|For Display Ads Clicks Have “Nearly Zero” Correlation With Conversion|
|Wednesday, 25 April 2012 13:19|
New Research from Pretarget and comScore Suggests that Buyer Conversion is More Highly Correlated with Ad Viewability and Hover than with Clicks or Gross Impressions
SAN FRANCISCO and RESTON, Va., April 24, 2012
SAN FRANCISCO and RESTON, Va., April 24, 2012 /PRNewswire/ -- comScore, Inc. (NASDAQ: SCOR), a leader in measuring the digital world, and Pretarget, the intent targeting company, today released results of an online advertising study which found that ad viewability and hover time are more strongly correlated with conversions (defined as purchases and requests for information) than clicks or total impressions.
"Your ad being seen matters more than your ad being clicked – if you have a back-end conversion metric," said Pretarget Founder Keith Pieper. "After all, what good is an ad that can't be seen? It's intuitive that an ad must be seen to make an impact, and it's even more intuitive than someone hovering and engaging with an ad might convert, even absent a click."
Research Methodology & Approach
Traditional display ad impression measurement and reporting simply verifies the number of ads that were sent by an ad server to a user's browser. For a variety of reasons, this way of counting impressions does not ensure that the ad ever rendered within a browser. In addition, ads can load below the fold (requiring a user to scroll down), which means that most users will probably never see the ad unless they scroll down. In the worst cases, some ads load within 1x1 pixels and therefore never render as viewable impressions.
Research Findings Show Ad Hover Most Highly Correlated
"The Pretarget study helps illuminate several critically important findings for the digital advertising community," said Kirby Winfield, SVP of Corporate Development, comScore. "First, it once again demonstrates the perils of relying on click-throughs for measuring the performance of display ad campaigns, with this metric showing virtually zero correlation with total conversions. Secondly, it highlights why the viewable impression – which is now easily measurable through vCE – is significantly more meaningful than the unvalidated impression. Finally, this study shows why other non-click metrics of engagement, such as interaction or hovering, may be much more important in evaluating campaign performance than the click ever was. It's time to start measuring the impact of campaigns using metrics that really matter, not just the ones that are most easily measured."
The Pretarget analysis supports several third party studies with consistent conclusions. MediaMind "2009 Benchmark Report" released in July 2010 found that "on average, increasing Dwell [hover] from 5% to 15%, increases conversion rate by 45%, from 0.4% to 0.6%." Casale Media's 2011 "Ad Visibility Report," found that "ads appearing above the fold were 6.7x more effective at generating conversions than those appearing below the fold."
Pretarget previously found that approximately 89 percent of display ads on its network load above the fold or appear after a user scrolls down, creating an opportunity for a user to see the banner. Pretarget's position paper is available for download at http://www.pretarget.com
*The Making Measurement Make Sense (3MS) defines "in-view" as 50%+ of the pixels of an ad being visible in the browser, and comScore vCE adheres to this definition for its typical definition of "in-view". The Pretarget studies, however, used a more conservative in-view requirement of 75% visibility.
About comScore validated Campaign Essentials
SOURCE comScore, Inc.
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