Metrics are some of the most critical aspects to consider when evaluating an advertising campaign. These numbers will tell you whether your strategy was successful or not. There are many terms to consider in this spectrum, including the “Ad Impression Ratio” term.
The following article will outline what the ad impression ratio metric is, as well as what the best way to value your impressions could be based on your current marketing strategy.
What Is Ad Impression Ratio?
First, let’s cover the “Ad Impression” term. Overall, when we walk about ad impressions, we refer to the number of times that a web page or ad is loaded and viewed by someone else. In other words, each time someone loads and views a website, that counts as an impression.
However, keep in mind that the fact that you successfully displayed an ad doesn’t mean that the person will interact with it. Now, the ad impression ratio takes the number of ad impressions that someone sees for the first time on a particular day and compares it to the total number of impressions.
It’s vital to note that impressions aren’t the only part of the equation. If you truly want to see results in your marketing campaign, you must also pay attention to clicks and conversions.
Clicks and Conversions
Some people label clicks as the most important part of the advertising process, and for good reason. Every time someone clicks on your ad, that’s considered a click. Once the person clicks on the ad, they will get redirected to another website in hopes of getting a sale or conversion.
As mentioned before, the fact that your ad was seen by someone doesn’t necessarily mean that it will convert to sales if they didn’t click on it. On the other hand, conversions are the goal of every marketing campaign, and they could represent sales, capturing leads, getting downloads, signing up for an email list, etc.
How Does Everything Work Together?
Typically, you will get more impressions than clicks since not everyone will be eager to click on your ad. In this case, the best thing you can do is use the Click-Through Rate (CTR) to divide the number of clicks by the number of impressions you got.
If you get a high CTR, this means that your advertising campaign is working efficiently and may lead potential customers to conversions and sales. On the other hand, if you’re getting a low CTR, you may need to change something about your current ad structure so that it’s more appealing to the potential customer.
Another metric that allows you to determine which area you need to focus on the most is the “Profit per Impression” (PPI) metric. Here, you will take the profit you generated from your advertising campaign and divide it by the number of impressions you had to get to get to that number. This will allow you to see if the number of impressions was enough and valuable to help you get what you got in profit.
Logically, if you get a high PPI, this means that your advertising campaign is performing as it should, and you should only keep monitoring everything and make slight tweaks every once in a while.
While the ad impression ratio is important when measuring the success of your campaign, you must also consider all the other factors that make up the campaign. The golden rule to being successful with your ad campaigns is to never stick with the same thing forever.
Try to change things up a bit every once in a while so that the content feels fresh, new, and engaging for the potential customer.