This document discusses online advertising and outlines an in-class simulation on developing an online advertising campaign. It covers key topics like ad serving and networks, search engine advertising, email advertising, and social media advertising. It then describes how to develop a creative and media buying strategy for an online advertising campaign. Students are assigned to create a one slide presentation and Excel-based media plan allocating a 35 million PKR budget across various online and traditional media like newspapers, TV, outdoor, and digital platforms like search engines, social networks, and email for a one month campaign simulation.

1. Online AdvertisingRef: CHAP 8 Online Marketing Inside Out by SitePointAddl. Rdg.: CHAP 3 Textbook on E-Marketing by Quirk Biz > Discussion on assigned Case Studies > Detailed discussion: Ad Serving & Networks > Search Engine Advertising | Email Advertising | Social Media Advertising (From online advertising perspective) > Strategizing Online Advertising Campaign > Class room Simulation: Online Advertising Campaign Class Presentation | Session 13 | 28 Sep 2010

2. Ad Serving & Ad Networks Ref: Chap 3 – Textbook on E-marketing Ad Serving A facility to serve ads Helps optimize ads by tracking them Ad server(s) can be setup easily If a page is using ad server, ad is served from a different server than rest of page It is required for tracking the ad, clicks, user behavior etc. Ad serving is offered as solution to advertisers/publishers E-Marketing 2

3. Ad Serving & Ad Networks Ref: Chap 3 – Textbook on E-marketing Ad Networks Ad Networks offer complete services for serving as well as managing campaigns Ad Networks are used by Publishers to sell advertising spaces Ad Networks are used by Advertisers to buy advertising spaces Bidding Process Publisher places its advertising space Advertiser offer their bids for advertising space (generally not specifically for a publisher) Highest bid gets higher position and so on E-Marketing 3

4. Ad Serving & Ad Networks Ref: Chap 3 – Textbook on E-marketing Key advantages of Ad Serving & Ad Networks Tracking Tracking for ‘ads’ is not possible using web analytics Basic tracking: Views & Clicks Advanced tracking: ISP, Browser, time of viewing etc. More options: Clickstream analysis i.e. reviewing what user does in subsequent pages) Conversion analysis of clicks into leads into sales is also possible E-Marketing 4

5. Ad Serving & Ad Networks Ref: Chap 3 – Textbook on E-marketing Key advantages of Ad Serving & Ad Networks (…contd.) Targeting & Positioning Ad serving technology and ad networks can be used to control advertising powerfully Controlling viewing frequency – FREQ. CAPPING Controlling order of view – SEQUENCING Controlling content – EXCLUSIVITY Controlling page – ROADBLOCKS Strong optimization can be achieved based on what results are there Ad serving allows targeting based on geography, context etc. E-Marketing 5

6. Ad Serving & Ad Networks Ref: Chap 3 – Textbook on E-marketing Schematic Explanation E-Marketing 6

7. Ad Serving & Ad Networks Ref: Chap 3 – Textbook on E-marketing Schematic Explanation Total Ad Inventoryavailable to network: 4.5 MM impressions Total Advertising requested: 2.0 MM impressions Factors considered in Allocation: Proportionate to trafficBID made by Advertiser Allocation is done using automated platforms E-Marketing 7

8. Search Engine Advertising | Email Advertising | Social Media Advertising (From online advertising perspective) Search Engines, Emails and Social Media are other platforms to ‘display’ ads Idea is to understand usage of other option for displaying ads other than websites/web pages Key features/benefits Search Engine Advertising Contextualization Generally text ads Served related to search Follows CPC models (mostly) E-Marketing 8

9. Search Engine Advertising | Email Advertising | Social Media Advertising (From online advertising perspective) Key features/benefits (…contd.) Email Advertising Serving ads in emails Limitation: static ads (animated GIF possible) marking as spam is a problem Social Media Advertising Using social media Power of targeting is enhanced Follows CPC models (mostly) E-Marketing 9

10. Online Advertising Campaign Advertising Campaign - Typical Creative Strategy How the message shall be presented Media [Buying] Strategy What media shall be used Options: Print | Electronic | Outdoor | Activation | Digital Digital/Online Advertising is part of the whole picture Complete E-marketing campaign is more than Online Advertising alone Here we will discuss how to create Online Advertising Campaign Strategy E-Marketing 10

11. Online Advertising Campaign Advertising Campaign - Typical E-Marketing 11

12. Online Advertising Campaign Online Advertising Campaign Creative Strategy How ads shall be created online – Key considerations Ad copy & Graphics Ad formats Media Buying Strategy Buy media based on campaign objectives Calculate reach using available budget and payment model as well rates for different media Constant monitoring E-Marketing 12

13. Online Advertising Campaign Online Advertising Campaign: Simulation Assignment (2% grade) Create a complete media plan and try to understand how your budget shall be used among different media Objectives: Understanding of reach of different media vis-à-vis spending done Deliverables: One slide presentation Media Plan in Excel file Friday, Oct 1, 2010 (should be emailed before class) E-Marketing 13

14. Online Advertising Campaign Online Advertising Campaign: Simulation Key Assumptions: Newspaper Ad: PKR 2,000 – 2,500 Col. Cm. TVC: PKR 25,000 – 50,000 per spot Outdoor: PKR 500,000 – 1,000,000 per month Online: Yahoo: US$ 3.00 - 10.00 CPM MSN: US$ 3.00 - 7.50 CPM Google Ads: US$ 0.20 - 0.40 CPC Facebook: US$ 0.15 - 0.50 CPC Dawn.com: PKR 300 - 500 CPM SourceOne: PKR 3,000 - 5,000 per email blast (250,000 email addresses) Use any figure for buying spots Establish reach by approximating how many people will see ad from particular media TOTAL BUDGET AVAILABLE: PKR 35MM | 1 MONTH CAMPAIGN E-Marketing 14

15. Online AdvertisingEmail Marketing > Individual Media Plan presentations > Affiliate Marketing – Detailed Overview > Term Project Discussion Email Marketing > Fundamental concepts in Email Marketing Class Presentation | Session 14 | 1 Oct 2010