact Select Long-termOverall Ad metrics: Branding, stopping power, messageCreative Select breakthrough Site engagement coupled with media metrics • Impressions, reach, frequency and clicks – Short-term AllMedia and cost thereof indicators • Site visits and engagement for quality of the and for media response optimization Site behavioral metrics indicate site performance: AllSite • Site visits, bounce, engagement, as defined by site objectives
    • Key Conclusions3. What is the role of CTR in assessing digital campaign performance?• CTR is not a “dashboard metric” – In aggregate, CTR can become meaningless and result in incorrect decisions – It is a measure of creative and media performance for tactical optimization• Why are we still having difficulty putting CTR in its place? – Is it the dilemma of CTR having some value but the real danger of it being misused or misinterpreted? – Is it that too much focus on increasing CTR compounds its inadequacies? – Is it the apparent contradiction that the website & visits matter but that CTR doesn’t? – Are we adequately measuring digital advertising - perhaps not having to click means the ad has communicated the required information?
    • Thank You