Internet Advertising: Is Anybody Watching Presented by: Chris Njunge Maksim Feofanov.
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Transcript of Internet Advertising: Is Anybody Watching Presented by: Chris Njunge Maksim Feofanov.
Internet Advertising: Is Internet Advertising: Is Anybody WatchingAnybody Watching
Presented by:Presented by:
Chris NjungeChris Njunge
Maksim FeofanovMaksim Feofanov
IssueIssue
Click-through rates – (Main Click-through rates – (Main measure of internet advertising measure of internet advertising effectiveness) decliningeffectiveness) declining
7% in 1996, 0.7% in 2002 7% in 1996, 0.7% in 2002 (DoubleClick, 2003)(DoubleClick, 2003)
Companies curbed spending on Companies curbed spending on internet advertisinginternet advertising
Key QuestionsKey Questions
1.1. Why do banner Ads seem to Why do banner Ads seem to be ineffective?be ineffective?
2.2. What can advertisers do to What can advertisers do to improve their effectiveness?improve their effectiveness?
Two StudiesTwo Studies
Eye-Tracking study to Eye-Tracking study to investigate online surfers’ investigate online surfers’ attention to online advertisingattention to online advertising
Large scale survey of users’ Large scale survey of users’ recall, recognition, and recall, recognition, and awareness of banner advertisingawareness of banner advertising
Eye Tracking StudyEye Tracking Study
Internet different from other Internet different from other media because bandwidth is media because bandwidth is shared during adshared during ad
H1: Internet users avoid looking H1: Internet users avoid looking at banner adsat banner ads
H2: The more time users have H2: The more time users have spent on the internet, the less spent on the internet, the less they pay attention to banner adsthey pay attention to banner ads
Study DesignStudy Design
49 Respondents off street paid 49 Respondents off street paid 15 euros15 euros
Cover study- ergonomic Cover study- ergonomic research on the design of research on the design of French portal (Voila`)French portal (Voila`)
View 8 pages in trying to answer View 8 pages in trying to answer questionsquestions
Each page with banner but no Each page with banner but no reference made to itreference made to it
Data CollectionData Collection
Eye tracking deviceEye tracking device Written survey after the task, Written survey after the task,
about their internet savvy, the about their internet savvy, the experimental process and their experimental process and their preferences and some preferences and some questions regarding the banners questions regarding the banners they sawthey saw
AnalysisAnalysis
Every subject looked at one or more Every subject looked at one or more banner adbanner ad
Average of 3.96 banners viewedAverage of 3.96 banners viewed Probability of 49%- ( T.V. 90%, 89%-Probability of 49%- ( T.V. 90%, 89%-
93% Yellow Pages, per Lohse, 1997)93% Yellow Pages, per Lohse, 1997) Screen was divided into zones Screen was divided into zones
depicting: location, shape and depicting: location, shape and contentcontent
Logit Regression for Zone Logit Regression for Zone AttractivenessAttractiveness
ResultsResults
Half of banner exposures not Half of banner exposures not attended toattended to
Surfers purposely avoid looking at Surfers purposely avoid looking at bannersbanners
Surfers processing banner ads at pre Surfers processing banner ads at pre attentive levelattentive level
Experts more efficient at processing Experts more efficient at processing web pagesweb pages
Younger surfers more efficient than Younger surfers more efficient than olderolder
FindingsFindings
Location, size, and zone content Location, size, and zone content are important factors when are important factors when trying to predict whether a zone trying to predict whether a zone is attendedis attended
Study 2: Impact of Online Study 2: Impact of Online AdvertisingAdvertising H3: Advertising effectiveness H3: Advertising effectiveness
increases with the frequency of increases with the frequency of exposureexposure
H4A: Larger banner ads will be more H4A: Larger banner ads will be more effective than smaller banner adseffective than smaller banner ads
H4B: Banner ads that are laid out H4B: Banner ads that are laid out vertically will be more efficient than vertically will be more efficient than banner ads laid out horizontallybanner ads laid out horizontally
Study 2: Impact of Online Study 2: Impact of Online AdvertisingAdvertising H5A: Banner ads that contrast H5A: Banner ads that contrast
with their environment will be with their environment will be more effective than ads that do more effective than ads that do notnot
H5B: Animated banners will be H5B: Animated banners will be more effective than static onesmore effective than static ones
H5C: The effectiveness of a H5C: The effectiveness of a banner ad depends on its banner ad depends on its messagemessage
Study DesignStudy Design
Two part self administered Two part self administered questionnaire sent to 6000 peoplequestionnaire sent to 6000 people
First questions on current internet First questions on current internet usage and brand awarenessusage and brand awareness
9 Web pages with specific task or 9 Web pages with specific task or question to answerquestion to answer
7 of 9 pages contained banner ads 7 of 9 pages contained banner ads relating to 5 different productsrelating to 5 different products
18 different banners used balanced 18 different banners used balanced outout
Study DesignStudy Design
24hrs after first survey and 9 24hrs after first survey and 9 web pages, follow up survey web pages, follow up survey sentsent
Questions about advertising Questions about advertising recall and for rating of banner recall and for rating of banner ads seenads seen
807 respondents filled out 807 respondents filled out second survey (13.5% second survey (13.5% response rate)response rate)
AnalysisAnalysis
Advertising ConstructAdvertising Construct EffectEffect ComparisonComparison
ExposureExposure 100.0%100.0%
Aided Advertising RecallAided Advertising Recall 30.1%30.1% 17%(P.A)17%(P.A)
Aided Brand RecognitionAided Brand Recognition 18.5%18.5%
Unaided Advertising RecallUnaided Advertising Recall 11.4%11.4% 2.47%(U.B)2.47%(U.B)
Increased Brand AwarenessIncreased Brand Awareness 2.8%2.8%
Click-throughClick-through 0.7%0.7%
AnalysisAnalysis
Banner Advertising has long term Banner Advertising has long term impact beyond immediate click impact beyond immediate click throughthrough
Effect of repetition tested across all Effect of repetition tested across all five advertisersfive advertisers
Repetition improves unaided Repetition improves unaided advertising recall, brand recall, and advertising recall, brand recall, and brand awareness but does not brand awareness but does not improve aided advertising recallimprove aided advertising recall
ResultsResults
H4A: Banner SizeH4A: Banner Size Small banner ads perform just Small banner ads perform just
as well as larger banner ads. as well as larger banner ads. Contradicts 1Contradicts 1stst study study
H4B: Banner OrientationH4B: Banner Orientation Banner orientation affects aided Banner orientation affects aided
advertising recall but not advertising recall but not unaided recall or brand recallunaided recall or brand recall
ResultsResults
H5A-C – Graphical contentH5A-C – Graphical content Weak effect for contrast, but Weak effect for contrast, but
more contrasting performed more contrasting performed worse ??worse ??
No effect for animationNo effect for animation Message affects recognition and Message affects recognition and
comprehensioncomprehension The message is more important The message is more important
than how the message is sentthan how the message is sent
ConclusionConclusion
Surfers fixate on 50% of banners, Surfers fixate on 50% of banners, process banners subconsciouslyprocess banners subconsciously
Awareness is more important than Awareness is more important than click through rateclick through rate
What is said and how often its said is What is said and how often its said is more important than how it is saidmore important than how it is said
Bigger animated ads will not Bigger animated ads will not compensate for ineffective contentcompensate for ineffective content
ShortcomingsShortcomings
Searches were goal-directed as Searches were goal-directed as opposed to exploratory which is opposed to exploratory which is equally common but vastly equally common but vastly differentdifferent
Memory measures and not Memory measures and not behavioral measures were behavioral measures were examinedexamined
QuestionsQuestions