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Attribution Digital Marketing Google Ads

YouTube Video Campaigns are Over-Reporting Conversions

YouTube Video Campaigns count Conversions very differently from other Campaign types

YouTube Video Campaigns count view-conversions as click-conversions, and include them in the “Conversions” columns of Google Ads.

If you are running a ROI focused YouTube Campaign that is targeting a lower funnel Remarketing Audience, the revenue and conversions reported by Google Ads can be over-inflated by 1000% or more vs what Google Analytics will report.

When running a YouTube Campaigns, always:

  1. Be suspicious and skeptical of the conversion data
  2. Adjust your performance targets. Conversions will be overinflated by a factor of up to 1000%, so adjust your performance accordingly.
  3. Use Google Analytics as your measure of YouTube Campaign performance
  4. Avoid Targeting lower funnel Remarketing Lists with YouTube. Save these lists for campaigns that offer true click-based conversion tracking.
  5. Explicitly exclude low funnel Remarketing Lists from your targeting. This will ensure the attribution poaching is limited.

YouTube Conversion Tracking Explained

Standard Campaign Behaviour

For most campaign types, a conversion is only recorded in the “Conversions” column when someone clicks on your ad and then proceeds to make a purchase. This is called a Click-Through Conversion. If there are no clicks on your ad, no conversion is recorded in the Conversions column.

This is the normal expected behaviour.

YouTube Campaign Behaviour

For YouTube campaigns, clicks behave normally: If someone clicks on your ad and then makes a purchase, that purchase is recorded as a conversion as expected. So far so good.

However, if someone DOES NOT CLICK on your ad, but watches your entire ad, and then later purchases, that purchase will be recorded as a conversion and attributed to YouTube.

As per Google:

A ‘view’ is counted when someone watches 30 seconds (or the whole ad if it’s shorter than 30 seconds) or clicks on a part of the ad. A ‘view’ that leads to a conversion is counted in the ‘Conversions’ column. 

Google Ads Help: Understand your conversion tracking data
https://support.google.com/google-ads/answer/6270625

Essentially, these are View-Through Conversions masquerading as Click-Through Conversions. The ad was never clicked, yet a conversion was recorded anyway. Considering that many ads are only 5 seconds long, most ad views are likely being treated as clicks.

This is NOT EXPECTED behaviour!

Attribution Poaching

Attribution Poaching is when one Channel tries to take credit for a sale that was either going to happen anyway, or for a sale that was actually caused by another Channel.

Consider this scenario

You create a YouTube campaign targeting your Shopping Cart Abandoners with a 5 second video ad.

One of your potential customers visits your site, and ads a product to their Shopping Cart. By adding to the Shopping Cart, they are now in your Shopping Cart Abandoners audience, and will be actively targeted by your YouTube Campaign.

They continue to browse your site, but they are interrupted by an e-mail or text from a friend with a link to a funny YouTube video. They click on the link and watch the video. While watching the video, they are forced to watch your 5s video ad (which they ignore). Since they watched y0ur entire ad, Google considers that a “click”.

They then eventually return to your site, to complete the purchase. Or maybe they complete the purchase 3 days later after receiving your Cart Abandonment e-mail.

In either case, your YouTube Campaign will claim credit for the Purchase, and will count it as a Conversion even thought that customer never clicked on your ad.

Why is Google Doing This?

A video view is much more like an impression than like a click, so why are these conversions being lumped in with click-through conversions?

The simple cynical answer is that Goolge makes more more money this way. By counting view-through conversions, the YouTube campaigns will appear to perform much better than they actually do with just click-through conversions (as much as 1000% better). If advertisers think that YouTube is performing 10X better, then they will allocated 10X more budget. The end result is Google makes 10X more money from YouTube.

A “Video View” is more like an Impressions than a Click

Video-View-Conversions should clearly be lumped into the View-Through Conversion column. If Google wants to explicitly report on Video-View-Conversions separately, then they should create another column type. Don’t lump them in with click-through conversions.

Unexpected Behaviour

The problem with all this is that suddenly the “Conversions” column behaves differently in one campaign type vs another. Suddenly the clean click-through conversion data is being polluted with View-Through conversion data. This makes YouTube campaigns appear to perform much better than they should. Which will lead you to incorrectly increase spend.

To make the matter worse…

  1. Many people have long click-through conversion windows. Often 30 days or even longer. This essentially allows a YouTube to claim credit for a conversion that happens 30 days after a video view.
  2. Many video ads are short – only 5s long. Most of these short ads are probably viewed in their entirety, meaning that they are all being counted as clicks. Often the user is forced to watch the entire 5s ad – again a click. This leads to more incorrectly attributed click-conversions.
  3. Often people target video ads using remarketing lists. Often the lowest hanging fruits for video campaigns are Remarketing Audiences. This shows ads to people who know your brand, who have recently visited your site, who may be subscribed to your newsletter, and who may in fact be currently actively shopping on your site. They are all likely to buy from you regardless of the the video ad, but the video ad will take credit for all their purchases.

This could also affect your Display and Discovery Campaigns

This issue could also affect your regular display campaigns and possibly your Discovery campaigns if they are serving ads on the YouTube network.

My recommendation for Display Campaigns is to try and exclude all YouTube placements: Go to: Campaign Settings > Additional Settings > Content Exclusions and select all of the following for exclusion:

  • Live streaming YouTube video
  • Embedded video
  • In-video

Notes:

  • This should only be an issue if you use Google Ads Native Conversion tracking. If you import your conversions directly from Google Analytics, then this should not be an issue (as Analytics only attributes conversions to the last click)
  • If you are running  a pure brand awareness campaign, this is probably less of a concern for you.
  • If you are an Ad Agency getting paid as a % of ad spend, then YouTube campaigns can make you a lot of money.

More Reading

Categories
Attribution Digital Marketing Facebook Ads Google Ads

The Value of View Through Conversions

My personal experience with View Through Conversions (VTCs) is that they provide very little real-world lift in sales, and are more likely just poaching attribution from other channels. So I almost always give VTCs a value of zero and ignore them.

The truth probably lies somewhere in-between. For lower funnel remarketing campaigns VTCs probably provide close to zero value, while for truly brand-unaware audiences, the value is somewhere between 0 and 100%.

If you are one of those who wants to believe in the value of VTCs, you should calculate the true value of VTCs by running a placebo A/B test. Below is just such a test that we ran on the AdRoll network back in 2013:

Placebo A/B Tests to Measure View Through Conversions

Display Network A/B Test

How to Setup a Placebo A/B Test

You will likely need assistance from your ad platform or ad agency to properly run this sort of test. It is usually difficult to have a blank or psa ad approved.

  1. Create 2 separate (but equal) non-overlapping campaigns
  2. Campaign A will serve your “normal” ad
    Campaign B will serve a Public Service Announcement ad
  3. Run both campaigns for a few weeks
  4. Calculate VTC “lift” as follows:
Valid VTC Formula

Real Life Example

Campaign A
(Real Ad)
Campaign B
(PSA Ad)
Impressions99,46797,412
VTCs329261
Data from a real world A/B test performed in 2013 on the AdRoll network

VTC “Lift” = (329 – 261) / 329 = 20%

In this real life example, the irrelevant PSA Ads still managed to generate 80% of the View Through Conversion volume that the real ad generated. To be more clear, 261 people saw an ad to adopt a cat, and later went to BOATERexam.com to purchase a boating license.

So 80% of VTCs can be given a value of zero. Of the remaining 20%, more analysis is needed to figure out exactly how they influenced sales. The Real Ad did seem to generate more VTCs than the PSA ad, but the real question is if those VTCs resulted in extra incremental sales or were they simply tracking sales generated by another channel such as e-mail?

Real Life Example #2: Facebook

A few years later we ran a similar Placebo A/B test on Facebook with the help of SocialCode. Unfortunately I no longer have the data for this test, but the end results was that there was ZERO lift from VTCs, and the PSA ad actually outperformed the real ads from a VTC standpoint! (People seeing cats were buying more boating licenses than the people seeing ads for a boating license)

So how should you value View Through Conversions?

Here are my recommendations:

  • Give View Through Conversions a value of ZERO. Unless you can prove otherwise via an A/B test. This is especially true for re-marketing campaigns where the visitors have previously visited your site, and may be actively engaged in checkout when the ad is shown.
  • Run your own Placebo A/B test. If someone insists on using VTCs in performance metrics, then you should insist on running an A/B test to calculate the true value. You should run at least two tests: One for remarketing audiences and another for brand-unaware audiences.
  • Be cautious and skeptical of anyone pushing the value of VTCs especially if they are an ad agency or ad platform that will benefit from including the extra VTCs in their performance metrics.

When can View Through Conversions be valuable?

  • Brand Unaware Audiences on Trusted Networks: If you are marketing to a 100% brand-unaware audience, and a trustworthy network, then there might be a valid argument to give VTCs some credit.
  • To measure which sites your customers frequently visit: Looking at VTCs on a per-placement level, *should* theoretically be a good indication of which sites your customers spend time on. You can then consider having targeted prospecting campaigns focused explicitly on those sites.