The trend of Video seeding and yearly-CPM (y-CPM) as an efficiency metric

Martes, 16 de Junio. 2009 por editor

Os paso mi columna de hace unos meses en versión anglófona.

As a result of the campaigns carried out by addoor during the last weeks, I can already add another nuance to the fact that the communication actions in the field of Social Media keep generating impacts during a long time after the ¨campaign period¨ has ended; that’s why it’s better to plan actions for a minimum period of, at least, two to three months. For this reason, in Social Media, metrics that cross cost with efficiency (like e-CPM or effective CPM, or e-CPC or effective CPC, usually measured at the end of the campaign), are dynamic; if you have paid a fixed price for a viral marketing action, time will make it more profitable, because impressions and clicks are still being generated making CPM or CPC prices decrease.

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The two screenshots taken from the adserver illustrate this quite clearly. Two modest campaigns, one with 20 “references” (or “mentions”) and the other with 10 “references”, demonstrate how the impressions generated by these viral references spread throughout a typical month. This is yet another example of a long tail of impressions after the “peak day”. The typical structure is: a few initial references are made, the virality and concentration of the references is achieved, and afterwards the “adver-contents”  are still available to users for many months. In other words, internet users will still be seeing them, commenting on them, forwarding them; therefore generating advertising efficiency.

In the examples above, 40,483 and 20,542 impressions have been made in 30 and 12 days, respectively; with a steady average in the last few days of 635 and 816 impressions a day, that will continue steady (thanks to traffic generated through Google) over time. This counts for about 209,000 additional impressions in the next 11 months for the first campaign, and 269,000 for the second one. If, for example, the first campaign would have cost 3,000€, taking in account only the impressions of the first month, the y-CPM would have been of 74€, while adding the following 11 months, it would have been of 11,9€. And if we add the following year, it would be even less and so on… and all of this with just one format, references or videos, containg more information and credibility than the classics. An essential complement for any banner campaigns. Profitable, isn’t it? :-)

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I would like to use the last lines of this month’s column to say THANKS for their trust to those clients who let us experiment first and explain later. They tend to be of a very determined profile, apparently more chaotic in their proceedings, but because they work as whirlwinds, they are able to force the stiff corporate structures and make innovative and effective changes. Gentlemen from the Board of Directors, bring these kinds of managers to your companies as the heads of your marketing departments! They make their suppliers suffer a bit with their demands, but they also force them to improve; as they contribute to keep the innovation wheel running. Nonconformists, welcome.

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