Monday, January 27, 2014

The Measurement Fallacy

Felix Salmon:

It’s a known fact in advertising circles that only idiots click on ads—and yet advertisers still think that click-through rates mean something, and that a higher click-through rate means a better ad. It’s the measurement fallacy: people tend to think that what they can measure is what they want, just because they can measure it. And it’s endemic in the online advertising industry.