How effective is Online Advertising?

When people talk about advertising, 9 out of 10 they’re probably referring to online advertising. Online advertising has proven to be extremely profitable both for small and large businesses. Reports indicate that around 95% of Google’s revenue comes from online advertising. That’s saying something! The average person is served over 1,700 banner ads per month but only half of them are ever viewed. However, businesses have sharpened their tools and are filtering the Ads that are not being viewed. Responses generated from non-viewable ads were filtered out and only the good stuff was retained. By doing so, businesses have managed to improve brand lift by 31%. To know more, check out the following infographic on “Effectiveness Of Online Advertising– Statistics And Trends”.

Effectiveness Of Online Advertising - Statistics and Trends

Some Facts:

  • Only 8% of internet users account for 85% of clicks on display Ads.
  • Click rates for display Ad campaigns average only 0.1%, which means that only one in a thousand Ads in a campaign is clicked.
  • Overall average in-target rate is 44%, with significant variance seen across product categories
Category %age in-Target
   
Computer /Technology 64%
Telecom 60%
Travel 53%
Media/Entertainment 52%
Auto 50%
Finance 46%
Health/Wellness 42%
Retail 42%

 

Percentage In-target by Age and Gender

Male Female
Age %age Age %age
       
18-34 42% 18-34 35%
18-49 45% 18-49 43%
21-34 33% 25-49 37%
25-34 33% 25-54 36%
25-49 32% 35-64 31%
25-54 42%    

 

Overall Average In-view Rate Is 46%

Category Average In-view Rate
   
Travel 49%
Health/Wellness 48%
Computer/Technology 47%
CPG 47%
Media/Entertainment 46%
Retail 45%
Auto 40%
Finance 40%
Telecom 36%

 

  • On average, 4% of Ad impressions were delivered outside the intended geography.
  • 72% of campaigns had at least some impressions that were delivered adjacent to inappropriate content.
  • Non-human traffic, including fraud, ranged from 4 to 11%.

How People Respond To Online Ads

Response Type %age
   
By clicking on the Ad 31%
By searching for product, company or brand 27%
By typing company web address in their browser 21%
Researching more information about a product 9%

 

stop CRO frustrations
 
  • Over 70% of marketers fail to target consumers with behavioral data.
  • Nearly 60% of digital video advertisers lack tools and timely data to measure digital video campaigns.
  • Nearly 75% of respondents listed viewabilty and brand lift as the metrics that would most influence digital video advertising tactics
  • More than 80% still currently rely on impressions and clicks to measure digital video Ads
  • “Mid-roll” video ads placed in the middle of a video had the highest completion rate of 97%
  • “Pre-roll” Ads placed in the beginning and “post-roll”ads placed in the end yielded drastically smaller completion rates (74% and 45% respectively).

20-second Ads had the least completion rate of 60% in our data set, with 15-second and 30-second Ads completing at higher rates of 84% and 90% respectively.