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This Edition Connecting With Your Customers Online Green Is Gold Web-based Ad Pricing - PPV, PPC? Demographic Information Resources & Business Planning/Research Resources |
January / February 2008Web-based Ad Pricing - PPV, PPC?Most businesses are familiar with advertising in print media, where ad costs reflect the size of the ad, the number of copies to be printed/circulated and – perhaps – some demographic information about where and to whom the publication will be distributed. How many of the printed copies end up in actual hands, and how many eyes actually see a specific ad are difficult to ascertain. Reflecting the technology, in the case of web-based advertising, the model can and should be different. Ads may still be priced to reflect the size of the display, but because it is possible to precisely track, prices can reflect the actual, measurable number of times a page is viewed. This model is referred to as pay-per-view (PPV). While knowing how many times a page was requested and “viewed” is more accurate than the guess work associated with print advertising - just because a page was viewed does not mean that the ad was actually given attention. Advertising online affords another metric of more value. Prices based on the number of times an ad is clicked on (click through rate or CTR) accurately reflect the number of times that an ad engaged a visitor - was “paid attention to” - and elicited an action. This pay-per-click (PPC) model is used by google or yahoo, and is increasingly becoming the norm for web-based ad pricing.
Need help with Search Engine Optimization, setting up a web-based advertising program? We can help, call 413-499-0607. Next: Shortcuts - MS Word |
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