ADV 460 Exam 2

How much will the advertise actually need to pay for each click on the ad?

$1.76 (avg CPC)

Which is a right interpretation of "Reach 90% & Average Frequency 1.33"?

90% of the target audience had at least one chance to see the ad message of this campaign

What is the micro (direct) goal of SEM?

To increase site visit/traffic (KPI: CTR)

Maximum CPC vs. Actual CPC - One penny more rule

Two types of CPC: Maximum CPC: max amount of bidding money (CPC) to increase possibility to get higher ranks (only for bid) Actual (average) CPC: average amount of money (CPC) enough to beat the competitors (advertisers actually need to pay) One penny more rule (in CPC): The higher bidder (in Max CPC) is likely to get higher ad rank position, but actual payment (actual CPC) is only one cent more than the next competitor's payment. This is called "one penny more rule" Actual CPC = actual $ (CPC) of the next competitor + $0.01

• How actual CPC is determined (calculation will NOT be asked in the Exam) - Understanding how the actual CPC is calculated: depending on your ad quality score and the next competitor's performance (ad rank score)

Why does google use actual CPC (ex: ad quality score)? Google wants their users to perceive the PPC ads as useful information, not an interrupting advertising message Google encourages advertisers to proactively manage their ad quality score by setting CTR (ad quality score) as one of the two ad rank position determinants in PPC because CTR reflects users' responses to how much the ad text is relevant to the keywords *how the ad rank is determined* Ad rank in PPC = bidding cost (max CPC) * ad quality (CTR) Your actual price = the ad rank score of the competitor below you/your ad quality score +$0.01 The higher CTR, the lower your actual CPC

If you want to look at the cost efficiency of your campaign, what indices you need to look at on the ComScore data result page?

"Display ad estimated spending ($)" and "Total display ad impression"

How to calculate reach, frequency, and CPM

% reach = unique visitors (target audience on entity)/unique visitors (target audience in total internet)

Which is the typical Good Ads PPC campaign's account structure (from high to low order)?

Account - Campaigns - Ad groups- Keywords

• Google Ads (PPC) - account structure (account - campaign - ad group - keywords) • How to interpret the results of keyword planning

Account structure: campaign - ad group - keywords list Account is associated with a company/brand Campaign has its own budget and settings that determine where your ads appear, each campaign can represent different product categories under the same account. Normally, a campaign consists of multiple ad groups Ad group: contains multiple keywords and phrases, with multiple ads

If you want to see ad performance data on all the devices and formats, which will be the best data option in ComScore My Matrix?

Ad Metrix

If your campaign goal is to increase brand awareness to the largest number of your target, which index you should look at on ComScore My Metrix results?

Advertising exposed reach (%)

. If you select a keyword of "running shoes" with broad match option, in which keyword's SERP will display your ad text message?

All of the above

Various targeting technologies are available in digital display advertising, which can be broadly categorized as site-based vs audience-based. Which of the below does NOT provide a correct definition?

Audience-based targeting means displaying ads that match the content of the website on which they appear.

Which brand's ad will be displayed in the top rank position in the sponsored ad section and how much the brand will actually pay (CPC)?

BRAND A - $1.61

Understanding SEM: Meaning of "relevance" in SEO/PPC and how the relevance is determined in SEO/ PPC

Basic rule: the rank is determined by relevance between the search keywords and the weblink/ad; but the way how the relevance is determined is different across SEO and PPC sections 1) SEO: google search algorithm determines the relevance between your site components and keywords 2) PPC: human reaction (ex: ad click) determines the relevance between your ad and keywords SEM = SEO + PPC

How is the rank position determined in the organic search engine result page (SERP), which is the area for SEO (Search engine optimization)?

By Google search algorithm (on-site and off-site factors)

Which of the statements below is NOT true about privacy issues and regulations

CCPA (California Consumer Privacy Act) requires both Opt-in and out in the US

What is the pricing model of PPC(Cost-per-click) ad?

CPC (Cost per click) model

Which is the most common pricing model in digital display advertising?

CPM

CTE 11

CTE 11 Review Contextual vs. Behavioral Targeting Contextual and behavioral targeting methods are most frequently used in digital display ad targeting; but your client does not fully understand how they are different from each other. Briefly explain the difference between the two targeting methods to your client. Contextual targeting (site-based targeting) Based on the relevance between the ad and the publisher site contents Behavioral targeting (audience-based targeting) Based on the relevance between the ad and the person [his/her browsing history] CTE 11 Review Strategic Use of Retargeting Let us assume that you are planning a display ad campaign for new Nike running shoes. For this campaign, your client, Nike, wants to target three distinctive customer groups depending on each target group's previous online behaviors and the campaign goal. In terms of a funnel model and appropriate (re)targeting methods for each stage of the funnel, your job today is to recommend the most appropriate (re)targeting method for each case CTE 11 Review Strategic Use of Retargeting The first target is those who may not know the new Nike running shoes, Nike, however, do not have any behavioral data about the target; thus, will rely on the user profile data that publishers have Appropriate targeting method: site-based targeting (demographic targeting; contextual targeting) Why (how the method matches to your campaign goal): because main campaign goal is to increase awareness (to achieve broader reach) Strategic Use of Retargeting The third target is those who have visited Nikerunning.com; but left the site without buying the product. Nike has data of the target because they dropped first-party cookie files on those visitor's web browsers Appropriate targeting method: site retargeting Why (how the method matches to your campaign goal): because you presume that those visitors are likely to visit Nikerunning.com again and being converted to your existing customer (buying your products) CTE 11 Review Strategic Use of Retargeting - Split Funnel Now, you are planning the second display ad campaign on Facebook, Nike has data of their website visitors, which they can share with Facebook for improving targeting accuracy, Facebook also has their own user profile data, including data of clicking "like"on running related contents The goal of this campaign is to increase brand engagement and sales (by increasing frequency). If you want to use both data to improve targeting accuracy, which between FEX and FMA would work better than the other and why? (ignore cost efficiency for this question). Explain the reason (answer) using Funnel model A. FEX or FMA FEX (Facebook Exchange Ad): targeting lower funnel stage (to increase brand engagement) B. why? Because: You need to use targeting technology combining Facebook user data (internal data) with advertisers' website traffic data (external data) FMA only allows Facebook internal user data By doing so, FEX can increase targeting accuracy and focus on narrower target who are more likely to be converted to their customer (e.g., those who previously visited Nike.com or those who have reacted to Nike/sport-related contents on Facebook)

• Understanding searchers: Campaign goals (macro and micro) and media goal of SEM and KPIs (CTR or Conversion rate) •

Campaign goals of SEM: 1) micro (direct) goal: to increase traffic - KPI: CTR 2) macro (ultimate goal): to increase conversion - KPI: conversion rate Media goal of SEM To get higher rank position in SERP Why: searcher's behaviors - the higher the position in SERP the more likely to get attention and clicks To achieve media goal of SEM (to get the higher rank position) Marketers and planners need to understand how the rank is determined

Why consumers cannot perfectly control OBA (multiple ways of tracking digital behaviors): registration-based, browser-based, stealth browser-based, ISP, mobile OS & app-based targeting (why cookie deletion does not perfectly protect digital privacy

Can you control? A basic advertising targeting techniques for delivering relevant messages to consumers Registration data-based advertising Google and facebook use their user profile data (PII) for behavioral targeting "Log in with" function allows them to access your data on other websites Browser-based tracking Collection of data by third-party cookie tracking Cookie-matching technology identifies one unique user's behaviors across multiple devices and platforms without knowing who they are Not accessible contents without cookie acceptance One webpage access automatically allows multiple cookie embedments Stealth browser-based tracking Cookie deletion does not perfectly block tracking by covertly embedded software (ex: adobe flash multimedia, plugins, etc) Not detectable by anti-spyware because it's not a spyware No way of knowing how they collect, analyze, and use individual data SWF (small web format) files can contain video and vector based animations and sound, and are designed for efficient web delivery ISP (internet service provider) bsed tracking Every computer connected to the internet has an internet protocol (IP) address (that is unique) which keeps log files recording every single move on the network (AT&T ex) ISP allows ad networks/exchanges to access their log data ISP targeting can track user behaviors without cookies Mobile tracking Includes all the devices and platforms operated by a certain software/application Device-based tracking (OS: operation system) Google (android) and apple (iOS) track users' behaviors Cross-device tracking by google/apple (each ecosystem) App based tracking (third parties such as advertisers) Most mobile apps installed in the mobile device tracks the app users' behaviors (nike plus) Cross-device tracking by google/facebook/amazon/brands

Consumer data protection: DNT (Industries' self-regulation); Ad blockers; and governed regulations - Difference between GDPR and CCPA (opt-in & opt-out) - How GDPR impacts US business

Consumer data protection Do-not-track (DNT) initiatives in the US (ad choice: industry self-regulations) Limitation: Only opt-out (not opt-in) option Not all the companies in DNT initiatives Updates of new tracking technology Default cookie for content use Ad blockers Government regulations (rise of "compliance" business) GDPR (general data protection regulation) in EU: opt-in and out EU-based companies or multinational corporations that do business in the EU is under the impact of GDPR Any US company that has a web presence and markets their products over the web will have some impact from GDPR CCPA (california consumer privacy act) is the US: opt-out only

The so-called Privacy Paradox describes a situation in which

Consumers state that their privacy is important to them, but their actions show otherwise

Which of the types below is NOT a type of audience - based targeting?

Contextual targeting

• Concepts and examples of site-based vs. audience-based targeting (e.g., contextual targeting vs. behavioral targeting)

Contextual vs behavioral targeting Contextual (site-based): based on the relevance between the ad and the publisher site contents Behavioral (audience-based): based on the relevance between the ad and the person (his/her browsing history)

Data brokers: Roles of DMP in the advertising ecosystem (data collection of PII and Non-PII from diverse data courses)

Data Brokers: DMP (data management platform) Aggregates both PII (personally identifiable info*) and Non-PII data from 1st, 2nd, and 3rd parties and provide them for ad exchanges, SSP, DSP, and ATD to enables RTB The data driven market economy added $202 bil in revenue to the US economy. There are estimated 5,000 data brokers worldwide DMPs identify individuals from various platforms and create each consumer profile, using cod (ID) matching process with computational technology This packages consumer profile data (PII+non-PII) is then used to create a segment of target DMP provides the segment data to advertisers, publishers, and various other tech intermediaries (ad exchange, SSP, DPS, ATD

Select a statement that best describes the role of Data Management Platforms.

Data Management Platforms provide data for ad exchanges, SSP, DSP, and ATD to enable RTB.

Data brokers - role of DMP (Data Management Platform) - RTB (Real-time-bidding): auction system, CPM-based, first price vs. second price

Data brokers: DMP (data management platform) A big data platform that aggregates data from 1st, 2nd, and 3rd parties to provide the data to ad exchanges, SSP, DSP, and ATD to enable real-time-bidding and programmatic buying Role of DMP in ad exchange system Real-time bidding (RTB) refers to the use of software to purchase display ad inventory (audience-based) in a lightening speed (real time!) in a huge display advertising marketplace Real time auction system (CPM basis): the highest bidder will take the (target audience) ad impressions, by paying one cent more than the second bidder (second price rule) Ex: regent bids 1,5; secondprice: regent pays 1.01 (grand canyon bid $1) =.01 (actual cpm) Ad revenue sharing structure: intermediaries (ad networks & exchanges) take significant proportion of ad revenue Ex: if an advertiser pays 5 for 1000 ad impressions, 4.5 goes to google

• Display ad ecosystem Challenges in digital display ad market - too much ad inventory (ad impressions) available: Inventory = Premium + Remnant (Problems in remnant inventory: unsold)

Display ad eco system Data tracking technologies have allowed digital ad industry to create new display ad ecosystem where multiple intermediaries play their unique roles in data aggregations, analyses, interpretations, exchanges, and provisions Evolution of display advertising: challenges in the markets Two typesof inventory (= available ad impressions) Premium inventory Sellers' market (supply < demand): only small amount of inventory available CPM is very expensive ($2-$50+) & high CTR Direct sales to advertisers and agencies Remnant inventory Buyers' market (supply > demand) CPM is very cheap ($0.01-$2) & low CTR More than 75% of display ad inventory is remnant, but not sold to advertisers

Understanding display ad users: Display ad vs. Search ad - goals and pricing models

Display ad users Display ad (display network ad) vs search engine ad (PPC) Display -- passive users Users visit pages (not ads) that relate to their needs Goal: creating demands CPM Generate branding impact Create brand impression, generate call to action, create desire for follow up action Search -- productive users Users are proactively looking for ads related to their needs Goal: capturing demands CPC User is actively seeking info Increase positive brand reactions Passive users in display: average CTR in PPC across all industries is 3.17% whereas 0.46% on display network

Display advertising market: overview

Display advertising: a type of digital advertising that comes in several forms, including banner ads, rich media, and more Unlike text-based ads, display advertising relies on creative elements such as images, audio, video, and animation 2nd largest ad revenue generating format

"Frequency capping" allows marketers to stop waste of ad impressions over a certain optimal point. Which, among the below, is the right metrics to show the certain optimal point?

Effective frequency

Effective frequency: role, concept, psychological explanation (mere exposure and ad wear-out effect); value of effective frequency - optimal ad impression allocation to heavy and light users; use of effective frequency - frequency capping function

Effective frequency: optimal number of average frequency Frequency when CTR begins decreasing (assumption: a click occurs when consumers are fully aware of the ad and react to it) Vary by market situation, product, brand awareness, promotion offer, etc. Mere exposure effect: the more exposure the better to increase consumer awareness and following reactions Ad wear-out effect: after a certain number of exposures, consumers get tired of the same message repetition, and they're less likely to react to the message Role of effective frequency: Use metric to determine optimal reach by setting effective frequency Total ad impressions = reach * frequency) If budget is $10,000 & CPM is 1, total ad impression = 10,000,000 If effective frequency is 5, optimal reach = (10,000,000/5) = 2,000,000 (this plan reaches 2,000,000 people, each person can see the ad 5 times) Effective frequency 3 is a golden rule in traditional advertising. In digital, more exposure would be necessary to make "true reminder" Value of effective frequency: " frequency capping": cutting waste of ad impressions over effective frequency to some people (heavy users) whereas moving the ad impression to other people (light users)

• Evolution of pricing mode in search engine advertising (PPC) - CPM model - CPC model + Auction system (Overture) - addition of CTR/Ad quality score (Google)

Evolution of pricing model in search engine advertising In 1990s search engine marketing: CPM model (pays for ad impression) Problem: ad impression doesn't guarantee ad engagement PPC (CPC model) by Goto.com (overture): CPC model (pays for click) Auction (bidding) system Provided PPC engine to most portals (yahoo, MSN) Revenue sharing (70%+ to portal sites; 30% to overture) Google eclipse in 2002: Addition of CTR to bidding (auction) system CTR guarantees quality of the ad No revenue sharing with portal sites (100% to Google)

Basic pricing model: CPM (Cost efficiency) - how to calculate CPM

Ex: CPM model Assume that each v is equal to 1000 ad impressions If the cost for each site was yahoo $100, AOL $80, ESPN $120 (otal $300) Overall: 300/12,000 ad impressions * 1000: CPM = $25 Yahoo: (100/4000 ad impressions * 1000: CPM = $25 General use of CPM in display ad campaign When comparing cost efficiency across platforms Question 1: site C's CPM = $5 (lowest amount)

• Retargeting on social media (FB): FMA and FEX (strategic use of data in funnel model)

FMA: facebook marketplace ads (at RHS: right hand side) Targeting based on users' behavioral tracking data on facebook FEX: facebook exchanges (on newsfeed) Targeting based on users behavioral tracking data from facebook and the third parties

Privacy is an important issue in digital advertising. Some consumers believe they can avoid being tracked by deleting cookie files from their browsers. Is that true?

False

Which, among the below, is NOT an entity Google Display Network (GDN)

Google AdWords

Google display network: Google O&O, Double Click, Ad Sense

Google O&O: google owned and operated websites Double click network: premium publishers' ad placements by ad exchange technologies Ad sense network: any website that has signed up to receive ads from google as part of a system wherein those sites can earn money Over 2 million sites in GDN Reach over 92% of entire internet users GDN lets you specifically target your audience based on a whole mess of different criteria

Google's policy: Why Google use actual CPC - Google's penalty (or advantage) to encourage advertisers to manage CTR

Google's policy: Google penalizes advertisers with lower than average CTR and gives advantages to advertisers with a higher CTR It is reason why advertisers should manage their campaign CTR Lower CTR → lower ad rank position → eventually increases actual CPC due to the penalty system

• How to interpret ComScore data table

How do we do it: Unified Digital MEasurement (UDM) Comscore uses a unique methodology that combines panels, and tage to deliver accurate measurement of person-level audiences (see image or reference 11/9 notes)

Which of the statements below is NOT true about ISP (Internet Service Provider)-based tracking

ISP targeting requires a cookie to be placed on a user's machine in order to track user behaviors.

About where this campaign ad (ad text) will be positioned in average?

In between the first and the second ad rank positions in the sponsored ad section (avg position)

Behavioral tracking - RTB and Programmatic buying (Direct & RTB)

Increasing market share of real time bidding Buying audience (accurate targeting) and reasonable price (bidding) Programmatic buying (an automated buying of audience) Programmatic direct: an automated buying process without an auction Programmatic RTB: an automated buying by real-time auction (first price) Negative aspects of RTB and programmatic buying To consumers: "privacy concern" Are you willing to allow tracking your digital behaviors? People have ambivalent thought because of lack of knowledge, misconception and tracking, or privacy paradox

• Basic rule of keywords generations: - Longtail vs. short tail keywords 2 - Negative keywords - Match types - Google networks - Geo targeting

Long tail vs short tail keywords Short tail keywords: one (or two) words that include very broad and general meaning (ex: vacation) Long tail keywords: those with over three/four keywords or phrases which have very specific meaning (ex: costa rica adventure travel in june) In general, long tail keywords will drive: Higher CTR & conversion rate (reflecting more specific interests) Lower CPC (becuase of lower competition) But, lower ad impressions (because of small number of search volume) Exceptions: when market size is too small (ex: champaign), when product category is too unique because of the too small ad impressions Negative keywords A list of keywords that prevents your ad from being displayed in the SERP by a certain word or phrase, your ads are not shown to anyone who is searching for that negative keywords Ex: if you do not offer any price discount, "price discount" is a good negative keyword In google, it's better to (not have to) input some negative keywords Keyword match types Ex: women's hats as keyword Select "exact match": if you clearly know your targets' needs; if you have enough volume with the initial keywords selection Select "broader match": if you do not clearly know your targets' needs if you don't have enough search volume (so can increase ad impressions) Search networks Marketers can set the range of search network In general, google search is the best option Extend to google search partners and display network if you cannot earn enough ad impressions with your selected keywords Geo targeting Multiple geo targeting available depending on the business domain and marketing strategy Too narrow geo targeting limits ad impressions, which in turn, limits clicks and conversion Sometimes needs to target broader area to gain sufficient number of impressions

In general, which type of keywords are better to increase CTR and conversion rate?

Long-tail keywords

In general, which type of keywords are more likely to generate lower CPC?

Long-tail keywords

Key players: duopoly or triopoly

Many platforms in the past but rapidly being monopolized Digital ad duopoly: google and facebook Digital ad triopoly: amazon is challenging ad duopoly Does this matter to marketers? Yes, monopolizing in display networks allows marketers to track consumers behaviors across the platforms, devices, and applications (more effective cross-platform marketing)

Consumer behaviors and KPIs in PPC Consumer needs (keywords selections) - ad impressions - ad clicks/CTR (micro goal) - conversion/conversion rate (macro goal) - KPIs in PPC: CTR (between keywords and ad text: micro goal) and Conversion rate (between ad text and website: macro goal)

Marketer's role in SEM (SEO + PPC) The first step in SEM is: to select appropriate keywords Q1: what are potential consumer interests? Basic understanding of consumers' needs and wants Q2: what keywords? If well matched, (relevance btw needs and keywords) More people search the keywords you selected Resulting in "more ad impressions" Q3: what copy of ad text? If well matched, (relevance btw keyword and ad text) More people click your ad text Resulting in "high CTR" (KPI of micro goal Q4: what contents in website? If well matched, (relevance btw ad text and site contents) More people are converted to expected actions Resulting in "high conversion rate" (KPI of macro goal) If ad impression is lower than expected, change (add/delete) keywords because existing keywords don't reflect customers needs. If CTR is lower than expected, change ad texts (headline, copy, benefit, etc.) because the current ad text doesn't show what the consumers want to search If conversion rate is lower than expected, improve website contents because the current website contents do not provide what the consumers want to find *planners can estimate and monitor their ad campaign performance using previous data in Google dashboard* *planner's role is to interpret all the indicators and to improve the performance before and during of the PPC campaign*

• Strategic use of (re)targeting technology (depending on the campaign goal and data availability) - remember this funnel model!

Marketers can employ appropriate targeting method depending on their campaign goal and data availability Site-based targeting = awareness in CDB Audience-based targeting = awareness in CDJ Targeting (OBA) = consider/evaluate in CDJ search/email/social retargeting = evaluate/buy in CDJ Between this and next if first site visit that splits the upper and lower funnel Site retargeting = buy stage in CDJ Upper funnel = broader reach, higher awareness, higher ad impression, cheaper CPM Lower funnel = narrower reach, higher engagement, higher conversion, expensive CPM

If you want to see overall audience traffic data on a certain platform, which will be the best data option ComScore My Metrix?

Media Metrix

• Goal (micro: to increase awareness and consider; macro goal: to increase traffic and conversion) of display ad in the funnel model (interest-based; upper funnel)

Micro (direct) goal: to increase awareness and consider (PPC: to increase click and site traffic) Macro (ultimate goal: to drive traffic and conversion (PPC: to increase conversion) Role of display and search in funnel More effective to upper funnel (aware; consider) → display More effective to lower funnel (evaluate; visit; buy) → search

Which, among the below, is NOT considered as display ad triopoly?

Microsoft

Two issues in digital privacy paradox: transparency and consumer control

N/A

Which is a correct description of online behavioral advertising (OBA)?

OBA displays allegedly relevant ads based on users' previous internet browsing behaviors.

OBA: what it is and how it works: how to collect browsing history (third-party cookiebased tracking)

Online behavioral advertising (OBA) A type of audience based targeting: exposing relevant ad based on the person's past browsing behaviors (also called "inference-based targeting) Goal: to increase engagement based on inferred data, primarily using 'third-party cookie tracking' technology Third-party cookie based targeting technology Many third-party companies embed their cookies file on each user's browser; then the cookie files consistently track the user's online browsing behaviors and send the tracking data to the third parties The third-party tech companies compiled and exchanged such browsing data to infer the user's characteristics, interest, and/or preference Data aggregation by third party cookie First party web server provides contents of the webpage to users webpage Third party server sends ad messages to the users webpage

• Pricing model of PPC: CPC (Cost-per-click) model Basics of PPC: how the rank position is determined = auction (bidding cost or Max. CPC) x Ad quality (mostly CTR - over 60%); Google Ads (AdWords) bidding system (running shoe example); marketers' role in PPC

PPC PPC ad: Paid ads on a search engine paid ad (sponsored) in SERP There is a cost paid by a marketer every time someone clicks on PPC ad Pricing model: CPC model Question: how is paid search ad position determined? Google adwords bidding system: The ad text position is determined by ad rank score Ad rank score = bidding cost * ad quality score (ex: CTR) 1) bidding cost (mac CPC) Max amount of cost that a marketer want to bid to get a click 2) ad quality score Click through rate (60%), relevance between keyword and ad text (30%), landing page quality, web page content (10%) Ad rank score = max CPC * ad quality score (CTR) Marketers' (strategies) role in PPC 1) select appropriate keywords More searchable keywords by the target consumers 2) create the best ad text More clickable ads (direct benefit) 3) determine the most appropriate bidding cost for a click (mac CPC) 4) keep working to increase ctr during the campaign

CTE 7 & 8

PPC Campaign Planning - CTE 7&8 Client Overview: campaign goal set Market analysis: to identify major challenges and problems Identifying the role of PPC in CDJ Budget Allocation (by campaign and time) Understanding PPC account structure (Campaign, Ad Group, Keywords) Considering competition, seasonality, overall marketing strategy, etc. Generation of keywords, ad groups, and campaigns in Google Ads Understanding consumer needs and select appropriate keywords Understanding basic rules of keywords selections Understanding difference between Max CPC vs. Actual CPC Understanding Google PPC campaigns structure Optimization of PPC performance plan in Google Ads Understanding how to optimize campaign performance estimation Optimizing components to maximize estimated performance Creation of ad texts in Google Ads Campaign running - monitoring, evaluating, and optimizing performance

Privacy paradox

Privacy paradox: the privacy paradox is the discrepancy between individuals' intentions to protect their privacy and how they actually behave in the online marketplace Two issues in digital privacy paradox: Transparency (notice): knowledge Consumer control (choice): opt-in and opt-out

Retargeting: what it is (definition: narrow and broad) and how it works

Retargeting by OBA: a form of OBA by which online ad is targeted to consumers who previously showed intention to buy the brand (mostly by visiting the brand site, searching the brand, opening emails from the brand etc). Retargeting is expected to increase CTR and conversion rate Broad definition: practice of serving ads to people who have previously showed intentions to convert

Which of the statement below is true about retargeting?

Retargeting is targeting advertising to consumers based using data on consumers' previous visits to the advertising brand's websites

Reach and frequency concepts; how to calculate reach (%), average frequency, total ad impressions (reach x frequency

Role of display ad: to increase awareness and consideration by increasing ad exposures (ad impressions) How many people to expose? - reach How many times per person to expose? - frequency How many total exposures? - total ad impressions (reach * frequency) How much cost/budget (common pricing model)? CPM Reach (# or %) Total number of unduplicated viewers (unique viewers) of an ad/total number of target audience * 100 Average frequency Average number of times one viewer is exposed to an ad Total number of ad impressions/total number of unique viewers = ad frequency Total ad impression = reach (#) * average frequency

CTE 6

SEM = SEO +PPC SEO: to increase web link position in the organic section in SERP The link position (relevance) is determined by Google search algorithm (on- and off- site SEO factors) PPC: to increase ad rank position in the sponsored section in SERP The ad position (relevance) is determined by two factors (1: bidding cost and 2: ad quality score - CTR: human reaction)

ComScore data does NOT include the following

Sale data for each advertising campaign.

Why does search engine marketing matter?

Search is the major traffic driver to the brand site (over 80% of online traffic) A brand site visit is a core of brand ecosystem (customer brand experience) and the critical moment when the real consumer relationship begins (cookie file embedment) Interactive brand ecosystem (core: brand website/owned media) SEM (SEO + PPC) First site visit: a moment a (first-party) cookie file is embedded on customers' browser Behavioral tracking begins Real consumer relationship begins in digital marketing Search is the largest ad revenue generating format in digital advertising Over 80% of total search revenue goes to google 91% of google revenue comes from advertising (google PPC)

• Broadly defined retargeting - search retargeting, email retargeting, social retargeting

Search retargeting Serving display ads to people who have previously searched your brands/ product categories (search = signal of intent) Email retargeting Practice of serving ads to people who have previously received and opened your email Advantage: to reduce waste of resending emails to the users who already opened your emails and did not convert (sign of not interested) Social retargeting Practice of serving social media ads to those who have previously visited a brand website or react to the brand on social media FMA: facebook marketplace ads (at RHS: right hand side) Targeting based on users' behavioral tracking data on facebook FEX: facebook exchanges (on newsfeed) Targeting based on users behavioral tracking data from facebook and the third parties

• Retargeting - site retargeting

Serving display ads to people who have previously visited your brands/product website (owned media)

• Targeting method: two types (site-based vs. audience-based)

Site-based targeting Targeting by the publisher site's data (ex: facebook user profile) Demographic targeting: targeting based on site users' overall profile (ex: teenager targeting ad on 'snapchat') Contextual targeting: targeting context that deals with specific topics (ex: insurance ad on 'google money') Audience-based targeting Targeting by individual internet users' browsing history (not the sites' data) IP targeting: ad exposure based on geo-location Time-based targeting: ad exposure based on a specific time a user visits Behavioral targeting: targeting those who show interest to your product (interest is inferred by the users' previous browsing data) (ex: exposure nike ad to someone who previously visited sports sites) Retargeting: targeting visitors who previously visited the advertiser's site (ex: exposure nike ad to someone who previously visited nike.com)

If you are planning a PPC campaign for all lines of sports goods in Nike except that of soccer and volleyball, which will be an appropriate negative keyword?

Soccer

Solution: birth of display ad ecosystem (ad network and ad exchange)

Solution: indirect inventory sales via 3rd party (ad networks/exchanges), which uses various targeting technologies Role of intermediaries: to sell remnant inventory by increasing the value of them using target technology Ad network: sell aggregated remnant inventory by site-based targeting (ex: selling ad inventories of finance section in the network) Ad exchange: sell aggregated remnant inventory by audience-based targeting (selling ad inventories of visitors who are interested in sports)

Understanding searchers - who are searchers? (internal vs. external search): goal-oriented people (SEM is capturing demand that exists)

Step 1: internal search: search inside of the brain Prior knowledge or opinions influences search pattern Step 2: external search: search for information from the outside sources Search engine Searchers are highly target consumers = goal-oriented people "Someone who already knows what they want to know" In CDJ, those not in "awareness" nor "consider"; but in "evaluate" stage

Strategic use of display ad on Facebook: Funnel model in Facebook exchange

Strategic use of data: marketers use different ad platform depending oon data availability and strategic goal FMA: Effective to increase awareness (re)targeting by facebook data FEX: Effective to increase engagement Retargeting by in and outside of FB data

Strategic use of reach (breadth) and avg. frequency (depth) - Total ad impression = [Budget (Cost)/CPM] x 1000 = Reach x (Avg.) Frequency - Basic question to media planner: which reach and frequency are optimal? - With a limited budget: more reach with less frequency (goal: awareness) or less reach with more frequency (goal: engagement)

Strategic use of reach and frequency Budget * CPM = total ad impressions Total ad impressions = reach * avg frequency Reach = breadth Frequency = depth An important question to media planners: How much reach and frequency are optimal? More reach + less average frequency More avg frequency + less reach Reach and frequency optimization Maximum reach and minimum frequency If your campaign goal is to increase awareness Why: many exposures increase awareness KPI: ad impression Pros: reach brader target Cons: not enough to drive behavioral reaction (due to limited frequency) Minimum reach and maximum frequency If your campaign goal is to increase engagement Why: many exposures to drive behavioral reaction KPI: CTR, conversion rate Pros: drive behavioral reactions Cons: reach only a limited target (due to a limited reach)

Basics of SEO (onsite and offsite SEO) - purpose of SEO; how search engine works (understanding 4 steps); definition and examples of onsite (page) and offsite (page) SEO; marketers' role in SEO

The process of affecting the visibility of a website in organic (unpaid) SERP Key of SEO: How to increase relevance between keywords and a webpage component Relevance is determined by search engine algorithm (robot) Question: how is organic search rank influenced by SEO? Understanding how SEO works Ranking: once the search engine has determined which results match for the query, the engine's algorithm runs calculations on each of the results to determine the most to least "relevant" to the given query Key: how to optimize your website relevant to search algorithm in the process How to make your website relevant to the search algorithm: 1) on-page (on-site) SEO: within website components The act of optimizing parts within the website. With good on-page SEP, search engines can easily index your web pages, understand what your site is about, and easily navigate the structure and content of your website, thus ranking your site accordingly Title tag: put your targeted keywords in the title tag of each page Headings (H1): put your targeted keywords in the headings of webpage URL structure: put keywords in URL Alt text for images: put any image as a name of the target keywords Page load speed: google prefers fast loading page Page content: put more useful contents that related to the keywords Internal linking: linking internally to other pages on your website is useful 2) off-page (off-site) SEO: between/outside of the website Act of increasing authority of your domain through the act of getting links from other websites Creating awesome content that people want to link to their website Social media shares of your content that ultimately generate links Outreach influencers in your industry that ultimately link to you Guest posts that will have links back to your site Both link quality and quantity are important; but link quality (ex: popularity of the linked external websites) is getting more importance than quantity *google algorithm is secret, but industry estimate* Marketers' (strategies) role in SEO 1) select appropriate keywords (clarify your website concept) More searchable keywords by the target consumers (searchers) 2) create and post relevant, compelling, and attractive contents (on-page SEO) 3) connect your site to external sources (off-page SEO) *getting higher rank in Organic SERP is extremely competitive!*

What is the media goal of SEM?

To get the higher rank position in SERP

Which is right explanation about SEM (Search engine marketing)?

a. In SEM, marketers can work two areas - SEO and PPC

There are several types of retargeting (broadly defined). Which of the options below is NOT a type of retargeting?

c. Contextual targeting

SEO

optimizing website components to increase site rank in the organic search engine result page (organic SERP)

PPC

paying (bidding) money to increase text ad rank in the sponsored ad section of the search engine result page (PPC SERP) Keyword advertising

Why retargeting: split funnel model (the importance of the first visit)

split funnel model The first site visit is a sign of intention where retargeting begins Retargeting helps marketers keep their brand in front of bounced traffic after consumers leave your website (decrease bounce rate) Split funnel attribution by retargeting Upper funnel (prospecting) - first site visit - lower funnel model (retargeting)

Examples of ad groups of "Coffee" campaign in Dunkin Donuts account are "coffee discount," "cold brew coffee," and/or "Columbian coffee."

true

What is search engine marketing (SEM)?

two types of marketing activities to drive site traffic from search engine, and ultimately to convert from prospects to current customers

Which is NOT true? Google Keyword Planner is a tool that

will automatically set up your campaign goal based on Google algorithm