Heidi Heller, Kevin Swan, & Heather Smith

Advertising Currency  The internet display-ad market’s currency is their ad inventory.  The article uses the example of: “What does the internet display-ad market have in common with Zimbabwe? ○ “Both are printing nearly-limitless amounts of their main currency.”

Current Problems with Online Advertising  Difficult to determine exact ROI from a specific advertisement.  Banner ads are too frequently used and often do not match the site on which they are displayed.  The oversupply of online advertisements combined with a price disequilibrium, has created what some analysts consider a bubble.

Inundation of Advertisements -The graph shows internet advertising revenues from Internet advertising sales have approximately tripled in 5 years. -With the increased purchasing of internet advertisements comes more noise in the online channel.

There is Still Hope  As marketers increase their spending on online advertising, the quality of advertisements will naturally increase.  Consumers have become numb to standard banner advertising.  Companies are demanding different types of ads that are more effective  Search advertising expenditures are increasing

Article Info  The article was found on WSJ.com in a section called “Heard On The Street”  Published February 17, 2009  Writen by Martin Peers