Top 7 Digital Marketing Media Metrics (Explained)

In this video I share with you the top 7 digital advertising metrics that you are most likely to encounter in the digital advertising industry.

In 2019, global brands are projected to spend $333 billion dollars in digital advertising, which is a 17.6% increase from 2018 according to data from E-marketer.

Now that is a LOT of money and when global businesses are investing over half of their marketing budgets into digital advertising then they expect to be able to drive quantifiable results.

So in this video I want to walk you through the top 7 digital advertising metrics that we use in the advertising industry to track the performance of digital campaigns.

Top 7 Digital Marketing Media Metrics:

1) CPM: Cost-per-measure
★Definition: The cost for 1,000 people to see your ad
★Formula: 1000 X Ad Cost / Impressions

2) CPV: Cost-per-view
★Definition: The cost for a user to see your video
★Formula: Ad Cost / Views

3) VCR: Video-completion-rate
★Definition: How many people watch your entire video
★Formula: Video plays till completion / Video plays

4) CTR: Click-through-rate
★Definition: The rate at which users click on your link
★Formula: Link Clicks / Impressions

5) CPC: Cost-per-click
★Definition: The cost to get a click on a link to your site
★Formula: Ad Cost / Link Clicks

6) CPA: Cost-per-action
★Definition: What it cost to get a user to take an action
★Formula: Ad Cost / Actions (I.e. Leads, subscriptions, etc)

7) ROAS: Return-on-advertising-spend
★Definition: Your return for every $1 that you invest
★Formula: Ad Cost / Revenue

Measuring Digital Campaigns: There are generally 3 general approaches (we can say Mixed Model Attribution as a 4th).

[Media Metrics]
Results you see natively on social digital ads manager
Example: CTR or CPC

[Brand Lift Studies]
Incrementally of advertising and attitudes about brand
Example: 10% lift in ad recall

[Offline Revenue]
Data from POS system piped back into the social/digital platform to show full impact of ads.
Example: average order value, lifetime value, total purchase value

So there you have it, hopefully now you have a better understanding of the key digital advertising metrics that you will need to develop a deep understanding as you enter the digital marketing world.


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Equipment I Used To Shoot This Video:
1. Cannon T6i Rebel
2. Rodeo Smart Lav Mic
3. 3 Point Lighting Kit



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