Which is the most important domaining metric?

What's the most important traffic metric?

Most people would answer this question with a smirk on their face and that the obvious answer is “revenue”. Although revenue is vitally important to any business, I would like to say that when it comes to domain traffic monetisation it is not THE most important.

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The problem with revenue is that it’s a very one-dimensional number that doesn’t tell you how your domain traffic is actually performing. If you only pay attention to the revenue, then it is very likely to be buffeted by traffic volume and this will distort your perception of performance.

Some people may leap to Earnings-Per-Click (EPC) and Click-Through-Rate (CTR) as being the most important metrics…..but they would also be wrong.

EPC is a representation of advertiser demand and CTR represents user engagement. The problem with both these numbers is they are dependent upon how a click is counted….and this varies between every different monetisation provider in the world!

You then have Revenue-Per-Thousand visitors (RPM). The definition of this metric is revenue / visitors x 1000. Although this is a better number that incorporates both revenue and views the question that immediately comes to mind is, “Who’s version of a view?”

Due to lack of standards in the domain industry there isn’t a single “view” definition that has been adopted by everyone. This means that I can claim to payout the highest RPMs simply by discounting back the number of views I count…..which makes RPM a bit of a meaningless metric when you’re trying to compare one company versus another.

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