#17 Ad Measurement Veteran, Andrew Covato, Founder of Growth by Science and formerly at Google, eBay, Facebook, Snapchat, and Netflix
Nov 21, 2023
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Ad Measurement Veteran, Andrew Covato, shares insights on challenges in ad measurement and ROI measurement. They discuss the importance of incremental ROI and smart measurement choices, as well as the influence of Netflix's culture on their work approach. They also highlight the value of soliciting dissent and having a growth mindset in scientific research.
Proper incrementality testing is crucial in growth marketing to understand the true ROI and move away from post-exposure optimization.
Conversion optimized ad delivery is not effective in measuring true incremental results, and marketers should explore alternative approaches.
Deep dives
The Importance of Incrementality Testing
The podcast episode discusses the significance of incrementality testing in the field of growth marketing. It emphasizes the need to move away from post-exposure optimization and measurement and focus on understanding the incremental return on investment (ROI) that marketing efforts bring. The speaker suggests that many marketers are still not conducting proper incrementality tests and are not fully embracing a culture of testing. The episode highlights the importance of selecting the right tools and methodologies, such as geo holdouts, to accurately measure and optimize marketing campaigns.
Challenges with Conversion Optimization
The podcast addresses the limitations of conversion optimization in driving incrementality. It explains that conversion optimized ad delivery, which relies on post-exposure attribution, is not effective in measuring true incremental results. The speaker advises marketers to avoid relying solely on conversion optimization and instead explore alternative approaches. By optimizing for reach and frequency and focusing on specific targeting, marketers can achieve better results in driving true incrementality.
Applying Testing Culture from Netflix
The episode highlights the importance of a testing culture, drawing inspiration from Netflix's approach to experimentation. The speaker discusses the significance of soliciting dissent and encouraging peer review within teams. The podcast emphasizes the value of simplicity and specificity in conducting tests, highlighting that even basic tests can yield valuable insights. The speaker suggests that starting with small-scale tests and building from there can lead to more effective growth marketing strategies.
Lessons from Netflix and Growth by Science
The podcast episode shares insights from the speaker's experiences at Netflix and Growth by Science. It discusses the culture of testing and experimentation at Netflix and how it informed the development of a scientific paid growth program. The speaker highlights the importance of leadership buy-in, data-driven decision-making, and building a strong feedback loop between media buying, testing automation, and measurement. The episode concludes by emphasizing the need for simplicity, specificity, and organizational alignment in achieving successful growth marketing outcomes.
Guiding you through the world of growth, performance marketing, and partner marketing.
We sit down with growth and marketing leaders to share tests and lessons learned in business and life.
Host: Tye DeGrange Guest: Andrew Covato Hype man & Announcer: John Potito
Andrew worked on the buy side and the sell side of various platforms working on measurement and data at Netflix and Snap. He has experience in ad tech and measurement at VC-backed start-ups Google eBay and Meta.
Timestamps: 00:06 Meet Ty and Andrew 00:51 Discussing Growth by Science 01:40 Andrew's ad tech insights 03:04 Ad spending and ROI 04:13 Ad buying mistakes 05:41 Smarter measurement tools 07:36 Testing's role in marketing 09:07 Netflix's testing culture 11:23 Geo-testing techniques 14:32 Conversion optimization pitfalls 18:32 Ad tech platform challenges 22:15 Strategies for effective testing 29:33 Networking and website invite
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