A study on Banner Advertising on Internet

by :- Sadaf Naaz siddiqui

Definition'Banner Advertising'

A rectangular graphic display that stretches across the top or bottom of a website or down the right or left sidebar.

The former type of banner advertisement is called a leaderboard, while the latter is called a skyscraper.

Banner ads are image-based rather than text-based a

Cont. Are a popular form of website advertising. The purpose of banner advertising is to

promote a brand to get visitors from the host website to go to

the advertiser's website.

Banner adsThe oldest, most common online advertising

tool.

The first Banner Ads appeared at wired.comfirst advertisers (14) included:

IBM, AT&T, Sprint, MCI, Volvo, Club Med, …12 weeks of display for $30,000

click-through rates average 0.39% to 10%

Banner Ad UsefulnessWhat can banner ads do?

build brand awareness

5% increase compared to control

a positioning too

increase advertising awareness

30% increase compared to control direct response

to information to purchase

Banner TerminologyClick-Through

a viewer clicking on an ad to go to advertiser’s siteClick- Through Rate - or Yield

the percentage of click-throughs to banner viewsUnique Users

net reach/non-duplicated visitorConversion Rate

the percentage of shoppers that make a purchase (1-5%)Run of Site (RoS)

Banner ad is displayed at a website or network without the use of a keyword or categorization

Banner adsTypes of Banner Advertising

Static

Dynamic

Static Banner AdsDefinition :-

A static banner takes the shape of an image that might contain graphics and text.

A creative piece that contains texts and graphics of banners

Most of these static banners are .jpg files, but you can also find them in .png, and .gif.

Cont.Advantages :-

Widely accepted

The file size can be kept low

Can be viewed on most of the browsers without use of plug ins

Non intrusive in nature

Cont.Disadvantages :-

Can easily be over looked

Unattractive

Hard to fit in a lot of details

Dynamic Banner adsDefinition :-

A live banner is a banner ad which is created dynamically 

(or whose content is created dynamically) at the time of display, instead of being pre-programmed with fixed content.

Cont.Advantages :-

Grab attention

Get more than one massage across

Make an impression

Cont.Disadvantages :-

A little expensive

Uses much space

Sometimes irritating to users

Banner Ad EffectivenessInternet users expect to save money or time, so

ads must be creative and promise benefits to create clicks.

discounts, contests & giveaways help

What works the best?

The Future of Online AdvertisingSmall base, but a healthy rate of growthInternet advertising revenues increased

141% from $1.92 to $4.62 billion in 1999 (IAB).

> 55% of online ad expenditures goes for banner ads

$1.58 billion spent on outdoor advertising

SWOT AnalysisStrenght :-

Low-cost leadership Strong relationship with the suppliers To achieve a higher conversion rate Boost sales Earn more profits. Has more than a billion active users The user experience is excellent Understands what the users need and want

Weaknesses: Not the best product quality Slow response to customers’ inquiries Weak click-through-rate of advertisements Lacks of some features like video chats, group chats, dislike buttons, etc. Attitude towards users’ privacy creates a negative image Lack of website customization Weak protection of users’ information 

Cont.Opportunities:

Government’s support in emerging local markets More customers shifting to online shopping New ways to encourage repeat visits New market segments and niches New design trends to convey messages better More efficient marketing tactics Positive changes in socio-cultural factors 

Threats: Increasing number of mobile internet users Users have ad-block extensions Online marketing’s slow growth rate Privacy issues like identity theft Weak business model SPAM & unsolicited advertising Upgraded browser software

THANK YOU