I was doing what I usually do at 8:15am, listening to Slacker radio and getting my tunes ready for the long day ahead. This week, I got more than a gift for my ears, I saw an interesting advertisement from Shopzilla.
Who cares about a banner ad anymore, right? This ad was a direct extension of the website itself. So you could complete the goals of the website (i.e. click through to the online retailers’ site) directly in the ad. Brilliance! This cut out the need to go to shopzilla.com, while shopzilla still receives the benefits.
If you’re uncertain about what Shopzilla is, It’s a shopping engine. Online retailers (Merchants) can sell their product through these engines, which are just websites that have a high volume of highly qualified traffic. You can think of it as Google with a niche. However, these visitors are usually in the later stages of the buying process.
This raises a big question about the validity of traffic that Shopzilla is providing for their merchandisers through these ads.
Shopzilla is known for driving traffic that is in buying mode. Glance over to the marketing funnel. When a person visits this site, they’re in the consideration level and already know what product they’re searching for, in most cases. However, a person on Slacker radio is only in the awareness level. So, they’re probably not searching for a product to buy at this moment. This means that those clicks that the merchandiser is paying for can be loosing they’re value. This would be measured by a low conversion rate in your analytics software.
The marketing funnel is one of many important theoretical-frameworks that will help you in evaluating your advertising medium online.