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Flashcards
Conversion metrics: Revenue generated
Simply the value of the sales made. (margin more relevant)
Conversion metrics: Orders
The raw number of orders made
Conversion metrics: leads
For some, typically B2B or companies selling high-value products, leads are the ultimate goal. Examples: e-mail sign-up, application completion, request for brochures
Conversion metrics: Average order value (AOV)
Important metric to drill down on. Look for patterns over time and also differences in AOV for different ad groups.
Efficiency Metrics: Return on investment (ROI)
Can be a revenue measure (revenue derived/ad cost); it is better to consider profitability and use margin/ad cost
Efficiency Metrics: Return on advertising spend (ROAS)
Total profit / total ad spend
Efficiency Metrics: Cost per lead/order (CPL/CPO)
CPL is good measure of performance for advertisers not expecting direct sales
Efficiency Metrics: Lifetime value (LTV)
Lifetime value is an estimate of the potential value that each new customer will generate
Bidding strategies (3)
- Smart bidding: conversion-based that use advanced machine learning
- Automated bidding: function-based to meet performance goals
- Manual: human-based
Smart bidding strategies (4)
- target cost per action (CPA)
- target return on ad spend (ROAS)
- maximize converions
- maximize conversion vlaue
Target cost per action (CPA) (Descption and goal)
Description: Automatically sets search or display bids to help get as many conversions as possible at the target CPA. Some conversions may cost more or less than your target
Goal: Get more conversions with your target CPA
Target return on ad spend (ROAS) (Description and goal)
Description: Automatically sets bids to help get as much conversion value as possible at the target ROAS. Some conversions may have a higher or lower return than your target.
Goal: Meet a target return on ad spend (ROAS) when you value each conversion differently.
Maximize conversions
Description: Automatically sets bids to help you get the most conversions for your campaign while spending your budget
Goal: Get more conversions while spending your budget
Maximize converion value (description and goal)
descritpion: Automatically sets bids to help you get the most conversion value for your campaign while spending your budget.
goal: Get more conversion value while spending your budget.
automated (not smart) bidding strategies (3)
- maximize clicks
- target impression share
- enhanced cost per click (ECPC)
maximize clicks (despricption & goal)
Description: Automatically sets your bids to help get as many clicks as possible within your budget
Goal: Increase site visits
target impression share (description & goal)
description: Automatically sets bids with the goal of showing your ad on the absolute top of the page, on the top of the page, or anywhere on the page of google search results
goal: Increase visibility
enhanced cost per click (ECPC) (description & goal)
description: Automatically adjust your manual bids to try to maximize conversions
goal: Increase conversions and conversions value
manual bidding strategies (2)
- manual cost per click (CPC)
- cost-per-thousand (viewable) impressions (vCMP/CMPO)
Manual cost per click (CPC) (description & goal)
Description: Automatically sets your bids to help get as many clicks as possible within your budget
Goal: Generating traffic
Cost-per-thousand (viewable) impressions (vCMP/CMPO)
description: You bid for your ad based on how often it appears (in a viewable position ) on the google display network
goal: Increase awareness
How to choose your bidding strategy: Maximise profit
campaign: Improving your sales value at a set ROAS
bidding method: target ROAS, CPC, maximise conversions
How to choose your bidding strategy: Maximise leads or sales
campaign: Improving your leads or sales totals within a set budget
bididng method: Target CPA, Maximise conversions, target impression share
How to choose your bidding strategy: visibility / awareness
campaign: ensuring your message/ brand is seen by as many people as possible
bidding mathod: CPM, target impression share
How to choose your bidding strategy: traffic
campaign: driving more traffic to your site
bidding method: CPM,CPC
Advantages of paid search marketing (9)
Advantages
- Advertiser is not paying for the ad to be displayed
- PPC advertising is highly targeted
- Good accountability
- Predictable
- Technically simpler than SEO
- Remarketing option
- Prospecting with customer match
- High speed of PVV listings
- Branding effect
disadvantages of paid search marketing (5)
Disadvantages
- Competitive and expensive
- Inappropriate
- Requires specialist knowledge
- Time-consuming
- Risk of being irrelevant
Display advertising (def.+2)
paid ad placements using graphical or rich media ad units within a webpage to achieve goals of delivering brand awareness, familiarity, favorability and purchase intent
- Many ads encourage interaction (e.g., rollover to play videos, complete an online form, or view more details by clicking through to a site)
- Based on CPC, CPM or CPA
Types and formats of display advertising
- In-page banner advertis
- In-page rich media
- In stream
In-page banner adverts
- standard banner, ubiquitous around the web
- Ubiquitous around the web
- Variety of sizes
- Need to adhere to strict guidelines
- Highly customizable to what an individual user has seen or done
- Typically animated
In-page rich media
more functionality or content than standard banner
- Video adverts: Full video can play inside ad creative
- Expandable adverts: ad expands to take up more (or all) of the webpage if the user interacts with it (e.g. through mouse-over or hover)
- Data capture: adverts where the user can submit an email address (e.g. for a newsletter)
- Live information: such as prices of an airline route or remaining stock levels a heavily discounted or extremely popular product.
- Mobile ads units: can also take control of some of phone’s features and sensors (e.g., which could be used to personalize or provide element of gamification to an advertising
In- stream
- video creative that plays before, during or after video content on the web
- Video creative that plays before, during or after video content on the web
- Depending, on this positioning, these are known as pre-roll, mid-roll, post-roll
- Close to TV advertising
- Special format: skippable video adverts
- Adverts can be skipped
- Skippable format results in users who truly are interested in the ad watching it
- Takes away content length restrictions
- Pricing: advertiser only pays for adverts that have not been skipped
Types of display campaigns: awareness
Delivers brand messages or immerses customers with interactive experiences to make them aware of a brand, product or service and its benefits
- Suitable for:
- Business with less focus on direct sales through digital channels
- Business with focus on high volumes of sales online but are in a highly competitive market
- Common formats: rich media and videos
Types of display campaigns: direct response prospecting
To find users for a particular product or service and aid consumers on the path conversion
- Suitable for:
- Business looking for new customers through a direct response
- Versatile approach
- Targeting the right customers at the right time with the right message to achieve max. sales volume at the lowest cost per acquisition
Ad retargeting (def. +4)
type of behavioral advertising whereby a consumer who has visited a site but not met the site’s objective (usually a purchase) is shown relevant ads for that site in their subsequent surfing around the web
- Example: you select a computer model and specifics on the site of an online retailer but do not make a purchase. If the network has control of ads on other websites you might visit, it can service up ads for the retailer and this computer model.
- Excellent use of behavioral data taken from website and effective way of delivering ads to a well-defined target audience
- Oftentimes perceived as intimidating and uncomfortable (even spooky) for consumers
- Dynamic retargeting ads: content can be programmed to change to match customers’ interests
Audience data (user-based targets):
- target a set of users, based some criteria and shows them ads on all sites they visit on
- Demographic: who they are (e.g., gender, age)
- Behavioral: what they do
- Modelling audiences: extend audiences and find people who exhibit the same demographics or behaviors as known customers based on Bayesian inference logic
- Similar audiences: to attract new users to your site who have similar browsing and search behavior as those already on your remarketing lists
- In market audiences: users whose search and internet browsing behavior indicates that they may be “in market” for a certain product or service
- Interests: matches your ads to users who recently started viewing sites of the same topic
- Affinity: matches your ads to users whom habitually visit sites of the same topic
- Website-based targets
- Managed placements: choose the website (S) or pages you want to show your ad
- Contextual targeting/ topic targeting: target all sites and pages about a certain pre-defined topic (less restrictive than managed placements)
- Keyword contextual targeting: create a list of keywords and your ads will be matched to page that have contextually similar content
Targeting display delivery: other targeting approaches
- Environmental targeting: Based on factors such as temperature, background noise, weather
- Time-based targeting: to get the most from market conditions, seasonality of consumer behavior (e.g., by hour, day and month
- Device: By desktop computer, smartphone, tablet
- Geo-based targeting: Based on location of users (e.g., by small radius of any lat./long, coordinates, post or zp codes, cities, towns and regions)
Display campaign measurement
- Post-impression/post-view events
- Post- click actions
- Search uplift
- Increase in direct site traffic
- Brand uplift/ recall surveys
- Click-through rate (CTR)
- Engagement
- Return on ad spend (ROAS)
- Video completion rate
- Cost per completed view (CPCV)
- Viewability
Post-impression/post-view events
(view-through conversions): any conversion event (sales, visits, sign-ups etc.) that happens after users have been exposed to a display advert