Over the years, I’ve said that programmatic advertising is a cocaine-like illicit drug that has spread through the marketing community everywhere for the past decade. Like crack cocaine, it is very beneficial to the dealer who sells it and very addictive to the user who buys it. All users know that it is bad for them and will eventually kill them, but they will have uncontrollable cramps if they try to stop buying it. We were talking about cheap ads sold through programmatic channels, not cocaine. Programmatic advertising is highly addictive because all aspects of it provide the high reach, low price, and high engagement that marketers have been looking for.
But the huge “reach” is not from “advertising displayed to humans.” This is because not many people visit millions of long-tail sites that they haven’t heard of, and human use of the Internet, social media, and mobile devices has been flat, or maximized, from 2011 to 2012. This is because it has been going on for a long time. Bot activity, which accounts for two-thirds to three-quarters of Internet traffic, accounts for a large amount of advertising impressions processed over programmatic channels. There are millions of sites and apps that advertise through programmatic exchanges and no one is checking them out. Automatic checks are easily broken by fraudsters. In addition, the botnet used is tuned to bypass detection by current fraud verification vendors.
So what do marketers do? How do marketers kick this nasty addiction? I understand and sympathize with your predicament — impressions, low CPM prices, and clicks have all been reported over many quarters. Reducing the use of programmatic ads that foster fraud reduces impressions, increases CPM prices, and reduces clicks. correct. It all happens when you experience a withdrawal. Below is a three-step plan that marketers used to move from fake digital marketing to real marketing.
Continuously monitor and remove malicious domains and apps yourself
Are you currently performing fraud detection? Did they help reduce fraud? how do you know? I know your answer is yes, yes, and yeah. Virtually every marketer spending money programmatically knows how crap it is, so spending extra money to buy fraud verification in the hope of finding a way out of trouble. I am.However, the current fraud detection cannot detect anything , Error prone Still won’t help you They give you a percentage IVT after the campaign, so the only request you have is to try to get a refund for that percentage. Can they tell me which domains and apps were causing the scam, and how much? Do they explain why something is fraudulent or marked as not fraudulent? Ever wondered why the IVT percentage is always a single digit? Is it because there are really so few scams, or is it simply because most of the scams can’t be detected?
Instead of the “black box” scam detection vendors listed above, we recommend that you do your own analysis for continuous monitoring. Analytics displays details so you can understand if something is wrong, troubleshoot when something goes wrong, see which domains and apps are cheating, and add them to your block list. Or you can remove it from the include list. This way, you can gradually clean up your campaign while it’s running, rather than waiting for a post-campaign IVT report that shows a percentage that doesn’t have any explanation or supporting details. Recall Uber’s proceedings against 100 mobile exchanges for complete fraud. Even if Uber eventually wins the proceedings, most of those scammers’ companies no longer exist — they make money and Uber never gets their money back. We recommend that you clean up your campaign while it’s running. This reduces the flow of funds to fraudulent domains and apps and increases the flow of funds to better domains and apps.
Most people can’t stop cocaine, and they can’t smoke “cold turkeys” for that. You can’t stop buying programmatic ads overnight. However, you can gradually clean up and improve your campaign. Running this process will reduce the number of impressions you buy, increase your average CPM price, and reduce your clicks. This is because we are reducing fake ads that are displayed to fake users on fake sites that use bots to generate fake clicks. Therefore, we have modified it to make the analysis more realistic. Keep in mind that rising CPM prices are not a bad thing when buying ads with a real publisher with a real human audience. Also, a low number of impressions of an ad you buy, or a high price, does not mean that the cost will be high because the overall cost will be low. It also spends less money on ads displayed on your bot in the process.
Modify KPIs to use reliable result metrics
The next step in kicking off bad digital marketing habits is to update KPIs to focus on results. This seems painfully obvious. However, too many marketers rely on easy-to-measure quantity indicators such as impressions and clicks, and still report (see ANA survey results above). They lost sight of the actual measurements of business outcomes. Marketers know that “conversion” is the most important KPI, but the most used KPIs are CPM (“cost per 1000”), CPC (“cost per click”), reach, and site visits. Vanity metrics such as. Using these metrics encourages bad behavior (buying more quantities at lower prices from programmatic channels) rather than real publishers with a real human audience.
Some marketers say it’s difficult to tie digital ads to results because they don’t sell anything online. For example, when selling shampoo in a physical store. Media agencies also do this all the time. Send an Excel spreadsheet to your clients every month showing the number of impressions you purchased, your average CPM price, and your clicks. None of these have anything to do with business outcomes. Especially if you find that ad fraud is the cause of large numbers of ads, low prices, and high clicks.
Marketers who don’t sell directly online can choose a good surrogate metric. For example, medical device manufacturers have relied on patients who go to offline clinics using certain types of LASIK. In fact, it was difficult to link offline visits to online marketing activities. So they chose the proxy metric — did the user click on the ad, do a zip code search on the site, and click on the list of local LASIK clinics? The two-step metric (zip code search and click to local clinic website) was a reliable result metric because the bot had no incentive to perform these two steps. Therefore, the activity of the bot did not ruin the resulting indicators. Therefore, it can be used as a reliable proxy for the expected results in the real world. Each marketer needs to identify the actual outcome metric or trusted proxy for the outcome to use to determine the effectiveness of digital marketing programs, especially programmatic campaigns.
Much fewer clicks can mean much higher actual results. These previous clicks were from the bot anyway. And the bot doesn’t convert. You may find that by paying a much higher CPM, you buy much less ads, more results, and lower overall costs. You won’t know until you update your KPIs to focus on real-world business outcomes rather than vanity and quantity metrics that were easy to report on.
Optimize for actual business outcomes
Finally, once you’ve set the right KPIs, you need to optimize your digital marketing efforts to maximize results. Again, it’s painfully obvious. However, many programmatic advertising marketers have optimized “increased engagement,” that is, increased clicks and “increased cost efficiency,” that is, lower CPM prices. What they unintentionally did was send more money to sites fueled by CTR bots (bots like to click on ads, but humans don’t). .. Also, because only these sites can sell ads at very low CPM prices, they have allocated more budget to fake and fraudulent sites. Real publishers, where real journalists and editors create real content for real people, can’t sell ads at very low CPM prices. Therefore, paying a higher CPM on average by purchasing from a better site means that more ads will be displayed to humans. It’s the only way you can get more business results. Obviously, everyone knows that the ads that appear on bots do not drive business, even though they promote a significant number in monthly Excel spreadsheets.
The question is, are you doing digital marketing or are you paying a lot of money in spreadsheets? The more optimized the results, the less money you will buy from the programmatic channel. They drive huge reach, low prices, and clicks, but they don’t drive better business outcomes for advertisers. Reach is reduced, CPM prices are increased, and clicks are reduced. But you will see rising business activity and results. It’s hard to kick bad digital marketing habits. And it takes time. However, if you follow the three-step process above, you can get out of this addiction and return to health and real marketing.
I’m optimistic that you can do it.