IWMW 2001: Advertising On Web Sites
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Slides for a talk on "Advertising On Web Sites" given by Diane McDonald at the IWMW 2001 event held at Queen's University Belfast on 25-27 June 2001. See http://www.ukoln.ac.uk/web-focus/events/workshops/webmaster-2001/sessions.html#speaker-6
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IWMW 2001: Advertising On Web Sites
- 1. 25/06/01 D.McDonald@strath.ac.uk Information Advertising on JANET Diane McDonald Strathclyde University A JISC funded study
- 2. 25/06/01 D.McDonald@strath.ac.uk Information Outline of session • Outline of JISC study • Issues considered • Findings • JISC decision
- 3. 25/06/01 D.McDonald@strath.ac.uk Information JISC Study into Advertising on JANET • Inform JISC of the issues • JISC Services • Institutions • Consortium • Diane McDonald, Ralph Weedon, Caroline Breslin, Strathclyde University • Brian Kelly, UKOLN • George Neisser, National Cache (advisor) • 3 months • Report to May meeting of JCEI
- 5. 25/06/01 D.McDonald@strath.ac.uk Information Types of Electronic marketing banner Pop-up windows Screen savers adware Electronic newletters Email footers spam Sponsorship logos “free”
- 7. 25/06/01 D.McDonald@strath.ac.uk Information Sponsorship Expected Income £500 - £2000 per quarter per logo Potential Problems Conflict of marketing of institution or Service. Potential for perceived endorsement of sponsor. Slight increase in download time. Reduced transfer rate of information sought. Cost Effective Yes Comments Multiple sponsorship “launch pads” - most cost effective
- 8. 25/06/01 D.McDonald@strath.ac.uk Information Banner Advertising Expected Income £2 - £20 CPM Potential Problems Perceived endorsement of products. Increase in download time. Reduced transfer rate of information sought. Distracting / annoying for user. Not readily adapted for visually impaired access. Normal implementation outwith JANET AUP -? Cost Effective Yes – marginal! Comments Potential problems => a less preferential option. > 99.7% of web-based adverts do not receive a single click
- 9. 25/06/01 D.McDonald@strath.ac.uk Information Sell-through Expected Income ? Potential Problems As with Advertising Cost Effective Marginal unless tightly targeted – e.g British Library Comments Should purchaser receive % of revenue generated?
- 10. 25/06/01 D.McDonald@strath.ac.uk Information Commercial funding in exchange for Marketing Information Expected Income ? Potential Problems May be against the Data Protection Act 1998 Possibly unacceptable to users Cost Effective Unknown Comments Take legal advice embryonic market => reconsider in future
- 11. 25/06/01 D.McDonald@strath.ac.uk Information Sponsorship of Electronic Newsletters Expected Income £5-£30 CPM Per publication rates are agreed on individual cases. Potential Problems Potential for perceived endorsement of sponsor. Cost Effective Yes Comments Click-through rate in e-newsletters is significantly higher than normal. 1 Income varies by perceived reputation and circulation of newsletter. The smaller the newsletter, the higher the return. 1 Observer Newspaper article on e-newsletter click-throughs, 18/02/01
- 12. 25/06/01 D.McDonald@strath.ac.uk Information Screen Savers Expected Income £5-£15 per PC per quarter Potential Problems Potential for perceived endorsement of sponsor. Cost Effective Yes Comments Already in considerable use within the sector.
- 13. 25/06/01 D.McDonald@strath.ac.uk Information Banner Advertising within Email Expected Income £20-£40 CPM Potential Problems Potential for perceived endorsement of sponsor. Need to ensure the email has been solicited in some form – i.e. not spam Cost Effective Yes Comments No use of this was found within the sector.
- 15. 25/06/01 D.McDonald@strath.ac.uk Information network traffic bandwidth reduction network saturation cost user institution campus man SJ4 ISP upgrade profile monitoring Traffic Load due to electronic marketing 0 1000 2000 3000 4000 5000 6000 7000 8000 9000 10000 11000 12000 13000 14000 10 20 30 40 50 60 70 80 90 100 110 120 130 140 150 160 170 180 190 200 Number of hosts with electronic marketing additionalbandwidthused(Kb) WWW + banner ad WWW + sponsorship dial-up 512K 2M FE 10M HE WWW 56K Dial-up User •Bandwidth reduction – 34.9K •Extra time to download - 0.15s (Page Size 41.1K (34.8K), Ad Size 6K) 56K Dial-up User •Bandwidth reduction – 34.9K •Extra time to download - 0.15s (Page Size 41.1K (34.8K), Ad Size 6K) FE Connected at 2M •Bandwidth reduction – 1.75M (Page Size 41.1K (34.8K), Ad Size 6K) FE Connected at 2M •Bandwidth reduction – 1.75M (Page Size 41.1K (34.8K), Ad Size 6K) 56K Dial-up User •Additional Cost (peak rate) – 0.01pence 56K Dial-up User •Additional Cost (peak rate) – 0.01pence
- 16. 25/06/01 D.McDonald@strath.ac.uk Information Usability of JISC Web services Type % of original information transfer Screen Size 640 x 480 pixels 800 x 600 pixels Banner Advertising 60% 62% Sponsorship 73% 74% But - Special Needs access also effected!
- 17. 25/06/01 D.McDonald@strath.ac.uk Information technical economic legal acceptability policy issues feasibility ethical restrictions Others? maximise potential 3rd party Types of electronic marketing •Not an issue when appropriate to content •Not an issue when appropriate to content •May be legal / funding restrictions •No legal restriction in UK •General legislation applies •May be legal / funding restrictions •No legal restriction in UK •General legislation applies •Development still in infancy •Only 4 respondents had official policy •Conflicting interpretation of JANET AUP •Development still in infancy •Only 4 respondents had official policy •Conflicting interpretation of JANET AUP •Content providers concerned that marketing is in line with their image •Contributors may expect income – but! •No evidence of impact on h/w, s/w provision •Content providers concerned that marketing is in line with their image •Contributors may expect income – but! •No evidence of impact on h/w, s/w provision
- 18. 25/06/01 D.McDonald@strath.ac.uk Information technical economic legal acceptability policy issues feasibility ethical restrictions Others? maximise potential 3rd party Types of electronic marketing financial contractual JISC Advertising Service - broker deals for JISC Services / Community JISC Advertising Service - broker deals for JISC Services / Community
- 19. 25/06/01 D.McDonald@strath.ac.uk Information JISC Advertising Brokering Service At odds with institution policy Advantages Disadvantages cost Benefits of size Missed local opportunities Experience & skills No uniform market ?? Consortium Approach?Consortium Approach?
- 20. 25/06/01 D.McDonald@strath.ac.uk Information technical economic legal acceptability policy issues feasibility ethical restrictions Others? maximise potential 3rd party Types of electronic marketing financial contractual concept contentConsider general marketing policy Consider general marketing policy Consult user organisations? Consult user organisations?
- 21. 25/06/01 D.McDonald@strath.ac.uk Information technical economic legal acceptability policy issues feasibility ethical restrictions Others? maximise potential 3rd party Types of electronic marketing financial contractual concept content Marketing Advantages •Free service •Additional information •Free service •Additional information •Traditional source of revenue generation •New method of deliver => new problems •Potential conflict with organisation’s marketing message •Traditional source of revenue generation •New method of deliver => new problems •Potential conflict with organisation’s marketing message Already here!Already here!
- 22. 25/06/01 D.McDonald@strath.ac.uk Information Summary • Part of general marketing • Well chosen, appropriate content aids acceptability • Sponsorship probably most acceptable • Profit margins limited • Policy clarification & additional advice required • Consortium approach more appropriate than a central Brokering Service
- 23. 25/06/01 D.McDonald@strath.ac.uk Information JISC Decision • No advertising on JISC Services • Reconsider JANET AUP • Commission Guidelines for institutions • No JISC Advertising Brokering Service - Await interest from FE / HE regarding consortium approach • Institutional decision
- 24. 25/06/01 D.McDonald@strath.ac.uk Information Study Report • http://www.strath.ac.uk/IT/projects/report/ jisc-advertising.pdf
Hinweis der Redaktion
- Good afternoon. This session covers the issues surrounding electronic advertising or more generally electronic marketing – a subject which has attracted much comment in the press recently. Indeed a few months ago, with the crash of the .coms, there was much speculation that such “gravy trains” were at an end. JISC, the Joint Information Systems Committee recently commissioned a study into Advertising on JANET. You may wonder about the timing, however the study has proved extremely timely as the market is now settling down to a more rebalistic and sustainable level, allowing a reasonable evaluation of the issues to be made.
- So to briefly outliine the session Firstly the terms of reference of the study will be outlined Then I’ll highlight the issues considered Then discuss what was found Finally I’ll provide feedback on how the study report is progressing through JISC
- JISC Study – 3 deliverables Idea of cost effectiveness of hosting 3rd party electronic marketing Examine how issues had been dealt with outside UK FE / HE sector Analyse whither a JISC Advertising brokering Service would be cost effective will cover this in more detail later! Despite the short timescale and number of issues to be investigated, the study did report on time.
- Issues How did we analyse the issues Desk research Interviews with Principle Stakeholders - JISC, UKERNA, JISC Services, Advert resellers Survey academic institutions in US, Austrail, Europe and Far east - poor response Contact library, museums and government in UK Survey UCISA, Heads of Uni Admin, certain JISC Services
- Advertising is the marketing of a specific product or service Sponsorship is the marketing of a brand Electronic marketing is used to cover the full range of methods
- First examined feasibility Economic – is it cost effective? Information requested from resellers and some organisations already participating in hosting e marketing Poor response Short time scales -> considered only forms most likely to be used
- The other issue with respect to feasibility is is it technically possible? Clearly it is given the number of Internet sites that already have banner advertising or sponsorship logos However what will be the impact on the network?
- But what might restrict JISC Services or institutions from hosting 3rd party electronic marketing? Policy Legal Acceptability 3rd party
- Another important issue is – how do ensure that we maximise the return? 2 main issues Contractual Financial JISC had asked the consortium to consider if it would be worth while setting up a centrally run JISC Advertising Service to - broker deals for JISC Services / Community
- So the Consortium used the techniques developed at Strathclyde University under the JISC funded INSIGHT project to carry out an benefits & issues analysis – there were too any unknowns to carry out a full cost benefits analysis. Skills in traditional marketing – not electronic Bargaining power Disadvantages outweighed advantages – so to capatilise on the benefits of shared skills and negotiating power a consortium approach may be more appropriate This is something that tomorrow’s workshop on “Making money from the web” will consider in some more detail.
- Although ethical issues were outside the remit of the study, they were frequently raised during interviews or survey responses, so for completeness I’ll highlight a few of the points made. There are 2 main isuues – Whither the whole concept of making money from services that are essentially publicly funded - while some see this as fundamentally wrong, others would take the view that it is equally wrong to pass up an opportunity to reduce the burden on the public purse by finding supplementary means of funding. Indeed it should be remembered that institutions have actively sought sponsorship for events or carried advertising in their publications. Is SUN were to sponsor a computer lab for instance – should it be turned down? Would this conference be happening without commercial sponsorship? The second ethical issue highlighted was that of content – what is appropriate and what isn’t. Sponsorship by for example Guiness of Student web pages may seem acceptable to most, but in FE and in HE in Scotland students may be under 18. We must remember that we live in a multi ethnic and regionally diverse society! One way to prevent objections is to consult your users first – effective for some institutions.
- Finally what were the other issues that were discovered during the study? Marketing – sponsorship and advertising is nothing new – only the method of delivery is different Important to bear this in mind when developing policy - Need to carefully consider its impact especially on organisation’s home pages, which are for the organisation to market itself to the rest of the world. There are also a number of advantages apart from the purely financial ones! - Sponsorship or advertising may be used to allow services to remain free to users - if the marketing is relevant to the context, then some users find it a beneficial service. But the most important thing is it is already in considerable use throughout the sector!
- So to summarise the findings of the study
- The JCEI committee accepted the report and passed it un altered to the June JISC meeting with the following advice