banner ad click-through rate or conversion rate? please clarify (2)
banner ad click-through rate or conversion rate? please clarify
hey caurmen,
just got a couple of questions after reading your thread "Choosing Ads That Make Money With A Stats Calculator" (http://stmforum.com/forum/showthread...1#post122358):
posting replies to that thread has been disabled so i have no other choice but ask here 
"What we're trying to do here is predict the future Conversion Rate of your ad from the data we have so far. Using statistics, it's impossible to predict a single number with certainty."
conversion rate of your ad? is that the same as click-through rate of your ad? My understanding is they're not the same but pls correct me if i'm wrong. If direct linking, for banner ads, click-through rate is definitely not the same as conversion rate. If not direct linking, visitors either click through to the landing page or they don't and there's no possible "conversion" here as conversion only happens when they take further action on the landing page and do something on the vendor's offer page.
My questions are:
1) is my understanding above correct?
2) when you said "what we're trying to do here is predict the future conversion rate of your ad", did you really mean "conversion rate" or you meant "click through rate" and just used those two terms interchangeably here?
your clarification would be much appreciated!
Thanks for pointing out that the forum wasn't open - fixed!
1) Well, yes, you are correct - click through rate of ads and landers are not the conversion rates on the offer, which are being analysed in that linked thread. CTRs don't make you money so we're looking at the conversion rate that does make us money.
2) No, he means conversion rate. Note that the sample data used are impressions and conversions. Clicks on the ad and on any landers weren't used in the calculations at all.
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