Crush packages

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Crush packages

  1. 1. Online Advertising This is why you have to be online
  2. 2. Online Advertising spend SA ( Source:World Wide Worx & OPA of SA 2009) Worldwide online advertising spend is the fastest growing sector today Spend rose by 38% to R319 million in 2008 Up 25% to R398 million in 2009 Predicted year-on-year growth 25% Makes this R1.6 Billion space by 2014 Conclusion – plenty of growth to come (These figures only include digital businesses registered with the Digital Media and Marketing Association and are audited by Nielsen's online market intelligence) Key facts
  3. 3. Online population SA ( Source: Online Publishing Association of SA) SA online population 2009 - 6.9 million users Prediction 9 million by 2014 DMMA release 1 st 2010 quarter figures – 9.1 million registered users SA has 5.3 million tax payers Online consumers has disposable income Mastercard survey 2009 – 77% of SA users buy online Key facts
  4. 4. Internet access in SA 2010 study (World Wide Worx and Cisco) Broadband connections dramatically higher year-on-year 21 % Growth in fixed line from SME's – add half a million users Wireless broadband subscriptions up 88% in 2009 Planned cables will increase bandwidth capacity 150-fold over by 2011 18% increase in number of Internet access and Service providers Conclusion – SA on the brink of major internet growth Key facts
  5. 5. SA online ad spend growing at massive rate Summary SA on brink of major internet growth SA online population growing at massive rate Consumer behavior has changed-print publishing no longer serves reader needs
  6. 6. General Internet ads debut 1990's Dramatic change in use of these ads since then; Banner ads declined from 56% (‘98) to 21% (‘03) Sponsorship declined 33% to 10% Rich Media gained from 2% - 8% Greatest rise keyword search from 1 % (‘02) to 35% (‘03) New formats – 3D visualization and Brand Integration (Internet movies and gaming) Internet Formats and Advertising
  7. 7. Banner Ads <ul><li>Used primarily for direct response = call to action </li></ul><ul><li>Click through rates decline from 3% (mid 1990's) to 0.5% (early 2000's) down to average of 0.28% (2003) </li></ul><ul><li>Studies show: </li></ul><ul><li>Animated ads - better recall and faster click through vs static </li></ul><ul><li>Bigger banners higher and faster clicks than smaller ads </li></ul><ul><li>Click through rates affected by incentives </li></ul>Internet Ad Revenues Stats
  8. 8. Sponsorship Placement of logo's on web sites used to build good-will Creates association between brand and an event that target consumer values highly – Brand-building Online sponsorships benefit from users' visits and their positive disposition towards sponsored websites (See Crush comments) Internet Ad Revenues Stats
  9. 9. Pop-ups Controversial - perceived as intrusive and forced Forced exposure ads on decline until publishers find new and innovative ways to execute (See competition stats) Internet Ad Revenues Stats
  10. 10. Rich Media <ul><li>Premise of RM – message appealing to multiple senses </li></ul><ul><li>June 2002 study found 6x higher click rate than with banner ads, average of 2.4% click through rate worldwide </li></ul><ul><li>Key learnings: </li></ul><ul><li>Using graphic ads vs words – +21% </li></ul><ul><li>Using flash ads – + 37% </li></ul><ul><li>Rich Media - + 44% </li></ul>Internet Ad Revenues Stats
  11. 11. Keyword search Most popular form of internet advertising Estimated that up to 40% of searches is commercially motivated, keyword search lucrative to websites designed to sell Internet Ad Revenues 3D Visualization Consumer interact with simulated product Research shows improved product knowledge, more positive brand attitude and heightened purchase intention
  12. 12. What do advertisers want from online ads? Pre-segmented market – targeting and reaching the correct consumers Consumers responding directly from the ad Consumers directed to the correct landing page Statistics “ Real estate” to create interactive ads facilitating all of the above Ultimately defined traffic cost – pay per acquisition Advertisers Needs
  13. 13. How are we stacking up ? Crush Food & Wine Magazine
  14. 14. Crush Food & Wine Magazine
  15. 15. Crush Magazine Stats Issue 1-3
  16. 16. Crush online only magazine Launched 25 June 2010 Issue 1 attracted 1600 subscribers and 4000 reads in the first month. With Issue 2 & 3 the readership of Issue 1 increased to 5800 reads which means the ad attracts views for as long as the magazine is online. Current readers 6393,magazine been viewed 8896 times, 114 835 page views Subscribers 4300. We have a 54% conversion rate from readers to subscribers. Demographics 69% Female, 56% R20k personal income per month, 85 % older than 30 years Average dwell time per page 20sec – 1min13 sec Numbers
  17. 17. Results
  18. 18. Results
  19. 19. Results
  20. 20. Results
  21. 21. Results
  22. 22. Going forward We can see from these statistics that Crush magazine delivers consistent high click through rates. We speak to a pre-segmented market (high net worth individuals) – i.e. you are targeting and reaching the correct consumers Consumers respond directly from the advert and it is in your best interests to create ads with defined call to action Interactive adverts and competitions deliver very high click through stats. Summary
  23. 23. Crush Packages Your digital strategy for the year ahead
  24. 24. Crush Packages Your digital strategy for the year ahead
  25. 25. Crush Packages Your digital strategy for the year ahead
  26. 26. Crush Packages Your digital strategy for the year ahead

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