In this post, I’m sharing a simple optimization process for search-engine advertising. I’ll also try to explain its rationale, i.e. explanation of why it should work. The process is particularly applicable to Google AdWords due to availability of metrics, but for the most parts it applies to Bing Ads as well. First, take a list […]
Tag: online advertising
5 questions to ask your Facebook marketing agency
Facebook marketing is not magic, although it might seem like it if you have no clue how to do it. Therefore, before anything else, the first piece of advice is: get to know the basics. Jonloomer.com is a good resource for that, as well as Facebook’s free training modules. Now, to the actual point. A […]
Controlling ad quality in programmatic buying
Highway to ad quality. Ad quality is an issue in programmatic buying where ad exchange takes place via computer systems. In traditional ad exchange, there’s a human supervising the quality of advertising, but in a programmatic system it’s possible to receive spammy, illegal, or otherwise undesirable advertising without publishers (ad sellers) being aware of it. […]
Quality in programmatic advertising
Introduction This is a very short post explaining, from a media house’s perspective, how to manage the two-sided online ad market. Why does quality matter, more than you think? The success or failure of online advertising takes place through QUALITY. My argument rests on the notion of two-sided markets, along with their distinctive element of […]
Here’s Facebook cheating you (and how to avoid it)
Here’s how Facebook is cheating advertisers with reporting of video views: How is that cheating? Well, the advertiser implicitly assumes that ‘video views’ means people who have actually watched the video which is not the case here. Say, you have a 10-second video; this metric does not show people who have watched that video till […]
Facebook Ads: too high performance might turn on you (theoretically)
Introduction Now, earlier I wrote a post arguing that Facebook has an incentive to lower the CPC of well-targeting advertisers because better targeting improves user experience (in two-sided market terms, relevance through more precise targeting reduces the negative indirect network effects perceived by ad targets). You can read that post here. However, consider the point from another […]
Facebook ad testing: is more ads better?
Yellow ad, red ad… Does it matter in the end? Introduction I used to think differently about creating ad variations, but having tested both methods I’ve changed my mind. Read the explanation below. There are two alternative approaches to ad testing: “Qwaya” method* — you create some base elements (headlines, copy texts, pictures), out of […]
Facebook’s Incentive to Reward Precise Targeting
Facebook has an incentive to lower the advertising cost for more precise targeting by advertisers. What, why? Because by definition, the more precise targeting is the more relevant it its for end users. Knowing the standard nature of ads (as in: negative indirect network effect vis-à-vis users), the more relevant they are, the less unsatisfied […]
A Little Guide to AdWords Optimization
Hello, my young padawan! This time I will write a fairly concise post about optimizing Google AdWords campaigns. As usual, my students gave the inspiration to this post. They’re currently participating in Google Online Marketing Challenge, and — from the mouths of children you hear the truth 🙂 — asked a very simple question: “What do […]
Example of Google’s Moral Hazard: Pooling in Ad Auctions
Google has an incentive to group advertisers in ad auction even when this conflicts with the goals of an individual advertiser. For example, you’d like to bid on ‘term x‘ and would not like be included in auctions ‘term x+n‘ due to e.g. lower relevance, your ad might still participate in the auction. This relates […]