|Traffic Source||Click Percentage|
Not surprisingly, people who come to the site by clicking a YSM or AdWords ad have a greater tendency to click ads on the site. What did surprise me was the huge variance between the search engines. People coming from AOL are almost twice as likely to click on ads as people who use Google. MSN users are also as likely to click on ads as AOL users, while Yahoo users were similar to Google users in click behavior. I think this is because AOL andMSN users are not as Web savvy as Yahoo and Google users, and less experienced surfers tend to click more ads then experienced web surfers.
This data is important in running CPC advertising campaigns. I can easily figure out an average Revenue-Per-Visitor (RPV) for my site, but I had no idea how much more valuable visitors from pay per click campaigns were from regular surfers. I can now take into account how much more money I make from visitors from the ad campaigns to adjust my minimum bids. For example, lets say my RPC is $0.10 (it’s not). I also know that AdWords visitors are 20% more likely to click on ads then regular visitors, so I make an average of $0.12 from them. This allows me to bump up my minimum bids a little in AdWords while still being confident I am making money from them.
I’m also thinking that this type of data might be good for fine tuning ad placement. If AOL and MSN users are more likely to click on ads, why not adjust the placement and color of the ads to make them more prominent for these users? Since Google and Yahoo users are a little more ad phobic, it might make sense to make the placement and color of the ads a little more subtle.