How to evaluate the effectiveness of advertising

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Contextual advertising (CA) is an important element of any marketing campaign conducted on the Internet, in particular in the search engines Yandex and Google. A potential client sees on different platforms those advertisements that may interest him.
Displaying an ad does not guarantee an immediate deal, but it can increase brand awareness, have a positive impact on the company's image and influence the choice of goods in the future. Therefore, the success of an advertising campaign is measured not only by the number of sales, but also by other important indicators. In this article, we will tell you how to evaluate the effectiveness of an advertising campaign and individual marketing channels.

CTR rate
CTR is a click-through rate metric that reflects the number of transitions to a website after viewing an advertisement. Compiling and analyzing statistics allows you to determine the success of the campaign: the higher the click-through rate, the more users will get to your website. In addition, CTR can be calculated individually for each marketing channel and determine which of them attracts the largest number of users, and which has low click-through rates and leads to losses.

CTR rate.
CTR is used to measure various traffic attraction tools: contextual advertising, snippets, banners, buttons with a call to perform a target action - to subscribe, buy a product or order a service. Comparing the profitability of sites and tools allows you to correctly distribute the marketing budget. The formula for finding CTR:

CTR = (number of clicks / number of impressions) x 100%

A visit to a page is not yet a purchase, so if the main goal was not clicks on azerbaijan whatsapp number database the ad, then CTR is not a decisive indicator when evaluating a campaign. This way, you can calculate the advertiser's expenses, but not the profit they received.

To calculate CTR, use the Yandex.Direct or Google AdWords services. They allow you to track the change in the indicator over time. Most often, CTR statistics are analyzed at least once a month, this is due to the fact that users' interest in a product or service may change and it is necessary to review the effectiveness of advertising materials.

The essence of contextual advertising is to show an ad to the user who is most likely to purchase a product or service. The user's need for a specific product and their intention to make a purchase are determined by the history of their search queries. For example, if a user searched for information about a refrigerator, an ad will appear with a link to a store where it can be purchased. Therefore, the number of clicks relative to ad impressions should be high, and therefore the CTR value. The coefficient is influenced by several parameters:

quality of the advertising campaign (AC);
correct selection of keywords and phrases;
understanding the needs of the target audience.
Cost per click
CPC is the cost per click on an ad. A metric that allows you to estimate the cost of attracting one visitor to a site, that is, the amount that the advertiser pays the site for each effective ad impression. Calculated using the formula:

CPC = cost of advertising placement / number of clicks

The advertiser places creatives in the advertising account and selects platforms for promotion: only search networks or additionally sites of the Yandex affiliate network (YAN) or Google (KMS). After each user clicks on an advertisement, the contextual advertising system records the transition to the web page, and the fee is debited from the advertiser's account.