If you only operate products based on conversions or clicks, you risk not capturing fair value for placements and traffic with limited conversion potential. You may also miss out on branding budgets, ultimately lowering your overall eCPM. In contrast, incorporating impression-based ad products allows for securing a stable cost-per-impression rate and attracting more advertisers, thereby maximizing your inventory value and significantly increasing long-term ad revenue.
1. Missed Opportunities from an eCPM Perspective
Even with the same amount of traffic, the choice of billing model can lead to varying levels of ad revenue. In click- or conversion-based campaigns, a low conversion rate may result in insufficient revenue despite a high number of impressions, ultimately lowering your actual eCPM.
2. Loss of “Branding/Awareness” Advertising Budgets
Relying solely on conversion or click-based campaigns means missing out on budgets from advertisers who prioritize brand awareness. These advertisers place high value on impressions themselves, making impression-based products essential.
3. Failure to Secure Stable “Baseline Revenue”
Click or conversion-based ads are performance-driven, causing revenue to fluctuate significantly with conversion rates. In contrast, impression-based ads guarantee a certain level of exposure, allowing retailers to secure stable baseline revenue.
4. Maximizing Overall Inventory Value
Not all placements that generate impressions need to focus on conversions alone. Some placements may be suited for CPM-based banner branding, while others are better optimized for clicks or conversions. Operating a mixed strategy helps you maximize the value of your total inventory.
5. The Importance of Diversifying Revenue Models
When advertisers reduce performance-oriented budgets, branding campaigns often remain intact. If you depend solely on clicks and conversions, you risk a bigger revenue impact due to market fluctuations. Having an impression-based revenue model in parallel serves as a buffer against external factors.
6. Various Impression-Based Ad Products Designed with A2
A2 makes it easy to create a wide range of impression-based advertising products. Below are real-world examples of ad products configured using A2’s impression-based campaign settings:
Guaranteed Impression Package: Set a specific number of impressions, period, and budget in advance to guarantee impressions across a defined set of placements. This ensures stable, reliable exposure.- For example, you may want to run intensive ads for a new product launch over two weeks, or secure at least “XX-thousand impressions so that everyone immediately recognizes our new product.”
- Advertisers can reliably secure brand exposure and confidently support their planned marketing schedule.
- Since the number of impressions is clearly guaranteed, this option is ideal for short-term campaigns that need to boost a newly launched product or strengthen brand image.
Cost-Effective CPM Deal: Advertisers propose a target CPM, and throughout the campaign period, A2 optimizes delivery to meet that rate.- For instance, a travel company that frequently rolls out new seasonal products but has a limited marketing budget might say, “We need impressions, but don’t want to overspend. A CPM of around 5,000 won seems reasonable, so please deliver as many impressions as possible at that price.”
- Advertisers begin by specifying their desired price range, allowing them to focus on cost efficiency.
- While impressions are not fully guaranteed, the cost can be kept from spiking above the target CPM.
Maximum Impression Model: Choose a timeframe and total budget, then maximize impressions by fully utilizing that budget.- For example, if you’re preparing to launch a new app and want to build brand awareness steadily over a month without a large one-time outlay, you might say, “We have a 10 million won budget to be spent over 30 days. Please secure as many impressions as possible without burning through it all at once.”
- Although there’s no specific CPM or guaranteed impression count, it’s ideal when you want to use a set budget over a fixed period while achieving the greatest possible number of impressions.
Leverage A2’s impression-based campaign features to diversify your ad product portfolio, achieve higher placement returns, and meet the needs of a wider range of advertisers.
If you have any questions or need further consultation, feel free to contact us at anytime. Thank you.