More hype about search engine marketing click fraud in this article from B2B. I won’t pretend to know exactly how it would work, but I am still waiting for someone (Google/Yahoo!) to reintroduce the CPM model for search engine marketing. I know that they have information on average CTR (click through rate) and the average CPC (cost per click) so I’ve gotta think that there’s a way to make this model work.
Those of you that think “this guy doesn’t get it”. That couldn’t be further from the truth. I have received significant refunds for clients that were victims of click fraud. So, I support any measures that can be put into place to help elliminate the problem. My idea is that CPM resolves this issue, pretty quickly.
The real issue, in my mind, is that most marketers have an easy time understanding PPC management (you pay when someone clicks…okay, “I get it”). It is, without a doubt, much easier math. I spend $100 on 10 clicks and I make $300…saWEET! When it’s CPM based, if you know your conversion rates and the CTR (click through rate) you should be able to “know” what you can afford to spend on a cost-per-thousand based model.
If nothing ever changes on this front, at least it’s been fun to think about. And, as I’ve mentioned before, I wouldn’t be surprised if there’s a reach/frequency model introduced at some point, as well.