DV360 Optimization Training Guide | NightJarr
DV360 optimization training guide
Date: Sep 2021
What is DV360?
Who should use this training guide?
Media buyers familiar with DV360 and want to test new strategies to drive sales / leads.
This guide assumes that you are driving demand to ultimately drive sales.
1. Optimizing your campaign using outcomes based buying
Increase campaign performance and simplify how you optimize by changing your billable outcome (the way you pay) in DV360 from buying on impressions to either paying for clicks or viewable impressions.
If your goal is sales and buyer intent, paying for an outcome other than impressions will save you time and media budget.
When buying on clicks, use a CPA bid strategy on line item level.
For this to work DV360 would require a minimum of 10 post click conversions per IO per day and 2 post click conversions per line item per day.
Other option is to buy on viewable impressions but then optimize towards maximising conversions.
2. Frequency capping
The purpose of frequency capping is to limit the number of impressions per user.
It improves reach and effectiveness without increasing advertising spend.
If a user has seen your ad 1000 times and not clicked on it, it’s unlikely that they ever will. This is not cost effective and a good optimisation opportunity.
We suggest limiting the frequency of ads to a maximum of 5 times per day per user and capping the max limit at 20.
3. Measuring traffic quality
What is traffic quality?
Traffic quality is the value of the click received from an ad.
This is usually measured by time spent on a website or the bounce rate and is a critical KPI to determine if the correct audience was reached and to improve targeting.
How to measure traffic quality?
If you have auto-tagging enabled, DV360 will send important parameters for each click to Google Analytics.
This data can be found in Google Analytics to show which publishers and/or audiences generated high quality traffic with a low bounce rate and a healthy time spent on the website.
Steps to optimise traffic quality:
- Ensure that auto-tagging is enabled.
- Go to this view.
- Identify the publishers that generated clicks but had a bounce rate of more than 80%.
- Exclude these publishers in DV360 from your campaign.
4. Cost per action vs volume
There is an inverse relationship between sales volume and the cost per action. The more you bid the more inventory you will get, so more clicks and thus sales. However if you want to hit a lower CPA, you may see conversion volume drop.
We suggest the below approach:
- Document the current volume and CPA.
- Set a lower CPA target and monitor the volume.
- Repeat step 2 until the volume drops below what is acceptable.
You have now determined the minimum CPA you can achieve with this campaign.
We recommend that you now build a new campaign with this minimum CPA and test out new audiences, creative and publishers to optimise further.
5. How pacing can lower your CPM costs
What is Pacing?
Pacing is the budget amount to be spent over an allocated period of time.
You have a $100 000 budget for a campaign with 30 days run time. You book in your $100 000 but only spend $20 000. This is not an ideal outcome as you will not have reached your sales/conversion goals for this period.
Similarly, it would be problematic if you spent your total monthly $100 000 budget in only 7 days. To avoid this, you should bid for a lower CPM to save media costs.
How to pace your campaign budget
- Calculate a daily budget for your entire campaign run time.
- Once your campaign goes live, check the optimisation view in DV360 to see if the daily spend target was reached on the first day.
- If you are spending the daily target amount, keep it there.
- If not, recalculate your new daily target. The budget will be slightly different due to the first days’ under spend.
Potential under spend causes
- Frequency capping: Can this potentially increase without over-exposing your audience?
- Is your bid too low? Lost bids would affect pacing and delivery.
- Audience targeting: Is the targeted audience large enough? You need sufficient available people in the target audience to get enough impressions.
- Creative dimensions: Do you have your assets in the required creative sizes? If not, your ads can’t be served on specific platforms.
We hope this guide was useful.