Rich Media AdFX

Rich Media AdFX
Understanding the effectiveness of
rich media ads

Rich media advertising is defined as:
advertisements with which users can interact (as
opposed to solely animation) in a web page format.

- IAB Rich Media Measurement Guidelines

Yahoo! Confidential 2
2

Portfolio of metrics
By tili i
B utilizing various metrics to measure ad effectiveness throughout the
i ti t d ff ti th h t th
sales funnel, the Rich Media AdFX study offers a comprehensive view
of rich media ad performance.

Rich Media AdFX
portfolio of metrics
During
Ad Ad • Interaction rate
Exposure Engagement • Click-through rate

Brand and
• Brand awareness
Site
Post Engagement • Site engagement
Ad
Exposure
• Purchase intent
Conversions • Offline sales lift
• ROI

3

Some questions we answer

Do rich media ads drive ad interactions?
Brand awareness? Site engagement? Offline sales?

How do interaction rates and brand awareness on Yahoo! compare
with the marketplace?

What
Wh t are best practices for ad targeting and creative design?
b t ti f dt ti d ti d i ?

4

Agenda
Why Rich Media
Wh Ri h M di
Why Yahoo!
Targeting Your Campaign
Designing Your Creative
Implications

Rich Media AdFX
Why Rich Media
Why Yahoo!
g g p g
Implications

Ad Brand / Site
Conversion
Engagement Engagement

Rich media ads encourage higher
click-through and interaction rates
g

CTR Interaction Rate

7.4%
1.5

1

N/A

Rich Media Static Rich Media Static

Rich media ads on Yahoo! have a 1.5x CTR and a 7.4% interaction
rate compared with static display ads on Yahoo!

Data Source: - Yahoo! Behavioral ad data for Rich Media Ad Campaigns in 2009

7

Ad Brand / Site
Conversion

Brand influence for rich media
ads is higher
g

Yahoo! Campaigns
Delta-difference
Delta difference between control and exposed at 1 frequency

Rich Media Banner/Flash

7.5
ge
Delta - % point chang

6.4

5.5

2.0
a

1.4

NSS

Unaided Aided Online Ad
Awareness Awareness Awareness

Rich media ads on Yahoo! perform better on upper-funnel (awareness)
brand metrics compared with non-rich media ads on Yahoo!.

InsightExpress InsightNorms Campaigns measured 4/1/06 – 3/31/10

8

Ad Brand / Site
Conversion

Site engagement - definitions

Site engagement is a measure of page views per day on the advertiser’s site in
the “during” and “post” campaign periods compared with “pre-” campaign.

Campaigns are rich media ad campaigns Advertiser’s sites were based on advertiser-owned
(n=47) consisting of lines that often differ by domains and ad click URLs.
time and placement within a single campaign.

Example:
•During was the time period in which the
impressions of a given line of a campaign were
served

•Pre and post were the time periods before and
after the “during” time period and equal in
length with a minimum of 7 days

9

Ad Brand / Site
Conversion

Site engagement of rich media ads
on Yahoo! increased significantly
g y

Lift in View-through
Site Engagement

90% increase in
Lift in Site Pag Views per Day
y

90% site engagement
“during” campaign
45%
ge

45% increase
During Post “post” campaign


Yahoo! Confidential
10

Ad Brand / Site
Conversion

Purchase intent of Yahoo!
rich media ads

Yahoo! Campaigns
Delta-difference
Delta difference between control and exposed at 1 frequency

Rich Media Banner/Flash

6 50% greater
ge

5.8
58
Delta - % point chang

5.6 purchase intent delta
4.6
4.0

3.0
a

Message Brand Purchase
Association Favorability Intent

Rich media ads on Yahoo! perform about the same or better on lower-funnel
(persuasion) brand metrics compared with non-rich media ads on Yahoo!.


11

Ad Brand / Site
Conversion

Offline sales & ROI increased
for rich media ads on Yahoo!

Offline Sales Lift ROI

2.7
23.5%

22.0% 2.3

Rich Media Non-Rich Rich Media Non-Rich
Media Media

Rich media ads on Yahoo! drive offline sales and generate a 2.7x return on campaign spend.
This is a 15% higher ROI compared with non-rich media ads on Yahoo!.

Data Source – Nielsen Consumer Direct

12

Rich Media AdFX
Why Rich Media

Why Yahoo!
Implications

Ad Brand / Site
Conversion

Yahoo! campaigns outperform
the marketplace in interaction rate and time
p

Interaction Rate Average Interaction Time
(% of impressions) (seconds)

16.8
7.4%
14.7

6.0%

Yahoo! Other Portals Yahoo! Other Portals
Campaigns (excl Yahoo!) Campaigns (excl Yahoo!)

Rich media ads on Yahoo! have 1.25x interaction
rate compared with other portals.

PointRoll 2009 Data

14

Ad Brand / Site
Conversion

Yahoo! interaction rates greater
than average in 8 of top 10 categories
g p g

Interaction Rate

Yahoo! Campaigns Other Portals (excl Yahoo!)

Consumer Goods Manufacturers 8.7%
7.1%

Retail 8.3%
5.2%

Food & Beverage Manufacturers 7.6%
7.0%
7.5%
Telecommunications
7.7%

Entertainment 6.8%
5.0%

Restaurants & Food Service 6.5%
5.6%

Government 6.4%
6.2%
6 2%

Automotive 6.3%
5.0%

Finance 5.9%
3.8%

4.8%
Sports & Fitness
p 10.4%
10 4%

PointRoll 2009 Data

15

Ad Brand / Site
Conversion

Yahoo! campaigns outperform the
marketplace in brand equity impact
p q y p

Yahoo! Campaigns
Delta-difference between control and exposed at 1 frequency

Yahoo! Campaigns All Campaigns

7.5
6.0
Delta - % po change

5.6

4.6
oint

1.6
16
1.2

-1.2 -0.6

Aided Message Brand Purchase
Awareness Association Favorability Intent


16

Rich Media AdFX
Why Rich Media
Why Yahoo!

Implications

Targeting your rich media ad buy

We assessed 400 rich media campaigns
We assessed 400 rich media campaigns
p g

Found that three main targeting buys account for 90% of all rich
media impressions:
Run-of-Network with behavioral targeting
Media property buy with no additional targeting
Communications property buy with demo targeting

Each targeting buy employs a different approach to reaching
a desired audience


18

Performance of rich media ad targeting

Run-of-network
with BT

Communications property
with demo targeting
Reach
Media Property with no
additional targeting

Interaction Rate

• There is a tradeoff between reach and interaction rate for each targeting buy
• Media property buy with no additional targeting has the highest interaction rate
• Run-of-network with behavioral targeting has the highest reach


19

Targeting implications for marketers

If your campaign goal is to:
i li t Choose:
Ch

• Contextual targeting on
• Maximize ad engagement
relevant sites

• Reach a sizable audience
• Behavioral targeting across
for a specific interest
p
the Yahoo! Network
th Y h ! N t k
category

• Market a universal product
• Demographic targeting
to a broad audience

20

Rich Media AdFX
Why Rich Media
Why Yahoo!

Implications

Rich media with vs. without video

The addition of video to rich media ads results in
significant lifts in both CTR and interaction rates

+85% interaction rate
+19% CTR

Rich media without video Rich media with video


22

In-stream video vs. in-banner video

-30% cost per interaction
-22% cost per completion

In-stream video In-banner video

In-banner video is a more cost efficient alternative to in-stream
video, and is often effective for…

• BRANDING: Trying to drive interactions and views
• REACH: Attempting to reach a large and diverse population
• EFFICIENCY: Working with a budget


23

In-banner video completion rates

Over half of auto play video impressions are watched
to completion, compared to just 3% of rollover to play

Complete Incomplete

Auto Play Rollover to Play
3%


24

Video implications for marketers

In-Banner Video
• In order to drive higher interaction rates with rich media ads, consider adding
in-banner video as it provides a significant lift (+85% interaction rate)
• If the goal of a video is to drive interaction, in-banner video offers a more
efficient option than in-stream video (-30% cost per interaction)

In Banner
In-Banner Video Completion Rates
• Ad technology: In order to achieve a higher rate of video completion, employ
more auto play functionality instead of rollover to play
• Creative: T maximize potential of rollover to play video, th non-video portion
C ti To i i t ti l f ll t l id the id ti
of the ad should function self sufficiently, not solely as a driver of video views

25

Gaming features generate more interactions and
g
greater time spent
p
30 seconds
Engagement by Ad Feature

File Download
Gaming
econds

Movie Connect
Audio
Forced
Average Time Spent - Se

Video Video
Survey
Ad Control Interactivity
0% 16%
Dynamic Data
Interactive Video
Data
Text
Collection Reminder
Messaging
Instant Email

Promo
Coupon

0 seconds

Interaction Rate - % of Impressions

PointRoll 2009 data Client examples by ad feature

26

Gaming features generate more interactions and
g
greater time spent
p
30 seconds
Engagement by Ad Feature

File Download
Gaming
econds

Movie Connect
Audio
Forced
Average Time Spent - Se

Video Video
Survey
Ad Control Interactivity
0% 16%
Dynamic Data
Interactive Video
Data
Text
Collection Reminder
Messaging
Instant Email

Promo
Coupon

Incorporate features based on campaign objective
For branding use functionality such0as video, polling, and gaming
seconds

For direct response use functionality such as data collection and sweepstakes
Interaction Rate - % of Impressions

PointRoll 2009 data Client examples by ad feature

27

Creative should stand on its own

Since 93% of impressions
do not generate an
interaction, brand logo
and key messages should
be
b present on all f
t ll frames
of the creative

Source: Dynamic Logic Online Creative Best Practices-10 Tips To Maximize Brand Impact Oct 2009

28

Rich Media AdFX
Why Rich Media
Wh Ri h M di
Why Yahoo!
g g

Implications

Rich media ads on Yahoo! outperformed
non-rich media throughout the sales funnel
g

Ad • Interaction rate: 7.4%
Engagement • CTR: 1.5x static

Brand and
• Aided brand awareness lift: 3.8x non-rich media
Site
Engagement • View through site engagement lift: +90%

• Purchase intent lift: 1.5x non-rich media
Conversions • Offline sales lift: +23%
• ROI: 2.7 (15% higher than static ads)

30

Key takeaways – benefits of rich media

 Rich media is a platform that enables advertisers to tell a
story and consumers to jump in and engage with the brand

 Rich media ads on Yahoo! generate more brand awareness
and a higher ROI than non-rich media ads

 Rich media ads on Yahoo! outperform the marketplace
in interactions time spent, and brand awareness
interactions, spent

31

Key takeaways – rich media best practices

When selecting ad placement and targeting buy, consider
 • contextual property buy for specialized products to maximize interactions
• behavioral targeting across the Yahoo! network to maximize reach
• demo targeting for universal products to reach a broad audience

To drive higher ad engagement, consider using in-banner
 video. To achieve higher in-banner video completion rates,
in banner
opt for auto play vs. rollover to play.

 Incorporate features into the creative based on the campaign
objective. Place messaging on all frames of the creative.

32

B2B Insights
Phylis Savari, David Laird, Sahil Anand, Keval Patel,
Athena Vasile

Data powered by User Data Analytics (UDA)
Gary Thwing, Kenneth Lin

Data sources & methodology

Ad Interactions This data is from Yahoo! Ad Systems and includes various video ad basic metrics
(e.g. ad views) and advanced metrics (e.g. interaction rates). Data was collected over 2009.

Site Engagement This data is from Yahoo! Toolbar User Opt-in Panel, and is anonymously joined
with rich media ad serving data to identify users exposed to rich media ads. Lift is measured based
on daily average page views and unique users before the campaign, Vs. during and after the
campaign.

Brand Impact This data is from InsightExpress’s InsightNorms database and includes a variety of
Brand Awareness metrics for Yahoo! measured campaigns. Lift is measured based on an
InsightExpress-proprietary test/control methodology. Data was collected over 4/1/2006 – 3/31/2010

Conversions This data is from the Yahoo!-Nielsen Consumer Direct panel of users and includes
offline sales lift and ROI for seven rich media campaigns on Yahoo!. Lift is measured based on a
Nielsen-proprietary test/control methodology. Data was collected over 2009.
p p y gy

Interaction Rate and Time Benchmarks This data is from PointRoll and includes Interaction Rate
and Time on Yahoo! versus other Portals. Data was collected over 2009

34

Rich Media AdFX

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