A Little ‘Back-of-the-Envelope’ Math

by: Dick OHare, on Aug 24, 2011 in Case Studies, Hyperlocal Advertising

Was recently talking to an agency client who shared with me a pretty exciting comparison that he put together to illustrate to HIS client the cost efficiency of hyperlocal online (with LYM) versus local print and direct mail.

Of course, the numbers he used are specific to his client’s campaign, creative requirements, production, market size, time-frame, etc … but with all of these variables taken into consideration, the results are compelling:

What really stands out in this scenario, in addition to the obviously lower cost of the online option, is how many more people this client’s ad would get in front of through hyperlocal online display.

Keep in mind that, unlike print and direct mail, where you can only base your cost on estimated distribution and not actual eyeballs, online display is controllable and accountable.  An online impression is only served/counted when a page online is actually viewed, so this client knows for a fact that every $0.012 he spends is on an actual exposure.  Meanwhile, some of the print readers he purchased may never get to the page where his ad is displayed, and the direct mail piece might never be viewed by an intended recipient before being tossed away by a different member of the household.

And, unlike print and direct mail where he basically gets one shot at hitting his target, those online impressions allow him to hit his target a number of times, with a variety of creatives if he wishes, to dramatically improve his chances for conversion.

So, the likelihood is strong that the cost-per-reader and cost-per-recipient ends up even higher than estimated when all is said and done.  Hyperlocal online is not only less expensive, but more efficient.

Looking forward to seeing/sharing similar comparisons by other advertisers based on their experience.


Why not include hyperlocal display ad targeting as a line item in your next campaign? Submit a ‘Show Avail’ request for up to 3 zip codes, and get a sense for how much deeper into your target communities you  can reach.


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