Measuring Customer Engagement for Reach Campaigns

Explore how to measure customer engagement metrics for prospecting campaigns

While many e-commerce advertisers cut their teeth in programmatic with lower-funnel campaigns such as website retargeting, today this advertising technology offers the possibility not only to effectively reach previous website users, but also to reach qualified new prospects with the right message at the perfect instant—ultimately driving high-engagement traffic to the advertiser’s website.

Upper-funnel campaigns such as promo and prospecting campaigns can help advertisers to increase reach and get new, qualified users to the site. In a later stage, these visitors can be retargeted with personalized ads and offers tailored to their interests. Once converted, these customers can be addressed with loyalty campaigns that focus on increasing the customer lifetime value. By combining these campaign types into an integrated full-funnel approach that addresses each customer based on position in the purchase funnel advertisers can increase their customer base, conversions and increase loyalty—they can have it all.

However, in order to succeed, each campaign type needs to have KPIs and metrics that are matched to the goals of the campaign. The main goal of upper-funnel campaigns is to drive new, qualified traffic to the website, whereas retargeting is more focused on converting prior visitors who already might be in the consideration phase. This means that the KPIs for upper-funnel campaigns need be adjusted to measure the on-site engagement of the visitors, rather than on pure performance, as you would for retargeting. Engagement metrics help to show how well the ads are being targeted, answering the question: are they reaching a qualified audience?

The Right Metrics for Reach

To measure audience quality in upper-funnel targeting, advertisers must look to measures of engagement. Engagement metrics can be, for example, how much time a user spends on a website or the number of pages they browse, among other things.

As with any campaign measurement, KPIs must to be measured and judged overtime using an your third-party web analytics tool, which will enable you to compare engagement levels on your site as a whole to those for a particular campaign, channel or vendor.

The standard KPIs used in upper-funnel campaigns are the Click-Through Rate (CTR) and the Cost Per click (CPC), as they allow to understand the traffic generated and its costs. CTR allows to know how many people actually click the ad (or any link, really) when they see it, this way allowing to understand how effective it actually is. CPC, on the other hand, allows you to answer this simple yet very important question: how much are you paying (on average) for each click?

When it comes to measuring engagement on a deeper level, the following are some of the key KPIs you should check::

  • Unique visitors, which determines how many times a distinct browser has visited your site for a given time (compared to total sessions, which counts the same browser visiting more than once).
  • New Visitor Rate is the metric that shows, from all the visitors you’ve been getting in a certain timeline, how many of them are new to the site.
  • Bounce Rate allows you to understand how many visitors go away after viewing just one single page on your website. This is particularly effective in measuring landing pages, essential for upper-funnel campaigns. (After all, first impressions are always the most important ones, right?).
  • Time on Site is pretty self-explanatory: it shows on average how much time visitors spend on your website—how long do the sessions last?
  • Number of Pages Visited is, once again, pretty self-explanatory and important in terms of engagement: during their session, how many pages on average do your visitors actually visit? How deep into the site do they go?

To a lesser extent, post-view effective Cost per Order (eCPO) can also be measured for upper-funnel campaigns, to get an indication of the branding effect of such a campaign.  Through this particular metric, you can understand how in theory each order made after viewing the ad actually costs you. Let’s say that you have 100 users who, after seeing your ad, actually ordered something from your web shop. If you look at the budget for your campaign for the period those customers ordered, and divide it by the number of orders, you have the eCPO.

(Head spinning from all of these KPI’s? Be sure to check out our programmatic jargon buster to help you straighten it out!)

By examining these engagement metrics for a given campaign and comparing them to those for your site overall site or to similar campaigns, you should get a better idea of how your upper-funnel efforts are panning out. Are you targeting the right audience—qualified prospects that can later be successfully retargeted to drive conversions—or are you still just spraying ads into the Internet ether and praying for results?

Getting the right audience to your website is the first step in a successful full-funnel strategy for personalized marketing, that will help you reach the future customers who come to your website to browse, buy, come back and repeat! In measuring upper-funnel campaigns, engagement metrics help you understand if you are reaching the prospects that will turn into clients.

Want to learn more about personalized advertising for the full funnel? Get in touch.