View-throughs account for higher conversion rates than CTR's

July 28, 2004

Source: eMarketer.com

According to a recent study done by DoubleClick, more Internet users make an online purchase after a simple ad impression than from a click-through. In its report, DoubleClick finds that "view-throughs" — online conversions that result from a user seeing an ad online but not clicking on it — account for a higher rate of conversions than click-throughs on online advertising.

For Q2 2004, the view-through rate averaged 0.73% for DoubleClick customers' campaigns, while their average click-through rate (CTR) was 0.43%.

Still, it is important to note that the science of view-through tracking is imperfect as it can include activities unrelated to the initial viewing of the online ad impression, such as a user seeing an ad offline or going to a brand Web site with which he or she is already familiar.

A concurrently released study undertaken by DoubleClick in conjunction with Continental Airlines sought to answer the questions surrounding view-through tracking in a specific case using a control versus exposed methodology.

The study determined that 67.5% of all view-through online conversions are the result of an online impression. This weakens the case that view-throughs are a more powerful force than click-throughs for online advertising, but they are certainly just as significant.

As for click-through rates, DoubleClick's study indicates that click-through rates for rich media (such as pop-ups, interstitials and ads with forms) are significantly higher than rates for non-rich media ads. For Q2 2004, rich media ads attained an average click-through rate of 1.17%, while non-rich media ads saw a click-through rate of 0.23%.

However, the CTR for rich media has also been declining since the end of 2002. The backlash against pop-up ads, and the increasing use of pop-up blockers has no doubt hurt CTR rates for rich media somewhat. Additionally, rich media ads now account for 42.7% of all ads served in Q2 2004, up from 34% a year ago, and their impact on users may be diluted, resulting in less click-throughs.

The rich media CTR of 1.17% for Q2 2004 represents a slight up tick from the previous quarter, but until next quarter, it's impossible to say whether this is an aberration or a reversal of the trend.

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