Posted on May 26, 2010.
Display Advertising - The traditional online advertising new Many remember the days before sponsored advertising, enormous price comparison engines and dominate the search engines. These are the days of display advertising.
Considerably expensive, difficult to measure and even harder to get a return on investment.
Display advertising was the right solution at the right time though. Before the Internet, many retailers have invested considerably with traditional advertising like television, radio and print media. The only way to measure these efforts has been forecast by the prints. That being the case, the billboard had a value at least be able to provide the number of impressions and even specific data on sporadic sales.
Arrive cost per click and cost per sale advertising. With the ability to measure the return on investment specific dollar market, these solutions became much more desirable. display advertising has been relegated to only the most exclusive marketing of the brand.
Who could blame the allocation of marketing budgets to such a sales channel measurable and targeted? Compare the results of an impression based campaigns against a good CPC campaign and it is difficult to argue the merits of impressions to a CFO.
Unfortunately, there was too much of a shift to CPC and CPA. The market is too competitive and emotionally many traditional channels real benefits were either forgotten or have never been heard in the first place. Many small businesses of medium size can not effectively compete for placement cons Sponsored Advertising "big box" no matter how sophisticated they are.
The reasons are multiple, but in my opinion, the main reason is the slowdown in the economy.
"Big boxes" still have their roots in traditional advertising. They understand the value of customer loyalty and lifetime value. Their interest is more on customer acquisition, then the return on investment. Therefore, they are willing to take a loss on sales of initial marketing, or in conveying the client's bank or store customer information for future sales offers.
In the current climate, it has been included in advertising. These changes were adopted measurable practical solutions CPC. Many of which are provided at a cost per sale option. A whole industry has developed based on the advertising display loyalty and repurposing client / remarketing. Even Google has launched a version of this using its extensive network of double click and YouTube.
It is understandable that marketers are apprehensive about the billboard. Many have not seen the results in the past, or have not been exposed to ways of measuring traditional advertising.
Consider the plight of print advertising. We all know the influence of the Internet has had on newspapers and magazines. Before the popularity of the Internet display ads was their main source of income. Now, with more people get their news online, print advertising is more dependent than ever on banner advertising to survive.
Online News in particular is an area more desirable to consider. People have not stopped reading news articles, they just are not picking up their porch in the morning. Combining social media sites and you can see the potential. Facebook, after all is the most visited site on the planet.
Even if the billboard is built on cost per thousand impressions (CPM), there are ways to properly measure the results of ROI. The most important thing to remember when evaluating the billboard is that you know you are demographic and be just as selective with your ads as you would with keyword advertising sponsored. You'll also want to have a precise figure for what the lifetime value of customers is. By properly managing a display advertising campaign, you will level the playing field with.