“FUTURE OF ONLINE ADVERTISING”
AMINAH JAHANGIR KHAN
HURIYA KHALID BUTT
MUSHAYADA ABDUL RAUF
Advertising is the act or practice of calling public attention to one's product,
service, need, etc., especially by paid announcements in newspapers and
magazines, over radio or television, on billboards, etc.: t o get more cust omers by
advert ising. However, the effectiveness of an internet advertising campaign is only
as good as the ads.
A powerful ad is one of the most important aspects of your success. And, the secret
to a successful ad is your HEADLINE. You only have a split second to grab your
targets attention. Your potential customer will most likely scan the ads and only
read one if it catches their attention. Write your ads with passion, excitement, and
Use this powerful approach when creating your ad copy.
A -Attention -Grab your targets attention
I -Interest -Create curiosity
D -Detail -Provide details
A -Action -Call for action
Create an urgency to act now. Creating a successful ad will take a great deal
of time and effort. You'll need to write it and re-write it over and over again before
you come up with a great ad.
For instance, we all know the importance of a powerful headline. However, writing
a great headline isn't as easy as it sounds. An effective headline will literally force
your potential customers to learn more. It will instantly ignite a certain emotion and
intrigue them to read on. In order to write an effective headline, you must learn
how to use specific words to achieve a specific reaction. Before writing your
headline, you must first learn a little bit about the basic human motivators.
According to psychologist Abraham Maslow, human behavior is always the result
of one or more of five basic needs. He listed these needs in a sequence that he
refers to as "the hierarchy of human needs." Until a less important need is met there
won't be any desire to pursue a more important need. Below are the five human
motivators, beginning with the basic needs and continuing to the most important
Physiological - Basic human needs include hunger, thirst, shelter, clothing and sex.
Safety (Security) - Human need for physical, emotional and financial security.
Social (Affiliation)- Human need for love, affection, companionship and
Esteem (Self Esteem) - Human need for achievement, recognition, attention and
Self-actualization - Human need to reach their full potential.
When you are aware of the basic human needs, you can incorporate these needs
into your writing. A great headline will appeal to your potential customers'
emotions. You must feel their needs, wants and desires and write your headlines
with passion and emotion.
When writing your headlines, keep in mind, you only have a few seconds to grab
your potential customers' attention. If your headline doesn't immediately catch
their attention, they'll simply move on and never return. Below are several different
formulas used by professional copywriters to write compelling headlines.
The term online advertising is simply a term that relates to advertising over the
Internet. In practice if you can find the best terms and phrases that people search
for who are interested in your goods and services that is what online advertising is
all about. Once you have done that online advertising works best if the pages that
these people go to have action areas highlighted so that your visitors know exactly
how to purchase the products or services that you are offering. Simple isn't it? Of
course at all times your website should be all about helping your prospective
customers find what they are looking for, so put yourself in their shoes when you
look at your site and imagine if you have met their desires. If you make your site
easy to navigate and full of exactly what your prospective customers want then,
and only then, will they have any interest in what you are selling. The facts remain
that in order consider online advertising for your web or non web business you have
to be ready to figure out how much you are ready and happy to pay for each
For those of you who are unsure if online advertising programs even work just open
a pay per click account with Google, or Bing (they handle Yahoo ads too) and see
what that does for your business. This is the only way to see how valuable keyword
based search engine traffic can be. You will not be sorry! Online advertising works!
Online Advertising will exceed $242 billion dollars by 2014. That may seem like a lot
but keep in mind that total advertising is forecasted to hit $564 billion by the year
2014. That means that online advertising will represent just over 40% of total
advertising, up from about 14% of total advertising this year. This trend is undeniable
as more and more people get their information, entertain themselves, and buy
goods and services online. This is great news for Google and Yahoo and Bing, not
so great news for your less and less favorite television stations, particularly these
mega cable news networks who are having a hard time selling their ad space. If I
told you your revenues would increase by 42% per year for the next three years
what would you think? Well that is exactly what will happen in the online
advertising space over the next three years for our friends over at Google.
How can online advertising help my small business?
Online advertising is so flexible that even small businesses can afford to look into it.
Where else can you track leads per advertising keyword? Where else can you track
the cost per lead? Where else can you track the dollar cost per sale? Only online
advertising allows you to select the keywords for your online advertising campaign
and track the effectiveness of each and every keyword in terms of sales and
revenues. Send us an email to info @ onlineadvertising.net and we will help you get
Having your web site advertised on a search engine is important when you know
recent findings on the habits of search engine users. Researchers at Pennsylvania
State University found that:
1) 80% of users typically visit only the first three results from a search query.
2) 54% of the users views only one page of results in each keyword search session.
3) 19% of the users view the second page of search engine results, and less than.
4) 10% looked at the third page of search engine results.
How can we be sure that online advertising works?
According to market research sources, search engines outperform all other online
advertising media in driving visitors to web sites. Moreover, consumers are five times
more likely to purchase products after seeing search listings versus banner
advertising. In fact, statistics show the following:
1) 77% of Internet users employ search engines more frequently than any other
online advertising media, surpassing banner ads, Web links, and e-mail links as the
leading tool for discovering information about a product or service.
2) 84% of Internet users who are online four or more hours each day reported they
use search engines frequently to discover Web sites and find products or services.
3) 55% of Internet users are more likely to purchase online after seeing search listings
versus 9% for banner advertising.
Is the Online Advertising industry shrinking, or is it growing at a reduced rate?
Growth in online advertising is back and getting stronger every day -- the recession
in online advertising is over, according to e Marketer. Search engine keyword
based marketing, like Google Ad Words, is still growing at double digit growth rates,
and per click revenues are increasing too. More and more business people
understand the power and simplicity of search engine marketing and how online
advertising benefits their business (in terms of sales). So yes the world economy is
growing again, ever so slightly, however online advertising (specifically search)
continues to grow at a healthy pace.
The world of online advertising can be divided into a several different advertising
options. These options are not exclusively the only areas from which to choose,
however they represent the most popular areas within the online advertising menu.
And they are:
1. search engine advertising: more than 60% of the total spent last year in online
advertising. This relates to keyword based search engine optimization and paid
advertising via pay per click campaigns. The three biggest sources of this type of
advertising are Google, Yahoo, and Bing (MSN). There are plenty of additional
smaller online search advertising options but these three are the best of the best
and each one has a pay per click advertising interface that is simple to use. Just in
case you are wondering the big three search engines represent 98% of the entire
search advertising market. Get it correct with the big three search engines and you
are getting it right with 98% of your keyword based search audience. The great
thing about search engines is that they make it so easy to purchase traffic. In fact
online advertising has now become as easy as click, setup, and pay. All you need
to do is select the appropriate keyword(s) for your service offerings, select the
geographic region you want to represent, and away you go. Note that search
advertising is paid per visitor so if your ad is not clicked on you pay nothing. How
would you like to buy a billboard on the road that you only pay for when someone
calls you. Experts refer to this type of online advertising as an outstanding deal.
Even Google will give you free credit card processing for all the goods you sell
online providing you are purchasing traffic from them and providing your ROI
(return on investment)is less than or equal to 1,000 percent. Even Google thinks you
should be able to make ten times your online advertising spend in total revenues.
That speaks volumes about online advertising right there.
2. display ads: 21% of the total online advertising last year and falling fast. Banner or
contextual advertising is less popular, but still working well. Here you rent space on
a web site and if you get lots of visitors to your site great since you pay for the
space and not for the visitors. This is a great way to advertise.
3. classified advertising: 17% of all spending last year or just over $4 billion dollars
spent on classified advertising. So next time you say classifieds are not for your
company or service offering you better think again. In terms of dollars spent last
year classifieds came in at roughly one third of the amount spent on keyword
based search. Classified ads run at a cost per space and not for visitors directed to
your website so again you are paying per thousand page impressions whether
people click on your ad or not.
4. lead generation: 6% of all advertising spending last year, or over $1.4 billion
dollars. It is interesting to see Google use lead generation in some cases since we
all know Google is getting short end of the stick on their paid keyword based
advertising (per click). How do we know that? Well if I am a company and I spend
$1 to make $3 from traditional advertising (TV, radio, newspaper) and now I am
spending money with Google to the tune of $1 for each $9 in revenues then it
stands to reason that Google is getting the sorry end of the stick compared to the
cost of traditional advertising. Some argue this is exactly why keyword based
search advertising is destined to grow.
5. rich media: 4% of all spending last year or almost $1 billion dollars. This sort of
relates to display ads, except that these ads are video targeted and most networks
know that the targeting aspect alone will improve conversion rates. In advertising
the better the targeting the higher value and the greater the advertising revenues.
Could this be why Google bought you tube for over $1.5 billion dollars?
6. email: holding on at 2% of total online advertising last year. Hard to believe email
advertising accounted for $500 million dollars in revenues last year. That is a lot of
money spent on email advertising.
Why is search online advertising valuable to you?
Search online advertising brings keyword based search traffic to your door.
Keyword based search brings exactly your targeted audience to your ad message.
Technology experts predict that more and more people will access the Internet at
a higher speed than ever before and this added speed makes getting audio or
video news and information simple and fast. Keyword based video advertising will
get increasingly popular as the cost of broadcasting that video over the Internet
falls and as more and more people can see that video clearly (as a result of
increasing access speeds). How neat would that be if we could see a video of the
product or service before we actually bought it, or see the people behind the
company that sell us that "catalytic converter". Online advertising via video feeds
to your cell phone from live or recorded messages are only a moment away.
Technology is moving so fast even the online advertising industry can barely come
up with applications that meet the changing (and better)Internet technologies.
The future of online advertising looks bright and very exciting to be sure. It is up to
you to make sure you understand the changes that are taking place and up to you
to become part of the online advertising boom.
How can you make online advertising easy to understand?
Online advertising is made easy by the search engines. Put it this way, if you can
read then you can get your product or service on any of the big three search
engines in less than ten minutes. All you have to do is open an account at Google
or MSN and away you go. It doesn't get any easier than that. They have experts
who help you every step of the way, and quite frankly their advert ising programs
are so user friendly it is incredible. Online advertising has never been so easy. You
are the key to your own Internet Advertising success. Just head over to Google Ad
words or Microsoft Advertising and away you go. You and your business will not
regret your efforts to understand and apply search engine marketing.
An advertising agency or ad agency is a service business dedicated to creating,
planning and handling advertising (and sometimes other forms of promotion) for its
clients. An ad agency is independent from the client and provides an outside point
of view to the effort of selling the client's products or services. An agency can also
handle overall marketing and branding strategies and sales promotions for its
clients. Typical ad agency clients include businesses and corporations, non-profit
organizations and government agencies. Agencies may be hired to produce an
Types of advertising agencies
Ad agencies come in all sizes and include everything from one or two-person shops
(which rely mostly on freelance talent to perform most functions), small to medium
sized agencies, large independents such as SMART and multi-national, multi-
agency conglomeratesLimited-Service Advertising Agencies
Some advertising agencies limit the amount and kind of service they offer. Such
agencies usually offer only one or two of the basic services. For example, although
some agencies that specialize in "creative" also offer strategic advertising planning
service, their basic interest is in the creation of advertising. Similarly, some "media-
buying services" offer media planning service but concentrate on media buying,
placement, and billing.
When the advertiser chooses to use limited-service advertising agencies, it must
assume some of the advertising planning and coordination activities that are
routinely handled by the full-service advertising agency. Thus, the advertiser who
uses limited-service agencies usually takes greater responsibility for the strategic
planning function, gives greater strategic direction to specialist creative or media
agencies, and exercises greater control over the product of these specialized
agencies, ensuring that their separate activities are well-ordered and -coordinated.
Specialist Advertising Agencies
In addition to the full-service, general-line advertising agencies, there are also
agencies that specialize in particular kinds of advertising: recruitment, help-wanted,
medical, classified, industrial, financial, direct-response, retail, yellow pages,
theatrical/entertainment, investment, travel, and so on.
Specialization occurs in such fields for a variety of reasons. Often, as in recruitment
advertising, for example, specialized media or media uses are involved that require
knowledge and expertise not ordinarily found in a general-line agency. In other
cases, such as medical or industrial advertising, the subject is technical and requires
that writers and artists have training in order to write meaningful advertising
messages about it.
Such specialist advertising agencies are also usually "full-service," in that they offer
all the basic advertising agency services in their area of specialization plus other,
peripheral advertising services related to their area of specialization.
In-House Advertising Agencies
Some advertisers believe that they can provide such advertising services to
themselves at a lower cost than would be charged by an outside agency.
Int eractive agencies may differentiate themselves by offering a mix of web
design/development, search engine marketing, internet advertising/marketing, or
e-business/e-commerce consulting. Interactive agencies rose to prominence
before the traditional advertising agencies fully embraced the Internet. Offering a
wide range of services, some of the interactive agencies grew very rapidly,
although some have downsized just as rapidly due to changing market conditions.
Today, the most successful interactive agencies are defined as companies that
provide specialized advertising and marketing services for the digital space. The
digital space is defined as any multimedia-enabled electronic channel that an
advertiser's message can be seen or heard from. The 'digital space' translates to
the Internet, kiosks, CD-ROMs, DVDs, and lifestyle devices (iPod, PSP, and mobile).
Interactive agencies function similarly to advertising agencies, although they focus
solely on interactive advertising services. They deliver services such as strategy,
creative, design, video, development, programming (Flash and otherwise),
deployment, management, and fulfillment reporting. Often, interactive agencies
provide: digital lead generation, digital brand development, interactive marketing
and communications strategy, rich media campaigns, interactive video brand
experiences, Web 2.0 website design and development, e-learning Tools, email
marketing, SEO/SEM services, PPC campaign management, content management
services, web application development, and overall dat a mining & ROI assessment.
The recent boost in the interactive agencies can also be attributed to the rising
popularity of web-based social networking and community sites. The creation of
sites such as MySpace, Facebook and YouTube have sparked market interest, as
some interactive agencies have started offering personal and corporate
community site development as one of their service offerings. It still may be too
early to tell how agencies will use this type of marketing to monetize client ROI, but
all signs point to online networking as the future of brand marketing and Interactive
being the core of Brand's Communication and Marketing Strategy.
Due to the social networking explosion, new types of companies are doing
reputation management. This type of agency is especially important if a company
needs online damage control. For example, disgruntled customers can quickly and
easily damage a company's reputation via social networking sites. Reputation
management companies help stem the negative information or misinformation
that might proliferate in their absence.
Search engine agencies
Lately, pay per click (PPC) and search engine optimization (SEO)firms have been
classified by some as 'agencies' because they create media and implement media
purchases of text based (or image based, in some instances of search marketing)
ads. This relatively young industry has been slow to adopt the term 'agency',
however with the creation of ads (either text or image) and media purchases; they
do technically qualify as 'advertising agencies'.
Social media agencies
Social media agencies specialize in promotion of brands in the various social media
platforms like blogs, social networking sites, Q&A sites, discussion forums, microblogs
etc. The two key services of social media agencies are:
social media marketing
online reputation management
Healthcare communications agencies specialize in strategic communications and
marketing services for the Healthcare and Life Science industries. These agencies
distinguish themselves through an understanding of the strict labeling and
marketing guidelines mandated by the U.S. Food and Drug Administration (FDA)
and industry group guidelines, most notably ADVAMED and PHARMA.
Medical education agencies
Medical education agencies specialize in creating educational content for the
Healthcare and Life Science industries. These agencies typically specialize in one of
Promotional education - education and training materials tied to the
promotion of a given product or therapy
Continuing medical education - accredited education and training materials
created for continuing physician and medical professional education.
While not advertising agencies, ent erprise t echnologyagencies often work in
tandem with advertising agencies to provide a specialized subset of services
offered by some interactive agencies: Web 2.0 website design and development,
Content management systems, web application development, and other intuitive
technology solutions for the web, mobile devices and emerging digital platforms.
The student-run advertising agency model, which mainly operates out of university
classrooms or as a student groups, provides free advertising services to clients in
exchange for the educational opportunity.
The people who create the actual ads form the core of an advertising agency.
Modern advertising agencies usually form their copywriters and art directors into
creative teams. Creative teams may be permanent partnerships or formed on a
project-by-project basis. The art director and copywriter report to a creative
director, usually a creative employee with several years of experience. Although
copywriters have the word "write" in their job title, and art directors have the word
"art", one does not necessarily write the words and the other draw the pictures; they
both generate creative ideas to represent the proposition (the advertisement or
campaign's key message). Once they receive the creative brief from their account
team, the creative team will concept ideas to take to their creative director for
feedback. This can often be a back and forth process, occurring several times
before several ads are set to present to the client. Creative departments frequently
work with outside design or production studios to develop and implement their
ideas. Creative departments may employ production artists as entry-level positions,
as well as for operations and maintenance. The creative process forms the most
crucial part of the advertising process.
Agencies appoint account executive to liase with the clients. The account
executives need to be sufficiently aware of the client’s needs and desires that can
be instructed to the agency’s personnel and should get approval from the clients
on the agency’s recommendations to the clients. Creativity and marketing
acumen are the needed area of the client service people. They work closely with
the specialists in each field. The account manager will develop a creative brief,
usually about a page that gives direction to the creative team. The creative brief
often includes information about the target audience and their attitudes and
behaviors. The creative team will take the brief and, aware of their parameters,
develop original copy and graphics depending on media strategy.
The media services department may not be so well known, but its employees are
the people who have contacts with the suppliers of various creative media. For
example, they will be able to advise upon and negotiate with printers if an agency
is producing flyers for a client. However, when dealing with the major media
(broadcast media, outdoor, and the press), this work is usually outsourced to a
media agency which can advise on media planning and is normally large enough
to negotiate prices down further than a single agency or client can. They can often
be restrained by the client's budget, in which, the media strategy will inform the
creative team what media platform they'll be developing the ad for.
Modern agencies might also have a media planning department integrated,
which does all the spot's planning and placements
Without the product ion department, the ads created by the copywriter and art
director would be nothing more than words and pictures on paper. The production
department, in essence, ensures the TV commercial or print ad, etc., gets
produced. They are responsible for contracting external vendors (directors and
production companies in the case of TV commercials; photographers and design
studios in the case of the print advertising or direct mailers). Producers are involved
in every aspect of a project, from the initial creative briefing through execution and
delivery. In some agencies, senior producers are known as "executive producers" or
Other departments and personnel
In small agencies, employees may do both creative and account service work.
Larger agencies attract people who specialize in one or the other, and indeed
include a number of people in specialized positions: production work, Internet
advertising, planning, or research, for example.
An often forgotten, but integral, department within an advertising agency is traffic.
The traffic department regulates the flow of work in the agency. It is typically
headed by a traffic manager (or system administrator). Traffic increases an
agency's efficiency and profitability through the reduction of false job starts,
inappropriate job initiation, incomplete information sharing, over- and under-cost
estimation and the need for media extensions. In small agencies without a
dedicated traffic manager, one employee may be responsible for managing
workflow, gathering cost estimates and answering the phone, for example. Large
agencies may have a traffic department of five or more employees.
Advertising interns are typically university juniors and seniors who are genuinely
interested in and have an aptitude for advertising. Internships at advertising
agencies most commonly fall into one of five areas of expertise: account services,
interactive, media, public relations and traffic. University students working on the
creative side can find internships as a assistant art director or assistant copywriter.
An internship program in account services usually involves fundamental work within
account management as well as offering exposure to other facets of the agency.
The primary responsibility of this position is to assist account managers. Functions of
the account management intern may include:
• Research and analysis: Gathering information regarding industry, competition,
customer product or service; as well as presenting findings in verbal/written form
• Involvement in internal meetings and, when appropriate, client meetings
• Assisting account services in the management of creative projects
Interns often take part in the internal creative process, where they may be charged
with creating and managing a website as well as developing an advertising
campaign. Hands on projects such as these help interns learn how strategy and
well-developed marketing are essential to a sound advertising and
During their internship, the intern will experience the development of an ad,
brochure and broadcast or communications project from beginning to end. During
the internship, the intern should be exposed to as much as possible within the
agency and advertising process.
ADVERTISING AGENCIES IN PAKISTAN
Pak Advertising Club
it would seem the top score in
exposure professional working
for the majority of advertising
practitioners all over Pakistan
Ads Advertising agency
AdsPlus is an advertisement
and marketing company
which offers among others
4th Dimension agency
4th Dimension (Pvt)Limited is a
top research based advertising
and public relations
consultancy in Pakistan
Pakistan Advertising situated in
Karachi and it is the first web
portal for advertising and
Arrows Advertising agency
Arrows Advertising (Pvt)Limited
is in Lahore. it has individual
advertising rights Lahore-
Advertising Media Planning: A Primer
The two basic tasks of marketing communications are message creation and
message dissemination. Media planning supports message dissemination. Media
planning helps you determine which media to use--be it television programs,
newspapers, bus-stop posters, in-store displays, banner ads on the Web, or a flyer
on Facebook. It also tells you when and where to use media in order to reach your
desired audience. Simply put, media planning refers to the process of selecting
media time and space to disseminate advertising messages in order to accomplish
marketing objectives. When advertisers run commercials during the Super Bowl
game at more than $2.5 million per thirty-second spot, for example, media planners
are involved in the negotiation and placement.
Media planners often see their role from a brand contact perspective. Instead of
focusing solely on what medium is used for message dissemination, media planners
also pay attention to how to create and manage brand contact. Brand contact is
any planned and unplanned form of exposure to and interaction with a product or
service. For example, when you see an ad for Volkswagen on TV, hear a Mazda's
"zoom zoom" slogan on the radio, are told by a friend that her iPod is the greatest
invention, or sample a a new flavor of Piranha energy drink at the grocery store,
you are having a brand contact. Television commercials, radio ads, and product
sampling are planned forms of brand contact. Word of mouth is an unplanned
brand contact -- advertisers normally do not plan for word of mouth. From the
consumer's perspective, however, unplanned forms of brand contact may be
more influential because they are less suspicious compared to advertising.
The brand contact perspective shows how the role of media planners has
expanded. First, media planners have moved from focusing only on traditional
media to integrating traditional media and new media. New media -- cable and
satellite television, satellite radio, business-to-business e-media, consumer Internet,
movie screen advertising and videogame advertising -- is playing an increasingly
significant role. Spending on new advertising media is forecast to grow at a
compound annual rate of 16.9 percent from 2005-2009, reaching $68.62 billion by
2009, while traditional media advertising is expected to rise only 4.2 percent on a
compound annual basis during the same period to $192.28 billion.
Second, media planners are making more use of product placements now, in lieu
of advertising insertions. Advertising insertions, like print ads or television
commercials, are made separately from the content and are inserted into it. The
ads are distinct from the articles or TV programs, not a part of them. As a result, the
ads seem intrusive. In contrast, product placement (also called brand placement
or branded entertainment)blends product information with the content itself.
Whether content is a television program, movie, video game or other form of
entertainment, product placement puts the brand message into the entertainment
content. For example, in the movie E.T., the extraterrestrial eats Reese's Pieces
candy. The candy was authentically integrated into the movie ?and sales of
Reese's Pieces soared 80% after the movie, catapulting the new product to
mainstream status. On the other hand, inappropriate or excessive product
placements may do more harm than good to the brand.
Finally, the role of media planners has expanded as media planners have moved
beyond planned messages to take advantage of unplanned messages as well.
Whereas planned messages are what advertisers initiate -- like an ad, press release
or sales promotion -- unplanned messages are often initiated by people and
organizations other than advertisers themselves. Word of mouth, both online and
offline, is one form of unplanned message. Although advertisers have little direct
control over the flow of unplanned messages, they can facilitate such a flow.
For example, advertising agency Crispin Porter + Bogusky (CP+B) created a viral
marketing mascot, the Subservient Chicken, for Burger King to illustrate its slogan
"Have It Your Way." Visitors to the www.subservientchicken.com site can ask the
chicken to make a move, such as jump, dance or lay an egg. In the first two weeks
after the site's launch, the Subservient Chicken story appeared on 63 broadcast
segments, including five separate segments in television shows unplanned
success.Within months, the site had generated 426 million hits from 15 million unique
visitors averaging six minutes per session. Many visitors learned about the site
through word of mouth, both online and offline. More recently, specialized
agencies have started to hire word of mouth agents to work for advertisers on a fee
basis. Initial research suggests that many consumers react positively to this kind of
word of mouth communication. For example, Rock Bottom brew pub chain,
reported a 76% jump in 2003 revenues after hired gun Bzz-Agent launched a 13-
week word of mouth campaign employing 1,073 of its "agents" to get the word out.
These new approaches have altered how media planning works in the advertising
process. "Seven years ago media was the last five minutes of the presentation. Now
it's reversed," said Rishad Tobaccowala of Publicis Groupe Media, whose fast -
growing Starcom division helps clients buy and measure interactive, mobile, and
gaming ads.Media planners are playing an increasingly important role in today's
advertising industry because of the continuing proliferation of new media options
and the increased complexity of media and audience research.
2. Media Objectives
How is a media plan developed? Media planning is a four-step process which
consists of 1) setting media objectives in light of marketing and advertising
objectives, 2) developing a media strategy for implementing media objectives, 3)
designing media tactics for realizing media strategy, and 4) proposing procedures
for evaluating the effectiveness of the media plan.
Let's take a look at the planning process through an example: P&G's launch of the
Gillette Fusion shaving system for men in early 2006. First, P&G's media objectives
called for a $200 million media blitz to reach men in the U.S.
Second, P&G's strategy included a mix of national media to introduce the brands.
For example, television advertising, such as a $5 million Super Bowl ad campaign,
portrayed Fusion as an advanced technology found in a secret government UFO
lab. The TV ads also established the brand's signature orange and blue color
scheme. In store aisles, 180,000 display units promoted Fusion, using the brand's
colors to catch consumers' attention. "We're trying to put the product wherever
men shop," said Pauline Munroe, marketing director for blades and razors in P&G's
Gillette business unit.
Third, P&G's media tactics -- such as a Father's Day sweepstakes, an episode of
NBC's The Apprent ice in which the show's teams competed to promote the razor,
and sponsorship of competitive surfing -- helped the company reach men of all
ages. "Fusion will get so much attention that it will drive a lot of men to try these
grooming products," said Gary Stibel of New England Consulting Group. Finally,
P&G used sales and market share targets to assess the effectiveness of the media
plan. P&G expects sales of Fusion to reach $1 billion in sales by year three.[ P&G
knows that the brand has already achieved 25% market share in the U.S. Thus,
although $200 million seems like a lot to spend on advertising a new product, it
represents a sound financial investment toward the tremendous future profit that
P&G will gain from the new shaving system.
Now, let's take a deeper look into the media planning process. Media planning,
such as planning the marketing communications for the launch of the Fusion new
shaving system, starts with setting media objectives. Media objectives usually
consist of two key components: target audience and communication goals. The
target audience component of the media objectives defines who is the intended
target of the campaign. For example, P&G's target audience objective for its
Fusion shaving system was men 18-40 years old. The communications goals
component of the media objectives defines how many of the audience the
campaign intends to reach and how many times it will reach them. In short, media
objectives are a series of statements that specify what exactly the media plan
intends to accomplish. The objectives represent the most important goals of brand
message dissemination, and they are the concrete steps to accomplish marketing
The next two sections (2.1. and 2.2.) provide details on target audience and
communication goals. You'll learn about sources of data to use to identify your
target audience. You'll also learn how to quantifycommunication plans.
2.1. Target Audience
The first objective of a media plan is to select the target audience: the people
whom the media plan attempts to influence through various forms of brand
contact. Because media objectives are subordinate to marketing and advertising
objectives, it is essential to understand how the target audience is defined in the
marketing and advertising objectives. The definition may or may not be exactly the
same, depending on the marketing and advertising objectives and strategies.
A common marketing objective is to increase sales by a specific amount. But this
marketing objective does not specify a target audience, which is why the media
objective is needed. Consider Kellogg's Corn Flakes and all the different strategies
the advertiser could use to increase sales among different target audiences. For
example, one target audience might be current customers -- encouraging people
who eat one bowl a day to also "munch" the cereal as a snack. Or, the advertiser
might target competitors' customers, encouraging them to switch brands. Or, the
advertiser might target young adults who are shifting from high sugar "kids cereals"
to more adult breakfast fare. Finally, the advertiser could target a broader lower-
income demographic. The point is that each campaign could increase sales via a
different target audience.
Marketers analyze the market situation to identifythe potential avenues for
boosting sales increase and consider how advertising might achieve those aims. If
the advertiser chooses to attract competitors' customers -- like what Sprint does to
attract users of other wireless services -- the media plan will need to define the
target audience to be brand switchers and will then identify reasons to give those
potential switchers to switch, such as greater convenience, lower cost, or
additional plan features. For example, in 2006 Sprint Nextel ran an ad campaign
urging consumers to switch to Sprint because "no one has a more powerful
2.1.1 Demographics and Psychographics
The target audience is often defined in terms of demographics and
psychographics. Syndicated research services such as Simmons Market Research
Bureau (SMRB or Simmons) and Mediamark Research Inc. (MRI)provide national
data on a number of demographicsof U.S. consumers, including gender, age,
education, household income, marital status, employment status, type of
residence, and number of children in the household. Using demographic variables,
for example, the target audience of a media plan could be "individuals who are
26-to-45 years old with yearly household income of $50,000 or more" or "all
households with children age 3 years or younger."
Some advertisers believe that demographic definitions of a target audience are
too ambiguous, because individual consumers that fit such definitions can be quite
different in terms of their brand preference and purchase behavior. For example,
think about the students in a media planning class. Even though some of them are
the same age and gender, they may like different brands of toothpaste, shampoo,
cereal, clothing, and other products. Therefore, media planners use
psychographics to refine the definition of the target audience.
Psychographics is a generic term for consumers' personality traits (serious, funny,
conservative), beliefs and attitudes about social issues (opinions about abortion,
environment, globalization), personal interests (music, sports, movie going), and
shopping orientations (recreational shoppers, price-sensitive shoppers,
convenience shoppers). Mazda, for example, doesn't define its target audience by
age, income or gender, but by psychographic principles. Mazda targets people
who have a need for self-expression, are young at heart, and love to drive.
One psychographic system which media planners often use is called VALS (short for
Values And LifestyleS), which was developed by SRI in the 1980s. VALS places U.S.
adult consumers into one of eight segments based on their responses to the VALS
questionnaire. The eight segments are: Innovators, Thinkers, Achievers, Experiencers,
Believers, Strivers, Makers and Survivors. Each segment has a unique set of
psychological characteristics. For example, Innovators are "successful,
sophisticated, take-charge people with high self-esteem. Because they have such
abundant resources, they exhibit all three primary motivations in varying degrees.
They are change leaders and are the most receptive to new ideas and
technologies. Innovators are very active consumers, and their purchases reflect
cultivated tastes for upscale, niche products and services’’. Defining a target
audience by psychographic variables helps not only creative directors with the
development of advertising appeals but also media planners with the selection of
effective media channels. If a psychographic group of consumers likes playing golf,
for example, they are likely to read golf-related magazines and visit golf-related
2.1.2. Generational Cohorts
In addition to demographics and psychographics, generational cohort is another
useful concept for selecting the target audience. Because the members of a
particular generational cohort are likely to have had similar experiences during
their formative years, they maintain analogous social views, attitudes, and values.
Generational cohorts in the U.S. are the Baby Boomers (about 70 million people
born 1945-1964), Generation X (about 17 million people born in 1965-1978), and
Generation Y (about 60 million people born between 1979 and 1994). Each of the
cohorts possesses distinct characteristics in their lifestyles and often serves as a
reference group from which finer segments of the target audiences can be
selected for specific advertising campaigns.
An interesting example of a generational cohort is "kogals" in Japan. Originating
from the world for "high school," kogals are a unique segment of young women in
urban Japan who conspicuously display their disposable incomes through unique
tastes in fashion, music, and social activity. They have the leisure time to invent new
ways of using electronic gadgets. For example, they started changing mobile
phones' ring tones from boring beeps to various popular songs and changing
screen savers from dull defaults to cute pictures. Manufacturers observe kogals and
listen to what they say is unsatisfactory about the products. In some cases,
manufacturers simply imitate the new usages that kogals spontaneously invented
and incorporate these usages part of their own new commercial services, thereby
2.1.3. Product and Brand Usage
Target audiences can also be more precisely defined by their consumption
behavior. Product usage includes both brand usage (the use of a specific brand
such as Special K cereal or Dove soap) and cat egory usage (the use of a product
category such as facial tissue or chewing gum). Product use commonly has four
levels: heavy users, medium users, light users and non-users. The levels of use
depend on the type of product. For example, Simmons defines heavy domestic
beer users as those who consume five or more cans in the past 30 days, medium
beer users as those who consumer two to four cans, and light users as those who
consume one can in 30 days. For travel, Simmons' definitions are: three foreign trips
per year indicate heavy travel users, 2 foreign trips per year are medium travel
users, and 1 trip per year are light travel users. There is a popular saying in the
industry: "the twenty percent who are heavy users account for eighty percent of
the sales of a product." This highlights the importance of heavy users for a brand's
performance. Examples of defining a target audience by product usage can be
"individuals who dine out at least four times in a month" or "individuals who made
domestic trips twice or more last year."
Similarly, brand usage has several categories. Brand loyals are those who use the
same brand all the time. Primary users use a brand most of the time but
occasionally also use other brands in the same category; they are secondary users
for these competing brands. Brand switchers are those who have no brand
preference for a given product category but choose a brand on the basis of
situational factors. An analysis of the brand usage pattern is helpful for the
identification of the appropriate target audience. Simmons and MRI offer brand
usage data for many national brands.
2.1.4. Primary and Secondary Target Audience
The target audience in a media plan can be either primary or secondary. A
primary target audience is one that plays a major role in purchase decisions, while
a secondary target audience plays a less decisive role. In the case of video game
players, for example, children's requests often initiate a purchase process; parents
often respect their children's brand selection. Thus, it is reasonable to consider
children as the primary target audience and their parents as the secondary target
audience. If the parents are aware of the advertised brand, it will be easier for
children to convince them of the purchase. Media planners need to examine and
identify the role of consumers in shopping, buying and consuming a product or
service to target the right groups of consumers effectively.
2.1.5. The Size of Target Audiences
In the process of defining a target audience, media planners often examine and
specify the actual size of a target audience -- how many people or households fit
the definition. Knowing the actual size helps advertisers to estimate the potential
buying power of the target audience. For example, if the target audience of a
campaign is defined as working women 26-to-44 years old who are interested in
receiving daily news updates on their mobile phones, media planners should
estimate the number of these women in the U.S. to quantifythe sales potential.
As another example, if the target audience consists of 2,000,000 households in the
U.S. and each household purchases the brand two times a month, the monthly
sales would be 4,000,000 units. The U.S. Census Bureau provides the most
authoritative data about demographics of the U.S. population by state. Whereas
the U.S. Census provides demographic data, market research services such as
Simmons and MRI provide demographic data that is linked to product data. This
means that media planners can get information about consumers of hundreds of
2.2. Communication Goals
After media planners define the target audience for a media plan, they set
communication goals: to what degree the target audience must be exposed to
(and interact with)brand messages in order to achieve advertising and marketing
objectives. For example, one communication goal can be that 75 percent of the
target audience will see the brand in television commercials at least once during a
period of three months. Another communication goal is that 25 percent of the
target audience will form a preference for a new brand in the first month of the
brand launch. The different communication goals can be better understood in a
hierarchy of advertising objectives, such as Bill Harvey's expansion of an earlier
model of Advertising Research Foundation (ARF).
The expanded ARF model has ten levels, as shown in Figure 1. The first three levels
of goals from the bottom -- vehicle distribution, vehicle exposure, and advertising
exposure -- are particularly relevant for media planning. Vehicle dist ribution refers
to the coverage of a media vehicle, such as the number of copies that a
magazine or newspaper issue has, or the number of households that can tune in to
a given television channel. Vehicle exposure refers to the number of individuals
exposed to the media vehicle, such as the number of people who read a
magazine or watched a television program. Advert ising exposure refers to the
number of individuals exposed an ad or a commercial itself.
It is important to note the difference between vehicle exposure and advertising
exposure for many media with editorial content. For example, not all audience
members of a television program will watch all the commercials interspersed in the
program. A study shows that only 68 percent of television audiences watch the
commercials in television programs.Vehicle exposure represents only an
opportunity to see an ad, not necessarily that the ad has actually been seen. In
reality, advertising exposure is rarely measured, and media planners use vehicle
exposure as a proxy measure of advertising exposure.
Another group of communication goals is advertising recall, advertising persuasion,
leads and sales. Advert ising recall represents the cognitive effect of the ad,
advert ising persuasion represents the emotional effect of the ad, and leads and
sales are the behavioral effects of the ad. Each can be specified in a media plan
as a communication goal. For example, a communication goal can specify that
50% of the target audience will recall the radio ad during the month of the
campaign, or that a campaign will generate 3000 leads.
Challenges in Measuring Online Advertising Systems
Online advertising supports many Internet services, such as search, email, and
social networks. At the same time, there are widespread concerns about the
privacy loss associated with user targeting. Yet, very little is publicly known about
how ad networks operate, especially with regard to how they use user information
to target users. This paper takes a ﬁrst principled look at measurement
methodologies for ad networks. It proposes new metrics that are robust to the high
levels of noise inherent in ad distribution, identiﬁes measurement pitfalls and
artifacts, and provides mitigation strategies. It also presents an analysis of how three
diﬀerent classes of advertising — search, contextual, and social networks.
Online advertising is a key economic driver in the Internet economy, funding a
wide variety of websites and services. At the same time, ad networks gather a
great deal of user information, for instance users’ search histories, web browsing
behaviors, online social networking proﬁles, and mobile locations. As a result, there
are widespread concerns about loss of user privacy. In spite of all this, very little is
publicly known about how ad networks use user information. to target ads to users.
For instance, Google recently started allowing advertisers to target ads based not
just on keywords and demographics, but on user interests as well Knowing how well
Google and others are able to determine user characteristics is an important
consideration in the ongoing public debate about user privacy.
If an ad network is able to accurately target users, we can deduce that the ad
network is able to determine user characteristics (though the inverse does not
follow). Given then the goal of determining how well ad networks can target users,
the high-level methodology is straightforward. Create two clients that emulate
diﬀerent values of a given user characteristic (i.e. location or gender), and then
measure whether the two clients receive diﬀerent sets of ads as a result. If the ads
are identical, we can trivially conclude the ad network doesn’t use that user
characteristic for targeting (although it might still be storing the data). But the
outcome is unclearif the two sets are diﬀerent: the diﬀerence may genuinely be
due to the diﬀerence in characteristic, or it may be due to noise.
As it turns out, the level of noise in measuring ads isextremely high. Even queries
launched simultaneously from two identically conﬁgured clients on the same
subnet can produce wildly diﬀerent ads over multiple timescales. As we show later,
some of this noise is systemic (e.g. DNS loadbalancing), and can therefore be
eliminated through proper experiment design. Other noise has a temporal
component, which likely reﬂects ad churn, the constant process of old ads being
deactivated and new ads being activated. We design a metric that mitigates the
noise from churn.
Overall this paper makes two contributions. First, we present the detailed design of
a measurement methodology for measuring online advertising that is robust to the
high levels of noise inherent in today’s systems. We present a set of guidelines for
researchers that wish to study advertising systems. Second, we present an analysis
of the key factors that determine ad targeting on Google and on Facebook.
In this section we present the detailed design of our measurement methodology.
We face four key challenges: 1) comparing individual ads, 2) collecting a
representative snapshot of ads, 3) quantifying diﬀerences between snapshots while
being robust to noise, and 4) avoiding measurement artifacts. The methodology we
design applies to text-ads in any context including ads in search results, contextual
ads on webpages and webmail systems, and ads on online social networking
pages; additionally, many qualitative aspects of our design may also apply to
The problem is hard because ad networks typically do not reveal the unique ID for
the ad (except for Facebook), and some (like Bing) even go so far as to obfuscate
or encrypt parameters in the click URL denying scraping based measurement
approaches any visibility into internal parameters. The only data available
consistently across ad networks is the content of the ad, and even there the
extensive abilities to customize it (e.g. for Google), makes it hard to identify diﬀerent
instances of the same ad. Since slight variations of the same ad defeat simple
equality tests, heuristics must be used and their false positive and false negative
behavior must be understood.
False negatives have the eﬀect of over-counting the number of unique ads and in
the process, increasing noise. False positives, on the other hand do not increase
noise, but undercount the number of unique ads. In this paper we perform all
analysis relative to a control experiment (aﬀected equally by false positives or
negatives)to mitigate the eﬀect of overcounting or under-counting. This leaves
added noise (for false negatives)as the only iﬀerentiating factor. In this paper we
therefore use the display URL, which has signiﬁcantly lower false negatives and
slightly higher false positives, to compute uniqueness of ads.
Website ads have typically been based on the context of the page and are hence
also known as contextual advertising. We ask here to what extent the user’s
location aﬀects the choice of ads, and to what extent the user’s behavior
(browsing behavior, recent searches, and recent clicks on products) aﬀects
website ads. We measure a set of 15 websites that show Google ads; the websites
are picked randomly from the set of websites visited by CoDeeN users. While we
are able to answer the location question, we are able to present only weak
evidence towards the lack of use of behavioral data due to noise.
We have presented the ﬁrst principled and robust methodology for measurement -
based studies of online ad networks. We also inform the ongoing privacy debate
regarding what user data is used today for targeting search ads, contextual ads,
and ads on online social networks. Like most measurement studies, however, this
analysis is a snapshot in time.
Moving forwards, we hope that the methodology we have developed can
continue to be used to broaden our knowledge of online advertising as well as to
track trends in the future. However, online advertising might fail due to several
reasons, The problem is not the medium, the problem is the message, and the fact
that it is not trusted, not wanted, and not needed.
The internet is the most liberating of all mass media developed to date. It is
participatory, like swapping stories around a campfire or attending a renaissance
fair. It is not meant solely to push content, in one direction, to a captive audience,
the way movies or traditional network television did. It provides the greatest array
of entertainment and information, on any subject, with any degree of formality, on
demand. And it is the best and the most trusted source of commercial product
information on cost, selection, availability, and suitability, using community content,
professional reviews and peer reviews.
Consumers do not trust advertising. Dan Ariely has demonstrated that messages
attributed to a commercial source have much lower credibility and much lower
impact on the perception of product quality than the same message attributed to
a rating service.Forrester Research has completed studies that show that
advertising and company sponsored blogs are the least -trusted source of
information on products and services, while recommendations from friends and
online reviews from customers are the highest.
Consumers do not want to view advertising. Think of watching network TV news
and remember that the commercials on all the major networks are as closely
synchronized as possible. Why? If network executives believed we all wanted to
see the ads they would be staggered, so that users could channel surf to view the
ads; ads are synchronized so that users cannot channel surf to avoid the ads.
And mostly consumers do not need advertising. My own research suggests that
consumers behave as if they get much of their information about product
offerings from the internet, through independent professional rating sites
like dpreview.com or community content rating services
like Ratebeer.com or TripAdvisor.
Most brands and their media agencies have missed the trend of online video and
social media marketing completely. They keep discussing the fragmented media
landscape and how difficult it is to reach modern consumers. If they would simply
look at consumers behavior they would just switch their media mixes towards online
and the problem would be solved.
The sheer volume of Web sites has grown so overwhelming that an increasing
number of consumers—not just those in their 20s—are adopting multipurpose tools
to help them manage and personalize the vast amount of data thrown at them
every day. The mainstream adoption of online social networks such
as Facebook and MySpace and personalized home pages such as iGoogle
and Netvibes reflects attempts by consumers to make the Web more manageable.
This new mindset, not surprisingly, also holds for the way in which the audience is
willing to engage with ads.
Advertisers, many of which have only just begun shoveling more of their marketing
dollars into promotional banners and boxes on Web sites, had better heed this shift
sooner than later. Some Web trends prove to be fads, of course. But when hordes
of consumers start shifting from one technology to another, it's a good bet "old"
marketing strategies will grow less effective.
Until recently, the whole thesis of online marketing has been that ads need to be
propagated across thousands of Web sites so that users see them, click on them,
and visit advertisers' sites. But nowadays, there are several problems with this
One is that users are not as willing to leave the site they're using to visit an
advertiser's site. Although the economic downturn may be playing a role, it's worth
noting that Google and Yahoo! (YHOO)both recently reported drop-offs in their
Advertisers and consumers have played a game of cat and mouse for years. As
we've learned from the ongoing upheaval in the entertainment industry, online
advertisers have to adapt their approach to match consumer behavior, or risk
irrelevance. They need to move beyond glorified billboards and deliver useful,
engaging applications people will want to use and share.