Commentary

Just an Online Minute... The Exposure Plateau

Here's some data to help us figure out the much debated concept of frequency of online ads. Dynamic Logic's AdIndex researchers have found that the branding value of online advertising plateaus after five exposures in the specific area of "message association."

Dynamic Logic defines message association as a metric that helps advertisers determine the degree to which people associate a specific tagline or value-proposition (i.e., Just do it) with a specific brand (i.e., Nike).

Their latest findings, based on aggregate data from many campaigns tested, indicate that the "incremental branding value of additional impressions beyond five exposures levels off and shows diminishing returns for the advertiser."

As Dynamic Logic points out in the report, the 5 exposure plateau has a counterpart in traditional media. The traditional "rule of thumb" has been that three ad exposures are enough and additional exposures have less and less value.

"The fact that online advertising shows value beyond three exposures and up to five should be interesting to media planners who calculate how to spend their media dollars using traditional reach/frequency formulas," the report says.

Dynamic logic's Tips for Advertisers:

* If branding is important, do not set a frequency cap under five exposures

* The costs associated with five exposures online may still be less than the corresponding three exposures shown offline

* Test the optimal number of exposures for your campaign, as the "plateau" may vary by the type of advertiser and goals of the campaign.

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