BT Enhanced Smart Ads Outperform Non-BT Ads By 40.4%

Posted on 20 January 2010 by Patrick Flanagan No Comments

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So here is a very interesting data point, from one recent Pointroll campaign that had part of the ad impressions benefiting from Yahoo! BT data and the other part of the impressions did not include any BT data.

BT enabled Pointroll ads had a 41% overall higher interaction rate than non-BT enabled Pointroll ads.

Same creative.  Same publisher.  Same timeframe.  Basically as many other variables were held constant between the two groups except the inclusion of BT data within the test group.  Sure, its not airtight statistically sound case due to the single campaign data point, but its very indicative of other similar campaign results the team has seen when comparing BT enabled ad results with those that did not receive any additional insights from BT data.

The important point to take away is BT works.  By using user level “hints” to better select what creative, copy and content elements should be inserted into the ad units, BT enabled ads are just more relevant and personalized to the user.  Therefore its no surprise that these more personalized ads receive more interest as expressed in either interactions or clicks.

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If we look at click-thru rates as another meaningful measure, BT enabled Pointroll ads had a 73.5% overall higher click-thru rate than non-BT enabled Pointroll ads.

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Pointroll’s AdControl is a very powerful tool.  So much so, that it becomes somewhat difficult to explain and talk about to others at times.  However within the below interactive demo, this complexity issue is solved.  Basically it allows business rules to be created that give advertisers more control of the content within their rich media ad unit.

A rule might be when a user fitting the profile of “Type 1″ comes in contact with a PaperBoy ad that is about to render, always make sure to show a background image of a tool shed, use a call to action that includes the copy “Roll over” and to display a bag of all purpose fertilizer.  Or if you are a visual person, display this exact combination within the ad unit as follows:

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Input: User Type1. Output: Tool shed background image + "Roll Over" call to action copy + "Vigoro Fertilizer" product

Pretty darn cool.  The combinations are endless.  However the real fun begins when one starts to bring in publisher supplied BT data such as gender, age and interest(s) of the user.  Then these types of rules become very powerful once you layer in the auto optimization factors that the system (e.g., AdControl) offer so that the most successful (which can be custom configured) ad combinations receive the highest amount of impressions.

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This is a very visual way of showing how different pieces of PaperBoy ad content such as the call to action copy, products or the background image can be tied to specific user types (or BT segments in some cases)

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Direct Response (DR) Ads vs. Branding Ads – Which Will Win?

Posted on 1 October 2009 by Patrick Flanagan No Comments

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You’ve all seen it – the classic “Coexist” bumper sticker on a ex-Phish, now Widespread Panic fan’s car.  This same win-win type scenario can absolutely apply to the world of digital advertising within the age old battle between direct response and branding type ads.

Direct response AND branding type ads can live in harmony with one another

Direct response AND branding type ads can live in harmony with one another

Today in MediaPost, Jason Tafler the CEO of Pointroll wrote a cutting article about this exact subject of how adding direct response to rich media can help increase the overall value delivered. In it Mr. Tafler makes the point about:

“Many marketers struggle with creating cutting-edge ads that grab viewers’ attention and drive ROI in a meaningful way. Companies that are getting the most out of their ad buys are using new methods to deeply engage consumers with creative rich-media ads that also incorporate direct-response elements.

These do not have to be standalone strategies; each can play an important role in any comprehensive campaign. Depending on the marketer’s objectives, rich-media campaigns can include features such as data collection, lead generation, printable coupons, targeted product and pricing information, and ticket or product purchasing directly within banner ads, shortening the path to conversion. These capabilities not only provide marketers with more insight into their target audience, but increase consumer interaction time…

…Depending on the campaign, including a direct-response element increases response by 42%, with an additional 3% increase in brand time.”

Specifically to PaperBoy, a localized form of rich media that ShopLocal and Pointroll jointly produce, this has been a key message for years to potential and current advertisers.  By using the initial 5 – 10 seconds of a rich media ad to handle advertiser’s messaging, branding and positioning. Then for those users that choose to interact based upon the branding part of the ad, pushing specific product & pricing, data collection (e.g., email addresses) and shopping list creation as the tools that allow an interested consumer to respond.  Below is a visual example of this would play out in a rich media PaperBoy ad.

Branding Portion Of The Ad – The Unexpanded Banner

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Within this non-user interacted PaperBoy ad state (e.g., the banner), there is branding, messaging and engaging animation sequences happening. So if a user does NOT choose to interact with the ad unit, there is still a great amount of branding value imparted upon the user.

The Direct Response Portion Of The Ad – The Expanded Panel

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Within this user interacted PaperBoy ad state (e.g., the expanded panel), there is a real focus on specific products being offered at specific prices at a specific store location with calls to action to go with it. This is all about getting a user to take a response of either adding the item to their in-store printable shopping list, buy the item online at retailer.com or going into a local store and buying the item offline.
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Chalk another successful new partner product launch up!  Its great to see the trade publications pick up the story that is contained within Kaboodle’s recent integration of the Target Weekly Ad within their social shopping community.  The combination of social and local really is the future of retail advertising.  This is a great early example of how this may look with forward looking feature like sharing, commenting and shopping list making.

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The Target Weekly Ad just keeps popping up everywhere! This advertiser

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The demographic and behavioral targeting (BT) enhanced PaperBoy ads that run under the Yahoo! white labeled product name of “Smart Ads” are finally certified.  This means that there has been a detailed inspection of all the ad metrics, ad performance, ad serving, etc by the Yahoo! Smart Ads team and that Pointroll passed with flying colors.  Nice work everyone at Pointroll and ShopLocal in passing this important external validation step.

Here is one interesting tidbit that helps validate why there is a need for dynamic generated and machine optimized rich media ads.

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So if there are 300 weekly ad items live at any given point in time, and you needed to pick four specific products to include in a ad, there would be 300 + 299 + 298 + 297 possibilities (which is 1,195 options as each of the four outputs are calculated independently). This is why it is only possible to do this type of optimization via machine optimization and learning.

Here is a nice flashy demo that Yahoo! put together that overviews the SmartAds program

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Hooray! ShopLocal and Pointroll are now official partners

The press pickup has been amazing with over 200+ sites running the story, so thank you to all.  Here are some soundbites from a few more notable sources:

  • ADOTAS: “As a member of Yahoo’s Smart Ads program, PointRoll will leverage Yahoo’s reach and targeting capabilities to provide even more customized, relevant, and scalable rich media campaigns. PointRoll will also leverage its ShopLocal retail advertising program in order to offer enhanced Smart Ads for retail advertisers.
  • ClickZ: “Rich media firm PointRoll will tap Yahoo’s ad-targeting technology to deliver those ads to the right audiences, according to PointRoll CEO Jason Tafler. PointRoll’s ShopLocal retail ads will also be part of the Smart Ads program.” – ClickZ
  • WebProNews: “Smart Ads can be used in any vertical industry, but Yahoo says it has seen success within the retail industry, where many advertisers are looking for new ways to reach consumers. Testing Smart Ads with ShopLocal retail ad content has shown improved campaign performance for retail advertisers such as CVS and Kohl’s. These advertisers saw gains in click performance, conversion and overall return on investment.” -

And finally, here is a link to the official release and some generic info on the Yahoo! Smart Ad program overall.

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