Study highlights efficacy of display advertising
This week comScore and ValueClick Media released a white paper I co-authored titled “When Money Moves to Digital, Where Should It Go? Identifying the right media-placement strategies for digital display.” The study was based on over 100 campaigns run on the ValueClick Media network and used comScore’s Action Lift reporting methodology to evaluate the impact of various display placement and pricing strategies on site visitation and search behavior .
While cross-media and search vs. display has been studied previously, to our knowledge this is the first quantitative analysis of the view-through effectiveness of various display placement strategies (Audience Targeting, Contextual Targeting, Retargeting) and pricing options (Premium/CPM, Efficiency/CPC). And while the study is by no means exhaustive, and may even raise more questions than it answers, it validates the efficacy of display advertising and provides direction on which placement strategies to deploy to drive advertiser performance, whether measured by brand or direct response metrics.
Here are a few of the key findings:
- Retargeting works extremely well and should be considered for both direct response and branding initiatives
- Some placements create new traffic while others find audiences that are already engaged with the subject
- Marketers in different industries take advantage of the strategies differently
- All multi-strategy marketers increased site visitation above the norm
- Advertisers who used three or more placement strategies tended to have one metric in which they disproportionately beat the norm
While the study was exclusively on placements across the ValueClick Media network, it was not sponsored research, but rather done in partnership with comScore. Regardless, the campaigns were all sold and delivered on a single network, so a different network or analysis across an entire campaign may have shown different results.
That said, the data tells an interesting story about ValueClick Media. Most surprising to me was the lift, however small, driven by the RON baseline, something we attribute to the impact data and optimization is increasingly having on the ability to predict the performance of every impression — a huge validation of our technology. Contextual pricing probably skewed high due to inclusion of campaigns run on our more exclusive vertical networks. And the data suggests we just may be undervaluing our audience targeting and retargeting inventory.
Laurie Sullivan did a great job of recapping the results of the paper in her MediaPost article published today. I will be presenting the research with Anne Hunter on Tuesday at the IAB MIXX conference in NY. Our workshop is up against sponsored content from Google/AdMob, Yahoo! and AOL, so I’m eager to see what audience we attract. Whoever comes, I’m looking forward to seeing everyone during Advertising Week in NY!