Effect of False Positives on Digital Marketing Campaigns

The Merriam-Webster dictionary defines 'optimization' as "an act, process, or methodology" of making a thing as "fully perfect, functional, or effective as possible". It specifically refers to optimization as the mathematical procedures used in finding out the highest output of a particular function. Similarly, a 'false positive' is defined as "an individual or a test result that is erroneously classified in a positive category". This happens because of flawed methods of testing or defective procedures.

When we merge the concepts of 'optimization' and 'false positives', we are left with a reasonably accurate depiction of what is currently occurring in the world of digital marketing, when it comes to online display advertising.

The digital marketing community would not like to admit it, but with the type of analytics available today, together with confusing search engine algorithms, audience buying strategies, advertising exchanges and real-time bidding, it is more likely to get a 'false positive' than ever before. This means that some companies are simply wasting funds on digital marketing activities, by relying on statistics from different sources that may not be giving a correct picture of the real market situation.

In most digital marketing campaigns, the key performance indicator of its success is some type of view-through conversion statistic, which displays information about the number of conversions coming from different sources. Customers convert in different ways, such as generating a lead, requesting for further information, using an online coupon or buying a product. While current digital marketing technology has been helpful in accurately targeting customers, it has led to many professionals over-emphasizing the importance of the source where the 'last ad' came from.

If the only thing that counts for a company is the fact that a certain website served their digital marketing advertisement, before a customer converted, it should not matter to the company if:

. The advertisement was displayed above the fold, below the fold, in the left or right column, or even the centre of a web page.

. The page is brand safe or brand appropriate, and has content which is relevant to the brand or the targeted audience.

. More than one digital marketing advertisement is displayed on a page, or ads from a large number of competing brands are shown on the page.

. The ad is displayed more than a thousand times to some prospective customers, who never see it.

. A customer is retargeted more than a thousand times, but still visits your site from some other source rather than from a paid advertisement.

If digital marketing professionals want to enhance the efficiency of online display advertising, they need to recognize that currently there exists no foolproof method of getting accurate information about the effectiveness of a particular strategy. They should instead rely partly on their instincts to ensure the success of their digital marketing campaigns.

Qudos Digital is a leading digital marketing agency and can be contacted on 020 8891 2077 or info@qudosdigital.co.uk.

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