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How to Use Simple Math to Get Better Insights?

July 31, 2013

EBRIKS INFOTECH SEO COMPANY SHARE WITH YOU ABIUT It is beyond doubt that one should analyze and measure the performance of a PPC campaign. In order to analyse the same, one should adopt right method. The right analysis would help in identifying improvement opportunities, confirming optimization outcomes, validating campaign performance and presenting Excel finding.

Let’s ponder over four simple steps that use simple maths to get better insights of a campaign.

  1. The use of Median to estimate the validity of the average. Everybody of us is aware of the ways to compute average. Any high or low value in the group of numbers can adversely affect the average. Thus, median is taking over the average to access the validity. Median is the middle number of the group, when arranged from lowest to highest. Excel median function is the best way to compute median. In many cases, median CTR, Click Through Rate, is equal to average CTR, which confirms average is a strong representation. In other cases, there may be varying difference between the two, which may be alarming. In later case, additional steps need to be taken to confirm the validity, whether data distribution is outside the norm.
  2. The use of standard deviation to mark out exceptions. Standard deviation is estimated to measure to spread out of the group of numbers from the average. Lower standard deviation signifies closer distribution between the numbers within the group. In order to mark out out-of-ordinary numbers, there is rule, called empirical rule, the rule of thumb. Excel’s stdev function should be used to calculate standard deviation.
  3. In order to better assess performance, one should not include exceptions. The values that fall outside standard deviation from the average should be excluded. The rest of the values should be used to compare performance and deliver results. There can be big difference seen in new average CTR.
  4. In order to identify various improvement opportunities, one should analyze exceptions. Median and standard deviation should be computed over a period of time to assess exception’s consistency. If there is consistent difference from the results of ad group, there is a need to identify cause and capitalize finding. If the average and median CTR are same and values are within standard deviation of their average, the consistency can be confirmed to investigate the exception.

The above stated steps or calculations would be helpful in marking out improvement opportunities and working on campaign optimization.



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