Thursday, April 10, 2008

Thoughts on Media Optimization

I was glancing over one of my favorite Marketing & Advertising publications, Adrants, and I came across this article with an interesting perspective on media optimizations. The name of the article was Media Optimization Has Trumped Creative Optimization. The theme of the article spoke about how we, as online marketers, are forgetting the importance creative plays on the success of our campaigns with flaws in our campaign implementation, thus limiting our ability to gain learnings from a creative standpoint and act swiftly to optimize based on those results.

This brings up a good point, but before I give you my perspective on the subject, let's quickly define what it means to optimize an online campaign and some best practices. The definition of optimize means to "make as effective, perfect, or useful as possible". So, as direct marketers, we are responsible for driving desired actions as cost-effective as possible. We look at "Cost Per" metrics (CPA, CPC, CPM). We look at frontend and backend response rates (CTR, Conversion Rates). We also look at post click activity volume and traffic trends. As mentioned, based on these learning, we swiftly make adjustments.

Getting back to the article, technology has come so far to do some of the work for you. By setting rules within an adserver, the campaign will be delivered and optimized in real-time based on the aforementioned factors. This still does not cut out the manual aspect of going in and using your expertise to make the necessary tweaks.

In an ideal world, the online marketer can let the campaign ramp up and gain data to evaluate. Again, in an ideal world, the progression of optimizing a campaign would start on a creative level, then placement level (even certain creative on the placement level), and then if that fails, then the optimization would be done on a site level, which is another way of saying cancel the site.

Unfortunately, we may not have the luxury to follow this progression. A site is going from bad to worse, and your campaign goals are dots in your rear-view mirror as you head towards CPOutofcontrol. So, getting back to the question, Has Media Optimization Trumped Creative Optimization? Unfortunately, I think it has, and in many cases, by necessity to keep our promise to our clients. The promise as direct marketers to deliver conversions as efficiently as possible, and as a result, it requires us to skip steps one and two, and have the conversation that nobody likes to have with our new test partner. Let's face it, it's more work for us to start and cancel a campaign, then to start a successful campaign and let it run. But, if all campaigns were a success, then Media Two wouldn't need 48 hour out clauses.

Lastly, the article fails to mention two addition factors to rolling out a campaign with "10 or more versions of a creative unit" to go along with the incremental cost. Good design is time-consuming, which can easily become a bandwidth issue. The benefit of Media Two versus other shops is our ability to meet agressive deadlines, but creativity doesn't happen overnight. And once the concepting is done, getting your assets through the client's legal team is a full-time job in itself. My best advice is to plan ahead. Start concepting for Q3 now...sound crazy? Save yourself the headache and trust me.

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1 Comments:

Blogger John said...

A while back, I had a conversation with a colleague of mine that works on the Blockbuster.com account. His main focus when optimizing is negotiation...of all the moving parts of a campaign(creative response rate, conversion rate, etc), the aspect of the media buy that will have the greatest impact on your back-end results (ex. CPA) is optimizing your cost. "First get your cost down by negotiating with the pub...and assuming your CTR and Conv. Rate stay constant, you can easily cut your CPL in half, without doing much of anything". I never looked at it that way...I mean yeah you always try and get the lowest cost possible, but I never thought to "optimize your rate" prior to optimizing creative. This may be old news to some, but I found it interesting.

April 14, 2008 1:21 PM

 

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