Ketch-up

Ads Effectiveness And Measuring Real Lift

PropellerAds - ad effectiveness measuring real lift with tests and holdout

Strong performance metrics don’t always equal real impact. High reported conversions, low CPA, or impressive ROI can indicate success, but they don’t always explain why results occurred. However, experienced affiliates ask an additional question: How much of this performance was actually driven by the ads themselves? Measuring the true ads’ effectiveness allows them to understand how much value advertising truly adds beyond what would have happened anyway.

Without that perspective, they might be inclined to scale spend based on attractiveness rather than real impact.

If you’ve ever wondered whether your ad spend actually caused the results you’re seeing, this guide helps clarify how to test, measure, and interpret outcomes more accurately – so future decisions are based on evidence, not assumptions.


The Mindset Shift That Makes Every Test Matter

Before you start dissecting tactics, you need one core truth locked in: ads effectiveness is not always about how many conversions your platform reports. Instead it’s about how many wouldn’t have happened without the ad. 

Once you think in incrementality, not attribution, the whole game changes. And that’s where testing comes in. So, let’s break down the testing methods that actually reveal the truth. We’re talking A/B tests vs. holdout tests vs. GEO experiments.


A/B Tests (platform-level)

You split traffic inside a platform (creative A vs. creative B or targeting A vs. B). Good for optimisation, but weak for causal lift. As one article puts it:

“In-platform tests are not reliable for measuring causal lift or business-level impact.”

Haus

Why is that? Because algorithms optimise based on which variation they believe will perform better. So, the audience composition might differ.  That means you’re often measuring which version did better inside the platform, rather than if the ad drove incremental business value.


Holdout Tests

Here, you withhold advertising entirely (or just for a channel) for a segment or period. Then compare outcomes. This type of test gives a clearer view of what happens without the ad, so you can calculate lift. As divergent delivery shows, holdouts are far closer to true causal tests.


GEO Experiments / GEO Holdouts

These are gold for measuring real business impact when user-level randomisation isn’t feasible. 

You select geographic units (regions, DMAs, cities), treat some with the campaign, and leave some as controls. Then compare. 

According to sources:

  • They deliver causal measurement: revealing what sales happened because of your media, not just correlated outcomes
  • Setup is non-trivial: you must match test vs control GEOs on historical behavior, size, seasonality, demographics, etc., and guard against contamination (spill-over across GEOs)

GEO holdouts are especially useful if you’re dealing with broad reach campaigns, multi-channel spend.

But also, if you want to test large-scale media channels and evaluate impact on real business KPIs.

PropellerAds - affiliate marketing income vs expenses chart showing ROI optimization, profit calculation, and cost breakdown for affiliates

How You Set Up And Interpret Your Results

Here’s a step-by-step you, the media buyer/affiliate, should follow:

1. Define your objective

Ask: What channel or tactic am I testing? What is the business outcome I care about (sales, new customers, revenue) instead of just clicks or installs?

2. Choose test vs control

  • For A/B: divide user traffic inside the platform, but recognise limitations
  • For holdout or GEO: pick regions/GEOs where you withhold spend or launch a new tactic; pick control GEOs that mirror your treatment set in pre-test metrics.

Ensure you’ve matched them on historical KPIs and market behaviour so that any lift you observe is more likely due to the ad vs external differences.

3. Run the test – keep everything else constant

Don’t change other major marketing channels, launch big promos, or switch creative mid-test without acknowledging it. Doing so contaminates your results. And don’t forget to decide on duration: typical is 2-6 weeks (or longer based on sales cycle) for GEO tests.

4. Collect and analyse results

From test and control: what happened? Compute incremental lift, such as: Treatment – Control = Lift.

Check statistical significance and confidence intervals (especially for GEO tests, sample sizes are small, variance high).

Interpret carefully: you’re not just looking at whether conversions increased. But also whether they increased because of your ad.

5. Take action

If the channel delivered positive lift, scale it (but monitor diminishing returns). If not, reallocate. Then use the insights to refine targeting, bidding, creative, and budget mix.


Traps And Tactics

  • Double-check that reported conversions equal the incremental impact. 

This is especially true for affiliates/speculative traffic: you might be capturing “natural demand” or cannibalising other channels.

  • Beware of halo effects: your ad spend might boost other channels (organic, search, branded search) or, conversely, might be diverting spend. 

If you ignore these effects, you mis-credit. Geo tests help surface this.

  • Avoid mixing overlapping tests: if you run multiple tests in overlapping GEOs or traffic segments, you scramble your causal inference.
  • Understand marginal return: scaling a channel may not scale lift linearly. 

The first incremental dollars may deliver high lift, but later dollars may simply saturate existing demand.

  • Always track what happens in the holdout: what happens if you stop running ads (in holdout GEOs) gives you baseline behaviour.

The Importance Of Ad Effectiveness With PropellerAds

When you’re buying traffic via PropellerAds (or any high-volume ad network) and optimising bidding strategies, zones, GEOs, and creatives, you might hit a high CTR, conversion rate, or low CPA. 

So, by setting up proper incrementality measurement (A/B/holdout/GEO), you, the affiliate or buyer, build a robust picture of which traffic truly adds new value. You can scale the traffic sources that deliver net new conversions this way.

As a rule of thumb, always align your spend with impact.


Case Studies: Real Numbers And Lessons

While there are many case studies of affiliates using PropellerAds, here are two real-world cases that show what you can test – but also what you must interpret carefully.

  • Affiliate campaign via PropellerAds: In a download offer in Indonesia, the affiliate ran direct click traffic on PropellerAds, made $739.20 revenue, spent $560.76, and ended up with $178.44 profit and ~31.8% ROI.

Lesson: This is an attribution ROI. So do the holdout lift test to find out how much of that $739.20 would have happened without the PropellerAds traffic.

  • PropellerAds format test: A Telegram Mini-App campaign vs IPP only – PropellerAds’ Telegram ads + In-Page Push delivered 18,000+ conversions, higher CTR and interaction compared to Push alone.

Lesson: This helps you optimise format and targeting for affiliate marketing with AI traffic. For a more focused result, isolate the incremental lift against a holdout.

Key takeaway: These case studies are useful for optimisation (which format, which GEO, creative variations). And allow us to identify areas that need further check-up for a proper holdout or GEO experiment to capture lift.

In conclusion: The case studies showcased weren’t meant to measure lift. Instead, they’re pure optimisation snapshots. 

And if you want network case studies to isolate true lift, you must explicitly run a holdout.

organic traffic

Final Word

For a pure ads effectiveness, go beyond clicks and installs, and measuring lift.

Set up the right test architecture (holdout/GEO when possible). If needed, compare apples to apples, and use the results to allocate budget intelligently. When you’re using PropellerAds (or any network), adopt a thoughtful approach. And don’t be scared to check for evidence of incremental value. 

Moreover, with our managers’ support, you can easily find the result or solutions that your campaigns need, every step of the way. So test hard, measure smart, and whenever needed, scale based on true lift.

For everything else…

Join our Telegram for more insights and share your ideas with fellow-affiliates!

Trends

View more posts