NONE: Re: ONLINE-ADS>> Value of Test Banners?
Re: ONLINE-ADS>> Value of Test Banners?
Ali Partovi (apartovi_at_linkexchange.com)
Mon, 13 Oct 1997 15:30:53 -0700
Mike Pooler <pooler_at_pcgame.com> wrote:
>From my perspective, it makes total sense to offer test banners to
>potential advertisers... Our competitors have bigger names than us,
>and we sometimes think that advertisers would rather rush like
>lemmings to them, rather than taking the time to evaluate something
>slightly smaller, but of demonstrably higher value. A test run is a
>great way to go.
This may be a good way to get a one-time jumpstart on ad sales,
especially for "slightly smaller" players (though I wouldn't call
pcgame.com "small" ! ).
A better long-term strategy is, don't give away "freebies," but if you
do, use them to reward your most loyal customers, rather than to woo
away other people's customers. New customers acquired via freebies or
discounts may expect discounts for the whole ride.
>> Mark J. Welch, Esq.,markwelch_at_ca-probate.com wrote on 10/10/97 9:57 AM:
>>
>> >I will jump in and disagree. Glen suggested testing a "statistically
>> >significant" number of banners with 2 or 3 different creatives. At
>> >Web Advertising '97, Ali Partovi (of LinkExchange) suggested
>> >that measuring the response rate for a particular banner and
>> >comparing it to other creatives isn't reliable until about 100,000
>> >adviews for each banner
A number of people have asked about my recent talk at the Web
Advertising '97 conference. In reality, anywhere from 25,000 -
100,000 adviews per banner may suffice, depending on the accuracy
desired. As Mark has shown, we tend to be extra careful with accurate
measurements at LinkExchange.
I should stress that click-thru is a poor measure of performance.
Enticing or deceptive banners have high click-through rates, but may
result in frustrated visitors who leave your site. A finely-targeted
banner may actually have a lower click-through rate, but results in
more valuable visitors. It's often more effective to use banners for
branding (after all, 95%- 99% of your money is spent on the viewers
who didn't click!). This is the strategy we use at LinkExchange to
advertise our own service, though it always results in low
click-through rates.
This is bad news for advertisers who expect a utopia of perfect but
easy results- based measurement. Even "per-inquiry" or "per-sale"
measurements are inadequate, unless you can track people who return to
your site later, or who refer a friend. Nevertheless, many
LinkExchange advertisers have found that their campaigns resulted
directly in online sales that more than paid for the ads.
>> DoubleClick's TestIt! product seems a great idea to me, and they go with
>> 25,000 impression runs per banner. When it comes to knowing how to please
>> advertisers, I'll take Doubleclick over LinkExchange.
>>
>> http://www.doubleclick.net/nf/adinfo/testiset.htm
There are a number of providers who will sell "Test-it!" services
(under different names) to allow testing banners. In most cases, this
is basically a way to sell untargeted impressions at a regular CPM.
To quote from the page you mention, this particular service offers:
2 Banners ---- 50,000 Impressions ---- $38.00 CPM ---- $1,900 total.
In comparison, a ratecard test buy on LinkExchange would be:
2 Banners ---- 200,000 Impressions ---- $10.00 CPM ---- $2,000 total.
It's unclear to me what's more "pleasing" about one service or the
other, although this simplified comparison shows that LinkExchange
offers a great value. I must admit that I haven't used the Test-It!
service, so I will refrain to comment further on the remark about
"knowing how to please advertisers."
In general, one shouldn't place much weight on comparisons like the
one I make above: it's comparing apples and oranges. Different ad
networks provider a different sort of exposure than advertising on
LinkExchange, and there may be reasons why you'd advertise on many, or
just one, or none, depending on your specific goals.
For example, Mr. Dolley, suppose you're helping a manufacturer of
input devices gain exposure on the web. On most ad networks, you can
choose to target a "Technology & the Internet" category, placing your
ad on 5-20 medium to large web sites with relevant subject matter.
On LinkExchange, you could target the "Computer & Internet" category,
with over 18,000 web sites, or you might select "Computer & Internet :
Hardware," placing your ad on several hundred sites. If you prefer to
advertise on a very precise subsection of the LinkExchange network,
you can target the "Computer & Internet : Hardware : Components"
category, with 224 web sites. With over 2,000 categories,
LinkExchange offers multiple levels of targeting in any subject area,
whether travel, finance, entertainment, ... you name it.
The advertising opportunities offered by LinkExchange are totally
different from those offered by other networks, and advertising on
different networks may be quite complementary. You might be best off
spending your budget on a selection of different sites and networks,
to get the maximum brand exposure. It's not unlike traditional media,
where marketing budgets are divided between print, broadcast, direct
mail, etc. LinkExchange often recommends to our advertisers to spread
their ad dollars among different networks or sites to improve their
results, and our advertisers appreciate this sincerity.
Ali Partovi, http://www.linkexchange.com
LinkExchange. The best way to reach people.
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