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Brandie Feuer | @VegasGalB
May 26, 2011
INTERACTIVE ANALYTICS 101
COOKIES & AD SERVING
WHAT’S A COOKIE
THE COOKIE
• Tiny files that attach to Web browsers
• Measures user behavior
• Track users and report their actions
• Tell us ads that users have clicked on and
purchased from
AD SERVERS
• Use cookies for online campaign reporting
• Adjust & optimize campaigns dynamically
COOKIE USAGE IN ADVERTISING
Cookies tell us:
“Where” sales happen (placement)
“What” the users purchase
“How” they found our product (text or display ad)
“Who” buys our products or services
Cookies have an expiration date:
Most companies set this expiration date at 30 days
Assumption is that if the ad works, purchase happens
After 30 days the cookie expires
Any resulting sales are considered “organic”
“Last click” gets the credit
COOKIE USAGE IN ADVERTISING
Adserver
“Thank
You”
Page
$$$$$
- click -
data
reports
(with cookie)
CLICK VS. VIEW COOKIES
* Both “view” and “click” cookies have expiration dates
Website
“Thank
You”
Page
$$$$$
Adserver
datano click
Website
Website
Website
“Thank
You”
Page
$$$$$
Adserver
dataclick
PATH TO CONVERSION
• Aka Attribution Reporting
Awareness
(Mobile, Social)
Consideration
(Display, Email)
Action
(Branded
Search, Direct)
WEB ANALYTICS
IMPORTANCE OF METRICS
• Allows SMART decisions
• Adjust efforts dynamically
• Monitor user behavior & target accordingly
• Without it, online advertising is just like
offline advertising… a shot in the dark!
HITS VS. VIEWS
HITS
• When any file on a page is pulled
VIEWS
• Each time a visitor loads a page
• Similar to ad impressions
VISIT VS. UNIQUE VISITOR
• John visits Yahoo.com 4 times
• 4 visits; 1 unique visitor
• Sally visits Yahoo.com 6 times
• 6 visits; 1 unique visitor
• Total?
• 10 visits
• 2 unique visitors
“STANDARD” REPORTING METRICS
• Visitors
• Unique Visitors
• Demographics of visitors
• Most Popular Content
• Referring URLs
• Click Paths
• But… don’t just generate reports, solve
BUSINESS QUESTIONS
THESE ARE NOT BUSINESS QUESTIONS
• How much traffic does our site get?
• What’s our conversion rate?
• What are our top exit pages?
• How many clicks did our promo get?
SAMPLE BUSINESS QUESTIONS
• How can I improve site revenue by 15% in 3 months?
• What is the effect of our website on offline sales?
• What are the most productive inbound traffic streams?
• What is the incremental impact of our display ads?
IT ALL COMES DOWN TO MONEY
MEASUREMENTS
• Return on Investment (ROI)
• (Revenue – Expense) / Expense
• ($400,000 - $25,000) / $25,000 = 1,500% ROI
• Return on Ad Spend (ROAS)
• Total Cost / Total Revenue = ROAS
• $25,000 / $400,000 = 6.2% ROAS
Brandie Feuer
@VegasGalB | brandie@lvima.com

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Digital Analytics 101

  • 1. Brandie Feuer | @VegasGalB May 26, 2011 INTERACTIVE ANALYTICS 101
  • 2. COOKIES & AD SERVING
  • 4. THE COOKIE • Tiny files that attach to Web browsers • Measures user behavior • Track users and report their actions • Tell us ads that users have clicked on and purchased from
  • 5. AD SERVERS • Use cookies for online campaign reporting • Adjust & optimize campaigns dynamically
  • 6. COOKIE USAGE IN ADVERTISING Cookies tell us: “Where” sales happen (placement) “What” the users purchase “How” they found our product (text or display ad) “Who” buys our products or services Cookies have an expiration date: Most companies set this expiration date at 30 days Assumption is that if the ad works, purchase happens After 30 days the cookie expires Any resulting sales are considered “organic” “Last click” gets the credit
  • 7. COOKIE USAGE IN ADVERTISING Adserver “Thank You” Page $$$$$ - click - data reports (with cookie)
  • 8. CLICK VS. VIEW COOKIES * Both “view” and “click” cookies have expiration dates Website “Thank You” Page $$$$$ Adserver datano click Website Website Website “Thank You” Page $$$$$ Adserver dataclick
  • 9. PATH TO CONVERSION • Aka Attribution Reporting
  • 12. IMPORTANCE OF METRICS • Allows SMART decisions • Adjust efforts dynamically • Monitor user behavior & target accordingly • Without it, online advertising is just like offline advertising… a shot in the dark!
  • 14. HITS • When any file on a page is pulled
  • 15. VIEWS • Each time a visitor loads a page • Similar to ad impressions
  • 16. VISIT VS. UNIQUE VISITOR • John visits Yahoo.com 4 times • 4 visits; 1 unique visitor • Sally visits Yahoo.com 6 times • 6 visits; 1 unique visitor • Total? • 10 visits • 2 unique visitors
  • 17. “STANDARD” REPORTING METRICS • Visitors • Unique Visitors • Demographics of visitors • Most Popular Content • Referring URLs • Click Paths
  • 18. • But… don’t just generate reports, solve BUSINESS QUESTIONS
  • 19. THESE ARE NOT BUSINESS QUESTIONS • How much traffic does our site get? • What’s our conversion rate? • What are our top exit pages? • How many clicks did our promo get?
  • 20. SAMPLE BUSINESS QUESTIONS • How can I improve site revenue by 15% in 3 months? • What is the effect of our website on offline sales? • What are the most productive inbound traffic streams? • What is the incremental impact of our display ads?
  • 21. IT ALL COMES DOWN TO MONEY
  • 22. MEASUREMENTS • Return on Investment (ROI) • (Revenue – Expense) / Expense • ($400,000 - $25,000) / $25,000 = 1,500% ROI • Return on Ad Spend (ROAS) • Total Cost / Total Revenue = ROAS • $25,000 / $400,000 = 6.2% ROAS
  • 23. Brandie Feuer @VegasGalB | brandie@lvima.com