Digital ad: web metrics vs. impressions and click-through

Media companies like to monetize special areas of their websites by co-branding them with their advertisers.  It wouldn't be fair to hold these sponsorships to the same performance standards as one would expect with banner campaigns.  Nevertheless, advertisers come along after the campaign and demand metrics.

Web page metrics are not calculated in the same way an ad server would measure impressions and click-through rates for banner campaign.

The best way to manage this post-campaign misery is to spell out the standards up front, in writing and in conversation.  It must be made clear, provably, that simple web page sponsor graphics aren't for everyone, that impression and click-through data cannot be tracked or reported.  If the advertiser recognizes the value of associating a particular web page and do not require performance metrics, only then should they consider placing an order for these areas.

Knowing and fully understanding this, g ahead and ask for pageviews for a given page.  If it's not possible for the target web server to obtain referrer data, then you'll have to guess what a possible click-through range might be.

Where do you start when it comes to estimating click-through rates?  A Michigan State University study reported the national average click-through rate is between .2% and .3%, but are largely affected by the quality and relevance of the ad, value of the offer or promise and other subjective factors.

iMedia's Andrew Stern gives great advice to AEs and advertisers in his article 8 ways to improve your click-through rate.

Off the fence

Those that follow politics know that former Gov. Mitt Romney was well established as a frontrunner in the 2008 Presidential race leading the Iowa State Fair in August of 2007, by which time Law & Order star Sen. Fred Thompson had not yet announced his candidacy.

Heading into March Madness 2010, nearly all of the 2012 republican field is in place, although none are frontrunners.

The historic timeline will be drilled by talking heads over the next six months and the twelve months that follow will see regulars' eyes glaze over in rhetorical overload.  But the Ames Straw Poll is still a half year out.

So who will the players be?  Former Arkansas Gov. Mike Huckabee can't balance his TV & radio gigs with a real candidacy, so he's waiting in the wings.  Rick Santorum made his way here some months ago, but was skiddish about undertaking the role.  Sarah Palin is on the lips of many teapartiers.  Michele Bachman, Tim Pawlenty and others have streaked through the Caucus state recently.  But none have impressed the party yet.

So who's it gonna be?  Romney will fair no better this round than last.  Palin couldn't pass gas here, much less the muster it would take to win Iowa.  With Huckabee aligned with Bob Vander Plaats, he appears more concerned about stopping same-gender marriage than child rape.  It appears no one, at this point, is willing to boldly pursue the Presidency.

Streaming radio pitted against Pandora

As the country's most formidable broadcaster of online streaming radio -- that is the company that actually provides the network bandwidth to the stations -- releases its audience metrics, some are comparing radio to a ubiquitous music provider, a measuring stick that doesn't get to America's economic momentum.

The leading provider of local information in the US, the one that gets consumers on their daily commutes,  is radio.  There is no more relevant ad placement for local business, the very engine that pushes the US economy.  Yet analysts are suggesting that the national brand may play a more critical role for advertisers.

While that may have the potential for significant impact for national brands like Pepsi and McDonald's, Big Tomato Pizza, a Des Moines brand, would find itself drowning in a sea of clutter if it turned to Pandora for its recognition.

They say all politics is local.  While the subjects of politics and local business differ substantially, the reason is identical.  The only thing that matters to local brands is local clientele.  And the best way to reach locals is through local media.  And nobody does local media better than Clear Channel Radio and its bevy of local streamers.

In our city, the number one source of online information is the local CBS affiliate.  By chance, it happened to step up to the plate in sheer manpower from the outset of the Internet boom of the 90s.  They had the staff and resources to assign the task of producing local content.  As marketers, we recognize that the first cows to the trough are the ones best fed.  But the truth in American media is that TV is the second biggest loser when it comes to lost audiences -- right behind all things print.

The most valuable player to local businesses is radio, whether the digital product or its terrestrial counterpart.  And that's why Clear Channel is still the biggest competitor to TV in local markets.

So you may break down the comparison between Pandora and everyone else in American media all you like; you can't hide the relevance of local online streaming media powerhouse Clear Channel Radio.

U.S. National Debt Clock : Real Time

While the budget deficit is slowly being reduced, the country's debt continues to climb out of control.

U.S. National Debt Clock : Real Time

State Fair Race Riots

I find it awkward watching and listening to accounts of the state fair race riots from outlets clearly practicing revisionism. Some absorb and report watered-down police propaganda without challenge. They refer to the incidents as "Fair Fights". I'd like to know in which universe an assault is referred to as a fight.

Don't forget more than a week passed between the events and the news reports.

We know the assaults were done by one racial group and the victims were of another. When a group of similar racial makeup that bands together and travels to another neighborhood for the common goal of deliberately assaulting people of another racial makeup, that's racial violence. In fact it's a riot by any definition. Numerous witness accounts, backed by at least one police report, articulated scenes with knives, fists and chants of "beat white night", a racially-flavored nod to "east side night". Fact or fiction? I think the evidence is compelling enough for the media to report it in that way.

I've spend hours listening to, reading and watching the evidence and I'm convinced that we have an issue that is hate-based and morally deprived -- and not one to which adding five squad cars is the appropriate police response.

Hate is primal and no "conversation" will quel the anger. What fuels this violence is not as important as the resolve with which it is met. We must put a brick wall between the attackers and the innocent population. We must smack down the agressors swiftly and painfully.

Police Chief Judy Bradshaw says the violence was random and unplanned, adding (after prompting from one reporter) that things just "got out of hand". These members of the community would be well advised to remember whose interests they're indentured to serve.

People want to spend too much time analyzing the root causes. I don't care who hates who enough to cause the violence. You can have conversations and discuss all you like, but when someone's rights are violated, we, the members of this community, must compel an end to it quickly and effectively, by whatever means or force necessary.

To the leaders: end the crime now and worry about feeling good about yourselves later.

Des Moines Police investigating one of its own

Reginald White was arrested for his involvement in the Aug 14 state fair riots. "Reggie" White is a Hoover basketball player, along with Dwight Sistrunk, whose mother is Lillie Miller-Sistrunk, Des Moines' first African-American female police sergeant, who asked White's arresting officer to reduce his felony charges (assault with injury) to a misdemeanor and be released. When the arresting officer declined that request, Miller stated she'd bond White out herself, which we've
now learned she subsequently did.

Are cops cost-effective?

I was shocked to discover several fallacies regarding North American law enforcement in reports, studies and court cases. One of the more notable ones is the general belief that a police department is thought to be a good investment.

A well foot-noted document by Roger Roots studied the constitutionality of cops generally, and along the way made some significant discoveries about costs, titling the section, "COPS NOT COST-EFFECTIVE DETERRENT".

Now that's a pretty blatant statement and one I'm sure most citizens would take issue with. So rather than simply trust the data at wholesale, I looked at Des Moines' police department budget for 2009 in search of some guidance on the issue.

The average cop's annual salary exceeds $100,000, not including side jobs where they act as security guards at convenience stores and bars.

What's an arrest worth?
I found, for instance, if you judge police effectiveness on arrests alone, they come at a cost of nearly $4,000 each. Pretty startling.

Cost of protection
If you'd rather look at the economic impact of police on residents of our city, cops' fees in relationship to the average family of 5 are $1,400 per year.

It's unnerving to realize that the police need more than $100 a month from every family. $150,000 per square mile every month? No wonder the government no longer wants citizens to police their own neighborhoods. And it makes me curious; can I look at alternative service providers? Will they guarantee that me and my stuff are safe? It's odd that we hold the cable company to higher standards than we do the police who have sworn to protect us.

Another well-promoted and self-perpetuated fallacy is that police work is extremely dangerous -- except that the numbers don't support the perception. A recent news story marking the 75th anniversary of the Iowa State Patrol had the number of killed state troopers since 1935 in the single digits. Construction is a far more dangerous job, but you never hear that on the evening news.

These things make you wonder how charities - that function solely for raising money for families of killed police officers -- manage to hoodwink their donors into coughing up cash.

Realty Market: Local broadcaster paints positive picture of Midwest real estate market, citing "new report"

If you watched the news on Channel 13 last night, you saw Erin Kiernan give the glowing housing numbers. She said Midwest sales figures "jumped 10%" compared to an 8% increase nationally. Kiernan also reported that prices increased by a percentage point and that the National Association of Realtors attributed the "spike in sales" to the $8,000 federal tax credit.

The story never mentioned the author of the real estate report, but it's fair to assume the figures were carefully crafted by the N.A.R., a national group that represents real estate professionals, and then regurgitated on the late news.

Localize!

Journalists are often encouraged to put a local angle to national stories to make them more relevant to audiences. In this case, however, no such work was done. In fact, had 10 minutes been invested in some basic research, we'd have learned that things aren't so bright in the metro, where average February sales are off 15.5% from last year and the total sales are down nearly 19%, fueled by 59% fewer transactions.

And in the last 30 days, sales were down by 39.4% over the same period last year and the number of sales represented only 41% of last year's figures.

The housing story doesn't appear on the broadcaster's website.

Polk County Residential Deed Sales - by the numbers

02/23/2010 - 03/22/2010
Qty: 283
Average Sale Price: 141,504
Total sales: 40,045,690

02/23/2009 - 03/22/2009
Qty: 479
Average Sale Price: 138,083
Total sales: 66,141,700
-------------------------------
02/01/2010 - 02/28/2010
Qty: 374
Average: 126,291
Total: 47,232,820

02/01/2009 - 02/28/2009
Qty: 394
Average: 147,673
Total: 58,183,220

Saylorville: A ticking time bomb?

I'm not a hydrologist or meteorologist -- or even and engineer, but I can read a chart and I see an unusual and scary trend.

The river basins that feed Midwest rivers received up to 400% of normal precipitation throughout the fall and winter months. Couple that with below average temperatures, particularly in February, the stored water potential remained stagnate until the spring melt, and that contributed to record water levels in the Rock Island District. Water at the Saylorville Reservoir has elevated to levels far above those recorded in 2008 for the same period, and heading into the spring shower season.

In 2008, Saylorville had reached 840 ft by mid-March and had begun to fall. This year, we see reservoir levels 25-30 feet higher at mid-month and continue rising throughout the month, with an expected volume to reach capacity -- leaving no room for additional precipitation in the watershed without overwhelming flood control systems.

In both 2008 and 1993, Sayorville was a lot lower than it is today, yet we still saw record flooding in those years. In fact, the lake hasn't been anywhere near this high in the 33 years of historical data on the corps' website. Most years right where they like it, at about 836 ft.

That has to have local officials at least a little nervous. But I haven't heard anyone ask the question that begs asking: what will Saylorville look like in June if it reaches capacity by the end of March?

Socially speaking

I just read part of an article from yet another social media expert.

That's right, part. Why? Because I could spend all my time reading peoples' expert advice, so filter by disregarding those that come with an invitation for a free seminar. That may seem arbitrary, but I tend not to trust advice from people who are pretending to give it free while actively tossing me a sales pitch.

So as soon as I spotted the pitch, I quit reading and started to write a few thoughts of my own.

The article actually touched on a sensitivity of mine. Social media in the corporate world. I am turned off by blatant advertising disguised as conversation in social media. I tell people to either engage in open, honest discussions about issues you're passionate about or, if you have something to sell, just buy a targeted ad on facebook or promote a video on YouTube or get some adsense.

Lately I'm seeing a lot of local companies -- or principles of same -- following or friending media accounts or fan pages only as a way to publicize paid events or to sell products. For a small business whose reputation is critical, that's a bad idea. You end up alienating the very base you need to impress most.

I imagine these people are accepting free advice from veiled snake oil salesmen. The advice? Follow, link with and friend as many high profile entities as possible and get your message out there often -- and damn the consequences. To me, those people give off the same aroma as the pyramid schemers of the seventies.

My best advice is to get out there and socialize like you would normally, in a way that suits your own personality. Be authentic because your prospects can smell phonies. And when it comes time to make a pitch, don't disguise it as a "conversation"; buy the ad unit.

If you value your wares, then respect people enough to be able to judge them on merit in the light of day.

Slicing up billboard audiences

We've been seeing new digital billboards popping up along the city's busy thoroughfares and they're getting lots of attention from local and industry media.

The safety concerns are obvious: as electronic billboards become more attractive, they become more distractive to commuters. That's common sense. The very idea of targeting the commuting public flies in the face of all traffic safety initiatives. And although some state laws are prohibiting animated, moving or flashing campaigns, the wholesale concept of taking drivers' attention from the task at hand is a dangerous one.

On the other hand, the outdoor advertising market has been hit hard by the economic slowdown, so the outdoor industry is struggling to innovate. And in the digiboard, they've found some new life.

But in claiming "more advertising opportunities", they're making a very thin slice of the audience even thinner. Now instead of knowing your image will appear on a busy highway 24/7, you now only get a few seconds.

The advertising market is clearly heading for a state that's so fragmented that the only survivors will be large corporations who are in a position to use duplication and automation technologies to multiply thin local profit margins into usable revenue on regional and global scales. In that vein, there's no economic benefit to small businesses, nor the local community at large.

The fact is that what's bad about billboards is even worse when you digitize them.