Online Advertising


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What is Online Advertising all about? What are the types, the tricks of the trade, latest stats, the pros & the cons of online advertising....

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  • Semantic Advertising is the application of semantic technologies to advertising solutions. The goal is to semantically analyze and classify online content for targeted advertising. Semantic advertising applies semantic technologies to online advertising solutions. The function of semantic advertising technology is to semantically analyze every web page in order to properly understand and classify the meaning of a web page and accordingly ensure that the web page contains the most appropriate advertising. Semantic advertising increases the chance that the viewer will click-thru because only advertising relevant to what they are viewing, and therefore their interests, should be displayed. (example of semantic advertising) [ContextIn's proven proprietary multi-lingual semantic algorithms significantly increase relevancy and targeting to deliver the most valuable, targeted advertising inventory and traffic quality. Our algorithms have been proven to maximize both relevancy and monetization for Ad Networks , Advertisers and Publishers alike for increased ROI.]
  • Affiliate marketing is a form of online advertising where advertisers place campaigns with a potentially large number of small (and large) publishers, whom are only paid media fees when traffic to the advertiser is garnered, and usually upon a specific measurable campaign result (a form, a sale, a sign-up, etc). Today, this is usually accomplished through contracting with an affiliate network . (example of affiliate marketing) (example of affiliate marketing) (example of affiliate marketing) (example of affiliate marketing)
  • CPM (Cost Per Mille) , also called "Cost Per Impression (CPI), is where advertisers pay for exposure of their message to a specific audience. " Per mille " means per thousand impressions, or loads of an advertisement. However, some impressions may not be counted, such as a reload or internal user action. The M in the acronym is the Roman numeral for one thousand. CPV (Cost Per Visitor) or (Cost per View in the case of Pop Ups and Unders) is where advertisers pay for the delivery of a Targeted Visitor to the advertisers website. CPC (Cost Per Click) is also known as Pay per click (PPC). Advertisers pay each time a user clicks on their listing and is redirected to their website. They do not actually pay for the listing, but only when the listing is clicked on. This system allows advertising specialists to refine searches and gain information about their market. Under the Pay per click pricing system, advertisers pay for the right to be listed under a series of target rich words that direct relevant traffic to their website, and pay only when someone clicks on their listing which links directly to their website. CPC differs from CPV in that each click is paid for regardless of whether the user makes it to the target site. CPA (Cost Per Action) or (Cost Per Acquisition) advertising is performance based and is common in the affiliate marketing sector of the business. In this payment scheme, the publisher takes all the risk of running the ad, and the advertiser pays only for the amount of users who complete a transaction, such as a purchase or sign-up. This is the best type of rate to pay for banner advertisements and the worst type of rate to charge. Similarly, CPL (Cost Per Lead) advertising is identical to CPA advertising and is based on the user completing a form, registering for a newsletter or some other action that the merchant feels will lead to a sale. Also common, CPO (Cost Per Order) advertising is based on each time an order is transacted. Cost per conversion Describes the cost of acquiring a customer, typically calculated by dividing the total cost of an ad campaign by the number of conversions. The definition of "Conversion" varies depending on the situation: it is sometimes considered to be a lead, a sale, or a purchase. CPE ( Cost Per Engagement ) is a form of Cost Per Action pricing first introduced in March 2008. Differing from cost-per-impression or cost-per-click models, a CPE model means advertising impressions are free and advertisers pay only when a user engages with their specific ad unit. Engagement is defined as a user interacting with an ad in any number of ways. [1]
  • Many advertising networks display graphical or text-only ads that correspond to the keywords of an Internet search or to the content of the page on which the ad is shown. These ads are believed to have a greater chance of attracting a user, because they tend to share a similar context as the user's search query. For example, a search query for "flowers" might return an advertisement for a florist's website. Another newer technique is embedding keyword hyperlinks in an article which are sponsored by an advertiser. When a user follows the link, they are sent to a sponsor's website.
  • Social Network Advertising is a term that is used to describe a form of Online advertising that focuses on social networking sites. One of the major benefits of advertising on a social networking site ( facebook , myspace , friendster , bebo , orkut ...and many others) is that advertisers can take advantage of the users demographic information and target their ads appropriately. Forms of Social Network Advertising Direct Advertising that is based on your network of friends Direct Advertising placed on your social networking Indirect Advertising by creating 'groups' or 'pages’
  • Behavioral targeting or behavioural targeting is a technique used by online publishers and advertisers to increase the effectiveness of their campaigns. Behavioral targeting uses information collected on an individual's web-browsing behavior, such as the pages they have visited or the searches they have made, to select which advertisements to display to that individual. Practitioners believe this helps them deliver their online advertisements to the users who are most likely to be interested. Behavioral marketing can be used on its own or in conjunction with other forms of targeting based on factors like geography, demographics or the surrounding content. Examples of behavioral targeting in advertising targeting systems include: Predicta BT, AdLINK 360, Adaptlogic, Avail, Boomerang, Criteo, DoubleClick (prior to 2002) [1] , Leiki,, prudsys, ValueClick [2] , Netmining and wunderloop. Behavioral Targeting allows site owners or ad networks to display content more relevant to the interests of the individual viewing the page. On the theory that properly targeted ads will fetch more consumer interest, the seller may ask for a premium for these over random advertising or ads based on the context of a site.
  • (ad server example)
  • Floating ad: An ad which moves across the user's screen or floats above the content. Expanding ad: An ad which changes size and which may alter the contents of the webpage. Polite ad: A method by which a large ad will be downloaded in smaller pieces to minimize the disruption of the content being viewed Wallpaper ad: An ad which changes the background of the page being viewed. Trick banner: A banner ad that looks like a dialog box with buttons. It simulates an error message or an alert. Pop-up: A new window which opens in front of the current one, displaying an advertisement, or entire webpage. Pop-under: Similar to a Pop-Up except that the window is loaded or sent behind the current window so that the user does not see it until they close one or more active windows. Video ad: similar to a banner ad, except that instead of a static or animated image, actual moving video clips are displayed. This is the kind of advertising most prominent in television , and many advertisers will use the same clips for both television and online advertising. Map ad: text or graphics linked from, and appearing in or over, a location on an electronic map such as on Google Maps. Mobile ad: an SMS text or multi-media message sent to a cell phone.
  • (pop-up ads that look like TV commercials)
  • (a gallery of banner ads)
  • Online Advertising

    1. 1. ONLINE ADVERTISING -The prevailing trends
    2. 2. DEFINITION <ul><li>Form of promotion that uses the Internet and World Wide Web for the expressed purpose of delivering marketing messages to attract customers . </li></ul>
    3. 3. DISCUSSIONS <ul><li>Competitive advantage over traditional advertising </li></ul><ul><li>E-mail advertising </li></ul><ul><li>Affiliate marketing </li></ul><ul><li>Purchasing variations </li></ul><ul><li>Contextual advertising </li></ul><ul><li>Behavioral targeting </li></ul><ul><li>Semantic advertising </li></ul><ul><li>Ad server market structure </li></ul><ul><li>Types of prevalent Ads </li></ul><ul><li>Drawbacks </li></ul>
    4. 4. COMPETITIVE ADVANTAGE OVER TRADITIONAL ADVERTISING <ul><li>Immediate publishing of information </li></ul><ul><li>Content is not limited by geography or time. </li></ul><ul><li>Interactive advertising </li></ul><ul><li>Fresh challenges for advertisers </li></ul><ul><li>Efficiency of advertiser's investment. displayed </li></ul><ul><li>Customization of advertisements, content and posted websites. Example: adwords & adsense </li></ul><ul><li>Payment method-modern </li></ul><ul><li>Payment as per customer convenience </li></ul><ul><li>Delayed publishing of information </li></ul><ul><li>Content limited by geography as well as time. </li></ul><ul><li>Interruptive advertising </li></ul><ul><li>Strategies are repeated </li></ul><ul><li>Inefficiency of advertiser's investment displayed. </li></ul><ul><li>No customization option for advertisements or their content Example: Hoardings </li></ul><ul><li>Payment method-traditional </li></ul><ul><li>Payment as per merchant convenience </li></ul>
    7. 7. PURCHASING VARIATIONS <ul><li>CPC (Cost Per Click) </li></ul><ul><li>CPV (Cost Per Visitor) </li></ul><ul><li>Cost Per Impression (CPI)/ CPM (Cost Per Mille) </li></ul><ul><li>CPV (Cost per View in the case of Pop Ups/Unders) </li></ul><ul><li>CPA (Cost Per Action) or (Cost Per Acquisition) </li></ul><ul><li>CPO (Cost Per Order) </li></ul><ul><li>CPC(Cost per conversion) </li></ul><ul><li>CPE (Cost Per Engagement) </li></ul>
    9. 9. Example: Yahoo network
    13. 13. AD SERVER MARKET STRUCTURE-2008 Vendor Ad viewers Google 1,118 DoubleClick 1,079 Yahoo 362 MSN 309 AOL 156 Adbrite 73 Total 3,087
    14. 14. TYPES <ul><li>Banner Ad </li></ul><ul><li>Floating Ad </li></ul><ul><li>Expanding / Polite Ad </li></ul><ul><li>Wallpaper Ad </li></ul><ul><li>Trick banner Ad </li></ul><ul><li>Rich media ads </li></ul><ul><li>Pop-up Ad </li></ul><ul><li>Pop-under Ad </li></ul><ul><li>Video Ad </li></ul><ul><li>Map Ad </li></ul><ul><li>Mobile Ad </li></ul>
    15. 15. TYPES <ul><li>Pop-Under Ad </li></ul><ul><li>Pop-Up Ad </li></ul>
    16. 16. TYPES: Banner Ad
    17. 17. TYPES: Online Classified Ads
    18. 18. TYPES: Floating Ad
    19. 19. TYPES: Video Ad
    20. 20. TYPES: Polite/Expandable Ad
    21. 21. TYPES: Map Ad
    22. 22. TYPES: Mobile Ad
    23. 23. TYPES: Rich media Ad
    24. 24. TYPES: Wall Paper Ads
    25. 25. TYPES: Spamming
    26. 26. ONLINE ADVERTISING- DRAW BACKS <ul><li>High Cost - only bigger/flashier ads get attention </li></ul><ul><li>Inconsistent reach to target audience </li></ul><ul><li>Repulsive/ intrusive nature of some ads </li></ul><ul><li>High dependence on audience characteristics </li></ul><ul><li>Impedes website speed & traffic </li></ul><ul><li>High technology dependence </li></ul><ul><li>Too Measurable / Too Indeterminate </li></ul><ul><li>Constantly changing trends </li></ul><ul><li>Advertising overload/clutter on web pages </li></ul><ul><li>Potential for deception </li></ul><ul><li>Generates/breeds Malware & Spam </li></ul>
    27. 27. Your Comments are welcome.