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How Does Google Measure Advertising Response?

By Andrew Campbell


Perhaps it should be asked instead, how does everyone else measure advertising response? Many advertisers and marketers measure advertising response by depending on guesswork. But it isn't rocket science to know that measuring advertising response based on speculation is less than perfect.

Which is why this advertisement for Google was so eye-catching.

It seems Google has found a way to measure advertising response. The advertisement is for Google AdWords. For a free trial, you can "SMS 'AdWords' to 1995 4995." In reply, Google sends you a special code via SMS, which you redeem online to receive the free offer.

How does this measure advertising response?

The SMS response mechanism essentially takes out the guesswork when Google measures advertising response. The number of texts received = the number of customers interacting with the campaign. SMS marketing brought Google a way to measure advertising response, and they can also see the exact time and day that responses come in. This sure beats old-school ways to measure advertising response: trying to survey hundreds of customers to ask, "What brought you here?"

This all brings to mind a recent blog post by Marketing Interactions. On the topic of measurement of advertising response, the post declared:

According to Adobe's 2010 Analytics Survey, 44% of 1,000 marketers surveyed said they could not allocate sales and costs to marketing campaigns. Given this, it's not really surprising that 76% of marketers cannot measure full marketing ROI.

It is not a shock that Google AdWords isn't one of the 76% who can't measure advertising response or ROI. They used SMS marketing to see exactly how many sales leads their advertising generates and therefore measure advertising response. Of course, not everyone has the endless budget and brand awareness of Google. But even small businesses can use SMS marketing to measure advertising response; they just need to be creative.




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