Advertising online

21 important questions on Advertising online

Compared to advertising on other media,  what offers online advertising?

- Targeting: not only specific demographics, but specific people.
- Analytics: how many times an ad has been seen on a web page and by who, and/or how many people clicked on the ad.
- Interactivity: immediate response is possible by clicking on the ad.

What is programmatic marketing?

- The use of software to replace humans in the purchase and delivery of digital marketing content, predominantly advertising (75% of all online advertising).
- Programmatic comes from the fact that functions are programmed, also known as automated marketing, data-driven marketing, programmatic media.

What are two categories of online advertising?

1. Search
- Objective = direct response (elicit immediate action).
- Far down the buying cycle, ready to make a purchase
- Usually, textual ads paid for only when someone clicks on the ad (pay per click – PPC).
2. Display
- Objective = brand development (build brand awareness).
- Usually image based (banners), paid depending on how many times they are downloaded onto a web page (cost per thousand impressions – CPM).
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What are 4 problems with programmatic advertising and why?

Click fraud (in PPC)
Website publishers pay people to click on ads or use a computer program to act like humans.
Impression fraud (in CPM)
Use a software to invent thousands of phony users who then visit websites that trigger the automated ads.
Having ads appear on inappropriate websites
For example, hate websites.
Ad-blocking
Software to block ads from appearing on web pages, users especially annoyed by re-targeting ads.

Why move back to quality, not quantity advertising?

A million views registered does not mean that the web surfer had actually seen, let alone read or watched the ad. The quality of advertising has been sacrificed to the quantity.
Need to create content that is creative, innovative, engaging - it must earn its audience.

What is the effectiveness of online advertising?

Ads on mobile devices are universally disliked! Two-thirds of consumers consider the current state of mobile ads to be frustrating, disruptive and boring (2016).
34% people who clicked on ads did so by mistake. Only 8,4% of searchers actually clicked on the search engine result page ads.

The clickthrough rate for display ads is 0,05%. But display ads are predominantly for branding purposes, so clickthrough’s are not essential for their success.
The clickthrough rate for search ads is 0,35%. Of course, 0,35% represents a significant number if you serve millions of ads.

What is the good news of online advertising?

- Online advertising can be measured accurately using well-grounded metrics.
- Objectives for campaigns can be set, measured and assessed.
- Return-on-investment (ROI) on online advertising is relatively easy to measure.

How to increase the effectiveness of online advertising?

Adjust the ad instead of repeating the same one:
- Searching on Google: in an information-seeking mood (technical details).
- On a holidays website: in an inspirational mood (out-of-the-norm).
- Watching comedy videos on YouTube: in a relaxed mood (amusing).
- On Amazon or eBay: in a buying mood (details of price).
- Visiting an architecture website: in a mood to appreciate aesthetics (how good the car looks).

Why is it necessary to set objectives?

The objectives of any ad campaign will determine the nature and type of ad used, how it is managed and what analytics should be used in tracking its results.

What are two categories of objectives of online advertising?

1. Direct action: ads that seek to elicit a reaction from consumers (not necessarily a sale; it could be to sign up for a newsletter).
2. Branding: ads that reinforce consumer perception of the brand, organization or product.

What are three main ways of paying a publisher for online ads?

1. Cost per thousand impressions (CPM): used almost exclusively for display ads, ad impression are sold in blocks of thousands, costs vary a lot.
2. Pay per click (PPC): paying for each click made on the ad – no clicks, no fee – costs vary wildly ($2.32 for search ads, and $0.58 for display ads).
3. Pay per call: an online ad features a free phone number and software tracks any contacts made through that number and a fee is paid for each call (e.g., insurance).

How has measuring the effectiveness of online ads advanced in recent years?

Earlier: how many visitors had clicked on a banner.
Now: where visitors were (geographically) and what web page they were on when the ad was displayed, track the ad-derived visitor’s path through your site all the way to a purchase.

Give 2 types of online ad formats.

1 Text-only ads
- Stand-alone text ads: typically have a headline, body text and advertiser’s name, appear on nearly every SERP, the common type of online ad.
- Text-link ads: embedded within a line of textual content on the web page, problematic for publishers because they distort the natural flow of the narrative, more suitable for blogs. No longer popular because they are penalized by the Google search algorithm.
2 Image-based ads
- Historically known as banner advertising, later known as display advertising.
- Also: moving images (animated gifs, videos).

What is native advertising?

Advertising a product by placing the promotion in a native (or natural) environment. A native ad is not overtly an ad.
- Equivalents: in films  product placement, in magazines and newspapers  advertorials.
- Online, native ads resemble advertorials, but can also feature video and other multimedia or a link to the brand’s own website.
- Executed well, native ads can be effective and successful.

- Performed badly, users resent that marketers are attempting to fool the reader.

Give an advantage of native advertising.

because they are not delivered programmatically, they are not subject to ad-blockers (the blocking software sees the native ad as content).  This explains the growing popularity of native ads.

What is Search advertising (or paid search)?

- Advertising on search engines is not the same as being featured in their organic results.
- Results on SERPs that are paid for.
- Search engine optimization: the keywords are placed on the web pages.
- Search engine advertising: the keywords are purchased by the advertiser (hence paid search).

What else plays a role besides the monetary value of the bid? Three things

1. Clickthrough rate (CTR) history: how successful previous ads have been in attracting clicks from searchers.
2. Landing page quality: relevance to the search keywords, user experience.
3. The business model of the advertiser: credibility of the advertiser’s site no scam or other dubious practices.

What is network advertising in offline advertising?

common practice that the advertisers appointed agencies to act as go-betweens in connecting those who wanted to place ads and the various media that could host them.

What is network advertising in online advertising?

the term ad network is predominantly reserved for those run by the major search engines, with Google being by far the biggest player.

What is an advantage of network advertising?

metrics are offered as part of the package.
How many people clicked through from the ad.
Where they were geographically.
What page they were on when the ad was displayed.
Tracking the user through to a purchase or rejection.

The landing page should do on which 4 criteria?

- Facilitate moving the customer to the next step in making a purchase.
- Have content that is short and to the point.
- Represent the organization, color, layout, tone, etc.
- Be self-contained (must contain all relevant information).

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