I worked in 2004 for a classified company, they asked me to analyze the ACV (Added Content Value), the value of every new content by category to focus efforts on those contents that maximize company and users value. Finally we define a formula, I would like to share this with you to see what do you think. Here is the formula (in spanish) with the explanation bellow (in english):
“n” is a category (the section of ‘economy’ in a newspaper, all the posts with the same label, the section ‘shoes’ in a ecommerce,…).
“oferta” (conent) is a type of content we want to measure (posts, comments, articles, pages, products,…) .
“oferta n” (content n) is the value of “oferta” in a time period for category n. By example 1.000 articles of economy, 500 posts of technology or, 750 product references in the shoes category.
“resultado” (result) is the unit of measure we want to use for evaluate the value of the content (visits, unique visitors, revenue,…). By example, visits to articles in a newspaper, or unique visitors to posts in a blog or, page views to products in a ecommerce.
“resultado n” (result n) is the value of resultado (result) in a time periode for the category n. By example, 150.000 visits to economy articles in a newspaper, or 250.000 page views to products in the shoes category in a ecommerce.
“resultado T” is the total unities used to measure “resultado” of the web site in the time period (visits, unique visitors, pageviews,…).
Lets see an exemple, how do we calculate the value, in a newspapper, for any new article in 6 different categories. We calculate the number of existing articles by category and the visits to each category during a time period. After that we apply the formula to each category to calculate the value of one new article in each.
oferta n1 = 10.000
resultado n1 = 1.000
resultado T = 7.260
f (n1) = 0,01
Taking the example we can see that every new article in the category n1, which is the second category with more visits, brings poor value to the website.
Other hand, every new article in n3 or n6 categories brings more value. In the n6 case because the value of the content generates more result in relation to the total. In the n3 case because the unity value is the highest compared with the rest.
What do you think? your comments are welcome.