Advertising Effectiveness Benchmarks and Best Practices

© comScore, Inc. Proprietary.

Advertising Effectiveness:

Benchmarks and Best Practices

A review of the latest benchmarks and best practices

Joe Nguyen, Senior Vice President, Asia Pacific | 26 June 2014

e: [email protected]

t: @jnguyen

© comScore, Inc. Proprietary. 2

Agenda

What is Online Ad Effectiveness?

What’s Normal?

• In-Target Benchmarks

• In-View Benchmarks

The Process

• RFPs and Proposals

• In-Flight

• Post-Campaign


In-view

Correct geography

Brand safety

Non-human traffic

In-target audience delivery

What Makes An Advertisement Effective?


In-View Explained

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Non-Human Traffic (NHT) can have significant impact on your

numbers

Non-Human Traffic

IAB Bots and Spiders

Unknown browsers

Automated impression

generation tools

© comScore, Inc. Proprietary. © comScore, Inc. Proprietary.

What’s Normal?

In-Target Benchmarks

The latest data from comScore validated Campaign Essentials™


Multitude of campaigns

200 billion impressions

Rolling 12-month period

Display and video campaigns

Diverse set of advertisers as well as publishers and ad networks

Range of brand-building and direct-response objectives

vCE Benchmarks

Industry benchmarks are an important guidepost BUT they

shouldn’t be used as the only indicator of delivery performance.


In-Target: 100% isn’t Realistic

Demographic

data becomes

outdated

Not all

registration

data is accurate

More than 60%

of computers are

shared, so cookies

can show ads to the

wrong person

Some targeting

infers demography

based on content

consumption


*The Overall Norm comprises data from more than 200 billion impressions over the course of a 12-month rolling period. This includes campaigns that go beyond the select Advertiser / Product categories listed

above to also include additional Advertiser / Product categories as well as studies run directly by publishers and ad networks.

**Target audience is categorized based on the primary target selection in vCE, which is self-designated during campaign set-up.

***The Health / Wellness category includes campaigns for brands, products and/or services in the following sectors: health associations, health insurance, hospitals, over-the-counter, pharmaceutical, public health

and wellness.

Overall average in-target rate is 44%, with significant variance seen

across product categories

% In-Target: Overall* and by Select Advertiser / Product Category** Source: comScore vCE Benchmarks, Q1 2014, U.S.


As the target narrows, so does the chance of hitting it

% In-Target by Age* Source: comScore vCE Benchmarks, Q1 2014, U.S.

*Target audience is categorized based on the primary target selection in vCE, which is self-designated during campaign set-up.


This is true with age and gender as well – as the target narrows, so

does the chance of hitting the target

% In-Target by Age/Gender* Source: comScore vCE Benchmarks, Q1 2014, U.S.

*Target audience is categorized based on the primary target selection in vCE, which is self-designated during campaign set-up.


A Targeting Efficiency Index can also help you set expectations

It compares in-target delivery to the prevalence of that target on a site,

based on data from comScore Media Metrix®

Females 18- 49

35% in-target

28% composition PVs

Targeting

Efficiency

Index

X 100 = 125


What’s Normal?

In-View Benchmarks

The latest data from comScore validated Campaign Essentials


In-View: 100% isn’t Realistic

User leaves page before

1 second User’s browser isn’t

on full-screen setting

Non-human traffic drives

up impression counts,

when a person never

actually saw the ad


Overall average in-view rate is 46%, with variance seen across

product categories, though spanning a smaller range than in-target


Worldwide Data Suggests that Direct Site Ad Placements have better

In-View Rates


The Process: RFPs & Proposals

Best practices for outlining campaign goals, setting expectations and eliminating painful

post-campaign renegotiations


Audience Considerations


RFPs and Proposals should clearly articulate audience

delivery expectations

Absolute number

of impressions in-target

Percent

of impressions in-target

There are two common ways to buy and sell audiences:


Steps you can take during the negotiation process

Be sure to determine:

• Audience delivery requirements and target audience based on industry data/thresholds

• Expectation of delivery and thresholds

• Measurement solution for optimization and invoicing

• How impressions that cannot be measured will be invoiced


NOT ENOUGH IMPRESSIONS WERE

SERVED:

Pay based on the

overall in-target

percentage of the site

There will be situations where audience delivery data

is not available

MOBILE IMPRESSIONS:

Pay based on the overall

in-target percent for

impressions delivered and

measured via desktop

Common ways to approach such situations:


Viewability Considerations


Require a minimum percentage of ads to

be viewable

There are two routes buyers and sellers take when it comes to

evaluating campaigns based on viewable impressions

Only buy/sell impressions that are

viewable

$

“I want to deliver 1 million ads but I will

only pay for the ones that are viewable.”

“You must prove to me that 50% of the

impressions are viewable.”


Sometimes viewability cannot be assessed, such as when delivery

occurs on certain types of video and mobile or for technical reasons

Common ways to pay for missing impressions:

Apply overall

rate of

viewability for

non-measurable

impressions

Use vendor who can project

viewability on non-measurable

impressions

Pay 0% for all ads where viewability cannot be measured

Pay 100% for all ads where viewability cannot be measured


100% of web display ads are measurable with projection

Our geometric

measurement, which

accounts for the majority

of impressions, is

MRC-accredited. The

timing method is

included in the in-

progress renewal audit.

*Our projection method has been reviewed by the MRC.

**Does not include pixels or mobile impressions.

Using the geometric and timing

methods, comScore is able to

directly measure 95% of

impressions

95%


There are other ad delivery dimensions that should be addressed

during upfront negotiations

FREQUENCY: What is the frequency goal? How should excessive

frequency be managed and invoiced?

GEOGRAPHY: What is the expectation for geographic delivery, and how,

if at all, will an ad delivered outside of the geographic region be invoiced?

BRAND SAFETY: What are the ad blocking and alerting parameters?

How will blocked impressions be invoiced?


Once the IO is signed, the campaign can be actively managed

Here are some steps you can take to ensure proper campaign

management

• Evaluate delivery early in the campaign to confirm tagging was correctly

deployed

• Watch for situations where a high number of impressions cannot be

measured for viewability

• Watch for situations where audience data is not reportable

• Optimize delivery at the placement-level to meet performance delivery

objectives


Summary


Summary

UNDERSTAND what are the components makes ADVERTISING

EFFECTIVE

DON’T expect 100% IN-TARGET OR 100% IN-VIEW

AGREE ON WHAT’S reasonable FOR A GIVEN RATE

KNOW THE technology AND ITS LIMITS

GET involved IN THE PROCESS


Download our Best Practices booklet, vCE Benchmarks and

RFP/Proposal checklists today at:

English: www.comscore.com/BestPractices

Mandarin: www.comscore.com/chi/BestPractices

http://www.comscore.com/Insights/Blog/Succeeding_in_a_World_of_Viewable_Impression_Measurement_and_Audience_Guarantees

http://www.comscore.com/chi/BestPractices




Q&A

© comScore, Inc. Proprietary.

Advertising Effectiveness:

Benchmarks and Best Practices

A review of the latest benchmarks and best practices

Joe Nguyen, Senior Vice President, Asia Pacific | 26 June 2014

e: [email protected]

t: @jnguyen

Documents

Advertising Effectiveness Benchmarks and Best Practices