Let’s say two skateboard companies are competing in an auction to show one person, named Daniel, an ad. Daniel lives in Denver. Company One targeted people who like skateboarding who live near the Rocky Mountains in Colorado. Company Two is targeting all men who like to skateboard in the U.S.
Correct! The estimated action rate is the likelihood that a certain ad shown to a certain person will lead to a desired outcome. In this case the desired outcome would be going to the company’s website store.