Display traffic comes from one of the most common types of advertisements we can see around the web.
It is usually obtained by placing banners or text ads on websites, called publishers.
Publishers often work with advertising networks, which manage the ads that are displayed within their web pages and are responsible for intermediating to get advertisers who buy that advertising space.
We, as advertisers, need to provide the ad network with our ads and make a selection of where we want them to appear to attract the most relevant visitors to our offering.
This type of traffic also goes through the AIDA process from attention to action (click). Usually, ad networks will give us the option to pay for every thousand impressions or a thousand times that our ad is shown to a visitor (CPM model) or for each click on our ad (CPC model).
Even paying for our ads on a cost-per-click basis, we have to keep in mind that ad networks will evaluate the performance generated by our campaign based on the revenue they receive for every thousand impressions. This means that if in CPC, our ad is not attractive enough and does not generate many clicks per thousand impressions, the network will raise the cost per click we will have to pay to show our ad, compared to other advertisers who are bidding for the same ad space.
In short, in both the CPM and CPC payment model, it is very important to make attractive and eye-catching ads, so that the cost per action (click) is the lowest for us.
There are several types of display traffic, for example:
Coming from ads on social networks: posts, videos, tweets. It has the advantage of being able to profile very well the public to which to show our advertisement.
Coming from the Google Display Network, advertisements located on websites inscribed in the Google Adsense program. It has the advantage of being able to outline the search that has taken the user to the web page where our ads will be displayed.
Coming from native ads: sponsored articles that pretend to have more content than a blog. They have the advantage of integrating nicely into content networks and not looking entirely as ads.
The most important components of display traffic that we must know and monitor are:
- Each of the ads we use to attract traffic, made up of images and / or texts
- The publisher or website from where the visit comes
- The cost per thousand ad impressions or CPM
- Cost per click or CPC
- The CTR of each advertisement (click-through rate) or percentage of visits that click on the advertisement among all those who are shown
- The actions (sales, records), also called conversions, that have generated each keyword and ad
- The income we get for each conversion
- The cost or what we paid for each conversion
Using the above data, we can calculate at all times the return that our display traffic campaign is having using the following formula:
ROI = (Total revenue generated by the campaign / Total cost of all campaign clicks).
Have you used display ads for generating your campaigns traffic? Share your experience in the comments below!