Google have announced a new tool for businesses looking to understand and improve the performance of their ads.
The Display Benchmark Tool allows advertisers to compare how their ads are performing compared to benchmarks from aggregated advertising campaigns.
This tool will answer the ongoing query for new business advertisers around what kind of click-through and engagement rates are normal. This in turn will help them set ambitious yet achievable goals for their advertising spend.
Previously, Google advertising provided comprehensive statistics on individual campaigns such as click-through rates and locations. The Display Benchmark Tool provides new insights into what kind of ads are working and worth investing in. There are 10 benchmarks, including ad type (size or format) and industries.
Google, through their display advertising product DoubleClick, also announced several new trends in advertising. Since summer 2012, users are spending 20% longer engaging with ads, and video ad completion rate is the highest it’s ever been at 60%.
Another key trend that may impact where start-up operators spend their limited advertising dollars is the strong performance of rich media ads. For example, as engagement is higher with rich media ads (Google has seen a 50-60% increase in the last year), start-up operators may decide to experiment with a higher cost but higher performing campaign based on their findings from the Display Benchmark Tool.
You can watch the demo video created by Google DoubleClick here.