1. Employing the Internet for Advertising
Chapter Fifteen
Employing the Internet for Advertising

2. Mass Online Advertising
Internet not replacement but key element of IMC programs
At least 60% of U.S. households have Internet access at home
Nearly 70 million

3. The 2 I’s of the Internet
Individualization:
Interactivity:

4. Internet Advertising Formats
Websites
Banner Ads
Rich Media Formats
Web Logs
Search Engine Advertising
Advertising via Behavioral Targeting

5. Internet Advertising Formats
Websites
Company Homepages
Goal of internet advertising is to drive traffic to websites
Users seek information
Design?

6. Internet Advertising Formats
Banner Ads
Most popular advertising format on Internet
Low click through rate (CTR)
Useful for new products or brands
Typical goal is to increase awareness

7. Internet Advertising Formats
Rich Media Formats
Pop-Ups!!
Interstitials
Superstitials
Video Ads
**more eye-catching and memorable than banner ads
**higher CTRs.

8. Pop-Ups

9. Interstitials

10. Superstitials

11. Video Ads
On company website
Preceding other videos
Branded Content

12. Video Ads

13. Internet Advertising Formats
Web Logs - Blogs
Open forum for “everyman” to communicate
Benefit small businesses
- Why?
Brand marketers often develop own blogs 1. 2. 3.
Podcasting

14. Internet Advertising Formats
Primary reason many people use the Internet
Ad expenditures on were $300 million in 2005
Not as effective as once perceived
Opt-in ing
SPAM
Ethical issues

15. Internet Advertising Formats
Search Engine Advertising (SEA)
Ads show up based on searches
Keywords
Fastest growing form of Internet advertising
Advertising via Behavioral Targeting
Focusing Internet advertising towards those interested
Gmail, Facebook

16. New Developments 1. 2. 3.

17. Metrics for Measuring Internet Ad Performance
The exposure value or popularity
The ability of a site to attract and hold users’ attention and the quality of customer relationships
The usefulness of Web sites
The ability to target users

18. The Metrics of Internet Advertising
Click-through rate (CTR):

19. The Metrics of Internet Advertising
CPM
Cost per thousand (impressions)
How much it costs to place an ad on a particular Web site
No info on effectiveness

20. The Metrics of Internet Advertising
CPA
Cost per action.
Number of users who:
Actually click on a banner ad,
Visit a brand’s Web site,
Register their names on the brands Web site,
Actually purchase (electronically) the advertised brand.

21. Internet Advertising – Final Thoughts
Have only begun to discover what internet advertising is capable of
Constant evolution
Ethical tightrope