Using Spreadsheet Simulation to Evaluate the Expected Value of Solutions to Increasing Click-Through Rates for Banner Ads

Research output: Contribution to journalArticlepeer-review

Abstract

ABSTRACT The substantial drop of the click-through-rate (CTR) for banner ads has brought up the question whether website owners should invest in solutions to increasing the CTR in order to increase their revenue obtained from Pay-per-click scheme. This study aims at using spreadsheet simulation to support the decision maker in choosing the right decision in this circumstance. A simulation model is developed and the simulation is run for 1000 trials. The simulation results provide the expected value of solutions to increasing the CTR for banner ads, based upon which the decision maker can decide whether it is worthy to invest in these solutions.

Original languageAmerican English
JournalReview for Business Research
Volume7
StatePublished - 2007

Keywords

  • spreadsheets
  • banner ads
  • advertising

Disciplines

  • Advertising and Promotion Management
  • E-Commerce

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