CHAPTER 7: Online Advertising & MarketingOnline AdvertisingBanner Ads & InterstitialsHow Banner Ads & Interstitials Are ChangingDoubleclick.com Trend ReportSlide 6Frequency CappingConclusionSearch EnginesSearch Engines in MarketingBlogcritics.org: “What are the Most Effective eMarketing Tools?”Understanding Affiliate ProgramsE-Mail MarketingE-mail Recipient Acquisition TechniquesBack to the Article…Wrapping things up…Slide 17CHAPTER 7:CHAPTER 7:Online Advertising & Online Advertising & MarketingMarketingBy Group H:By Group H:Kim PaceKim PaceMatt KlugerMatt KlugerTara FlynnTara FlynnMarc BuontempoMarc BuontempoKavita KusumgarKavita KusumgarBUAD477-11BUAD477-11Online AdvertisingOnline AdvertisingBanner AdsBanner Ads-Criticized but Criticized but dominant online dominant online advertising methodadvertising method-““A rectangular box, A rectangular box, usually horizontal usually horizontal on the page that on the page that contains advertising contains advertising material.”- material.”- Internet MarketingInternet MarketingInterstitialsInterstitials•Aka “pop-ups”Aka “pop-ups”•Appear while other Appear while other material is loadingmaterial is loading•Interfere with Interfere with loading speedloading speed•Click through rates Click through rates higher than static higher than static banner adsbanner adsBanner Ads & InterstitialsBanner Ads & InterstitialsStatic to DynamicStatic to DynamicRich MediaRich Media•Dynamic imagesDynamic images•3-D images3-D images•Mouse-oversMouse-oversInteractive Marketing Interactive Marketing Units (IMUs)Units (IMUs)•20012001•LargerLarger•Meaningful graphicsMeaningful graphics• flash demonstrationflash demonstration•What this means?– Other advertising formats are arising to take the place of the static banner•Kool Design Maker•Kool Design Maker WebsiteHow Banner Ads & Interstitials How Banner Ads & Interstitials Are ChangingAre ChangingAd Serving Trend Report Double Click Q3 2004Ad Serving Trend Report Double Click Q3 2004Online Advertising becoming like other forms of Online Advertising becoming like other forms of media => More Predictablemedia => More PredictableLarger Units the new standardLarger Units the new standard•1st: Banner (25.2 %)1st: Banner (25.2 %)•2nd: Leaderboard (9.3%)2nd: Leaderboard (9.3%)•3rd: Skyscrapers (10%)3rd: Skyscrapers (10%)•4th: Large Rectangles (5.3%)4th: Large Rectangles (5.3%)•www.google.com/adsense/adformatswww.google.com/adsense/adformatsClick rates more stable recently after years of declineClick rates more stable recently after years of declineDoubleclick.com Trend ReportDoubleclick.com Trend ReportRich Media rates steady after a decline in 2003Rich Media rates steady after a decline in 2003Rich media click rates typically 5X higher than non-richRich media click rates typically 5X higher than non-richDoubleclick.com Trend ReportDoubleclick.com Trend ReportMore than 5X conversions resulted from More than 5X conversions resulted from view-through (not click-through)view-through (not click-through)Frequency CappingFrequency CappingHow often user exposed to particular How often user exposed to particular advertisement can be manually controlledadvertisement can be manually controlledLimits number of exposures to unique Limits number of exposures to unique usersusersRarely used Rarely used Useful for: Useful for: •Online reach for a given demographic groupOnline reach for a given demographic group•Cap so that frequent users not overexposed & Cap so that frequent users not overexposed & light users more likely to view adslight users more likely to view adsConclusionConclusion““Online Advertisers are still Online Advertisers are still stretching their legs in terms of stretching their legs in terms of adopting various techniques to adopting various techniques to improve the performance of their improve the performance of their online advertising.” -online advertising.” -Double Click Q3 2004 Ad Serving Double Click Q3 2004 Ad Serving Trend ReportTrend ReportSearch EnginesSearch EnginesUsed by virtually all internet usersUsed by virtually all internet usersAll search engines are differentAll search engines are different3 primary ways to use search 3 primary ways to use search enginesengines•KeywordsKeywords•Title TagsTitle Tags•Meta TagsMeta TagsSearch Engines in MarketingSearch Engines in MarketingMarketers should learn how different Marketers should learn how different engines workengines workShould adopt a forecasting planShould adopt a forecasting plan•Identifies spending in relation to sales Identifies spending in relation to sales impactimpact•Determine volume with cost per Determine volume with cost per acquisitionacquisition•Select most effective mix of keywordsSelect most effective mix of keywords•http://www.google.comhttp://www.google.com•http://www.yahoo.comhttp://www.yahoo.comBlogcritics.org: Blogcritics.org: “What are “What are the Most Effectivethe Most Effective eMarketing eMarketing Tools?”Tools?”““Which ones (eMarketing Tools) do work best?.... -- the Which ones (eMarketing Tools) do work best?.... -- the ones you can easily track and see how what you spend ones you can easily track and see how what you spend leads directly to sales” - leads directly to sales” - Scott FrangosScott FrangosTo be successful advertisers must focus on reliable To be successful advertisers must focus on reliable eMarketing methods, mainly:eMarketing methods, mainly:•Affiliate ProgramsAffiliate Programs•eNewsletters eNewsletters (a.k.a. and directly related to (a.k.a. and directly related to email email marketingmarketing))•Pay-per-click search engine listingsPay-per-click search engine listings•And to some degree RSS (Really Simple Syndication) And to some degree RSS (Really Simple Syndication) feeds such as those you subscribed to for class feeds such as those you subscribed to for class through through www.bloglines.comwww.bloglines.comUnderstanding Affiliate Understanding Affiliate ProgramsProgramsTaking advantage of affiliate Taking advantage of affiliate programs helps to bring new programs helps to bring new customers, and clearly qualifies as a customers, and clearly qualifies as a customer acquisition techniquecustomer acquisition techniqueWebsites can advertise each other Websites can advertise each other with this