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How Online Advertisement works. Something about Banners and other forms of ads ;)

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Online banner campaign: Unique visitor vs clicks (CTRu vs CTR)

CTR is higher then CTR (unique) for game-banners.

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CTR – Click Through Rate

Click-Through-Rate (CTR)
The number of times a link is clicked on divided by the number of impressions. Main Performance Indicator for Online ads.
For example CTR 1%  =  1000 impressions and 10 clicks
CTR = clicks/Impressions*100
 
Or simple formula in excel:
 

 

 

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Banner Burnout = Decreasing CTR

Banner (ad slot) CTR is down after time. Why?

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CPO: Cost Per Order = Total Commission/sales.

CPO: Cost Per Order = Total Commission/sales.

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FRM/FFM – Flat Rate (Month)/Flat Fee (Month)

FRM – Flat Rate (Month) – Ad-slot Cost for Month
FFM – Flat Fee (Month) – Ad-slot Cost for Month
Advertising model – based on time period Month.
For example you pay for 2 months 10.000$  - banner on site – start page + internal pages.
FRM = 5.000$month. Total 10.000$= 5.000$ * 2months.
Simplest and oldest cost model for Internet [...]

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