Demystify The Metrics

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The demise of click, the rise of dwell: …

The demise of click, the rise of dwell:
Display advertising is getting a lot of bad press. As click thru rates (CTR) drop to way below 0.4% it leads some to conclude that ‘display advertising is dying’. With online metrics based around response, we have driven the fallacy that branding is a predominantly offline process. With a heritage of online being developed around user response, how can the industry now assist advertisers to cope with the change in user habits and consumption of media? With new research showing what consumers really are doing online, maybe display advertising is more critical than ever. Dean Donaldson of Eyeblaster will share insights that give confidence back to display media and how time-based metrics are set to change the notion of measuring consumer engagement across all media channels.

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  • 1. demystify the metrics Dean Donaldson Director of Digital Experience January 2010 © 2008 Eyeblaster. All rights reserved
  • 2. studies show that 3 out of 4 people make up 75% of the population © 2008 Eyeblaster. All rights reserved
  • 3. What have we learned? © 2009 Eyeblaster. All rights reserved
  • 4. 70MPH © 2008 Eyeblaster. All rights reserved
  • 5. 35FPS © 2008 Eyeblaster. All rights reserved
  • 6. 2.7MPH © 2008 Eyeblaster. All rights reserved
  • 7. GRP a thing of the past © 2008 Eyeblaster. All rights reserved
  • 8. surveys © 2008 Eyeblaster. All rights reserved
  • 9. Online Display vs Mainstream 63% Brand Response Both 47% 42% 29% 31% 31% 31% 26% 27% 16% 9% 5% 4% 3% 2% Standard Rich IPTV Linear TV Print Adverts Display Media Online Display: Brand vs Response Mainstream Display: Brand vs Response Which channels do you consider better? Which channels do you currently use? display has © 2008 Eyeblaster. All rights reserved matured Base: Total Respondents Q11A. Which of these channels do you currently use for brand and which do you use for response?
  • 10. interaction © 2008 Eyeblaster. All rights reserved
  • 11. Customer Engagement definitions • “Engagement is turning on a prospect to a brand idea enhanced by the surrounding context” • “Repeated, satisfied interactions that strengthen the emotional connection a customer has with the brand” • “Engagement is an estimate of the degree and depth of visitor interaction against a clearly defined set of goals” • “Repeated interactions that strengthen the emotional, psychological or physical investment a customer has in a brand” : brand recall not interaction © 2008 Eyeblaster. All rights reserved
  • 12. Experiential Learning Cycles “ there is an intimate and necessary relation between the processes of actual experience and education John Dewey, 1938 ” © 2008 Eyeblaster. All rights reserved
  • 13. interaction Teachers / kids © 2008 Eyeblaster. All rights reserved
  • 14. making sense © 2008 Eyeblaster. All rights reserved
  • 15. Confucius Tell me, and I will forget. Show me, and I may remember. Involve me, and I will understand. (551-479 BCE) new media old proverb © 2008 Eyeblaster. All rights reserved
  • 16. You remember: 30% what you see 50% what you see & hear 70-90% what you see, hear & touch © 2008 Eyeblaster. All rights reserved
  • 17. Allocating pegs for brand recall © 2008 Eyeblaster. All rights reserved
  • 18. The value of Video % Lift 80%  gif/jpg 71.3 68.0 70%  Rich Media 60% 51.8  Video 44.3 45.7 50% 37.5 40% 30.4 30% 23.6 18.4 20% 10.8 7.4 8.1 10% 5.1 5.9 4.6 5.6 4.5 5.1 0% Aided Brand Online Ad Message Sponsorship Brand Purchase Awareness Awareness Association Association Favorability Intent © 2008 Eyeblaster. All rights reserved Source: Dynamic Logic MarketNorms Q1 2005
  • 19. cracking the © 2008 Eyeblaster. All rights reserved
  • 20. eyeblaster is the only IAB certified agency ad server ensuring confidence in online metrics IAB approved accreditation by MRC awarded in April 2008 for general ad serving, rich media and video © 2008 Eyeblaster. All rights reserved
  • 21. Beyond Rich Media • What would you do?  Click-thru • Why? Rebellious? Previous relationship? • Rich Media drives Clicks? • All that glitters is not gold measurement relates to the call to action © 2008 Eyeblaster. All rights reserved
  • 22. CTR: Overall vs Video 3.5% CTR 3.0% CTR (video) 2.5% 2.0% 1.5% 1.0% 0.5% 0.0% H1 '04 H2 '04 H1 '05 H2 '05 H1 '06 H2 '06 H1 '07 • Dropped from 5% to less than 1% in 5 years 25x impact • Media Firsts: “What new format or feature can you recommend that will get me the best click-thru rates?” more likely to interact then click © 2008 Eyeblaster. All rights reserved
  • 23. Click-Thru Rate © 2009 Eyeblaster. All rights reserved
  • 24. 50% of all display ad clicks online population © 2008 Eyeblaster. All rights reserved
  • 25. just because they click doesn’t mean it © 2008 Eyeblaster. All rights reserved sticks
  • 26. CPM = 2 are wrong audience 1 clicked by accident 1 doesn’t wait for load 5 in every 1,000 CPC !! = 1 in every 1,000 © 2008 Eyeblaster. All rights reserved
  • 27. what about the 995 © 2008 Eyeblaster. All rights reserved 20% 1:10 40x
  • 28. Interactive Video © 2008 Eyeblaster. All rights reserved
  • 29. help is at hand © 2008 Eyeblaster. All rights reserved
  • 30. measurement dilemma © 2008 Eyeblaster. All rights reserved
  • 31. Simply the best? Gaming Metric A B Benchmark* CTR 0.34% 2.71% 0.69% Interaction Rate 68% 30% 17% Video Started Rate 3% 6% 47% 84 54 seconds seconds © 2008 Eyeblaster. All rights reserved
  • 32. …measuring time © 2008 Eyeblaster. All rights reserved
  • 33. dwell time is the average number of seconds a user engaged with an ad © 2008 Eyeblaster. All rights reserved
  • 34. dwell rate percentage of impressions engaged with by the user © 2008 Eyeblaster. All rights reserved
  • 35. Dwell Time Demo ideal metric for gauging branding success © 2008 Eyeblaster. All rights reserved
  • 36. navigating the data © 2008 Eyeblaster. All rights reserved
  • 37. Global Research of all ads engaged with Eyeblaster Dwell Research © 2008 Eyeblaster. All rights reserved
  • 38. Dwell Rate versus CTR © 2008 Eyeblaster. All rights reserved
  • 39. Overall Performance 43 seconds © 2009 Eyeblaster. All rights reserved
  • 40. When we spend time engage more in morning breaks Eyeblaster Dwell Research – Data for the working week © 2008 Eyeblaster. All rights reserved
  • 41. How we spend time secs over TV Eyeblaster Dwell Research © 2008 Eyeblaster. All rights reserved
  • 42. Which Ad Sizes work? all formats longer time than TV Eyeblaster Dwell Research © 2008 Eyeblaster. All rights reserved
  • 43. consumers show consistently that they are willing to take time to explore brands © 2008 Eyeblaster. All rights reserved
  • 44. does size matter? © 2008 Eyeblaster. All rights reserved
  • 45. © 2008 Eyeblaster. All rights reserved
  • 46. © 2008 Eyeblaster. All rights reserved
  • 47. Double the value? © 2009 Eyeblaster. All rights reserved
  • 48. Take two © 2009 Eyeblaster. All rights reserved
  • 49. Measuring the difference ` ` © 2009 Eyeblaster. All rights reserved
  • 50. Important for the impotent Click Through Rate Performance By Ad Size 0.8% 200 Pixels (Thousands) 0.7% 180 160 0.6% Click Through Rate 140 0.5% 120 0.4% 100 ` 0.3% 80 60 0.2% 40 Ad Format 0.1% 20 Rich Media 0.0% 0 300x600 160x600 336x280 300x250 120x600 180x150 728x90 468x60 234x60 Standard Banner Size (Pixels) © 2009 Eyeblaster. All rights reserved
  • 51. standard ads need a little helping hand © 2008 Eyeblaster. All rights reserved
  • 52. Another little secret… ` © 2009 Eyeblaster. All rights reserved
  • 53. Video Matters Total Dwell Performance of Polite Banners 9 200 8 180 160 7 Pixels (Thousands) 140 6 Total Dwell (Sec) 120 5 100 ` 4 80 3 60 Ad Format 2 40 1 With Video 20 0 0 No Video 728x90 468x60 234x60 300x600 160x600 336x280 300x250 120x600 180x150 Size (Pixels) © 2009 Eyeblaster. All rights reserved
  • 54. Which Ad Sizes work? all formats longer time than TV Eyeblaster Dwell Research © 2008 Eyeblaster. All rights reserved
  • 55. data shows consumers engage with desktop applications for longer © 2008 Eyeblaster. All rights reserved
  • 56. Location! © 2008 Eyeblaster. All rights reserved
  • 57. environment © 2009 Eyeblaster. All rights reserved
  • 58. Honda: Pre-click Interactivity Tracking Test Drive Main Click Brochure Request Rotate  More Information “Dwell-time” = Direct Response Best Practice Brand Awareness Track all elements in an ad © 2008 Eyeblaster. All rights reserved
  • 59. © 2008 Eyeblaster. All rights reserved
  • 60. © 2008 Eyeblaster. All rights reserved
  • 61. Dummy Data Only © 2008 Eyeblaster. All rights reserved
  • 62. be attentive © 2008 Eyeblaster. All rights reserved
  • 63. User activities online Communication Information Entertainment 35% 18% 18% Surfing Transactions Creation 9% 9% 4% Base: MSN European Data © 2008 Eyeblaster. All rights reserved
  • 64. Online occasions across the day 20.00% Share of all internet activity across 24 hours 9am – Noon The second peak is the first peak for occurs between 15.00% internet activity 6-10pm Entertainment 10.00% replaces information in the evening 5.00% 0.00% 6am-9am 9am-12pm 12pm-2pm 2pm-4pm 4pm-6pm 6pm-8pm 8pm-10pm 10pm-12am 12am-6am Information Entertainment Creation Transaction Surfing Communication Base: MSN European Data © 2008 Eyeblaster. All rights reserved
  • 65. The Online Neighbourhood Post-Office Pub Email & Instant Messenger Forums & Social Networks Newsagent Bank News feeds, Sports Pages Financials & PayPal Entertainment Shops iTunes & YouTube Amazon & eBay © 2008 Eyeblaster. All rights reserved
  • 66. Consumer ad receptivity More aware of advertising online Higher ad awareness, Higher ad awareness, but not open to ads and open to ads Surfing Information Web 1.0 Behaviours Creation Not open to ads Entertainment Open to ads Web 2.0 Transaction Behaviours Communication Lower ad awareness Lower ad awareness, and not open to ads but open to ads Less aware of advertising online © 2008 Eyeblaster. All rights reserved
  • 67. Know how to utilise the environment to your advantage © 2008 Eyeblaster. All rights reserved
  • 68. Personal Web © 2008 Eyeblaster. All rights reserved
  • 69. beyond the browser © 2008 Eyeblaster. All rights reserved
  • 70. user experience © 2009 Eyeblaster. All rights reserved
  • 71. advertising 2.0 © 2008 Eyeblaster. All rights reserved
  • 72. Consumer Life Cycle (CLC) Expensive  1. Points of measurement? 2. Technology insertions? awareness Display Advertising Rich Media / Standard Display Dwell Time Video InBanner / InStream InGame Cost Effective  “attract consideration Microsite Advertising In situ on site within Banner External link by Click retention Brand Advocacy Retargeting of user to up-sell Encourage recommendation via Widgets convert CPC / CPE retain” evaluation CPA / ROI Search Advertising Independent Research purchase Rating Mechanisms Commitment Process In situ on site within Banner Client site / Reseller Site Offline in-Store © 2008 Eyeblaster. All rights reserved
  • 73. the user journey • User sees a TV ad • User receives a widget • Goes to Search • Sees a rich media display ad • Goes to Search • Sees a targeted display ad • Communicates with friend • Buys on Reseller site © 2008 Eyeblaster. All rights reserved
  • 74. bridging the silos • consolidated data • unified conversions • consistent message © 2008 Eyeblaster. All rights reserved
  • 75. © 2008 Eyeblaster. All rights reserved
  • 76. © 2008 Eyeblaster. All rights reserved
  • 77. Cross-channel response Impressions of display campaigns Clicks of search campaigns 2,000,000 600 1,800,000 500 1,600,000 1,400,000 400 Impressions 1,200,000 Clicks 1,000,000 300 800,000 200 600,000 400,000 100 200,000 0 0 2-Nov 9-Nov 16-Nov 23-Nov 30-Nov 7-Dec 14-Dec 21-Dec 28-Dec 4-Jan Display advertising influences click response within search activity © 2008 Eyeblaster. All rights reserved
  • 78. comfortable consumer © 2008 Eyeblaster. All rights reserved
  • 79. The lingering effect of display optimization? up to 3 week delay on search Display causes brand recall in search at the Consumer’s convenience © 2008 Eyeblaster. All rights reserved
  • 80. Cross-Channel Path to Conversion • The planner can view the customer journey, from display and search channels, resulting in a completed transaction. Campaign 1 3 5 Display Display Ad on a Pre-Roll Display “AA” Review site for Video Ad ad on Travel site “Discount Flights” SALE! 40% 10% UNIFIED Tracking System Day 1 Day 5 Day 10 Day 15 10% 40% 2 4 User Searches Search "Reviews “Cheap flights” of Mexico Riviera” Search © 2008 Eyeblaster. All rights reserved
  • 81. Automatic Optimization • Effects on conversion rate taken from an automotive advertiser utilizing a optimization algorithm on adverts Conv Rate of a Regular flight Conv Rate of an Optimized flight 25.00% 20.00% 15.00% 10.00% 5.00% 0.00% 1 3 5 7 9 11 13 15 17 19 21 23 25 27 * Automotive Case Study over a 6 month period © 2008 Eyeblaster. All rights reserved
  • 82. Don’t take our word for it “The Eyeblaster Channel Connect Reporting system is the most progressive reporting tool for monitoring the joint impact of search and display advertising. It allows advertisers & marketers to put numbers around exactly how well online tactics work together as opposed to how they work against or in spite of one another.” Thomas McIlheran, Senior Media Manager “Using Channel Connect for Search and Display, Mindshare was able to pinpoint crucial campaign data and draw important insights about the interaction of our search and display ads. In the end, it provided us with a more comprehensive overview of user behavior” Harry Case, Director of Media Analytics and Technology, Mindshare © 2009 Eyeblaster. All rights reserved
  • 83. understanding is the key © 2008 Eyeblaster. All rights reserved
  • 84. not all who see Brand not immediate Response as post-view touch not all who touch Response in situation Response as search © 2008 Eyeblaster. All rights reserved click
  • 85. Questions to answer • Did they see? How long on page? – Ad duration (exposed time v position on screen) How many times exposed? – Reach / Frequency Where were they exposed? – Publisher overlap • Did they touch? How many times exposed before touch? – Frequency of unique Interactors How much time did they spend with the ad? – Dwell Time of Interacting user Does the type of ad or position have relevance? – Environmental specifications Does offline campaign effect results? – Results early or late in exposure • Where next? offline Click? – CTR v (assumed) benchmark Search? – Path to conversion Page view – Post Impression v click conversion © 2008 Eyeblaster. All rights reserved
  • 86. Comparisons to look for • uniques to impressions • user click stream within a banner to that of site • length of duration of interacting user • interactions to impression / uniques • clicks to impression / uniques • conversion path (sequence of events) • conversion process (post impression v post-click) dwell time length of time user exposed to banner vs. average time on said page = uplift proves brand awareness © 2008 Eyeblaster. All rights reserved
  • 87. More Information mediamind.eyeblaster.com email: dean.donaldson@eyeblaster.com info.deandonaldson.com @deandonaldson © 2009 Eyeblaster. All rights reserved