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Observations on How Ad
Position Impacts CTR, Conversion Rate and CPA What's
Your Favorite Position?
About 20 years before the birth of the Internet, Avis Rental Car had a popular
slogan: "We're number two. We try harder". Fast-forwarding to today,
some might say that in pay per click marketing, when your ad is not in the top
positions of the paid search engines, you really do have to try harder to
attract that qualified visitor and make the sale.
In
fact, we can see by some of the lofty bid prices on popular keywords that many
marketers are willing to pay a healthy premium to show as number one. But
do the top positions bring the most cost effective results?
With the addition of Microsoft adCenter and Yahoo's new search marketing
interface - "Panama", and Google's already robust pay per click campaign management
interface, marketer's now have unprecedented control over a multitude of
campaign factors.
The days of campaign
success relying solely on good bid management are long over. Ad
positioning related to quality score and click through rate (CTR), as well as
the influence of ad scheduling, geo-targeting and demographic targeting have
created an entirely new opportunity for strategy development.
With
all of that marketing capability, though, the relationship of different ad
positions to CTR, conversion rate, and even cost per acquisition (CPA) is still
an everyday uncertainty.
In hopes of finding some clues to the power of ad position, we compiled pay-per-click statistics from our portfolio of data for over a one-year period. The observations were based on a sample size of over 192 million impressions and over 2 million clicks in Google. Since we wanted the big-picture look, our data is "industry-agnostic" gathered across multiple industries, including B2B, B2C, lead generation and e-commerce.
CLICK HERE TO SEE OUR OBSERVATIONS ON THE IMPACT OF AD POSITIONING
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