Marta Klepka

1. How to calculate
what portion of money
spent on internet marketing
is wasted?
MARTA KLEPKA
Sofia, 14.06.2012

2. 2

3. Everything is
Peter Druckner
marketing
and marketing is ,,
everything
3

4. Half the money
I spend on advertising
John Wanamaker
is wasted;
the trouble is
,,
I don't know which half
4

5. ?
What would
John Wanamaker knew about the ,,
Wanamaker say if he
internet marketing?
5

6. ROI is one of the biggest
problems of marketing
executives.
John Wanamaker Online results mean more
qualified leads.
6

7. CLICK FILL IN
CALL TO ACTION!
ROI
BUY
REGISTER
7

8. COST PER CLICK
8

9. CLICK = SALES
?
Image source: http://www.ydeveloper.com/blog/ecommerce/php-ecommerce-shopping-cart-features
9

10. BRAND
AWARENESS LOYALTY
?
OFFLINE SALES
10

11. BE VISIBLE
11

12. Impressions in users’ AREA OF VIEW in (in %)
The share of impressions visible for the users in the total number of impressions
the share of visible impressions reach in the total reach
80%
70%
60%
50%
40%
30%
20%
10%
0%
placement placement placement placement placement placement
1x300x250 2x300x250 3x300x250 4x300x251 5x300x252 6x300x253
Source: gemiusDirectEffect , 2012; international FMCG brand campaign
12

13. SCREEN TOO SLOW DISPLAY
SMALLER OF THE CREATIVE
THAN SITE
WHY THOSE THINGS
SCREEN
HAPPEN?
SCREEN
SIZE DIFFERENT RESOLUTIONS
BROWSERS
13

14. IN SCREEN VISIBILITY
&
DWELL REPORT
14

15. DON’T BE TOO VISIBLE
15

16. WHAT IS OPTIMAL NUMBER
OF CONTACTS?
EVERY PENNY SPENT
OVER OTS IS A LOSS
16

17. Number of contacts with
New users Impressions Costs
campaing (per user) - frequency
1,00 4 768 577 4 768 577 47 686 PLN
2,00 2 497 837 4 995 674 49 957 PLN OPTIMAL PART OF THE
3,00 1 071 054 3 213 162 32 132 PLN
SUMMARY 8 337 468 12 977 413 129 774 PLN
CAMPAIGN
4,00 503 647 2 014 588 20 146 PLN
5,50 490 963 2 700 297 27 003 PLN
8,00 294 353 2 354 824 23 548 PLN
12,00 119 017 1 428 204 14 282 PLN
17,00 17 111 290 887 2 909 PLN „EMPTY PART OF THE
27,00 6 917 186 759 1 868 PLN GLASS”
42,00 1 758 73 836 738 PLN
62,00 1 001 62 062 621 PLN
87,00 393 34 191 342 PLN
100,00 645 64 500 645 PLN
SUMMARY 1 435 805 9 210 148 92 101 PLN
ALL 9 773 273 22 187 561 221 876 PLN
Source: gemiusDirectEffect , 2012; international FMCG brand campaign
17

18. • Spending of €21k was the „empty part of the
glass”
• It was 42% of all budget
• It brought only 15% of new users
• The cost of acquiring 1 user was 3-times higher
This means that for this campaign optimal setting of
frequency limits was 3/user. Beyond that number
the effectiveness declined significantly, bringing
profit only to the publisher.
18

19. PAY ONLY FOR
REACHING YOUR
TARGET GROUP
19

20. Brand A Brand B
Impressions 12 983 743 4 300 668
Impressions in Target Group 3 936 906 1 778 859
Impressions in TG as part of all impressions in % 30% 41%
Reach in cookies - (UU) 6 082 041 1 095 176
Reach in Real Users (RU) 2 604 385 552 671
Reach in RU in % in whole internet population –
base is number of RU from gA data. 13,79% 2,93%
Number of RU in TG that have contact with
campaign (from gPE) 885 711 241 973
Reach in TG (base of gPE & gA data) 17,01% 4,49%
Target Index* (my own indicator – this is in %
number of impressions that generate 1% of TG
group)
5,88% 22,28%
Source: gemiusDirectEffect , 2012; international FMCG brand s campaign
20

21. THREE GOLDEN RULES
REACH YOUR
BE VISIBLE TARGET
GROUP
DON’T BE
TOO VISIBLE
21

22. Insanity:
doing the same thing
over and over and
Albert Einstein
expecting different
results ,,
22

23. What works in display advertising?
23

24. Average CTR per country
0.60
In-stream ad formats also
prove to be one of the
0.50
most effective in terms
of CTR
0.40
For pre-roll CTR vary from
0.30
~1.9% -3.4%
0.20
Still rich-media and video
ads constitute not more
0.10 than a few % of internet
advertising budgets in
0.00 CEE
Source: gemiusAdMonitor, H2 2011
24

25. Popularity vs. effectiveness of online advertising
formats - Bulgaria
100% 95% 4,0% Regular banners
90%
3,5%
are still the most
80%
frequent used
3,0% online
70%
2,5%
advertising
Campaign share
60%
format
50% 2,0%
40% The highest CTR
1,5%
30% value is
CTR / UCTR
1,0%
20% characteristic for
11%
0,5% Preroll
10%
2% 2% 2% 1% 0%
0% 0,0%
Campaign share Average CTR
Source: gemiusAdMonitor, H2 2011 25

26. Popularity vs. effectiveness of online advertising
formats - Romania
100% 95% 7,0%
90%
6,0%
80%
70% 5,0%
Campaign share
60%
4,0%
CTR
50%
3,0%
40%
30% 2,0%
20%
1,0%
10% 5% 5% 4% 2% 2% 1% 1%
0% 0,0%
Campaign share Average CTR
Source: gemiusAdMonitor, H2 2011 26

27. Popularity vs. effectiveness of online advertising
formats - Poland
100% 3,0%
90% 86%
2,5%
80%
70%
2,0%
Campaign share
60%
CTR
50% 1,5%
40%
1,0%
30%
18%
20%
12% 11% 0,5%
10% 10%
10% 8% 7% 5% 4%
1% 1% 1%
0% 0,0%
Campaign share Average CTR
Source: gemiusAdMonitor, H2 2011
Analysed ads: Regular banners + rich media (Toplayer, Preroll, Expand, etc.)
27

28. 0%
5%
10%
15%
20%
25%
30%
35%
40%
Leisure Time
Finance, Insurance, Brokerage
Bulgaria
Food
Finance, Insurance, Brokerage
Telecommunications
Czech Republic
Automotive
Finance, Insurance, Brokerage
Telecommunications
Hungary
Automotive
Telecommunications
Which industries invest in online ads?
Trade
Poland Finance, Insurance, Brokerage
Trade
Finance, Insurance, Brokerage
Romania
Leisure Time
Leisure Time
Finance, Insurance, Brokerage
Slovakia
Food
Source: gemiusAdMonitor, H2 2011
28

29. Share of ad impressions per sector - Bulgaria
1,7%
1,2% Leisure Time
0,9% Finance, Insurance, Brokerage
0,4%
0,2% Food
6,7%
18,3% Telecommunications
2,6%
3,2% Automotive
Trade
3,9%
Computers and Audio Video
4,1% Household Equipment, Furniture And Decorations
15,2% Media, Books, CD & DVD
4,2%
Travel, Tourism, Hotels & Restaurants
Clothing & Accessories
8,9%
Beverages and Alcohol
9,8% Pharmaceuticals
9,3% Personal Care and Hygiene
9,6%
Real Estate
Household Products
Other
Source: gemiusAdMonitor, H2 2011
29

30. Ranking of the sectors with highest average CTR –
Bulgaria
Pharmaceuticals
Trade
Beverages and Alcohol
Automotive
Household Equipment, Furniture And Decorations
Household Products
Real Estate
Personal Care and Hygiene
Finance, Insurance, Brokerage
Computers and Audio Video
Food
Travel, Tourism, Hotels & Restaurants
Telecommunications
Leisure Time
Media, Books, CD & DVD
Clothing & Accessories
Source: gemiusAdMonitor, H2 2011
30

31. Let’s spend the money on
internet advertising
consciously and measure the
effects-
it pays off
31

32. THANK YOU!
Questions?
Authors:
Join us @:
Marta Klepka Ács Tamás
PR & Communications Agency Segment Manager
Facebook.com/GemiusGroup Director tamas.acs@gemius.com
Twitter.com/Gemius
Slideshare.net/Gemius_com marta.klepka@gemius.com
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