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Click-Through Focus Leads to Bigger Ads
When Site Owners Don’t Understand User Behavior
by Aaron Gray

 

Ad Design of Comic Proportions
Last month I wrote about what happens when online advertising agencies don’t understand how to design ads for an interactive environment. This month, I’m writing about what’s wrong with the way we measure ad success on the web, and how that’s leading to bad ad design of comic proportions.

Since my last column, New York Times Digital announced that it would support CNET’s effort to create new online advertising formats, and would accept the new ads on NYTimes.com beginning in Q2 of this year (2001). The full press release is available online.

The new ads take the form of very large (approximately 374 x 315 pixels), interactive blocks placed directly in the middle of the content page. They’re actually squareish Flash movies that allow the user to interact with the ad, just like you would interact with an entire Flash web site. At first glance, they look like illustrations for the article they’re shoehorned into. CNET’s News.com is already using this format, and you can see examples there.

374 x 315 pixels is an astoundingly large amount of screen real estate to give over to an ad, given the current site design standard of 800 x 600. Further, these ads masquerade as content, looking innocently like part of the article you’re reading until you try to find meaning in them.
According to Martin Nisenholtz, CEO of New York Times Digital, the rationale behind the move to these larger, more interactive ads is to generate greater profits by giving advertisers "more effective positions." He continues that "we all need to leverage the interactive nature of the Web better." Unfortunately, these ads won’t be any more effective at delivering users than banners and bricks. Users will ignore them in equally large numbers.

The Internet is not Direct Response
The basic problem with the move to these ads is that it is motivated by the continued acceptance of the flawed way by which online advertising is deemed effective. The current thinking has it that the Internet is a direct-response medium. Ad effectiveness is measured accordingly - by counting clicks directly on the ad.

In fact, the Internet is a delayed-response medium. Often a user will take note of an ad but not click on it, sometimes going directly to the destination site later. Why does this happen? Because web users are on a mission, and the ads do not represent information relevant to that mission. Most ads are placed at the beginning or middle of the user’s mission (or task), where they’re least likely to be acted upon. Ads are most effective when placed at the end of the user’s task - when they’re done doing what they came to the site to do, or at least done with a particular page. This is why search-phrase driven ads placed on search results pages are so much more effective-and get more click-throughs-than ads placed willy-nilly. They’re relevant and they appear at a time when the user is particularly receptive.

Since users aren’t, for the most part, willing to play along with the idea that the web is a direct-response medium, it follows that measuring online ad effectiveness by direct-response measures is flawed. We don’t measure out-of-home ad effectiveness by how many people stop what they’re doing and reach for their cell phone when they view them. So why should we measure online ads by how many people stop what they’re doing to leave the site and do something entirely different? It doesn’t make sense. We should be measuring effectiveness by more traditional methods, focusing on impressions made and the relevance of the ad to the user’s needs.

Understanding the Problem
The fact that the new ads are interactive just means that they’ll cost more to produce. Most users have already been trained that advertisers will stop at nothing to get them to click on their banner (and be taken to another site), even going as far as to trick the user by designing the ad to look interactive when it really isn’t. Once tricked, most users aren’t likely to try to interact with an ad again. Ads just aren’t that compelling. Even if CNET and New York Times Digital promise never to allow ads that stoop to that that level, other sites will. Soon enough, users will learn not to try to interact with the big square ads.

Clearly, CNET, and New York Times Digital understand that something is wrong with the state of online advertising. But they’ve gone in exactly the wrong direction in their attempt to fix the problem. They’ve taken something that doesn’t work by current measures and made it bigger-the online equivalent of speaking loudly and slowly to people whose language you do not speak.
Even if users do interact with the ads, it’s highly unlikely that they will actually click out of the site. There’s no need to now, as you can get all the info you want right in the ad. That’s a good thing when you think about the fact that you got your brand in front of the user, but our click-through measures don’t allow for that.

In the end, I predict that these ads will actually drive revenues down as users flock to sites that don’t waste their time filling half a screen with ads that aren’t relevant to the task at hand. They should be abandoned as quickly as they were embraced.

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