Lotame Demonstrates the Metrics That Matter
NEW YORK – A new study demonstrates conclusively what web analysts have long maintained: If you want to raise awareness of your brand online, focusing on click-through rate (CTR) would be a big mistake. Optimizing an ad campaign to improve CTR, in fact, while likely to have no effect whatever on purchase intent and awareness, can actually drive down ad recall and, in the case of movies and TV shows, can reduce Intent to View.
These are a few of the findings of “Online Brand Optimization: Metrics That Matter and How to Use Them to Effectively Change Campaign Outcomes,” a white paper produced by Lotame using in-banner survey measurement from KN Dimestore, Vizu, and Lotame’s targeting and analytics platform, Crowd ControlTM.
“Everyone in this business knows CTR is way overvalued,” said Lotame CEO Andy Monfried. “But a lot of marketers are addicted to it, because measuring CTR is easy, and they don’t know what else to track. Brand-lift measurements can break that addiction, by showing all of us what really matters: Engagement, ad recall, and purchase intent.”
As part of the study, Lotame built custom brand surveys consisting of five questions designed to measure the campaign’s performance against key brand metrics.
The most common:
Purchase Intent, or Intent to View
Awareness (Aided)
Ad Recall
Brand Favorability
When a campaign began, Lotame fielded simultaneous surveys (control/exposed) to the same custom-built target audience. This was done to ensure that the baseline values for a campaign’s brand metrics represented the baseline of the target audience. If Lotame modified a target audience for a campaign, it also modified the target audience for the surveys, to ensure proper baseline measurement throughout the campaign. Finally, Lotame measured the correlation coefficients between these brand metrics, along with CTR, interactivity (aka engagement), and time spent with advertising, to arrive at its conclusions.
“Data is a word that gets thrown around a lot these days,” said Greg March, director of digital media for Wieden+Kenney, New York. “Lotame makes it actionable, not only in a way that serves the media you run with them, but also for audience discovery, so that it can inform fundamental strategic choices. They’ve brought this kind of data insight to W+K, and it’s helped us serve our clients better.”
“Optimizing campaigns for specific audiences – based on essential brand metrics as well as deep profile information – is at the top of every brand marketer’s digital agenda,” said Simon Kooyman, CEO of Knowledge Networks. “KN Dimestore’s unique real time brand metric data exchange informs in-flight optimization efforts, and we are pleased to provide Lotame a complement to its Crowd Control engine.”
The full white paper is available at Lotame’s Website (http://www.lotame.com/resources/whitePapers), and Lotame expects to release periodic updates to the correlation table to include more campaign data and address additional correlation metric opportunities, such as Likelihood to Recommend.
About Lotame
Lotame is a marketing technology company powered by the superior segmentation of audience data. Lotame’s flagship targeting and analytics platform, Crowd ControlTM, collects and interprets unstructured publisher data to make audience planning as easy as keyword buying. We activate audiences for advertisers with comprehensive online marketing solutions, provide publishers with multiple revenue streams from data and media, and sell to data buyers Lotame Audience Segments derived from our unparalleled knowledge of human behavior.
