Internet advertising is an important element of a modern company’s marketing strategy . Advertising on the Internet helps to promote goods and services in new markets, and is well received by those who use computers and smartphones. But can it be as effective as traditional outdoor advertising? Let’s take a detailed look at each type, its advantages and disadvantages.
Online advertising is a billion-dollar industry. Spending on digital advertising campaigns reaches $140.34 billion globally and accounts for a quarter of all media advertising spending.
Since the early 1990s and the active spread of the Internet, the share of online advertising has grown exponentially.
In today’s world, any kind of advertising plays a very important role in the promotion of any goods and services. FEVAD-Mediametrie barometer research has shown that 78% of Internet users study information about products on websites before making a purchase. It is important for a buyer to know about the advantages and disadvantages of a product.
The basic principles and techniques of Internet advertising are different from television, radio, and press.
For example, the transmission of advertisements on television and radio does not need the active participation of the user: it is a more passive type of media. On the Internet, everything works the other way around: the user needs to perform some action. For example, follow a link, click on an advertisement.
Internet advertising is one of the most important forms of marketing today. If you’re not making yourself known online, you’re probably missing out on most of the traffic, and profits you could be making.
The term “online advertising” is incredibly broad and refers to everything from banner ads, YouTube video ads, dynamic redistribution and keyword research. Below, we take a look at some of the most popular types of online advertising in 2016 and how you can use them to drive traffic to your website.
Common types of online advertising
Banner advertising. One of the most popular types of advertising in the recent past, involving the placement of attractive pictures with an appeal to buy goods on the sites of partners. Payment is charged not for clicks on the link embedded in the picture, but for the number of displays and the time of broadcasting. Banner advertising works together with contextual advertising.
Contextual advertising – a block of text or text with an image, placing your company’s website ads on search engines such as:
- Yandex
- Yahoo
- Bing
- AdWords
The peculiarity of this advertising is that its blocks are interactive and change depending on the user’s behavior, his search queries and history of visits. Thanks to contextual advertising, the entrepreneur can in a short period of time to find new customers to your site, you can also achieve a significant increase in sales. The price depends on the number of customer conversions to your site.
Context in action: you saw a banner from a smartphone store on a news site with an offer to buy an iPhone 6 at a discount and clicked on it. You were distracted by a colleague at work, and the site and the banner were somehow forgotten. A month later, you search Google or Yandex for a new gadget at the request: “buy a smartphone”. Smart contextual advertising will offer you not just any smartphone, but the very iPhone 6 that you were looking for earlier. As a result, the benefit to you (you quickly found the right product) and the seller (his advertising worked effectively and attracted the client).
Viral Advertising. It has nothing to do with spreading any viruses over the Internet. It is called viral because it quickly gets into the heads of users and causes a strong surge of emotion, causing them to share the record with friends and subscribers. To do this, your ads must be:
- bright;
- unique;
- creative;
- probably funny;
- maybe a little inadequate.
Distributed by:
- of funny pictures;
- video;
- “word of mouth.”
- of short news stories;
- audio files.
Viral advertising is a very profitable, but difficult to produce type of advertising that attracts a large number of visitors to your site. It is not very costly financially, but requires a lot of creativity from marketers.
For example, it could be: “Shock! I lost 30 kg with green coffee.” Often, erotic photos are used to create “viruses”. Scandals, fights are very popular. It is necessary to use advertising of this type very skillfully and wisely, so as not to earn criticism from users.
E-mail advertising – sending advertisements to the mail of potential customers or customers who are already in the database. Today this type of advertising is not very relevant – most messages of advertising nature are automatically filtered by mail services and marked as spam.
Social media advertising is a very popular and effective type of advertising. It is more costly than, for example, viral advertising, requires a lot of time for promotion, but it is very effective. Where and for whom you can place such advertising:
The modern online advertising market offers publications in almost all social networks. Any kind of goods are promoted and sold through them: from household utensils, appliances, chemicals, clothing, foodstuffs to pets.
Teaser advertising. This type of advertising is somewhat similar to viral advertising, as it consists of a picture and text of a scandalous nature. It is used to attract as many customers as possible. It is very cheap. Teaser advertising in most consumers has a negative attitude. This is due to poor quality photos and bold texts.
Another type of advertising that is not the most honest is cooperation with price comparison services, so-called price aggregators. A popular example of an international resource is Yandex Market, which operates throughout the CIS. Such resources are used to choose the best price and characteristics of the proposal from a variety of competing positions. Do you want your product to have only positive reviews, to be on the list above the rest and, at the same time, to receive the status of “Best Product”? – It is enough to send advertising budgets to the owners of price aggregators and the desired will become a reality.
SEO. Optimization of sites and materials for the requirements of search engines is a current trend in advertising and promotion. Properly composed semantic kernel and organic use of keywords in texts “helps” Googe, Yandex, Bing and other search engines to find your site. They begin to offer it more often in the output to users, who, in turn, make transitions and become customers.
YouTube. The most popular video storage service remains a welcome presence for brands and an effective way to communicate with their target audience. This very audience is more than a billion, that is, a third of all active Internet users. Popular advertising methods are as follows:
- corporate videos on the company’s channel;
- blatant advertising from popular bloggers;
- hidden product placement in opinion leader videos;
- pre-roll ads before the video.
There are also examples of combined advertising. For example, at the beginning of the video there is a short advertisement of insurance services, and the video itself implicitly advertises a car.
Internet advertising in Ukraine
According to the results of the All-Ukrainian Advertising Coalition, in 2016, the online advertising market grew by 33%, it is 3.140 billion UAH.
In 2017, advertising growth will depend on:
- search;
- mobile advertising;
- digital video.
Most users use the phone to order various services: buying movie tickets, air and train tickets, ordering clothes through online stores, etc.
In order to relax, to learn something new, a person watches different videos on Youtube, sits in social networks, plays online games. We all have become addicted to gadgets.
Due to these factors, analysts predict that the online advertising market will grow by 28% in 2017 to UAH 4.010 billion.
Internet advertising in Europe
According to research by Computer Review, in just six months, the European online advertising market has grown significantly compared to 2016 – by 13.4% – and that’s €18.6 billion.
This strong growth is attributed to the high economic growth in the region’s five economies since 2010. Viewability generated $3.8 billion in mobile advertising revenue. Central and Eastern Europe generated the most revenue from mobile advertising. The Western European market brought in only 13% of revenue.
At the moment, Facebook is one of the leaders in advertising promotion and distribution.
The network allows companies to promote personalized ads or content targeted to specific audiences, with costs varying by audience reach and region.
For example: 10,000 impressions of an advertising post on Facebook across Ukraine will cost several times cheaper than 10,000 impressions to Kyiv residents with an above-average income aged 25 to 45.
Every day, Facebook is visited by more than 1.8 billion users. That’s a very big number. But that doesn’t mean it’s easy to attract users’ attention to your products or services.
4 ways to boost the effectiveness of Facebook ads:
quality visualization – it is necessary to choose very carefully bright, unique images that suit your type of services. Buyers can be attracted first and foremost by high-quality photos.
relevance of your offer – your service or product must be useful, interesting for the buyer.
Value proposition – tell us what makes your product better than other solutions? How is it unique and relevant? These are the main questions to define the value proposition.
A clear call to action – you should tell users what to do next. For example: buy, follow the link, “buy now and save”.
8 Types of Facebook Ads
Video
Facebook videos are as popular among users as YouTube videos. More than 50% of people who access the network watch at least one video per day.
https://www.facebook.com/plugins/video.php?href=https%3A%2F%2Fwww.facebook.com%2FDrinkBai%2Fvideos%2F10154304158831976%2F&show_text=1&width=560https://www.facebook.com/plugins/video.php?href=https%3A%2F%2Fwww.facebook.com%2Fnike%2Fvideos%2F10154760805628445%2F&show_text=1&width=560
Photo advertisement
Photo advertisement – an ad with an advertisement. The size of the image should be 1200×628 pixels. In order for this type of advertising to be effective, you need to publish high-quality photos that carry brief information about the product, goods, services.
Carousel
One advertising post gives information about several products, services. The user can scroll through the images. Explore the product, services in more detail.
You can advertise in this way:
- merchandise;
- blogposts;
- seminars, webinars;
- e-books.
Local advertising
Works for an internet business that has a local presence. It can be: a showroom, an online store (e.g. Rozetka), a confectionery store or any other institution.
Offer advertisement
A new format of Facebook ads, with it companies announce good offers or discounts that they are providing. With the help of offer ads, you can entice fans of hot deals.
Event or activity
With the help of this type of advertising you can attract the target audience to the event to increase ticket sales. It looks like a link to the page where you can order, book tickets for the event.
Retargeting
After visiting a certain site, you may be chased by ads similar to your previous requests. Retargeting targets a specific audience and analyzes their previous visits to websites.
The post Promotion
A regular post that is promoted for money. Here you can insert more text and give more details about your services.
Advantages of online advertising
- cheap price of user contact – from 0.01 USD;
- ad targeting;
- the ability to use different ways of visualization;
- Identify the age audience;
- the ability to track the actual reach of the audience in the course of the advertising campaign.
Disadvantages of online advertising
- Requires certain skills in developing, placing advertisements;
- It can be removed, more than 17% of the Internet audience uses programmatic ad blockers on their PCs;
- excessive obsession;
- is not suitable for certain types of products;
- there’s already too much advertising on popular sites.
Outdoor advertising
Outdoor advertising is advertising that is placed outdoors and affects a wide audience.
Features of outdoor advertising:
- large posters attract the attention of the public;
- successful territorial location of posters makes outdoor advertising more effective;
- posters should be colorful, carry some kind of story, so that the consumer can remember the advertisement.
Main types of outdoor advertising
- Banner – banner on plastic fabric, it is a colorful, bright image;
- showcase – a transparent partition in which goods are displayed to attract the attention of customers;
- light box – the most common type of urban advertising. It is very popular among advertisers. Thanks to the design, high-quality photography, as well as uniform illumination, advertising in the light box can be seen at night.
- billboard or billboard (billboard is a board for announcements) is installed near highways, highways and streets.
- roof installations – volumetric advertising media that are installed on the edges of the roofs of buildings. Most often they are large backlit letters that attract the attention of passers-by.
- A pole is a small, portable billboard. It can be placed on the street, near a building or in a shopping center. Very convenient, inexpensive, mobile type of outdoor advertising, which attracts the attention of visitors.
Outdoor advertising in Ukraine
Outdoor advertising first appeared in the early twentieth century in America. In Ukraine, we have only recently celebrated the 20th anniversary of the use of “outdoor advertising”. Meanwhile, most developed countries of the world are beginning to forget about outdoor advertising and are moving to more modern technologies – Internet advertising.
There are still old-school businessmen in Ukraine who trust outdoor advertising more than online advertising. That is why outdoor advertising is still popular.
We also still have popular advertising on the asphalt. This is a very effective and cheap way of advertising. But it is not durable, as the paint from the asphalt after 3-6 months is wiped off.
Outdoor advertising in Ukraine is expensive. Rent a billboard somewhere on the outskirts of the city costs from 2000 UAH per month, in the center from 3-5 thousand UAH per month. You should also take into account the cost of billboard design, installation and dismantling of your advertising.
The benefits of outdoor advertising:
- large audience reach (every passerby will see your sign);
- visibility and ease of perception of advertising;
- the possibility of illegal placement;
- susceptibility by consumers (it is habitual for Ukrainians);
Disadvantages of outdoor advertising:
- high cost of accommodation;
- censorship of advertising (you can’t use matting, nudity);
- No targeting (you can’t choose who sees your ads);
- the short-lived nature of advertising;
- outdoor advertising is no longer effective;
- audience, due to the oversaturation of outdoor advertising, perceives it as background noise.
- impossibility to determine the age structure of the audience.
So who will still win: online advertising or outdoor?
In our country only recently have advertisers begun to use digital advertising. It is very effective and easy to use. With the help of it, a potential customer will be able to study and examine the product or service in more detail. This type of advertising is more colorful than, for example, advertising on banners.
At the moment, online advertising is big all over the world. People are more often stuck in their phones and do not notice what is going on around them. Advertisers take advantage of this, make online advertising more qualitative, attractive, unique for potential consumers. In the near future, social networks will become one of the full-fledged sales channels.
Outdoor advertising will find it difficult to compete with such a strong opponent as online advertising. You have to take into account that the 2000-ers will be replaced by a new generation, more advanced and modern.
Perhaps outdoor marketers will be able to come up with something newer and more original than digital advertising by 2020. But according to current analysts’ forecasts, by 2020 it is still online advertising that will grow by 25% to reach $46.9 billion.
Need a forecast for your target market? Contact KOLORO and we will conduct a desk study of the desired segment.
