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Online Advertising




Lesson 8
 Online advertising




                 - 170 -
Online advertising


Online Advertising
                                                   Online advertising is a form of promotion that uses
                                                   the Internet and World Wide Web for the expressed
                                                   purpose of delivering marketing messages to attract
                                                   customers. Examples of online advertising include
                                                   contextual ads on search engine results pages,
                                                   banner ads, Rich Media Ads, Social network
                                                   advertising, interstitial ads, online classified
                                                   advertising, advertising networks and e-mail
                                                   marketing, including e-mail spam.




 http://en.wikipedia.org/wiki/Online_advertising




                                                               - 171 -
Media Revenue models



As Advertiser, you can invest on web properties in the following areas


                                     Media Revenue Models
                                                                   Advertising
                                                                   Brand creative
                                            Leads                    Pay per click
                                                                                                  Content
                                      Lead generation            Pay per action / sale           Subscription
               Classifieds         Registration for content           List rental                Pay per view       Distribution
                                            O ers                Product placement              Pay for format
               Listing fees          Enquiry matching                                         Customised content      Syndication
            Transaction fees                                                                                           Licensing
          Contextual advertising                                                                                     Custom feeds
                                                                                                                        API fees
                                       Reputation            Timeliness         Validation
                                                 Tangibility          Filtering
        Affiliate                        Sense of community                 Customization                                   Community

                                                                Value add
        Pay per sale                                                                                                          Membership
    Pay per registration                                                                                                     Pay for voting
     Pay per download                                                                                                   Pay for messaging / SMS
                                         Design          Relevance              Synthesis                                 Sales of community
                                                                                                                                research
                                    Format                     Ease of use
            Merchandising                   Visualization                  Analysis                                    Events
              Books / research                                                                                        Conferences
               Music / video              Platform                                             Partnerships          Roundtables
                 Clothing                                                                                              Showcases
                                   Sell distribution platform                                   Revenue share
                  Other
                                        License platform
                                                                      Brand                      Pro t share
                                                                                                                    Access to buyers

                                        Distribution fees         Brand licensing              Share of revenue
                                       Serve advertising           Sponsor fees                    increase
                                                                 Branded products
                                                                 Branded content
                                                                                                                    Created by Ross Dawson
  www.futureexploration.net                                                                                        www.rossdawsonblog.com




                                                                                    - 172 -
IAB


The Basics
                        The IAB educates marketers, agencies, media companies and the wider business
                        community about the value of interactive advertising. Working with its member
                        companies, the IAB evaluates and recommends standards and practices and fields
                        critical research on interactive advertising.

                            1. The IAB has six core objectives:
                               a. Fend off adverse legislation and regulation
                               b. Coalesce around market-making measurement guidelines and creative
                                  standards
                               c. Create common ground with customers to reduce costly friction in the
                                  supply chain
                               d. Share best practices that foster industry-wide growth
                               e. Generate industry-wide research and thought leadership that solidifies
                                  Interactive as a mainstream medium
                               f. Create countervailing force to balance power of other media, marketing,
                                  and agency trade groups


  http://www.iab.net/




                                       - 173 -
Standard Dimensions


Standard banner dimensions




 http://www.iab.net/
 iab_products_and_industry_services/
 508676/508767/Ad_Unit




                                             - 174 -
Popup


Pop-up

 1. Pop-up: A new window which opens in front of the current one, displaying an
    advertisement, or entire webpage.
 2. Pop-under: Similar to a Pop-Up except that the window is loaded or sent behind
    the current window so that the user does not see it until they close one or more
    active windows.




                                                                                       - 175 -
Interstitials


Interstitial
                                                                 MarketingTerms.com "interstitial" definition:

                                                                 A full-page ad that interrupts sequential
                                                                 content, forcing exposure to the advertisement
                                                                 before visitors can continue on their content
                                                                 path.

                                                                 Interstitials are a form of interruption
                                                                 marketing. This quality appeals to advertisers
                                                                 who feel Web advertising needs to be more like
                                                                 a broadcast medium to be effective.

                                                                 Interstitials often draw an above average
                                                                 amount of response and resentment.

                                                                 The high response rates typically translate into
                                                                 higher CPM rates. The high level of resentment
                                                                 may translate into consumer backlash, although
                                                                 the exact long-term effects are unclear.




  http://en.wikipedia.org/wiki/Interstitial_ad




                                                   - 176 -
Interstitial




The biggest problem with these though
is that the viewer isnʼt happy when the
thing pops up.

The user is looking for something else
and is usually quite annoyed to have to
navigate through something he doesnʼt
want to get to what he is looking for.

And once you annoy a user, he might
not be back.




             - 177 -
Rich media


Rich media
             Rich Media is now defined as: advertisements with which users can interact (as
             opposed to solely animation and excluding click-through functionality) in a web page
             format.

             These advertisements can be used either singularly or in combination with various
             technologies, including but not limited to sound, video, or Flash, and with programming
             languages such as Java, Javascript, and DHTML. These Guidelines cover standard Web
             applications including e-mail, static (e.g. html) and dynamic (e.g. asp) Web pages, and may
             appear in ad formats such as banners and buttons as well as transitionals and various
             over-the-page units such as floating ads, page take-overs, and tear-backs. Rich Media
             also includes in-page and in-text digital video advertisements where the associated
             content is not streaming in a player environment.




                                - 178 -
Rich media effectiveness




http://www.doubleclick.com/insight/downloadResearch.aspx?
fileName=The_Brand_Value_of_Rich_Media_and_Video_Ads.pdf


                                                            - 179 -
Special formats



 Roadblock




http://www.doubleclick.com/insight/gallery/examples/mccafe.asp




                                                                     - 180 -
Expanding


Expanding




 http://www.doubleclick.com/insight/gallery/examples/samsung-mobile-explorers.asp




                                                                    - 181 -
Floating


Floating




 http://www.doubleclick.com/insight/gallery/examples/ea-games-burnout-floating.asp




                                                                    - 182 -
In page interactive



In page interactive




 http://www.doubleclick.com/insight/gallery/examples/guinness-invite-a-friend.asp




                                                                       - 183 -
In Page video


In page video




 http://www.doubleclick.com/insight/gallery/examples/the-sims-3.asp




                                                                      - 184 -
Widget AD



Widget AD




             - 185 -
Peel


Peel Banner
              Corner Peel Back

              Rich media units mimicking the
              turning of a page, which retracts
              and then peels again with the
              userʼs interaction (mouseover)




              - 186 -
Takeover


Takeover

                                               Page takeover is the solus
                                               takeover of all advertising formats
                                               on a page (usually homepage or
                                               other such page with high traffic
                                               levels) This may include replacing
                                               parts of the page design.




  http://www.venzasnowyroad.com/example.html




                                                              - 187 -
Floor ad


Floor AD
           !"##$%&'




                      - 188 -
Full screen Video


                   !"##$%&''()*+,'-
       Fullscreen Video




/(0
),&



()*(




+




                                     - 189 -
Wallpaper - reskin


Wallpaper / Re-skin
                      Background tile advertiser logos or
                      customized images for a specific page or
                      section.




                           - 190 -
"#3"+$",,.2($.#$2"34"$0%$2+%-%33%-"$2%(#"5$2.+
                                                                                    Layer
4%<(#4*$*$%##"<(4%<"5$,"%#<"&=*#4*$*$#"#$%#<(3%<"6
       Layer




                           OVERLAY PLACEMENT
                     600x400              Resolves back to standard IAB placement




                                                                                    - 191 -
Navigation Sponsorship


Navigation Sponsorship
                               Ad unit that reveals a secondary
                               panel during interaction and then
                               retracts upon completion.




                                 - 192 -
Pre e post roll


Pre e post roll in video
                               Video commercial that plays before the video
                               news content.




                               - 193 -
In Unit Video


In-Unit Video
                                User-initiated video content
                                housed within a standard ad
                                creative.




                   - 194 -
Sponsorship


Sponsorship

                            Site content, information, or widgets
                            “brought to you by” a single advertiser.




                - 195 -
Other Formats

Other formats

                                                                             1. Background
                                                                             2. Peel Banner
                                                                             3. Floor AD
                                                                             4. Full screen video
                                                                             5. Layer


                                !"#$#%&'

          !"#$%&'()*+,'%-'(+(#',.($+/'%




                                                                       !"!




 http://www.slideshare.net/advit/advit-formati-speciali-e-rich-media




 http://www.centro.net/media-services/ad-formats/

                                                                                           - 196 -
Video Formats




                                                                          1. In-Stream Video is generally played
                                                                             or viewed from a video player.




1. Linear Video ad:
  a. The ad is presented before, in the middle of, or after the video content is consumed by
     the user, in very much the same way a TV commercial can play before, during or after
     the chosen program. One of the key characteristics of a linear video ad is that the user
     watches the ad in addition to the content as the ad takes over the full view of the video.
     Common linear video ad formats include
      i.   Pre-rolls,
      ii. Interactive takeovers,
      iii. Short bumper vignettes ,
2. Non-linear Video ad
  a. The ad runs concurrently with the video content so the users see the ad while viewing
     the content.
  b. Non-linear video ads can be delivered as text, graphical ads, or as video overlays.
      i.   In-Banner Video is generally displayed in IAB standard ad units.
      ii. In-Text Video is generally user-initiated and triggered by relevant highlighted words
          within content.
  c. Formats
      i.   Overlays which are shown directly over the content video itself.
           1. Note that an overlay ad can also be delivered over a linear ad experience as well, generally prompting
              the user to
              interact with the ad when the user mouses over the ad.
      ii. Product placements
           1. which are ads placed within the video content itself.



http://www.masternewmedia.org/online-video-ad-formats-iab-guidelines-and-metrics-to-monetize-online-videos/

                                                                                      - 197 -
Video Formats


Advertise in video examples

                                                   1. Preroll video ad with click-to-play video endcap
                                                   2. Graphical overlay ad with image endcap
                                                   3. Text overlay ad with text endcap




  http://www.google.com/ads/videoadsolutions/demos.html

  http://www.iab.net/iab_products_and_industry_services/508676/508767/509357

  http://cecollect.com/ve/ZZo9065B917961dCYG7




                                                                 - 198 -
Video ad Guidelines



Guidelines




                   - 199 -
Revenue/spending Models


Revenue Models

 1. CPM (Cost Per Mille), also called "Cost Per Thousand (CPT), is where advertisers pay for exposure of their message to a
    specific audience. "Per mille" means per thousand impressions, or loads of an advertisement. However, some
    impressions may not be counted, such as a reload or internal user action. The M in the acronym is the Roman numeral for
    one thousand.
 2. CPV (Cost Per Visitor) is where advertisers pay for the delivery of a Targeted Visitor to the advertisers website.
 3. CPV (Cost Per View) is when an advertiser pays for each unique user view of an advertisement or website (usually used
    with pop-ups, pop-unders and interstitial ads).
 4. CPC (Cost Per Click) is also known as Pay per click (PPC). Advertisers pay each time a user clicks on their listing and is
    redirected to their website. They do not actually pay for the listing, but only when the listing is clicked on. This system
    allows advertising specialists to refine searches and gain information about their market. Under the Pay per click pricing
    system, advertisers pay for the right to be listed under a series of target rich words that direct relevant traffic to their
    website, and pay only when someone clicks on their listing which links directly to their website. CPC differs from CPV in
    that each click is paid for regardless of whether the user makes it to the target site.
 5. CPA (Cost Per Action) or (Cost Per Acquisition) advertising is performance based and is common in the affiliate
    marketing sector of the business. In this payment scheme, the publisher takes all the risk of running the ad, and the
    advertiser pays only for the amount of users who complete a transaction, such as a purchase or sign-up. This is the best
    type of rate to pay for banner advertisements and the worst type of rate to charge.
 6. Similarly, CPL (Cost Per Lead) advertising is identical to CPA advertising and is based on the user completing a form,
    registering for a newsletter or some other action that the merchant feels will lead to a sale.
 7. Also common, CPO (Cost Per Order) advertising is based on each time an order is transacted.
 8. CPE (Cost Per Engagement) is a form of Cost Per Action pricing first introduced in March 2008. Differing from cost-per-
    impression or cost-per-click models, a CPE model means advertising impressions are free and advertisers pay only when
    a user engages with their specific ad unit. Engagement is defined as a user interacting with an ad in any number of ways.
    [3]
 9. Cost per conversion Describes the cost of acquiring a customer, typically calculated by dividing the total cost of an ad
    campaign by the number of conversions. The definition of "Conversion" varies depending on the situation: it is sometimes
    considered to be a lead, a sale, or a purchase.




                                                                  - 200 -
Online budget




       http://www.smartinsights.com/blog/digital-marketing-strategy/allocating-marketing-budget/




                Proportion of marketing budget allocated to digital channels




Allocation of budget to digital media channels




                                                                                                      - 201 -
Optimize digital marketing Mix


Optimize digital marketing Mix




 http://www.slideshare.net/DaveChaffey/
 optimising-your-digital-marketing-mix




                                                     - 202 -
Digital Marketing Mix Starting point


Digital Marketing Mix Starting point




                                               - 203 -
Digital Marketing Mix: Onsite


Digital Marketing Mix: Onsite




                                           - 204 -
Digital Marketing Mix: Social media



Digital Marketing Mix: Social media




                                               - 205 -
Digital Marketing Mix: the Budget


Digital Marketing Mix: the Budget




                                                 - 206 -
Digital Marketing Mix in short


Digital Marketing Mix in short




                                            - 207 -

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Ied Lesson 8 Max Ramaciotti

  • 1. Online Advertising Lesson 8 Online advertising - 170 -
  • 2. Online advertising Online Advertising Online advertising is a form of promotion that uses the Internet and World Wide Web for the expressed purpose of delivering marketing messages to attract customers. Examples of online advertising include contextual ads on search engine results pages, banner ads, Rich Media Ads, Social network advertising, interstitial ads, online classified advertising, advertising networks and e-mail marketing, including e-mail spam. http://en.wikipedia.org/wiki/Online_advertising - 171 -
  • 3. Media Revenue models As Advertiser, you can invest on web properties in the following areas Media Revenue Models Advertising Brand creative Leads Pay per click Content Lead generation Pay per action / sale Subscription Classifieds Registration for content List rental Pay per view Distribution O ers Product placement Pay for format Listing fees Enquiry matching Customised content Syndication Transaction fees Licensing Contextual advertising Custom feeds API fees Reputation Timeliness Validation Tangibility Filtering Affiliate Sense of community Customization Community Value add Pay per sale Membership Pay per registration Pay for voting Pay per download Pay for messaging / SMS Design Relevance Synthesis Sales of community research Format Ease of use Merchandising Visualization Analysis Events Books / research Conferences Music / video Platform Partnerships Roundtables Clothing Showcases Sell distribution platform Revenue share Other License platform Brand Pro t share Access to buyers Distribution fees Brand licensing Share of revenue Serve advertising Sponsor fees increase Branded products Branded content Created by Ross Dawson www.futureexploration.net www.rossdawsonblog.com - 172 -
  • 4. IAB The Basics The IAB educates marketers, agencies, media companies and the wider business community about the value of interactive advertising. Working with its member companies, the IAB evaluates and recommends standards and practices and fields critical research on interactive advertising. 1. The IAB has six core objectives: a. Fend off adverse legislation and regulation b. Coalesce around market-making measurement guidelines and creative standards c. Create common ground with customers to reduce costly friction in the supply chain d. Share best practices that foster industry-wide growth e. Generate industry-wide research and thought leadership that solidifies Interactive as a mainstream medium f. Create countervailing force to balance power of other media, marketing, and agency trade groups http://www.iab.net/ - 173 -
  • 5. Standard Dimensions Standard banner dimensions http://www.iab.net/ iab_products_and_industry_services/ 508676/508767/Ad_Unit - 174 -
  • 6. Popup Pop-up 1. Pop-up: A new window which opens in front of the current one, displaying an advertisement, or entire webpage. 2. Pop-under: Similar to a Pop-Up except that the window is loaded or sent behind the current window so that the user does not see it until they close one or more active windows. - 175 -
  • 7. Interstitials Interstitial MarketingTerms.com "interstitial" definition: A full-page ad that interrupts sequential content, forcing exposure to the advertisement before visitors can continue on their content path. Interstitials are a form of interruption marketing. This quality appeals to advertisers who feel Web advertising needs to be more like a broadcast medium to be effective. Interstitials often draw an above average amount of response and resentment. The high response rates typically translate into higher CPM rates. The high level of resentment may translate into consumer backlash, although the exact long-term effects are unclear. http://en.wikipedia.org/wiki/Interstitial_ad - 176 -
  • 8. Interstitial The biggest problem with these though is that the viewer isnʼt happy when the thing pops up. The user is looking for something else and is usually quite annoyed to have to navigate through something he doesnʼt want to get to what he is looking for. And once you annoy a user, he might not be back. - 177 -
  • 9. Rich media Rich media Rich Media is now defined as: advertisements with which users can interact (as opposed to solely animation and excluding click-through functionality) in a web page format. These advertisements can be used either singularly or in combination with various technologies, including but not limited to sound, video, or Flash, and with programming languages such as Java, Javascript, and DHTML. These Guidelines cover standard Web applications including e-mail, static (e.g. html) and dynamic (e.g. asp) Web pages, and may appear in ad formats such as banners and buttons as well as transitionals and various over-the-page units such as floating ads, page take-overs, and tear-backs. Rich Media also includes in-page and in-text digital video advertisements where the associated content is not streaming in a player environment. - 178 -
  • 14. In page interactive In page interactive http://www.doubleclick.com/insight/gallery/examples/guinness-invite-a-friend.asp - 183 -
  • 15. In Page video In page video http://www.doubleclick.com/insight/gallery/examples/the-sims-3.asp - 184 -
  • 17. Peel Peel Banner Corner Peel Back Rich media units mimicking the turning of a page, which retracts and then peels again with the userʼs interaction (mouseover) - 186 -
  • 18. Takeover Takeover Page takeover is the solus takeover of all advertising formats on a page (usually homepage or other such page with high traffic levels) This may include replacing parts of the page design. http://www.venzasnowyroad.com/example.html - 187 -
  • 19. Floor ad Floor AD !"##$%&' - 188 -
  • 20. Full screen Video !"##$%&''()*+,'- Fullscreen Video /(0 ),& ()*( + - 189 -
  • 21. Wallpaper - reskin Wallpaper / Re-skin Background tile advertiser logos or customized images for a specific page or section. - 190 -
  • 22. "#3"+$",,.2($.#$2"34"$0%$2+%-%33%-"$2%(#"5$2.+ Layer 4%<(#4*$*$%##"<(4%<"5$,"%#<"&=*#4*$*$#"#$%#<(3%<"6 Layer OVERLAY PLACEMENT 600x400 Resolves back to standard IAB placement - 191 -
  • 23. Navigation Sponsorship Navigation Sponsorship Ad unit that reveals a secondary panel during interaction and then retracts upon completion. - 192 -
  • 24. Pre e post roll Pre e post roll in video Video commercial that plays before the video news content. - 193 -
  • 25. In Unit Video In-Unit Video User-initiated video content housed within a standard ad creative. - 194 -
  • 26. Sponsorship Sponsorship Site content, information, or widgets “brought to you by” a single advertiser. - 195 -
  • 27. Other Formats Other formats 1. Background 2. Peel Banner 3. Floor AD 4. Full screen video 5. Layer !"#$#%&' !"#$%&'()*+,'%-'(+(#',.($+/'% !"! http://www.slideshare.net/advit/advit-formati-speciali-e-rich-media http://www.centro.net/media-services/ad-formats/ - 196 -
  • 28. Video Formats 1. In-Stream Video is generally played or viewed from a video player. 1. Linear Video ad: a. The ad is presented before, in the middle of, or after the video content is consumed by the user, in very much the same way a TV commercial can play before, during or after the chosen program. One of the key characteristics of a linear video ad is that the user watches the ad in addition to the content as the ad takes over the full view of the video. Common linear video ad formats include i. Pre-rolls, ii. Interactive takeovers, iii. Short bumper vignettes , 2. Non-linear Video ad a. The ad runs concurrently with the video content so the users see the ad while viewing the content. b. Non-linear video ads can be delivered as text, graphical ads, or as video overlays. i. In-Banner Video is generally displayed in IAB standard ad units. ii. In-Text Video is generally user-initiated and triggered by relevant highlighted words within content. c. Formats i. Overlays which are shown directly over the content video itself. 1. Note that an overlay ad can also be delivered over a linear ad experience as well, generally prompting the user to interact with the ad when the user mouses over the ad. ii. Product placements 1. which are ads placed within the video content itself. http://www.masternewmedia.org/online-video-ad-formats-iab-guidelines-and-metrics-to-monetize-online-videos/ - 197 -
  • 29. Video Formats Advertise in video examples 1. Preroll video ad with click-to-play video endcap 2. Graphical overlay ad with image endcap 3. Text overlay ad with text endcap http://www.google.com/ads/videoadsolutions/demos.html http://www.iab.net/iab_products_and_industry_services/508676/508767/509357 http://cecollect.com/ve/ZZo9065B917961dCYG7 - 198 -
  • 31. Revenue/spending Models Revenue Models 1. CPM (Cost Per Mille), also called "Cost Per Thousand (CPT), is where advertisers pay for exposure of their message to a specific audience. "Per mille" means per thousand impressions, or loads of an advertisement. However, some impressions may not be counted, such as a reload or internal user action. The M in the acronym is the Roman numeral for one thousand. 2. CPV (Cost Per Visitor) is where advertisers pay for the delivery of a Targeted Visitor to the advertisers website. 3. CPV (Cost Per View) is when an advertiser pays for each unique user view of an advertisement or website (usually used with pop-ups, pop-unders and interstitial ads). 4. CPC (Cost Per Click) is also known as Pay per click (PPC). Advertisers pay each time a user clicks on their listing and is redirected to their website. They do not actually pay for the listing, but only when the listing is clicked on. This system allows advertising specialists to refine searches and gain information about their market. Under the Pay per click pricing system, advertisers pay for the right to be listed under a series of target rich words that direct relevant traffic to their website, and pay only when someone clicks on their listing which links directly to their website. CPC differs from CPV in that each click is paid for regardless of whether the user makes it to the target site. 5. CPA (Cost Per Action) or (Cost Per Acquisition) advertising is performance based and is common in the affiliate marketing sector of the business. In this payment scheme, the publisher takes all the risk of running the ad, and the advertiser pays only for the amount of users who complete a transaction, such as a purchase or sign-up. This is the best type of rate to pay for banner advertisements and the worst type of rate to charge. 6. Similarly, CPL (Cost Per Lead) advertising is identical to CPA advertising and is based on the user completing a form, registering for a newsletter or some other action that the merchant feels will lead to a sale. 7. Also common, CPO (Cost Per Order) advertising is based on each time an order is transacted. 8. CPE (Cost Per Engagement) is a form of Cost Per Action pricing first introduced in March 2008. Differing from cost-per- impression or cost-per-click models, a CPE model means advertising impressions are free and advertisers pay only when a user engages with their specific ad unit. Engagement is defined as a user interacting with an ad in any number of ways. [3] 9. Cost per conversion Describes the cost of acquiring a customer, typically calculated by dividing the total cost of an ad campaign by the number of conversions. The definition of "Conversion" varies depending on the situation: it is sometimes considered to be a lead, a sale, or a purchase. - 200 -
  • 32. Online budget http://www.smartinsights.com/blog/digital-marketing-strategy/allocating-marketing-budget/ Proportion of marketing budget allocated to digital channels Allocation of budget to digital media channels - 201 -
  • 33. Optimize digital marketing Mix Optimize digital marketing Mix http://www.slideshare.net/DaveChaffey/ optimising-your-digital-marketing-mix - 202 -
  • 34. Digital Marketing Mix Starting point Digital Marketing Mix Starting point - 203 -
  • 35. Digital Marketing Mix: Onsite Digital Marketing Mix: Onsite - 204 -
  • 36. Digital Marketing Mix: Social media Digital Marketing Mix: Social media - 205 -
  • 37. Digital Marketing Mix: the Budget Digital Marketing Mix: the Budget - 206 -
  • 38. Digital Marketing Mix in short Digital Marketing Mix in short - 207 -