Rules Of Thumb For Measuring Hit Rates

From: Jim Carlini <carlini_at_nwu.edu>
Date: Fri 28 Jul 2000 13:22:04 -0700

ARUP BHANJA <finetuner_at_vsnl.com> WROTE:
> Q. When you buy ad space from a website on say 10$ CPM,
> do you get a guarantee on the number of ad/page views
> on that site? If 'yes', who gives this guaranty - the
> website or the agency [doubleclick24/7, etc.]?

Following this line of questioning, what should an
"expected" average of "valid leads generated" be?
Should it be the same, less, or more than a direct mail
response (of 2%)? In other words, if I get 500,000
hits on a website for the month --- how many turn into
a request, and from there, how many turn into a sale?

A formula like 500,000 hits - turns into 5,000
generated responses (1%), and generates 2,500 sales
(.5%). Are there any standard accepted formulas like
this - or is it product/service specific?

Where can I find these types of
statistics/formulas/generally accepted practices - or
am I asking for something that is not yet developed or
solidified as the "well-accepted 2% response for direct
mail" advertising approach? (I.E. There is NOT enough
history to project these types of measures)

Interested in your experiences and/or observations.

Thank you.





Received on Fri Jul 28 2000 - 15:22:04 CDT