Tacoda CEO Dave Morgan has a quality point in his post about measuring online actions (“Metrics that Matter“):
Take the “click-through,†for example. Everyone in online advertising, particularly in branded display advertising, knows that it is a stupid metric to base campaigns and budgets and success on. As deep tracking in online advertising has gotten more sophisticated, we have learned that click-through ratios in almost all cases have NO correlation to ultimate conversion rates or changes in brand perception or purchase intent. In fact, the more we look at users who click on display ads, the more we learn that it is a unique and unusual segment of consumers. People that click on ads like to click. People that don’t, don’t.
This oughta be taped to the desk of every ad person that sells for online… the only problem is if their clients figure that out, what do you tell the clients next?
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[QUOTE] the only problem is if their clients figure that out, what do you tell the clients next?[/QUOTE]
We tell our clients, “We sell eyeballs, not click-throughs.”