Principles of Marketing

Principles of MarketingChapter 17- Online Advertising1Online AdvertisingAny advertising done on the internet. Search engine resultsAdvertisements in emailsPop-upsEtc

2Online AdvertisingOne of the greatest benefits is the ability to track and monitor activities 3Online AdvertisingObjectives:Build brand awarenessCreate consumer demandInform consumers of the ability of the advertiser to satisfy that demandDrive response and sales

4Brand Awareness BuildingKnowledge of the brand is pivotalWithout brand awareness, the firm will failOnline advertising will hopefully build brand awareness since the internet plays a major role in our lives

5Creating and Satisfying Consumer DemandAdvertising needs to show consumers what is available and, if needed, why the product advertised can satisfy their needShould point out the products Unique Selling Point (USP) to aid in the generation of demand

6Driving Response and SalesIdeally, online advertising should drive sales and traffic to whatever destination that is desired (could be to the retailers page, other outlet like Amazon, etc.)The good thing is that, if this works and the firm has the ability, then online purchases can be made and the process is a closed circle. 7How to Show the MessageInterstitial Banners- Shown between pages as you move from one page to another.89

Pop-ups and Pop-undersPop-up is when it appears over the webpagePop-under is when it appears under the webpage and you mostly dont notice until the window is closed10Map Advertisement11

Floating Advertisement12

Wallpaper AdvertisementBackground changes as the page is being viewed.Generally, you cant get rid of this. 13Banner14

How to PayCost per impression (CPI) or Cost per mille (CPM)Pay each time the advertisement appears on the pageGood for generating awareness and exposure

15How to PayCost per click (CPC) or Pay Per Click (PPC)Only pay when the ad is clickedGood when trying to drive traffic to website or affiliate website16How to PayCost per acquisition (CPA)Only pay when there is an acquisitionFilling out a formMaking a saleEntering an emailEtcGood when the concern is actual conversionsGood for affiliate programsBad for banners17How to PayFlat ratePay to be on website regardless of clicks, conversions, etc.

18How to PayCost per engagement (CPE)Pay when there is a rollover or interaction with the user19Ad Servers and Ad NetworksAd Servers- Servers that store advertisements and serve them to webpagesAd Networks- Buying space on a network of websites at one rate20Ad Servers and Ad NetworksBenefits-Easier than contacting each website or having to send multiple lines of code to get advertisement on websiteTracking- Generally have the ability to monitor after-click activities, which has a wealth of benefits if captured and analyzed21Ad Servers and Ad NetworksBenefits-Targeting is good since they networks are also using information of their own for advertisement targeting Frequency capping- limited number of exposures in a sessionSequencing- ensuring the ads are seen in an order (if needed)Exclusivity- Making sure ads from competitors are not on the same pageRoadblocks- Will not allow 100% ownership of a page22Ad Servers and Ad NetworksBenefits-Targeting:Geotargeting- targeting by an area and get specific with advertisements as need beOperating system and browser type- Connection type- Broadband, dial-up, etc. Day and time- Can specify when ads need to run

23Ad Servers and Ad NetworksBenefits-Targeting:Social serving- targeting based on user dataBehavioral targeting- Using information, such as cookies, to target the best ads for the userContextual advertising- If the website is about a vacation abroad, then an airline ad would be a relevant ad

24Online AdvertisingOnline advertising advantagesImages are rich and often a positive experience

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Online AdvertisingBuilding a brand within a specific sphereIf you are a part of every website involving a concept, then you are hopefully going to hit your target marketLaunching an exciting new product with a call to actionHighlight the benefits of the product with bright images that are interactive26Online AdvertisingDisadvantagesTechnical obstacles- pop-up blockers, cookie blockers, better user knowledge, etc.Connection speed- dont make ads so involved that they take all the bandwidth.Advertising fatigue- we still dont love advertisements, so seeing them in a new place doesnt excite us. 27