The document contains data on bid prices, impressions, clicks, costs, and efficiency metrics for an online advertising campaign. It shows increasing bid prices resulting in more impressions and clicks but higher total costs. Marginal cost per click decreases but incremental efficiency peaks at bid prices of $2-4 before declining.

1. Sample #1
Impression Volume Bid Price
500 $ 1.00
500 $ 2.00
1000 $ 3.00
1200 $ 4.00
2200 $ 6.00
2250 $ 8.00
2300 $ 10.00
Assumes Constant CTR 0.1
Bid Impressions Total Clicks Total Cost Marginal Cost
1 500 0 $ - $ -
2 500 50 $ 100.00 $ 100.00
3 1000 100 $ 300.00 $ 200.00
4 1200 120 $ 480.00 $ 180.00
6 2200 220 $ 1,320.00 $ 840.00
8 2250 225 $ 1,800.00 $ 480.00
10 2300 230 $ 2,300.00 $ 500.00
Assumes Flat Click to Lead 0.25 Assumes Lead $100
Total Leads Marginal Cost True Benefit Incrementatl Benefitncremental Efficiency
I
0 $ - $0
12.5 $ 100.00 $1,250 $1,250 $ 12.50
25 $ 200.00 $2,500 $1,250 $ 6.25
30 $ 180.00 $3,000 $500 $ 2.78
55 $ 840.00 $5,500 $2,500 $ 2.98
56.25 $ 480.00 $5,625 $125 $ 0.26
57.5 $ 500.00 $5,750 $125 $ 0.25
Assumes Variable Click to Lead Rate
Leads Conversion rate Marginal Cost True Benefit Incremental Efficiency
0 0.25 $ -
12.5 0.25 $ 100.00 $1,250 $ 12.50
30 0.3 $ 200.00 $3,000 $ 8.75
36 0.3 $ 180.00 $3,600 $ 3.33
77 0.35 $ 840.00 $7,700 $ 4.88
78.75 0.35 $ 480.00 $7,875 $ 0.36
Incremental Efficiency
$14
$12

2. $12
$10
$8
$6 Incremental Efficiency
$4
$2
$0
$1 $2 $3 $4 $6 $8 Bid Price

3. Marginal Cost per Click
0
$ 2.00
$ 4.00
$ 9.00
$ 8.40
$ 96.00
$ 100.00
ental Efficiency
ental Efficiency

4. Impression Volume
2500
2000
1500
1000 Impression Volume
500
0
$1 $2 $3 $4 $6 $8 $10 Bid Price
Total Cost
$2,500.00
$2,000.00
$1,500.00
$1,000.00 Total Cost
$500.00
$-
$1 $2 $3 $4 $6 $8 $10 Bid Price
Marginal Cost per Click
120
100
80
60
Marginal Cost per Click
40
20
0
$1 $2 $3 $4 $6 $8 $10 Bid Price

5. Total Clicks
250
225 230
220
200
150
120
Total Clicks
100 100
50 50
0 0
$1 $2 $3 $4 $6 $8 $10 Bid Price
Total Leads
70
60
56.25 57.5
55
50
40
30 Total Leads
30
25
20
12.5
10
0 0
$1 $2 $3 $4 $6 $8 $10 Bid Price

6. Incremental Benefit
$3,000.00
$2,500.00
$2,000.00
Marginal Cost
$1,500.00
Incrementatl Benefit
Total Clicks
$1,000.00
$500.00
$-
$1 $2 $3 $4 $6 $8 $10 Bid Price
Incremental Efficiency
$14
$12
$10
$8
Incremental Efficiency
$6
$4
$2
$0
$1 $2 $3 $4 $6 $8 $10 Bid Price