why the world stopped clicking… the rise of interaction metrics and the importance of pre-click...
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WHYthe world stopped clicking…
The rise of interaction metrics and the importance of pre-click activity
Dean Donaldson
2nd November 2006
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www.eyeblaster.com [index]
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
TIMELINE OF RICH MEDIA ADVERTSING
Rise of the ‘Smart Ads’
Behavioural & Sequential ads
Broadband Penetration
% of ads using video
In-game video ads
Mobile & IPTV
Eyeblasterlaunches the‘Floating Ad’
Video now standard across all formats
‘Pre-Roll’ ads before online video content
First 2MB Video Ad
Cross Channel Advertising
Floating ads achieve over 5% CTR
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www.eyeblaster.com [index]
OVERALL: FORMAT COMPOSITION
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
H1 '04 H2 '04 H1 '05 H2 '05 H1 '06
Standard Banner
Polite Banner
Floating Ad
Expandable Banner
Other
Intrusive Advertising
User Initiated
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www.eyeblaster.com [index]
CTR: OVERALL vs VIDEO ADS
0.00%
0.50%
1.00%
1.50%
2.00%
2.50%
3.00%
3.50%
H1 '04 H2 '04 H1 '05 H2 '05 H1 '06
CTR
CTR (video)
Dropped from 5% to less than 1% in 5 years
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www.eyeblaster.com [index]
REASONS FOR CHANGE
Change of user habits– More habitualised in the way they consume and engage with content – More resilient to be enticed to leave their comfort zones by clicking away– The threat of spyware and viruses and the trend towards pop-up blockers
Novelty value– Over use of intrusive advertising created saturation– Slow down on new formats as publishers standardise all inventory– Increased regulation of frequency capping and close buttons
Personalised experience– Users now more likely to choose how to receive relevant content– More inclined to be entertained in their chosen environment
The online audience has matured
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www.eyeblaster.com [index]
MEDIA FIRSTSstandard industry question
“What new format or latest trick can you recommend that will get me the best click-thru rates?”
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www.eyeblaster.com [index]
FROM PULL – “Traffic Drivers”
WEBSITE
YAHOO! MSN
AOL ORANGE
Trying to pull the users to your website
– Average CTR is below 0.3%– Clicks are not pre-qualified
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www.eyeblaster.com [index]
TO PUSH – “Smart Ads”
YAHOO! MSN
AOL ORANGE
WEBSITE
Pushing content to the user, exactly where they are
– Average dwell time is
about one minute
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www.eyeblaster.com [index]
PRE-CLICK INTERACTIVITY TRACKING
BEST PRACTICE: Track all elements in an ad
Get a full view of your campaign success
Test Drive
Brochure Request
More Information
Main Click
Rotate
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www.eyeblaster.com [index]
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www.eyeblaster.com [index]
JUSTIFY YOUR CAMPAIGN SUCCESS
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www.eyeblaster.com [index]
MUD SLINGING
A. Don’t own a Honda but have seen the TV ads
C. Recently downloaded a Honda brochure
B. Already own a Honda and actively looking to replace
D. Has just had a test drive…
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www.eyeblaster.com [index]
PLAN YOUR NEXT MOVE
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www.eyeblaster.com [index]
KEY FACT: Data Capture regularly achieves higher uptake on Mail Portals
11% of initial respondents went on to give further details in subsequent screens
1% started process – same as clicked thru
Higher rates could have been achieved if the data request fields were higher
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www.eyeblaster.com [index]
CHALLENGING PERCEPTIONS
Deliver content to the user without the need to leave the publisher’s site Work with publisher’s in-page units to draw user’s eye from content to ad Adopt more interactive functionality e.g. behavioural to complement video Push the brand experience and expect shortened conversion cycles Don’t trust click-thru as a way of justifying campaign success Find metrics to measure campaign success from Branding to Response
Be prepared to justify a 0% CTR!
The changing face of online advertising
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THANK YOUyour time is appreciated
A copy of this CD is available upon request
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www.eyeblaster.com [index]
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www.eyeblaster.com [index]
MEDIA: CONSUMPTION TRENDS
TV USE: 4.5 hrs per day (or 135 hrs mth) WEB USE: 2 hrs per day (or 60 hrs mth) – 40%
– 2hrs per month of web use is now spent watching online video – 1 Day– 27% of Internet Users view online video weekly– 51% view online video monthly
Web usage is evenly spread across the day– Second only to TV which is slightly higher in evening– Dominates TV in at-work media use
20% crossover of people consume TV and web media simultaneously Web users tend to have higher spending power over TV users
Source: OPA Media Consumption, Q2 / 2006; eMarketer 10 / 2005 & 06 / 2006
Consumer’s use of media is changing
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www.eyeblaster.com [index]
VIDEO: A POWERFUL BRANDING TOOLOnline video has shown to uplift branding by up to 5x
Source: Dynamic Logic Marketnorms, Q4 / 2005, CNET 06 / 2006
Online brand advertising predictedto surpass search in 2007
– Up 25% in 2006 to $11.7 billion
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www.eyeblaster.com [index]
BROADBAND: PENETRATION STATISTICS
UK: 28.4M Internet users – 60% are currently broadband users
WEST EUROPE: 188.1M Internet users– 38% are currently broadband users
NORTH AMERICA: 193.9M Internet users – 62% are currently broadband users
ASIA-PACIFIC: 315.4M Internet users– 25% are currently broadband users
WORLDWIDE: 845.4M Internet users – 23% are currently broadband users
Penetration will rise by further 20% in 2007
Source: eMarketer, 05 / 2006
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UK EU US ASIA LATIN
% OF BROADBAND HOUSEHOLDS
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VIDEO: SPENDING IS ON THE RISE
Source: eMarketer, 11 / 2005
Predicted to be more than $1.5 Billion in US by 2009
Eyeblaster delivered more than 12,000 video ads in 2005
Video made up 40% of total ad delivery– Up from 9% in 2004
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www.eyeblaster.com [index]
VIDEO: THE POWER OF RICH MEDIA
On average 70% of all video ads are viewed Average length of time video is viewed is 21 seconds Of consumers who have seen a product advertised in an online video ad:
31%Checked out a related website
14%Requested more information
14%Went to a store to see the product
10%Forwarded an ad
8%Made a purchase
Video prompts user’s into action
Source: OPA Video Study, Q1 / 2006
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www.eyeblaster.com [index]
PUSHING USER APPLICATIONSViral
mechanismVoting, user participation
Before & AfterBiosUnique content
– Serving the content in user-initiated layers allows a rich brand experience as well as the means to measure those interactions in multiple ways