Notes for midterm and more Flashcards
Why go digital?
- Consumers are online more than ever.
- Firm productivity can be significantly improved by digital tech and data analytics
a). Better promo effectiveness via SEO
b). Better engagement between firms and customers via social media
What is Digital Marketing?
The offering of value to consumers and society through digital means
Search Advertising (behind the scenes and results)
Each search has a hidden auction, the winning ads are displayed on the top of the result page.
Display Ads (intro)
The advertising content you see on publishers’ websites ex: dictionary.com.
Once clicked it will direct you to the website.
Sold by slot (You can see two display ads on the same website (versus SE ads that are sold in the same bid)).
Social Media Marketing (purpose and aspirational trickle down effect)
Companies try to humanize brands, increase trust, and make them more approachable…. to reach certain business objectives. Allows users to generate content to help the firm achieve objectives.
How is digital marketing different?
and downsides
Legal issues with privacy and GENAI, more measurability, sometimes more annoying/invasive,
How is digital marketing the same?
Still trying to communicate a message, should be engaging and effective.
Internet penetration rates
70-75% worldwide
96% in the US (65+ age is fastest-growing segment, although other ages use them most).
Demographics, App usage, Ages, etc
takeaways?
Teens’ Top Used: (Youtube, Tiktok, Instagram, Snap)
Income increases: less usage of social media apps
more cellphones(mobile) than computers
TAKEAWAYS: should compare their demographics and platform usage to determine if they are using correct platform for their target audience
Consumer Purchase Funnel/Loop
- INITIAL CONSIDERATION Needs are triggered (ex: heavy snow triggered interest in snow blower)
- ACTIVE EVALUATION Research, evaluate brands
- MOMENT OF PURCHASE Ex: buying online vs in person, used or new…
- POSTPURCHASE EXPERIENCE Determining if you like it, review, builds expectations based on experience
Initial Consideration stage, who/what will trigger this?
By consumers: external factors triggering needs (ex: pregnancy leading to buying baby clothes)
By traditional media
By digital media
Active Evaluation stage
now vs before and effects
Search in the offline world (talking to people, calling, visiting stores,) … not effective. Still, prices aren’t that low since brands can differentiate themselves. Increase switching between brands.
Internet facilitates for info search: you can determine reasonable prices since consumers have all that info.
consumer behaviors during active consideration stage
Reviews influence purchase decisions
Showrooming: examining products in-store and then purchasing online
webrooming: research online and buy in person
Mobile grocery shopping example in Korea
What differentiates Digital Marketing from Traditional Marketing?
More targetability
More measurability
Among the four, which of them is the LEAST popular Social Network Site among US teens (as of 2024)?
Which of the following does NOT belong to the purchase funnel?
a)post-purchase experience
b) evaluation
c) consideration
d) engagement
Engagement
Regarding the impact of the Internet on the way consumers shop, which of the following is correct?
a) Increase the search cost and communication cost
b) Increase the search cost but lower the communication cost
c) Lower the search cost and communication cost
d) Lower the search cost but increase the communication cost
c) Lower the search cost and communication cost
Why is search so important?
Search is statement of intent. Its the doorway to the internet, the data given with search is valuable. Different key phrases can be used to target customers on different stages.
Transactional search example and stage of funnel relevant
EX: Cannon g7x; purchase stage-denotate strong intent
What is a transactional key phrase?
Specific information on product
What is a informational key phrase?
Generic search
Informational search example and relevant stage of funnel
Ex: “high cholesterol”, consideration stage
What is a navigational key phrase?
Brand names… for customers who want to land at the brand’s page
Navigational key phrase example and relevant stage of funnel
Ex: united airlines, all/any stage
Condition for webpage to be visible
Crawlable
Index the Web pages they find
Process the queries
Return the ranked results
Search Engine Marketing (SEM)
internet marketing form that involves the promo of websites by increasing their visibility in search engine results pages (SERPs)
SEO -Type of SEM
what’s its aim?
Search engine optimization aims to rank high in the organic results. WITHOUT PAYING
PPC -Type of SEM
Bidding for placement in paid listings, earn an AD spot
Why is SEO important
only top 10 results are actually seen
On page SEO
about making webpage cleaner, more organized, technical structure polishing
Off page SEO
Backlinking (who link to you)
social engagement
Meta description
little text that goes below your website title.. doesn’t directly improve ranking but improvs click ability.
Keyword density recommendation for quality content; good SEO
1-2%. avoid keyword stuffing
Inbound links (off page seo)
Inboundings or backlinks. Link that points back to your website from an external site. EX: nytimes links the Mendoza website. It is an inbounding for Mendoza
page rank
initially only factor to determine rank.
: A numerical value measuring the importance of a page on the web. Assigns a numerical weighting to each element (webpage) in the entire set (web) to measure the importance of the page.
The sum of the pagerank of all pages in a system = 1.
White Hat SEO Practices
Legitimate efforts to get a better result.
Create transparency.
Black Hat SEO Practices
Going overboard with SEO (Google will penalize)
- Keyword stuffing
- Misleading meta-tags, excessive repetition, irrelevant keywords.
- Cloaking (serving to Google’s bots and real one). Two different versions
- Create a lot of inbounding (JCPenny did this)
Paid Search called PPC
Advertisers only pay when a user clicks. (vs traditional advertising ex: billboard you pay before)… 60% are CPC. while banner ads/display ads are impression based (assuming people saw it) CTR usually 2-4%
why are display ads more invasive?
not asked for.
Auction prices term
Generalized Second Price Auction First bidder pays what the second bidder bid.
in person auctions vs Google’s ad option
Slots sold simultaneously in Google, you can’t see who is bidding.
Ad rank formula
CPC Bid x Quality Score
Factors for Quality Score (between 1-10)
- click through rate
- ad relevance (peanuts have low ad relevance when searching for cookies)
- Landing Page
Actual CPC Formula
ad rank/quality score + 0.01
review
https://notredame.hosted.panopto.com/Panopto/Pages/Viewer.aspx?id=1cd58669-77f6-4015-a443-b2730122145d minute 1:07
why auctions?
Auctions are efficient in that they extract more revenue, they are scalable across words and time
What type of websites CANNOT be found through Google?
A website that is non-indexable, A website that is non-crawlable, A website that is in “Google Jail” (e.g., penalized due to Blackhat SEO)
Which of the following belongs to Off-Page SEO?
a) Changing webpage layout
b) Adding meta descriptions
c) Developing backlinks
d) Changing web content
c) Developing backlinks
What type of search phrase is “Buy crypto online”?
a) Informational
b) Navigational
c) Transactional
d) None of them
c) Transactional
Which of the following is NOT a good SEO practice?
a)Testing content quality using A/B testing
b) Including news feed features to your web content
c) Publishing content with 5% of keywords or their close variants
d) Changing web structure based on consumers’ navigation path
c) Publishing content with 5% of keywords or their close variants (should be 1-2% keywords)
Which of the following factors do NOT determine your PageRank?
a) The number of outbound links for each inbound link
b) The number of inbound links
c) The importance of outbound links
d) The importance of inbound links
c) The importance of outbound links
Which of the following decisions do NOT belong to a paid search campaign?
a) Which website to advertise on?
b) What’s the maximum daily spending (i.e., budget)?
c) What keywords to bid on?
d) How many ad groups should be used?
a) Which website to advertise on?
Which type of auction is used by search engines to sell paid search ads?
Generalized second-price auction with quality score
What factors are used by Google to determine the “quality” of your ad?
Historical Click through Rate
The quality of your landing page specified by the URL in your ad
the relevance between your ad content and the keyword you bid on.
ad groups examples
ex: Campaign: Irrigation.
1.Ad group a: Design. Max CPC bid = ____. Keywords: irrigation system design, etc. Ad text: xyz.
2. Ad group b: Installation. Max CPC bid = __ Keywords: irrigation installation, etc. Ad text: xyz.
Thunderbird case goals
Gain knowledge of Google Analytics data structure
Learn how to define KPIs based on web metrics
Learn a method of analyzing web metrics using Excel
KPI definition
A set of quantifiable measures that a company or industry uses to compare performance in terms of meeting their strategic/operational goals
When should KPIs be set?
Before launching campaign
Types of Digital Objectives
Traffic Acquisition, Traffic Conversion, Customer retention: Increase Loyalty
How can we measure the effects of online ads?
Impressions, Clicks, Ad Engagement, Conversions, Sales and Profits, Cost, ROI
impressions
= number of instances an ad is seen by user
cost per click (CPC)
cost paid to search engines
click-through rate (CTR)
efficiency of generating clicks from delivered impression.
amount of clicks received/ amount of impressions
conversion rate
of conversions / # of clicks
probability of purchase
ctr * cr
revenue
prob of purchase * profit margin per purchase* impressions
cost
clicks * cpc
profit
revenue - cost
ROI
profit/cost
Thunderbird specialization
International business
Potential reason for decline in Thunderbird enrollment
Financial crisis
Internet marketing team at Thunderbird current promotional efforts
SEO, paid search ads, web banners (display ads on news outlets), social media ads (LinkedIn and Facebook)
Goals for internet marketing team
- Improve the ad effectiveness
- Increase traffic to the program page
- Improve conversions (info requests for program)
Thunderbird problem
Declining ranking
How to break down data from the case?
Region (top states in the US, developing countries vs developed countries), Source, Medium, Time
Region recommendations Thunderbird
Region ads PPC etc in China for example
Source Thunderbird
Included Google, Bing, and specific external websites.
Pie chart of visit across sources.
Small social media presence signals an opportunity
Medium Thunderbird
New Visit rate, bounce rate, and conversion rate of CPC, DIRECT, ORGANIC, and REFERRAL.
Paid search ads (CPC) not effective. Ads are not entising or the landing page doesn’t have information they wanted. In
Short vs Long Keywords
Shorter keywords = higher conversion rates, better for initial consideration stage
Longer keywords are more for people in the purchase stage of the funnel.
make sure to avoid duplicate across different campaigns so they don’t compete against each other
Three types of keyword matches
Broad Match
Phrase Match
Exact Match
Broad Match
Ads may show on searches that is remotely related to your keyword.
Notation: keyword
Comprehensive matching, Google’s default
Phrase Match
Ads may show on searches that include the meaning of your keyword.
Notation for inputting keywords “keyword”
Moderate Matching, suggested to start with this one
Exact Match
Ads may show on searches that are the same meaning as your keyword.
Notation: [keyword]
Negative Keywords
Filters out unwanted traffic.
Negative Broad:
Negative Phrase Match:
Negative Exact Match:
How to come up with Keywords list?
Think as a consumers
Analyze competitors (SpyFu.com)
Poaching Keywords
detected when you see a paid search ad for competitor product when searching for a product. ex: surface pro showing up when searching for ipad pro
Manufacturers vs price comparison site behaviors with competitors keywords
Competitors Keywords: consumers are price sensitive, these people tend to be in the lower stages of the purchase funnel. Manufacturers website are more differentiated.
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Attribution models
allocation assignment credit to teamwork depending on the importance of the touchpoints
Last interaction attribution model
All credit to last touchpoint
ex: email, display ads, seo… would only give credit to seo
First interaction attribution model
All credit to first touchpoint
ex: email, display ads, seo… would only give credit to email
Linear attribution model
Credit is equally distributed
ex: email, display ads, seo… would give credit equally
Which distribution model to choose?
depends on your marketing objective
Growth objective: first interaction model
Conservative objective: last interaction model
weakness of attribution models
only considers conversion data
Banner ads: display advertising
history and current situtation
ATandT had first banner ad, had a 44% CTR, when average is below 4%
The largest spending (more than search since 2014)
Abercrombie and Fitch effect
Using “sexy male models” to get males shopping with their girlfriends trigger them to shop more because of their competitive nature.
Native Ads
Camouflaged Ads, with format similar to the platform
Can be seen as deceptive. You can detect this with a control group with a regular piece of content and seeing if bounce rate or engagement is higher or lower
Stanford study with deception ads
Advertising looks same as content
Typical- Small ad disclosure ad: leads to moe phone calls, similar clicks than prominent
Prominent disclosure ad: leads to more phone calls, similar clicks than typical
If not deceptive same amount of people would go to restaurant would go with or without ad disclosure.
Conclusion not deceptive since led to people calling later too.
Contextual targeting
ads displayed based on content of website, golf course promo on golf apparel website
keyword targeting
topic targeting
Native ads could be contextual. Contextual dont have to be native ads.
Behavioral Targeting
Delivering relevant measures to audiences based on interests defined by recency and frequency od sie navigation behaviors. SPECIFIC, goes into browser history. privacy concerns.
you see an ebay ad for waterbottle after searching amazon for a waterbottle.
Retargeting/ Remarketing
Online ad is shown to a user who searched for or saw a particular kind of content. Base on past sites. A type of behavioral targeting.
same website! only if you have visited the website before.
Which works best, generic or dynamic?
Showing same exact product ( dynamic) is less effective than generic retargetting since they didnt buy it for a reason. Except people are in the later stage of the purchase funnel
Effect of retargeting
defensive (you want people not to think of competitors in first weeks) more than reminding people about it after they forgot in fist two weeks.
Display vs paid search ads
contents, pricing mechanism, ad objective, placement
DISPLAY: Passive, near top of the funnel, Contents: Images, Video, Animations, Pricing Mechanism: Cost per thousands of impressions (CPM), Auctions and real time bidding, or direct buy at fixed CPM. Ad objective: brand awareness, and re-engaging. Placement: publishers’ websites
PAID SEARCH: Proactie, lower funnel, Contents: text, Pricing Mechanism: CPC, auctions and offline bids, Ad Objective: Lead generation, Direct marketing. Placement: search engine results page
How display ads are bought and sold
publisher with ad slots have ad space opportunity,
advertisers buy ads targeted at users
this is the central marketplace (who’ll match users with advertisement)
Direct buying method for ads
Bulk ad purchase that specifies the price and quantity, as well as the time frame and targetng criteria. More traditional way like for billboard ads. Premium media outlets prefer this method. For good ad quality, and since demand is super high they can be very selective. ex: all impressions on ESPN homepage on Sept 21.
Ad Exchange - Real time bidding
A platform running an auction to determine which advertiser buys an individual impression in real time within 100 millisecs.
- not guaranteed,
- spot market
Direct buying method limitations
Necessary condition: having high traffic volumes. So, it excludes the SMALL media sources.
Ad networks
Emerged because small and medium publishers be able to monetize ads.
Usually specialize in certain industries, ex: fashion. You need to choose the right Ad Network.
They buy inventory from small and medium publishers, take ownership of it, and resell to advertisers.
ad networks issues
Many work with many different businesss models
Hard to keep track where ads were delivered and not as much available information.
Fixed CPM, all impressions cost the same regardless of value.
It needs efficiency.
Ad exchanges
came from the issues of ad networks (brokers)
Becomes a central market where anyone can sell without need for a broker. You can right away find potential buyers. No additonal transactions from third parties. (Like a third-party seller on Amazon).
Real Time Buying
Bidders bid on individual impressions in real time as they arise using computer algorithms
Cycle of a programmatic ad
User visits web page, info passed to ad exchange, a match is made, bid made for impression, winning ad displayed.
Direct buy vs RTB
ex: you buy a bag of apples, each one is for the same price, vs paying differently for each apple
Demand Side Platforms
enable advertisers to use real-time bidding technology, purchase inventory across multiple ad exchanges, and get analytics on campaign performance.
Supply side platforms
Inventory management for publishers that allow them to access multiple ad exchanges per auction
Data Management Platforms
Companies that track and profile users, resell bundles of users to advertisers
Direct buying advantages/disadvantages
ADVANTAGES
Guaranteed contract: assures message will get out.
For branding advertisers: ensures brand safe content
people get what they pay for and will not risk the advertiser to fraud them out
DISADVANTAGES
Time consuming, the bar to enter is high,
Cherry picking best impressions leads to low value ads
Real time bidding advantages/disadvantages
ADVANTAGES:
allows for incredibly fine targeting and buying, reduces transaction costs,
DISADVANTAGES:
fraud (Google can fake the second price auction amount) many players take a cut in complex ecosystem.
Amplification Ratio
of friends of fans exposed / # of fans exposed
Average expectation on amplification
0.84 average. 1 out of 200 friends seeing a post you shared is great.
undirected method
If person 1 is connected to person 2, person 2 is automatically connected to 1.
Like in LinkedIn when a connection automatically is two-way.
directed method
Twitter/X, having one person following you doesn’t mean the other person follows you. But even if both people follow each other its still directed.
vertex/node
an end point,
Often a person
edge/link
what connects the nodes
A relationship
Maximum number of edger in group of size N
N!/2!(N-2)!
Degree (centrality), used in direct networks
The number of linkages you have,
people that follow you or people you follow
In Degree- someone else mentioned me
Out Degree- people you have mentioned.
Edge weight: how frequently we mention each other
Degrees of Separation, Geodesic Distance
Path of how many people are needed to connect people up
used to measure how connected a network is
Network Density
Look at number of connections/potential number of connections}
used to measure how connected a network is
geo and temporal targeting combined study
when person is near to store, promote movie 2 hrs before, when they are far, promote with more time like two days.
