Optimization definition - The act of optimizing your traffic can be defined as calculating the value of an entity and acting to improve that value.
How is Value calculated?
- Conversion rate = conversion count / paid impressions
- Revenue per conversion = conversion revenue / conversion count
If it is this simple why do you require A.I help?
As you collect expenses for any entity its conversion rate will vary causing the single event (max-bid) value to change. It would be a huge mistake to establish the value of an entity by merely looking at its all-time performance stats. What if in its lifetime it has earned you 1000 but in the last 2 weeks lost you 500. If you were only to look at its lifetime stats you would not catch this downturn until it is losing. Our goal is to catch changes in trend as soon as
Looking at trends is also not as simple as it sounds. As example: what if the last 2 weeks shows a downturn in CR but the amount of data collected is not enough to justify a trend change? Enough data in a certain period must exist in order to count its CR.
Remember: Merely looking at the all-time stats of an entity would be a huge mistake! Establishing the 'value' of any entity requires looking at multiple timespans to establish if a trend change has occurred recently. A trend change can never be established if insufficient data has been collected.
What is Joava A.I optimization algorithm?
Joava continuously provides you with the single traffic value of any entity (target, campaign, ad group, key attribute, attribute) throughout all the performance reports. This value is calculated by comparing timespan data from all time down to today and finding the smallest timespan that has passed the minimum requirement of data in order to be considered. This feature is your analytical superpower. Do not ignore it! It is the bottom-line reason you are using a Joava account compared to other systems. It is your compass.
Essential Reading: A.I Optimization user parameters