-Abstract from our CMO’s conference last week at the Property Portal Watch European Edition-
For those of us who are used to investing in conventional media such as TV, print, or out-of-home there is one thing that differs from digital advertising. The question of what is the conversion of a TV ad has never been on the table, or if the cost per lead of an ad in a magazine is above target. Those issues are directly related to digital media.
In digital media everything can be measured yes, but many times we are overwhelmed and confused by the amount of data or level of detail we can get into. Especially as technology evolves and we are able to measure and analyze more and more things. The question is, what is behind your advertising investment really? How do we know we are making the most out of it?
Getting the most out of your investment is not getting everything you can possible get (a lot of traffic, a lot of leads leads, at low cost and oh, on target). It’s about getting most value out of it. For a performance-oriented company as ours talking about value seems a bit off topic. Still, we manage to build value for our clients through our layered Ad Services Solution; Each layer working for a specific objective and enhancing it through technology, each layer contributing to make our solution greater. Those clients who work with us are seeing that as our relationship grows so does their business. But those clients that merely want volume from us get it, yes, but there is so much more we can add on top of that.
The core of our solution is Volume, because as we have managed to centralize classified ads from most players in the market we have become quite an important source of traffic for many of our partners. The one difference between traffic coming from Trovit or that from any other source is intention. Users that come through trovit are hot prospects because they are actively searching and have manifested interest interested in a specific listing. Our users are in an advanced position within the search funnel.
As we have grown as a company, so has our product. It has evolved to adapt to users’ needs allowing them to access Trovit anytime, anywhere. Mobile actually represents more than 50% of our global traffic, so as we have learned to anchor our presence in the mobile space, we have also helped our clients develop their business and performance in these channels. Accessibility in whatever platform and in whatever device.
With thousands of ads from thousands of websites and with anchored presence in different devices and platforms we have come to have a quite complete vision of the market. This comes with a fair big amount of data generation. We process data from ads, from specific markets, from specific clients, from user behavior… and we turn that data into actionable insights for our clients. This is what we call Intelligence. We help our clients understand their position in the market, identify opportunities, and develop their business according to their specific needs. As our Ad Solution grows in layers, we are also growing in quality: a better understanding and a better use of resources.
The natural evolution of a performance-based solution as ours is not only to turn data from interaction into insights, that’s the “easy” part. We can go one step forward, helping our clients not only achieve their goals but maximize their performance. We’re talking about Conversions. The use of a 1×1 pixel may not be new, but I’d like to enhance the benefits of how ours contribute to generate value for clients.
The first thing worth mentioning is that you don’t need to be a client to have access to all performance data out of your listings (I guess this is a difference with other players). The second thing is: We know how our users behave in our environment. We know our channel upside down, inside out. By understanding how our users behave once they arrive to our client’s site, we are able to predict how whatever action we do in our site will perform in theirs.
This is exactly what happened with one of our clients in Brazil: We initially thought that what was best was to concentrate the campaign budget in most important cities as that was giving us greatest volume of clicks. By adding information on how our traffic converted on their site we realized that what actually maximized performance was to diversify budget in specific geographical areas using a higher CPC, giving us lower volume of clicks but higher overall conversions (+20%) and at the same time achieving a lower overall average CPL (-10%). This proves that sometimes segmentation campaigns with higher CPC can help us achieve a lower overall CPL. Without the conversion pixel, this is practically impossible to predict.
Why is that? Faster implementation of our optimization tools allowing to reduce the time-to-target CPL. Also, as we are “inside the machine”, we can apply intelligence to identify new opportunities beyond numbers such as understanding which segments convert most and quantify growth potential. Websites have access to a lot of data, we help you make sense out of it. Lastly, we can predict which of our users are more likely to apply on our client’s listings and target them outside through display advertising (Retargeting). This can deliver a good amount of new users to websites, and not only to retarget those who have already visited us.
So again, what is behind your advertising investment? How to make sure you are getting as much as you can from it? Think back to value. Make sure your objectives are well set and that you allow technology to develop as much as it can to reach them. Use data to make decisions and to identify room for growth and improvement. But above all, make sure you partner and share data with those who can help you go the extra mile. In digital everything can be measured, but without data, we are still working half blindfolded.