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CHAPTER 7: Online Advertising & Marketing By Group H: Kim Pace Matt Kluger Tara Flynn Marc Buontempo Kavita Kusumgar BUAD477-11 Banner Ads Criticized but dominant online advertising method

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chapter 7 online advertising marketing
CHAPTER 7:Online Advertising & Marketing

By Group H:

Kim Pace

Matt Kluger

Tara Flynn

Marc Buontempo

Kavita Kusumgar

BUAD477-11

online advertising
Banner Ads

Criticized but dominant online advertising method

“A rectangular box, usually horizontal on the page that contains advertising material.”- Internet Marketing

Interstitials

Aka “pop-ups”

Appear while other material is loading

Interfere with loading speed

Click through rates higher than static banner ads

Online Advertising
banner ads interstitials
Banner Ads & Interstitials
  • Static to Dynamic
  • Rich Media
    • Dynamic images
    • 3-D images
    • Mouse-overs
  • Interactive Marketing Units (IMUs)
    • 2001
    • Larger
    • Meaningful graphics
    • flash demonstration
  • What this means?
    • Other advertising formats are arising to take the place of the static banner
  • Kool Design Maker
    • Kool Design Maker Website
how banner ads interstitials are changing
How Banner Ads & Interstitials Are Changing
  • Ad Serving Trend Report Double Click Q3 2004
  • Online Advertising becoming like other forms of media => More Predictable
  • Larger Units the new standard
    • 1st: Banner (25.2 %)
    • 2nd: Leaderboard (9.3%)
    • 3rd: Skyscrapers (10%)
    • 4th: Large Rectangles (5.3%)
    • www.google.com/adsense/adformats
  • Click rates more stable recently after years of decline
doubleclick com trend report
Doubleclick.com Trend Report
  • Rich Media rates steady after a decline in 2003
  • Rich media click rates typically 5X higher than non-rich
doubleclick com trend report6
Doubleclick.com Trend Report
  • More than 5X conversions resulted from view-through (not click-through)
frequency capping
Frequency Capping
  • How often user exposed to particular advertisement can be manually controlled
  • Limits number of exposures to unique users
  • Rarely used
  • Useful for:
    • Online reach for a given demographic group
    • Cap so that frequent users not overexposed & light users more likely to view ads
conclusion
Conclusion
  • “Online Advertisers are still stretching their legs in terms of adopting various techniques to improve the performance of their online advertising.” -Double Click Q3 2004 Ad Serving Trend Report
search engines
Search Engines
  • Used by virtually all internet users
  • All search engines are different
  • 3 primary ways to use search engines
    • Keywords
    • Title Tags
    • Meta Tags
search engines in marketing
Search Engines in Marketing
  • Marketers should learn how different engines work
  • Should adopt a forecasting plan
    • Identifies spending in relation to sales impact
    • Determine volume with cost per acquisition
    • Select most effective mix of keywords
    • http://www.google.com
    • http://www.yahoo.com
blogcritics org what are the most effective emarketing tools
Blogcritics.org: “What are the Most Effective eMarketing Tools?”
  • “Which ones (eMarketing Tools) do work best?.... -- the ones you can easily track and see how what you spend leads directly to sales” - Scott Frangos
  • To be successful advertisers must focus on reliable eMarketing methods, mainly:
    • Affiliate Programs
    • eNewsletters (a.k.a. and directly related to email marketing)
    • Pay-per-click search engine listings
    • And to some degree RSS (Really Simple Syndication) feeds such as those you subscribed to for class through www.bloglines.com
understanding affiliate programs
Understanding Affiliate Programs
  • Taking advantage of affiliate programs helps to bring new customers, and clearly qualifies as a customer acquisition technique
  • Websites can advertise each other with this method
  • Examples on the web:
    • Amazon's Affiliate Marketing Program Site
    • Buad 477 Class Blog
  • Affiliate program directors and their participants can track per sale and/or per click and be able to determine what there cut of the transaction is.
e mail marketing
E-Mail Marketing
  • Offers a fast, flexible, and highly controllable format.
  • Can be developed quickly, tested, and revised on the fly.
  • E-mail marketing has an extremely wide reach and is cheap on a per customer contact basis
  • Spam
    • Unsolicited, irresponsible, and measures are being put in place to curb it
    • Turntide Anti-Spam Router Website
e mail recipient acquisition techniques
E-mail Recipient Acquisition Techniques
  • Opt-out
  • Opt-in
  • Double opt-in
  • When searching for leads, marketers should always choose quality over quantity
  • Privacy Policies
back to the article
Back to the Article…
  • The author emphasizes that eNewsletters are the most effective way for reputable companies to advertise through email.
    • Topica provides businesses with eNewsletter services
    • http://www.topica.com/?p=CNJN&l=text1
  • When commenting on why eNewsletters are so effective:

“Newsletters take time and deserve a quality editing process. The better written they are, the better are your results…A newsletter, well written, develops a sort of bond with your customers. ”

  • “Smart” Autoresponders
    • New tools to help marketers achieve customer loyalty by easily customizing mass emails
wrapping things up
Wrapping things up…
  • The article’s bottom line on the topic of email marketing is you have to budget your time and expense – and if that means paying more to use the opt-in technique, then so be it.
  • The author also stresses that affiliate marketing is both cost effective, fast, and far reaching in this quote:
    • “A well managed affiliate program (sometimes called ‘viral’ marketing because it spreads so quickly), can pay off in a big way without any up front costs of advertising other than to install and announce it.”
  • In summation, with eMarketing you have to
    • “pay for results -- not just ‘placement’, extend your reach ‘virally’, when possible, and use smart systems (like auto respondents) to get the economic advantage in your marketing.”