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IPA analysis reveals GDN benefits to UK search advertising

The IPA Search Group has today (Thursday 2nd February) released a set of results which show that using contextual and audience targeting technologies with the Google Display Network (GDN) text ad format can be a cost-effective way for search marketers to drive additional conversion volumes.

In connection with Google, the IPA Search Group undertook an analysis of GDN text ad performance for UK search advertisers. Key findings include:

• GDN Text Keyword Contextual targeting has a median cost per conversion (CPA) 7% lower than Search in the UK while generating an average conversion volume equal to 40% of the Search conversion volume.
• GDN Text Remarketing has a median cost per conversion (CPA) 55% lower than Keyword Contextual.
• Industry verticals with more intense search auctions have the most cost-effective GDN Text CPA, especially Business & Industrial Markets. Most industry verticals presented a lower or comparable CPA.
• By using remarketing, search marketers can employ the benefits of audience targeting and customised messaging by using text ads. Coupled with low CPCs, especially in some industry verticals with intense search actions, GDN text CPAs can be as cost-effective as search.

These results demonstrate that reaching users with relevance is key to driving performance and can benefit search marketers looking to extend their campaigns. View the full results here .

Says Chris Whitelaw, President, I Spy and Chair of the IPA Search Group: “The IPA Search Group’s core role is to raise the digital standard and to share knowledge among members of the IPA, and through this analysis of the Google Display Network we can highlight to our agencies the ways in which they can make their text advertising more relevant and cost effective to their target audiences.”

Says Kevin Mathers, Head of Media Solutions for Google UK: “The IPA analysis has demonstrated the benefit of GDN text ads for marketers to extend their search campaigns. It has provided valuable insight into the cost-effective results advertisers can expect when using contextual or audience targeting on a text campaign.”

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